Dear Congressman:

The presence of dairy farms as well as the entire dairy industry contributes enormously to the survival of rural communities throughout New York State. The dairy industry supports countless businesses such as feed manufactures, farm equipment dealers, veterinarians, and food processors. Without stabilized Farm Milk prices, it will be very difficult to maintain the critical mass of dairy farms which are needed for the industry to survive in New York State.

As you know, dairy farming is vitally important to the life and economy of Oneida County. Milk sales generate $54 million annually; dairy farms directly employ 700 individuals and utilize 150,000 acres of cropland. Milk is an important export product of Oneida County bringing vital dollars into the local economy which has a very strong multiplier effect of 5 times. Our economy will suffer from a weakened dairy industry. Consequently, a strong dairy industry strengthens our entire local economy and economic rebirth and helps our rural communities to survive.

American agriculture is one of the lowest subsidized industries in world markets. While large Federal subsidies do exist for many U. S. commodities – grains and tobacco, the dairy industry has been largely left on its own. As an example using recently passed Farm Aid Bill dollars, a 1,000 acre crop (corn and soybean) farm in the Midwest will receive an estimated $40,000 in subsidies, while a similar size New York State farm supporting 70 head of dairy cows will receive $2,900 in subsidies. Dairy farms receive the least assistance yet are the hardest to farm. It is essential for New York State dairy farms to be members of the Northeast Interstate Dairy Compact. The New England Compact has demonstrated excellent results with no measurable detrimental effects on the consumer. Farmers producing milk in the compact area have been better able to survive and maintain a better standard of living than New York State farmers.

In early 1999, dairy farmers received the much needed support from the Federal Dairy Marketing Loss Assistance Program. This help is greatly appreciated and it has been a benefit to Oneida County dairy farm families. It appears that in the approved Farm Aid Bill that $125 million will be available for America’s dairy farmers. However, this is not sufficient to sustain our dairy farms.

I strongly support the concept of the dairy compacts, as they will serve to help our local Oneida County dairy farmers and rural communities to survive. I appreciate deeply your support to date, and I strongly urge you, as a congressional leader representing our community, to support all efforts to renew the Northeast Interstate Dairy Compact before the end of session.

Sincerely, 

Ralph J. Eannace, Jr.
Oneida County Executive

RJE/pzn