USDA says it will purchase approximately 11 million pounds of excess cheese from private inventories to address the highest cheese surplus in 30 years. The surplus cheese will be distributed to food banks and pantries across the country.
The purchase, valued at $20 million, will be provided to families in need across the country through USDA nutrition assistance programs, while assisting the stalled marketplace for dairy producers whose revenues have dropped 35 percent over the past two years.
“We understand that the nation's dairy producers are experiencing challenges due to market conditions and that food banks continue to see strong demand for assistance,” says Tom Vilsack, USDA secretary. “This commodity purchase is part of a robust, comprehensive safety net that will help reduce a cheese surplus that is at a 30-year high while, at the same time, moving a high-protein food to the tables of those most in need. USDA will continue to look for ways within its authorities to tackle food insecurity and provide for added stability in the marketplace.”
USDA received requests from Congress, the National Farmers Union, the American Farm Bureau and the National Milk Producers Federation to make an immediate dairy purchase. Section 32 of the Agriculture Act of 1935 authorizes USDA to utilize fiscal year 2016 funds to purchase surplus food to benefit food banks and families in need through its nutrition assistance programs.