The Margin Protection Program for Dairy producers (MPP-Dairy) was established as part of the 2014 Farm Bill. In general, the MPP-Dairy program was largely unpopular and very few producers enrolled after the first couple years. However, significant changes were made to the MPP-Dairy program, through the Bipartisan Budget Act of 2018, that made the program much more attractive for the current year. Most importantly, premiums were significantly reduced and enrollment was extended into June, but made retroactive to January 1^st. So, the program was basically “in-the-money” for dairy producers covering up to 5 million lbs of milk production annually. 

An educational effort was needed to make certain that producers understood the changes made to the program and could make an informed decision about enrollment for the 2018 calendar year. Educational materials were sent directly to extension ANR agents, a face-to-face extension program was held in Columbia, KY, two different articles were written (March and May) and ran in Kentucky Dairy Notes and the Economic and Policy Update, and several posts were made to the Kentucky Dairy Interest Listserve. Producers were strongly encouraged to enroll up to 5 million lbs of milk production at the highest coverage level.

While it is impossible to know exactly how many producers chose the $8 coverage level as a direct result of our educational efforts, the direct impact from enrollment at that level was significant. Using the online tool provided by the Farm Service Agency, a Kentucky dairy herd with a production history of 2 million lbs, would be expected to receive a net gain from MPP-Dairy participation of more than $6,000.