Milk Prices to Skyrocket if 'Fiscal Cliff' is Unresolved
As the federal government edges ever closer to the so called fiscal cliff and taxpayers become aware of the potential impacts associated with the crisis, here’s another consequence to consider. If Congress fails to pass a farm bill by year’s end, consumers could pay as much as much as $6 a gallon for milk.
The price hike represents a substantial increase, currently a gallon of milk is averaging $2.27 in Central New York.
Without a new farm bill, federal pricing policies revert back to the policies of 1949, that would cause milk prices much higher than they are now.
U-S Senator Chuck Schumer said Wednesday with milk at $40 per hundred pounds, farmers would receive about $3.45 per gallon of milk they sell. That could translate to about $6 for a gallon in the store.