NMPF Executive Vice President of Communications & Industry Relations Alan Bjerga speaks on WEKZ Radio, Janesville, WI, about the resumption of USDA’s Federal Milk Marketing Order hearing in Carmel, IN, next week. The hearing, which was originally expected to last until mid-October, may now slip into 2024. Scheduling issues and unexpected confrontations are pushing back the timeline for the necessary modernization many farmers are hoping can take effect to help their operations thrive, Bjerga said.
Author: Alan Bjerga
NMPF Statement on Farm Bill Extension in Funding Law
From NMPF President & CEO Jim Mulhern:
ARLINGTON, VA – “We commend House and Senate Agriculture Committee Chairs Glenn Thompson and Debbie Stabenow, as well as Ranking Members David Scott and John Boozman, for their bipartisan work to finalize this farm bill extension as part of the congressional spending agreement President Biden signed today.
“Along with continuing critical programs for dairy farmers, the legislation allows the Dairy Margin Coverage program to continue operating without the uncertainty of a potential disruption. DMC is an important and effective safety net for dairy farmers nationwide. This legislation includes the 2019 production history update as part of the program, and we look forward to 2024 DMC sign-up in the coming weeks.
“With this bill passed, we stand ready to work closely with the House and Senate Agriculture Committees to deliver a strong, five-year farm bill as swiftly as possible.”
NMPF’s Doud Discusses Dairy’s Future
Incoming NMPF President & CEO Gregg Doud explains NMPF’s role in Washington policy formulation and dairy farmer priorities, including a new farm bill, Federal Milk Marketing Order modernization, integrity in plant-based labeling and dietary guidelines that maximize the benefits of dairy, in an interview with RFD-TV. He also emphasized the importance of international trade and global issues to U.S. dairy’s future. “We need to look five, 10 years ahead and see what this industry needs,” he said.
Lights, camera … Bjerga! Live from the Dairy Experience
NMPF Executive Vice President for Communications & Industry Relations Alan Bjerga takes viewers on a tour of the Dairy Experience at this week’s Joint Annual Meeting in Orlando, FL. From information booths to ice cream, this year’s event brought together a diverse dairy community, showing farmer unity and industry pride during a time of transition at NMPF.
NMPF’s Mulhern Reflects on Policy, Legacy
NMPF President & CEO Jim Mulhern, who is retiring at the end of this year after a decade at the helm of the organization, discusses dairy’s current policy challenges in an interview with RFD-TV. “A lot of this focus of the farm bill for us is in the bucket of either economic risk management issues, conservation issues, trade issues, and nutrition,” he said. “I would say the biggest challenge for the future is to lean in, to take on the challenges that we all see out there and look for workable solutions.”
Dairy is a staple in spite of inflation
By Allison Wilton, Coordinator, Economic Policy and Global Analysis, NMPF
U.S. dairy consumption has been steadily rising for years, reaching more than 11.5 million metric tons (milk solids equivalent) in 2022. This is up 15% from ten years ago. As one of the highest dairy consuming countries in the world, U.S. per capita consumption of cheese, yogurt, and butter has grown steadily for years. Recent food trends are bringing fun and innovative twists on common dairy products; as examples, butter boards went viral last year as a new “charcuterie” option, and health influencers are raving about the benefits of adding cottage cheese into recipes for higher protein and healthy fats. Ultimately, dairy demand remains resilient even when facing significant headwinds.Dairy’s resiliency is true on a global basis, too. On average, 13% of the global consumer’s protein came from dairy in 2022, a rise compared to 2021 and a significant leap over the past decade. In fact, global dairy protein consumption has grown by nearly 25% over the last decade.
Still, despite that resiliency, inflation and economic uncertainty have affected consumers and the dairy industry.
Inflation had mixed effects
In 2022, consumers started to really take notice of rising grocery and food costs. Prices for goods across all categories, not just dairy, were starting to climb more than usual due to several factors, including the ongoing COVID-19 pandemic and international supply chain disruptions. Inflation reached a peak in summer of 2022, and though it has eased slightly since, prices are still significantly higher compared to three years ago.
