🥛Reauthorization of Dairy Forward Pricing Program Overview
Reauthorization of Dairy Forward Pricing Program
Summary
This final rule reauthorizes the Dairy Forward Pricing Program (DFPP) in accordance with the American Relief Act, 2025 (Relief Act). Establishing new contracts under the DFPP was prohibited between the expiration of the program on September 30, 2024, and publication of this final rule. The Relief Act reauthorizes the DFPP program to allow handlers to enter into new contracts until September 30, 2025. Any forward contract entered prior to the September 30, 2025, deadline is subject to a September 30, 2028, expiration date.
Agencies
- Agriculture Department
- Agricultural Marketing Service
Business Impact
$$ - Med
The rule allows dairy producers and handlers to enter into forward contracts for pricing, providing a risk management tool that can stabilize income amidst price volatility. This directly impacts cash flow and financial planning for participants in the dairy market.