ALEXANDRIA, VA – The members of Cooperatives Working Together (CWT) today endorsed a larger investment in the farmer-funded self-help program, voting to enhance the membership requirement from 2¢ per hundredweight to 4¢ per hundredweight, effective July 1, 2013, and running through December 31, 2015.

The additional investment will cover the large increase in CWT member requests for export assistance in 2013, driven by increased demand in world dairy markets for U.S. American-type cheeses, butter, whole milk powder, and anhydrous milkfat.

“Because of increased activity in 2013, the members decided to enhance CWT’s revenue base in order to continue to successfully compete in world markets this year, and into the future,” said Jerry Kozak, President and CEO of the National Milk Producers Federation (NMPF), which manages CWT.

“As it starts its 11th the year of operation, CWT remains the best self-help tool for the nation’s dairy producers. Through today’s decision, the members of CWT are recognizing how important CWT remains in help our farmers build access to the fastest-growing markets for their milk, which are overseas,” said Kozak.

Since the start of 2011, the CWT Export Assistance program has helped member cooperatives   sell 257.7 million pounds of American-type cheeses and 111.5 million pounds of butter to 39 countries on six continents.

“With the export market growing at a rate five to eight times faster than the U.S. market, the vote by CWT’s member cooperatives today will ensure the U.S. is a consistent and competitive supplier of dairy products in the world’s growing dairy markets,” said Kozak.

 

The Cooperatives Working Together (CWT) Export Assistance program is funded by voluntary contributions from dairy cooperatives and individual dairy farmers. The money raised by their investment is being used to strengthen and stabilize the dairy farmers’ milk prices and margins. For more information about CWT, visit www.cwt.coop.

From Jerry Kozak, President and CEO, NMPF:

“We commend the Senate for deciding today to limit debate on its immigration reform measure, which demonstrates that they want to move forward and get a bill passed by July 4th. America’s farmers need action on the immigration issue. Thanks to the vote on cloture Tuesday, the chances are much better now that it will get resolved.

“National Milk Producers Federation (NMPF) has made fixing the broken immigration system one of its highest priorities during the past decade. Previous attempts at creating a comprehensive solution have failed. And although we are still weeks away from passing immigration reform in 2013, today’s vote sends a strong signals that a critical mass of the Senate also believes that immigration reform is key national priority.

“The Senate bill contains an entirely new visa program for dairy farm workers, one that NMPF has helped to shape. This new approach is better for employers, better for employees, better for law enforcement, better for the economy….it’s better for America.”

 

The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s 30 cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of more than 32,000 dairy producers on Capitol Hill and with government agencies.

Dairy Security Act Key Feature of New Measure

For the second time in a year, the Senate has approved a comprehensive farm bill containing the dairy policy reforms backed by the National Milk Producers Federation. The Senate passed the Agriculture Reform, Food and Jobs Act of 2013 by a vote of 66-27 Monday evening.

The measure contains the Dairy Security Act backed by NMPF and its farmer members, which creates a more effective safety net for dairy producers.

“On this strong bi-partisan vote, the Senate has again shown its determination to put politics aside, and work to implement new and better policies for America, including the country’s dairy farmers,” said Jerry Kozak, President and CEO of NMPF. “NMPF appreciates the determination of the leaders of the Senate, and in particular, the leaders of the Agriculture Committee, Sens. Stabenow and Cochran, for shepherding this historic legislation through the Senate.”

The bill is similar to the farm bill approved last June 21st by the Senate, especially where dairy policy is concerned. The Dairy Security Act in the measure establishes a voluntary margin insurance program, allowing farmers to better manage the twin risks of milk price and feed cost volatility. The measure also features a market stabilization program to improve the cost-effectiveness of the program, helping farmers and taxpayers alike. The bill’s dairy title eliminates the MILC, price support, and dairy export incentive programs.

Demonstrating the strong momentum behind the Dairy Security Act there was no effort to significantly alter the dairy title during Senate consideration of the bill, Kozak said.

“We are very pleased at the progress made during this vital step in the Farm Bill process, but we also know that much work lies ahead,” he added. “We encourage the House of Representatives to also support its Agriculture Committee-passed bill, and reject any dairy processor-backed amendment to undermine the bill’s effectiveness by removing the market stabilization program. Prompt action in the House is necessary so that farmers won’t spend the last half of this year like they spent 2012: expecting a harvest that never materializes.”

The House of Representatives is expected to begin floor consideration of its farm bill next week.

 

The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s 30 cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of more than 32,000 dairy producers on Capitol Hill and with government agencies.

From Jerry Kozak, President and CEO, NMPF:

“The nation’s dairy farmers thank Nevada Governor Brian Sandoval for vetoing a state bill that would have permitted raw milk to be distributed statewide, and in so doing, siding with health experts who recognize the potential danger to consumers of raw milk.

“Thursday’s announcement by Sandoval cited the ‘significant public health risks’ represented by consuming raw milk, resulting in his veto of Assembly Bill 209.

“Gambling with the health of one’s family shouldn’t be one of Nevada’s hallmarks, and we appreciate Gov. Sandoval heeding that message.

“While 20 states prohibit the sale of raw milk to consumers, several states have loosened, or have considered loosening, restrictions on the sale of unpasteurized dairy products in recent years – despite the number of illnesses that have continued to be linked to the product.

“We urge other states considering similar legislation to look to the exemplary leadership demonstrated by Sandoval.”

