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Dairy Farmers Fear Milk Price Drop

WYOMING COUNTY — Bad news for dairy farmers across the country: economists expect to see a 40 percent drop in what dairy farmers earn for milk production ...
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WYOMING COUNTY -- Bad news for dairy farmers across the country: economists expect to see a 40 percent drop in what dairy farmers earn for milk production in the next two months compared to 2014.

Ray Kuzma has been a dairy farmer in Wyoming County since the 1970s and he's alarmed by the news of the decrease.

"Makes you disgusted because they are as low as they can be now," Kuzma added. "Not only is the milk cheap, but everything is so expensive like the machinery and the repairs."

The drop in milk prices means Kuzma will make $2,000 less a month than what he's used to.

That's why Arden Tewksbury, the head of the Progressive Agricultural Organization is trying to gear up a rallying cry against the government formula that's used to determine milk prices.

"We've attacked [that formula] and tried to get somebody to do something about it for years and years," said Tewksbury. "It does not take into consideration the dairy farmers cost of operating their farms."

This isn't the first time farmers have been on a crusade for better prices. Back in January of 2000, Newswatch16 watched as dairy farmers in Susquehanna County dumped milk to protest falling prices.

Senator Bob Casey told Newswatch16 the drop comes after record high prices in 2014:

"As a member of the Senate Agriculture Committee, I have made it a priority to support Pennsylvanian dairy farmers. The dairy industry, which contributes more than $4 billion to our state's agricultural economy each year, is the Commonwealth’s top agricultural sector. Critical to the vitality of local economies, the dairy industry spends 85% of income in the local communities. Further, 98% of Pennsylvanian dairy farms are family-owned. Due to record high prices in 2014, dairy farmers are seeing a decrease in milk prices as part of the recurrent three year milk price cycle analyzed by most agricultural economists. As a U.S. Senator, I am committed to ensuring that farmers get a fair price for their milk. I recognize that many Pennsylvanians are concerned about the state of the dairy industry. The 2014 Farm Bill included a dairy margin protection program to provide choices to dairy farmers to manage risk. Dairy farmers deserve the best dairy program possible."

Other elected officials are expected to meet with farmers on Tuesday in Wyoming county to help address what needs to be done.

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