Supplemental Dairy Margin Coverage

Supplemental Dairy Margin Coverage (Supplemental DMC) is a program enhancement to Dairy Margin Coverage which allows small and mid-size dairy operations the opportunity to establish a supplemental production history in addition to an already established production history. By increasing the dairy operations production history through supplemental, will allow the dairy operation to cover a higher percentage of their milk production and marketing risks. DMC offers a protection plan which provides payments to dairy operations when the difference between the all-milk price and the average feed cost fall below a certain, producer selected, dollar amount. Producers will be eligible for a basic level of margin protection for a small administrative fee and be able to purchase higher coverage with a fee.