Seeking Alpha

New farm bill needed to prevent 'dairy cliff'

  • 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.
  • Related stocks: SJM, DF, NSRGY, WWAV, LWAY, DNKN, MCD, SBUX, KO, GIS.
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Comments (6)
  • heavydutytruck1
    , contributor
    Comments (15) | Send Message
    I don't think the farmers need any more welfare from the government.if they get it then truck drivers should also get it as our rates have not gone up since I started driving in 1980.let the farmers charge what they will and let competition set the price if its higher then so be it
    4 Dec 2013, 06:18 PM Reply Like
  • rough diamond
    , contributor
    Comment (1) | Send Message
    You realize the "food stamp" hand- out consumes around 80% of the pot?
    6 Dec 2013, 03:34 PM Reply Like
  • stvrob_63
    , contributor
    Comments (1112) | Send Message
    The image of a dairy cattle herd stampeding off a cliff is going to give me nightmares tonight, I just know it.
    4 Dec 2013, 07:23 PM Reply Like
  • pmiller100
    , contributor
    Comments (359) | Send Message
    Why is KO a related stock?
    5 Dec 2013, 09:16 AM Reply Like
  • Dave in Racine
    , contributor
    Comments (272) | Send Message
    Coke has at least one dairy product, Core Power. This is some type of sprots, work-out recovery product.
    5 Dec 2013, 10:46 AM Reply Like
  • swampknot
    , contributor
    Comment (1) | Send Message
    An image of congress stampeding off the cliff would counteract the cattle image, would help you sleep very well indeed.
    5 Dec 2013, 09:22 AM Reply Like
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