Source: NMPF-USDEC, IRI, NPD
Grocery and food items were some of the most prevalent and hardest hit areas by inflation, and dairy products were not immune. The price of dairy in food and beverage stores rose by more than 15% in 2022 compared to 2021, the highest jump in prices of all categories. The value of dairy sales grew significantly in 2022. Even so, and although this can partially be attributed to the higher prices, the growth in dairy sales (up 14.7%) outpaced that of non-dairy categories (8.3% greater).
Additionally, though all categories’ volume fell, the volume of dairy products sold fell less than that of non-dairy products. In other words: even though dairy had higher inflation rates, the slide in volume sold was less than the dip of other food and beverage categories. Shoppers were continuing to put dairy products in their cart despite the higher prices. That’s a testament to the dairy’s place as a dietary staple for many around the country and the world.
Dairy demand persists
Consumers prefer dairy products over plant-based alternatives: sales of cheese, frozen products, and other dairy goods dwarf plant-based imitations in stores. As even more alternatives fill shelves, dairy doesn’t lose shelf space. Rather, per capita consumption in several areas have grown, including cheese (up 17% from 2020), yogurt (up 5%), and butter (up 21%). The dairy aisle remains of top value when compared to other aisles within major food and beverage stores and is one of the fastest growing aisles in terms of sales dollars, topping $75 billion in 2022.
Cheese is expected to grow only more popular as time goes on, as is butter and yogurt. The U.S. dairy industry is poised to meet this demand as the industry advances in the coming years. As inflation wanes, consumers may return to trying higher value dairy products, of which there is no shortage. U.S. dairy will continue to be a major part of consumers’ diets and shopping carts.
This column originally appeared in Hoard’s Dairyman Intel on Nov. 9, 2023.
NMPF’s Bjerga on Perceptions of Dairy, Agriculture in Wartime
NMPF Executive Vice President Alan Bjerga discusses how agriculture and food thought leaders perceived dairy during his recent participation in the World Food Prize in Des Moines, IA, detailing some of the misconceptions found on dairy’s sustainability and role in food security. He also discusses the challenges farmers are facing in conflict zones, including recent attacks in Israel and the ongoing war in Ukraine, in an interview with WEKZ Radio.
NMPF’s Bjerga on Global Food Security and Dairy’s Role
Author of the book “Endless Appetites” and NMPF Executive Vice President for Communications and Industry Relations Alan Bjerga speaks on trends in global food security from the World Food Prize in Des Moines, IA, with RFD-TV. Bjerga also discusses how dairy and animal agriculture are an important part of food security solutions both through nutrition and job creating, pointing out how livestock farming can be done sustainably and noting dairy’s role in furthering that goal.
USDEC’s Harden discusses USDA Support for Trade
Krysta Harden, president and CEO of the U.S. Dairy Export Council, discusses the value of USDA support for U.S. agricultural exports in an interview with RFD-TV from the World Food Prize in Des Moines, IA. The department said Oct. 24 it plans to devote $2.3 billion from the Commodity Credit Corporation to promoting better market opportunities for U.S. agricultural producers and expanding food aid to support communities in need around the world, a move advocated for by NMPF and USDEC.
NMPF’s Jonker brings the IDF World Dairy Summit home
NMPF Chief Science Officer Jamie Jonker connects the themes of the World Dairy Summit, which concluded in Chicago on Thursday, to advancing the interests of U.S. dairy farmers. The summit, hosted by the United States for the first time since 1994, had attendees from 55 countries and activities from technical panels to farm tours.
USDEC’s (and DFA’s) Peterson discusses U.S. dairy leadership
U.S. Dairy Export Council Chairman and farmer-member of the Dairy Farmers of America cooperative Alex Peterson discusses how the International Dairy Federation World Dairy Summit has given dairy experts around the world insights into the success U.S. dairy farmers have had in nourishing consumers and leading in agricultural sustainability and efficiency. Peterson speaks with RFD-TV.
NMPF’s Vitaliano Says Dairy Farmers Strongly Behind FMMO Modernization
USDA’s Federal Milk Marketing Order hearing will continue following a recess through the Thanksgiving holiday. Peter Vitaliano, National Milk Producers Federation Vice President of Economic Policy & Market Research, says the hearing is making progress and that farmers are still solidly behind changes to the FMMO system. “The producer groups are together. That’s the key thing,” he said. “The producers are the ones who vote for federal orders.”
