Don't cry over dumped milk

Dairy producers required to dump milk due to aflatoxin contamination may not have to take a total loss.

Dan Grant

Published: Sep 20, 2012

Assistance is available to those who qualify through USDA’s Dairy Indemnity Payment Program (DIPP).

“The Dairy Indemnity Payment Program is (assistance to farmers) for contaminated milk that is unsafe for human consumption,” said Rick Graden, executive officer of the Illinois Farm Service Agency (FSA) office.

The dairy program is not used often in Illinois. But there may be more claims filed this year due to an increase in aflatoxin levels in corn because of the drought.

“With the aflatoxin issues, I think we may see an increase (in DIPP claims),” Graden said. “If you dump milk because of contaminated feed, you need to get into the county (FSA) office and request an application.”

To be eligible to receive DIPP payments, a producer must have produced whole milk that was removed from the commercial market at the direction of a public agency; not have been responsible for the contaminated milk; and not have been indemnified for the same loss from another source.

Graden urged dairy producers who are required to dump milk to fill out an application for DIPP as soon as possible.

“DIPP funding levels are limited,” he said.

Graden is concerned aflatoxin-contaminated feed issues could increase this fall and spike again in the spring.

“I’m really concerned we could have corn that tests clean and it gets put in the bin (where aflatoxin can grow),” he said.

“Then all of sudden we could have cows’ (milk) test positive next spring (when that grain is fed). We could see more milk dumped at that time.”

Graden recommended dairy producers keep a close eye on their feed sources.

Dairy producers with questions or who want to apply for DIPP payments should visit their local FSA office.

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