By Jeff Angileri
MADISON (WKOW TV) 6/26/10
Farmers from across Wisconsin are expected to come to the capital city for an historic workshop on the lack of competition in agricultural markets.
USDA Secretary of Agriculture Tom Vilsack, U.S. Attorney General Eric Holder, Senators Herb Kohl and Russell Feingold, Representatives Ron Kind, Steve Kagen and Tammy Baldwin, and Governor Jim Doyle will participate in the USDA/DOJ workshop, scheduled for Friday morning at 9 a.m. at the UW Memorial Union.
Farmers are already calling it a historic meeting.
They hope to convince the government to break-up large dairy companies, that they say, are putting small farmers out of business.
Dairy farmers say after more than a year of historic low milk prices, they're in dire economic straights.
"Farmers are either not able to pay their bills, or they're in a state of bankruptcy or foreclosure, or one step away," said Paul Rozwadowki, Stanley dairy farmer.
Last year, farmers only received 97 cents for every $2.99 gallon of milk sold, and about $1 for every $4.99 pound of cheese. Some farmers blame huge dairy corporations for driving down prices to a point where family farms can't compete.
"The main issue in competition is there's not much competition left," said retired Prof. Bill Heffernan, University of Missouri.
Heffernan says in the last 15 years, Dean Foods, the nation's largest dairy company, greatly expanded its market share.
"They have about 50 percent of the whole market in this country, and it came about so fast, and the consumer's paying about a dollar more per gallon for milk than a competitive market would allow," Heffernan said.
The problem has some farmers switching to niche markets like raw milk, hoping to have more control over their products.
"Raw milk represented a way for farmers to get a decent price for their milk by selling it directly to the consumer," said Sarah Lloyd, president of the Columbia County dairy farmers union.
Both houses of the Wisconsin legislature approved a bill legalizing raw milk sales this year, only to be vetoed by Gov. Jim Doyle.
Still, there are more than 12,700 licensed dairies in Wisconsin. Farmers hope unity will mean survival.
"We think there should be more farms, not less," said John Peck, executive director, Family Farm Defenders. "We think it's unjust the dairy giants are squeezing farms out of business."