New farm bill needed to prevent 'dairy cliff'

|By:, SA News Editor

If Congress doesn't get around to passing a new farm bill before the end of the year the USDA will be forced to support higher prices for dairy farmers which would create a disruption up and down the food industry.

Milk producers could benefit from the changes mandated by the 1949 farm bill - while food sellers could see profits pinched with consumers unlikely to absorb the full amount of price hikes.

Most analysts think Congress will get its act together in time, but the risk of a stalemate exists.

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