XiiguSTIST W
RCMA
‘The move by the Regional
Cooperative Marketing Agency
(RCMA) to institute premiums
starting September 1, 1987, on
Class 1 milk sold to milk handlers
in 11 Northeastern states already
has some handlers scurrying
around the countryside promising
higher prices to dairymen and
offering reasons why RCMA will
not work.”
This was the comment made
today by Ed Anna, RCMA Execu
tive Director. He pointed out that
the premiums being offered by
some handlers are “short run” and
are part of an effort “to divide
RCMA’s 27,000 organized dairy
farmers.” Some milk dealers, he
said, recognize the need for impro
ving dairy farmers’ income and
have agreed to pay the RCMA pre
mium which they believe will help
stabilize dairy markets.
“Dairymen should not be fooled
by the premiums offered by some
milk handlers,” said Anna. “These
temporary premiums may seem
like a lot of money now, but they
are, in fact, only pennies when
compared to the improved prices
that organized RCMA dairymen
can get through RCMA this com
ing Spring when farm milk prices
are predicted to drop sharply.”
RCMA is a cooperative estab
lished by dairy cooperatives and
independent dairymen for the pur
pose of unifying farmers’ efforts to
improve the price received for
milk at the farm. It is a bargaining
organization authorized under the
federal Capper-Volstead Act
“Supply and demand conditions
for milk here in the Northeast and
the overall decline in dairy farm
numbers have been major factors
behind the formation of RCMA,”
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Head Discusses Northeast Milk Markets
sais Anna. “Average per farm net
income has also declined.”
Anna explained that milk sup
plied in the Northeast are low due
to the federal government’s whole
herd buyout program, plus the
effects of financial hardships
experienced by the region’s dairy
farmers. Dairymen are also faced
with a further drop in prices due to
a $.25 dairy support price cut on
October 1 and aprobable $.50 cut
on January I, 1988. This could
result in an average loss of $.75 per
hundredweight of milk produced
in 1988 as compared to 1987.
RCMA premium pricing would
allow dairymen to avoid some of
this loss of income, not only in the
Fall months immediately ahead,
but during the Spring months next
year when premiums currently
being offered will disappear.
In order to get the pricing prog
ram started, RCMA announced on
July 10 a market value price above
the September minimum market
order Class 1 (fluid) milk price.
RCMA’s Board of Directors said
the action represented a move tow
ard pricing that more accurately
reflects the supply-demand condi
tions that now exist for milk.
“Dairymen must stick together
through RCMA and not be baited
into leaving the program because
of temporary handler premiums,”
said Anna. “RCMA pricing can
last longer and put many more dol
lars in dairymen’s milk checks
than handler premiums can. Dairy
men must refuse to permit their
milk to be picked up by a handler
who will not pay the RCMA mark
et value premium.
Approximately 95 percent of the
29,000 dairy farmers in the 11
Northeastern states are under con-
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PENNSYLVANIA FORAGE & GRASSLAND TRIALS
tract to RCMA, either individually
or through their cooperatives. The
contracts stipulate that the produc
ers will market their milk through
RCMA and will not deliver milk to
those handlers who refuse to pay
the RCMA premium. RCMA
agrees to move such milk to other
markets. The dairyman whose
milk is moved from its present
market will be paid in full for his
milk by RCMA. Some handlers
see the RCMA contract as a threat
to their ability to control their milk
Craig R. Morgan, Schuylkill
Conservation District Manager
and County Gypsy Moth Coordi
nator, announced today that the
Bureau of Forestry aerial and
ground checks revealed heavy
defoliation on 17 acres of land and
moderate defoliation on 363 acres
of land in Schuylkill County. The
defoliation occurred along the
Lebanon-Schuylkill County line
on the south side of the second
Mountain and midway between
the Lebanon-Schuylkill County
Line and Ravine along the second
Mountain. Heavy defoliation also
occurred in Dauphin County near
Tower City and the Mahantongo
Valley. Large numbers of egg
masses present in these areas could
result in defoliation in areas of
Western Schuylkill County
because of “Blown In” Gypsy
Moth Larvae in 1988. Also, there
is always the possibility of a “Hot
Spot” in the County Morgan said.
If anyone feels they have a large
number of new egg masses around
their home they should conduct the
following survey to determine the
Gypsy Moth population.
Gypsy Moth Update For
supplies and are attempting to dis
courage participation in RCMA.
The RCMA market value pre
mium is based on an analysis of all
key factors affecting the price of
milk and will always be estab
lished at a level that reasonably
reflects the true value of milk in the
marketplace, said Anna. It is esti
mated, he said, that announced
price increase would add only
about $l.BO per year to the milk
bill of the average consumer (base-
Count all of the new egg masses
in a circular plot within a radius of
18.64 feet approximately
(18’7/4 ”). Multiply the number of
egg masses counted by 40. This
gives you the approximate number
of egg masses/acre. In most cases
an average of 3 or 4 plots is
required to give the best estimate
of insect population. The guide
lines require a minimum of 250
(healthy) egg masses per acre to be
considered for spraying, among
other factors. Healthy egg masses
are medium (larger than a dime but
smaller than a quarter) or large
sized (larger than a quarter). Old
egg masses are soft and spongy to
the touch and may be discolored,
while new egg masses are hard or
firm when touched and are white
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(215) 388-6039
d on an increase of a cent-and-a
half per quart).
“Dairy fanners need this money
to pay for labor, management, sup
plies and other costs and to help
generate a fair profit on their sub
stantial farm investments,” said
Anna, “and the important thing is
that this RCMA money will go
directly to where it’s needed most
—back to the farm. The success or
failure of RCMA is now in the
hands of farmers ... they must
stick together to make it work.”
Schuylkill
or light colored.
Just because a landowner did
not experience gypsy moth prob
lems this past year does not mean
that the moth have not infested
their land with eggs which could
cause defoliation in 1988, Morgan
added. “So if you live near the
Western portion of Schuylkill
County I would advise you to con
duct the above survey to prevent an
out break in ‘88,” Morgan
concluded.
If anyone conducts the survey
and has an average above 250 egg
masses per acre they should call
Morgan at the Conservation Dis
trict office at 429-1744 by Septem
ber 15th to register for the prop
osed spray program for 1988.
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