Will MPP Payments Be Triggered This Month?
Financial relief for farmers enrolled in the Margin Protection Program (MPP) hinges on the April margin calculations that will be released May 31.
Last week, USDA released the Agricultural Prices report for March. Corn was reported at $3.57/bu., alfalfa hay was $144/ton, soybean meal was $276.23/ton and the all milk price was $15.30/cwt. The MPP margin for March was $7.4671/cwt, according to FSA.
According to Robin Schmahl of AgDairy, those numbers could translate into an MPP payment.
“It could mean a payment, depending on the April margin,” he says. “There surely will be a payment for those with $8.00 coverage. There also is a good chance there will be a payment for those with $7.50 coverage once the average is set for March and April.”
Schmahl says the all-milk price is expected to be lower in April which would decrease income over feed cost if grain and hay prices remain near current levels.
Would you receive a payment at the $7.50 level? Let us know in the comments below.