Wisconsin bill proposes low-interest loans to support small dairy farmers

USA – A new bill, Senate Bill 323, is moving through the Wisconsin Legislature and seeks to provide low-interest loans to small dairy farmers to enhance efficiency and production amid rapid industry consolidation.

The bill, introduced in July 2025, proposes a US$20 million innovation program fund for purchasing new equipment and improving animal health practices.

The legislation, spearheaded by State Sen. Rob Stafsholt, aims to support small and medium-sized farms, which have seen a 67% decrease in numbers since 2002.

The bill allows these farms to access up to US$500,000 each through the state’s agricultural department.

However, larger farms, represented by groups such as the Wisconsin Farm Bureau and the Dairy Business Association, are lobbying for changes to remove the cap on animal units, which currently stands at 999 units, roughly equivalent to 700 dairy cattle.

These groups argue that excluding large farms from the funding could weaken rural economies.

However, maintaining the cap is seen as essential by some, like Darin Von Ruden of the Wisconsin Farmers Union, to ensure the funds benefit a wider range of farmers.

The bill also addresses the use of undocumented labour in the dairy industry, stipulating that only farms employing authorised workers may apply for the loans.

This provision has raised concerns among industry lobbyists due to the high reliance on undocumented labor, estimated to be nearly 70% of the workforce in Wisconsin’s dairy sector.

President Trump signs whole milk for Healthy Kids Act into law

Recently, President Donald Trump signed the Whole Milk for Healthy Kids Act of 2025 into law, enabling whole and 2% milk to be offered in schools as part of the National School Lunch Program (NSLP).

Allowing access to whole and 2% milk is one of the key focuses, a reversal of the previous Obama-era regulations that required milk to be fat-free (skimmed) or low-fat (1%).

Another notable aspect of the Act is the expansion of access to plant-based milk alternatives.

Schools will now be able to serve dairy-free milk alternatives that are ‘nutritionally equivalent’ to their dairy counterparts – previously, this was only allowed on the basis that a written medical or physician’s note was provided.

Schools must offer at least two different options of fluid milk at lunch daily and all options must be pasteurised, consistent with current regulations.

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