Possible Milk Price Hike Concerns Local Businesses

By: Frankie Jupiter Email
By: Frankie Jupiter Email

December 31, 2012

According to CBS News, Congress has come to an agreement concerning the "Dairy Cliff."

Leaders of both parties announced Sunday they have reached a deal to extend the 2008 Farm Bill for at least one more year. Without that deal, Agriculture Secretary Tom Vilsack says Americans could have been forced to pay as much as $7.00 for a gallon of milk.

December 30, 2012

If both political parties fail to reach an agreement to extend a current farm law, it could more than double the price of milk.

Kim Malone is a manager at Chaps Ice Cream on The Downtown Mall. She says the shops Java Hut could not stay open with a hike in milk prices.

"That eight dollars, we'll probably end up closing the java hut, we probably wouldn't be able to afford to stay open," Malone.

The coffee stand is a big money maker for the shop. "Everybody wants chocolate milk, hot coffee and mocha and cappuccinos and lattes but something got give," said Malone.

The final vote on the expired 2008 farm bill, would stop milk prices from doubling. Local businesses say they worry they would have to pay higher prices to vendors.

"We'll have to go up as far as prices, we don't want to," said Malone. There's nothing that we can really do about it."

Malone hopes for a final decision in the last hours.

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