US dairy farmers get extra security from Trump

The Dairy Margin Coverage program itself isn't new. Dairy farmers have been able to hedge against margin losses (the difference between feed costs and milk yield) for years, but the terms haven't always been attractive, which is why the program's initial use was limited. Gradually, the terms have improved. The registration period is relatively long. Registration opened on January 12th and will remain open until February 26th.

Secretary of Agriculture Brooke Rollins announced the new program at a meeting of the American Farm Bureau in California. There, she also discussed new measures to make hiring foreign workers more affordable. This, too, is important for many farmers, as agriculture initially suffered greatly from Trump's measures against illegal labor. Another government measure is that whole milk will once again be a key element of the school milk program. This comes at the expense of alternatives, which have become more popular in recent years but which the Trump administration rejects.

In the new DMC program Dairy farmers can insure their production across a wider price range and a larger volume, while the premium is more attractive. Those who take out insurance for the full five years of the program (2026-2031) even receive a 25% discount. This allows dairy farmers to buy long-term business security, although not in all respects. The government under President Trump is also not imposing any additional environmental burdens on agriculture.