Dairy farmers can insure against low income over feed margins with an insurance product, Livestock Gross Margin (LGM) insurance, offered through crop insurance agents and underwritten by the USDA Risk Management Agency.
At the NCCC-134 Conference on Applied Commodity Price Analysis, Forecasting, and Market Risk Management held April 16 and 17 in St. Louis, Missouri, Cameron Thraen and John Newton presented “Road Block to Risk Management - How Federal Milk Marketing Orders Create Excessive Basis Risk on Class 1 Milk,” and “Exploring Underlying Distributional Assumptions of Livestock Gross Margin Insurance for Dairy,” co-authored with Marin Bozic, Applied Economics, University of Minnesota.
Carl Zulauf was a presenter at the Farm Foundation Forum held on October 11th at the National Press Club in Washington DC. The forum focused on the future role of the federal government in agricultural risk management. A video tape will be available on the Farm Foundation website.