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$8 a gallon for Milk!!!!

Posted by on Dec. 28, 2012 at 1:33 AM
  • 117 Replies

If we go over the "Fiscal Cliff" they are saying we will be paying $6 - 8 dollars a gallon for milk.  With this effect your milk buying?


A gallon of milk could cost $8 in 2013. Here’s why.


There’s one potential casualty of the fiscal cliff that hasn’t gotten much attention at all: the price of milk.

Come Dec. 31, Washington’s inaction could push the country’s milk prices to as much as $6 to $8 per gallon unless Congress passes a farm bill renewing federal support for agriculture programs. 

Might have to scale back on Cheerio consumption if we go over the “milk cliff.” (Source: bigstock)

Here’s how that would happen: Without legislative action in the next five days, the government will have to revert to a 1949 dairy price subsidy that requires the Agriculture Department to buy milk at inflated prices. Much like the current fiscal cliff, the law was left on the books “as a poison pill to get Congress to pass a farm bill by scaring lawmakers with the prospect of higher support prices for milk and other agriculture products,” as Vincent Smith, a Montana State University professor, told the New York Times.   

The Farm Bill isn’t technically part of the fiscal cliff. Speaker John A. Boehner (R-Ohio.) has resisted the call by Agriculture Secretary Tom Vilsack (D) to incorporate it into the budget negotiations — to avoid complicating the budget talks and losing GOP votes, a Boehner aide told Politico last week. Legislators from rural districts are also worried that crop subsidies could be a tempting target in the fiscal cliff negotiations, so they’ve been trying to push Congress toward a separate resolution, to little avail. Although producers would temporarily benefit from the hike in milk prices, it would hurt processors and consumers, and the dairy industry would prefer a long-term resolution as well. 

The legislative impasse is over a host of issues: There’s major disagreement about how much to cut food stamps, how much the government should be subsidizing crops, and how dairy prices should be stabilized. As Time explains, the Senate has already passed a $969 billion farm bill that would reduce the deficit by about $24 billion over 10 years, in part by cutting $4.5 billion in food stamps and replacing direct payments to farmers with weather-related crop insurance. The House hasn’t passed a bill yet, but the House Agriculture Committee passed a bill that would cut $35 billion over 10 years, with a bigger $16 billion cut to food stamps. 

The bill’s biggest supporters now worry that the full Farm Bill is dead in the water until next year. It’s unclear whether the White House and Congress will include any stopgap measures or a partial fix before Dec. 31, although the Obama administration may be able to delay milk purchases in 2013 to temporarily blunt the effect of the “milk cliff,” Smith tells the Times.


by on Dec. 28, 2012 at 1:33 AM
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Replies (1-10):
Elyssa414
by Bronze Member on Dec. 28, 2012 at 1:36 AM
It won't effect my milk buying- we don't buy cow's milk.
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Wish2Be
by Michelle on Dec. 28, 2012 at 2:43 AM
2 moms liked this

Holy crap ! This better not effect Almond Milk and Half & Half !

Mami2oneboy
by Platinum Member on Dec. 28, 2012 at 2:44 AM

oh wow, i really hope not, its around $4.50 where i live and i think thats expensive lol, my son loves milk we dont drink it i buy just for him, i hope he loves it a little less when it costs $6 lol.

mom2jessnky
by Platinum Member on Dec. 28, 2012 at 7:52 AM

A Gallon of name brand milk (not organic, just name brand like Borden) is $5.55/gallon at Walmart here currently... so $6 a gallon isn't that far off. Store brand here is $4/gallon.

I don't even know what Organic is...

We mostly use Soy milk so I'm already paying $6/gallon for it.


MamaJane
by Jane:) on Dec. 28, 2012 at 7:54 AM
Holy crap! I just bought milk yesterday and it was 2.68.

Quoting mom2jessnky:

A Gallon of name brand milk (not organic, just name brand like Borden) is $5.55/gallon at Walmart here currently... so $6 a gallon isn't that far off. Store brand here is $4/gallon.

I don't even know what Organic is...

We mostly use Soy milk so I'm already paying $6/gallon for it.


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MamaJane
by Jane:) on Dec. 28, 2012 at 7:56 AM
Seriously, we'd find an alternative for our calcium intake. I have an intolerance to it, hubby is just thinking he might and frankly my kids are old enough they can do without.
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mom2jessnky
by Platinum Member on Dec. 28, 2012 at 8:02 AM
1 mom liked this

I'm convinced the cows here are milked by virgin wood sprites or something.

In Atlanta a gallon of Organic was $5, name brand $3, store $1.93. Soy milk was about $4 a gallon.  We moved here and crazy high milk prices... I don't live in some fancy ass area either, over half of the population of my town live in abject poverty. So it's insane to me how expensive things are here, how do people live here in poverty?! We also don't have public transportation here, which is SO weird to me. We lived here for a good 6 months before I figured out what was missing...BUSES!! First place I've ever lived that didn't have public trans.

Quoting MamaJane:

Holy crap! I just bought milk yesterday and it was 2.68.

Quoting mom2jessnky:

A Gallon of name brand milk (not organic, just name brand like Borden) is $5.55/gallon at Walmart here currently... so $6 a gallon isn't that far off. Store brand here is $4/gallon.

I don't even know what Organic is...

We mostly use Soy milk so I'm already paying $6/gallon for it.



Fields456
by Silver Member on Dec. 28, 2012 at 8:09 AM
I only buy a half gallon of cow milk maybe once a month for cooking
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SarahSuzyQ
by Sarah on Dec. 28, 2012 at 8:42 AM
Farm subsidies are not a clear-cut issue. I think this oversimplifies that whole thing.

As for milk, ours is in the $4/gallon range currently. If it doubled, we would probably still buy it... We use a gallon every other week for cooking and for my son's breakfast/drinks.
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theresaphilly
by on Dec. 28, 2012 at 8:43 AM


Quoting Wish2Be:

Holy crap ! This better not effect Almond Milk and Half & Half !


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