Dairy farmers paying more to produce milk

George Mueller at Willow Bend farms says grain is costing more and people just aren't buying milk like they used to. Those are some of the factors that are driving up their cost to buy milk. The price to produce milk per hundred pounds has gone up $1.30 since last August.However, the hope is that you, as customers won't be paying more. The report had some people concerned, but Mueller says this shouldn’t hit you too hard. You might notice small changes, a few pennies here or there but nothing too steep.Mueller says the North American Free Trade Agreement, or NAFTA, allows dairy farmers to sell their milk to places like Mexico and Canada. Exporting milk and milk products helps offsets the farmer's costs to keep the price leveled for us."If all of a sudden we lose exports our price will fall out, there will be no bottom,” Mueller said. “We're very nervous about the present administration talking about doing away with NAFTA or changing it.”