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Fiscal Cliff And Milk Prices; Deal Reached To Avert Prices Doubling

Source: Tyrone Warner via flickr

An update on a post from two weeks ago:  Congress has passed a deal to extend the 2008 Farm Bill that heads off rising milk prices in 2013.

As Americans watch the Fiscal Cliff wrangling that is going on in Washington, one of the under-reported facts had been  the potential for a roll-back of the 2008 Farm Bill, that would have allowed milk prices to be derived from a 1948 formula that would have had serious impact on most peoples wallets.  Without the extension, milk prices were forecasted to be around $8.50 a gallon or more.

Although Congress was unable to come to a compromise on the Fiscal Cliff on late Sunday night, they were able to pass a one-year extension to the Farm Bill – which will leave prices in the dairy case untouched.

 

Fiscal cliff 2012: Deal reached for stopping spike in milk prices.

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