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Politicians May Avoid "Dairy Cliff" And $8/Gallon Milk
By
Jen Chung
Published Dec 30, 2012
Modified Dec 30, 2012
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By
Jen Chung
Published Dec 30, 2012
Modified Dec 30, 2012
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Stop wringing your hands over the prospect of milk costing $8 per gallon—politicians might actually do something!
A federal farm bill with aid to agriculture programs had expired on September 30th, and the deadline for its extension is tomorrow. If the bill expires, then farms lose billions in subsidies—and will jack up your milk from its current $3.50/gallon to $6 to $8 per gallon.
Now Rep. Frank Lucas (R-Oklahoma) says that a compromise has been reached between both parties, "It is not perfect - no compromise ever is - but it is my sincere hope that it will pass the House and Senate and be signed by the President by January 1."
Yahoo News adds, "The price of milk will not double on January 1, if Congress fails to act. Instead, prices would rise gradually as supplies are removed from normal markets and land instead in U.S. Department of Agriculture storage facilities. With supplies more scarce in normal marketing channels, some milk distributors and dairy product manufacturers could have turned to imported supplies."
Tagged
dairy cliff
farm subsidies
fiscal cliff
milk
Jen Chung
Jen Chung is a former WNYC and Gothamist editor.
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Gothamist is funded by sponsors and member donations
Gothamist is funded by sponsors and member donations
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