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New
Jersey's dairy industry is an important segment of the agricultural
economy, supplying almost one-eighth of the fluid milk and dairy
products used by New Jerseyans. The industry includes dairy farmers,
animal breeders, dairy cooperatives, milk handlers, processors,
distributors and retail stores, all of which are served by this
division.
In
the months ahead, the state's approximately 140 commercial and six
institutional dairy farms will produce about 240 million pounds
of milk for which dairy farmers will receive over $36 million. New
Jersey consumers will purchase almost 2 billion pounds of fluid
milk and milk products with an estimated retail value of more than
$1 billion.
One
of NJDA's primary responsibilities is to maintain the stability
of this market. through enforcement of the New Jersey Milk Control
Laws and Regulations, including the licensing of approximately 250
milk dealers, 49 milk processing plants, and more than 10,000 retail
stores.
In
order to assess activities in the marketplace and to provide information
for program analysis, the division also collects, analyzes, and
disseminates information on prices received by dairy farmers, milk
production, milk sales, supermarket milk prices and other pertinent
market data.
Field
investigators conducted inspections of 2,400 retail outlets to insure
that they were licensed and adhering to the milk control laws and
regulations.
The
division maintains strong ties to the New Jersey Farm Bureau's Dairy
Committee, Rutgers Cooperative Extension at Cook College, and dairy
cooperatives operating in the region.
As
a result of the cooperation with Rutgers Cooperative Extension,
the Division has been able to provide assistance to the Garden State
Milk Quality Initiative. This program has provided participating
dairy farmers with help in reducing dairy herd infections and increasing
milk production. It also assists farmers in analyzing their financial
condition so that they can make better business decisions.
One
key to strengthening the economic situation of New Jersey's dairy
farmers could be state membership in the Northeast Interstate Dairy
Compact created by the 1996 Farm Bill. The compact minimizes the
volatility of the prices paid to dairy farmers creating a stabilized
price related to the price of production.
In
late 1997, Governor Christie Whitman signed legislation authorizing
New Jersey to become a member of the Northeast Dairy Compact. However,
entry into the compact was contingent on a state contiguous to an
original Compact state, in this case, New York, entering the organization,
and would then require Congressional approval. In the wake of New
York's recent state approval of membership in the Compact, New Jersey,
New York and other eastern states have requested the Congressional
approval needed to join the Compact as well. To date, Congress has
not approved the action.
Although
NJDA and New Jersey Farm Bureau continued efforts to bring about
the reauthorization and expansion of the Compact, Congressional
Consent expired on September 30, 2001. The expiration of Congressional
Consent renders only the interstate agreement without force but
does not terminate the state laws authorizing entry into the Compact.
Should Congress again consent to the compact, it will be back in
force.
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