 

The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s 30 cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of more than 32,000 dairy producers on Capitol Hill and with government agencies.

From Jerry Kozak, President and CEO, NMPF:

The International Dairy Foods Association (IDFA) claims that “the current Farm Bill includes a new intrusive program that would significantly increase the cost of milk, yogurt, cheese, and other dairy products.” The truth is that this program would not increase the cost of any dairy product.

While IDFA picks a single month to assert that the Dairy Security Act (DSA) “would have raised milk prices by about 32 cents a gallon in September 2012,” the study shows that DSA, in fact, would have resulted in lower milk prices than the actual prices 37 out of 48 months and lower prices than the Goodlatte-Scott in 36 out of 48 months. IDFA bases its claim on a recent study of the impact of the DSA and the Goodlatte-Scott amendment, which shows that the DSA would have increased farm milk prices by an average of just one-half cent (0.5¢) per gallon during the period 2009-2012, while the Goodlatte-Scott amendment decreases farm milk prices by one and a half cents per gallon (1.5¢), compared with actual prices during that period.

The responsible conclusion from the facts discussed above is that the very temporary increases in the farm milk price that might occur under the DSA program would not result in any discernible change in the cost of milk and dairy products to consumers or to government food assistance programs that use milk.

IDFA is simply being deceptive in an attempt to alarm consumer groups about a dairy program that would benefit dairy farmers, but not affect consumers.

 

The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s 30 cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of more than 32,000 dairy producers on Capitol Hill and with government agencies.

From Jerry Kozak, President and CEO, NMPF:

“The Senate deserves the sincere thanks of dairy farmers nationwide for its overwhelming majority vote today to end debate on the 2013 Farm Bill. The decision to invoke cloture clears the way for approval of a much-needed reform of the federal dairy program when the Senate votes on final passage of the Farm Bill expected early next week.

“Dairy farmers have been waiting two years for Congress to approve the new dairy program. Thanks to today’s vote, they can look forward to the end of price supports and other Depression-era programs and the launch of a new plan that will insure them against losses when profit margins shrink to dangerous levels. This fight is not over, but a brighter future is in sight.”

 

The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s 30 cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of more than 32,000 dairy producers on Capitol Hill and with government agencies.

From Jerry Kozak, President and CEO, NMPF:

The National Milk Producers Federation (NMPF) said today that a House Judiciary Committee vote requiring the Farm Bill’s dairy reform program to go through regular government rulemaking was a reasonable compromise to get the reform program approved.

“This is the latest attempt at compromise by Congressman Goodlatte on a program that has been approved twice by the House Agriculture Committee and that dairy farmers overwhelmingly support,” said NMPF President and CEO Jerry Kozak.

“It’s time to end the divisiveness and approve reform of the federal dairy program,” Kozak added. “For that reason, we see today’s vote, which appears to accept that the Dairy Security Act  (DSA) will become law, as a good compromise.”

Judiciary Committee Chairman Bob Goodlatte (R-VA) tried unsuccessfully to modify the DSA in the Agriculture Committee both this year and in 2012. That amendment would have eliminated the program’s market stabilization provisions, which give farmers the option of temporarily scaling back their milk production or contributing a portion of their milk check to purchase dairy products to feed the needy in order to bring supplies more in line with demand.

“Having lost in the Agriculture Committee, Chairman Goodlatte brought up a new amendment in the committee he chairs,” said Kozak. It calls for interim federal rules for the market stabilization aspects of the DSA nine months after enactment and final regulations in 21 months.

“While this is not the approach we chose, we see it as acceptable,” said Kozak. “The important thing is to get dairy reform enacted for the nation’s milk producers. If it requires this amendment to do that, we can live with that.”

 

The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s 30 cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of more than 32,000 dairy producers on Capitol Hill and with government agencies.

From Jerry Kozak, President and CEO, NMPF:

“Milk producers need the 2013 Farm Bill enacted as soon as possible. For that reason, the National Milk Producers Federation (NMPF) today joined 22 dairy organizations, along with more than 100 other farm and commodity groups around the country, in asking the Senate to cut off debate and pass the long-overdue bill on Monday.

“Farmers have now been waiting two years to know the details of the federal dairy safety net. They need this information to make business decisions. Along with the rest of American agriculture, milk producers nationwide urge the Senate—in the strongest possible terms—to vote for cloture on the farm bill Thursday.”

 

The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s 30 cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of more than 32,000 dairy producers on Capitol Hill and with government agencies.

ARLINGTON, VA – In celebration of June Dairy Month, efforts by the National Milk Producers Federation (NMPF) to revitalize the REAL® Seal are taking a big leap forward this month. A new campaign is being launched that allows consumers to learn more about the benefits of real, American-made dairy products and foods made with them, using a new Facebook page, blogger outreach, and digital advertising.

The REAL® Seal Facebook page (www.facebook.com/REALSealDairy) creates a new voice and visual feel to engage target audiences, especially moms and heads of households, encouraging them to buy dairy products and foods containing dairy products. The page’s content includes interactive updates, multimedia presentations, contests, polls, and quizzes. One of the elements of the launch later in the month will be a “Name the Character” contest for a new, animated REAL® Seal cartoon character (in the photo). It can be viewed on the REAL® Seal website www.realseal.com.

Reaching out to bloggers writing about the mom/parenting, food/cooking, health/wellness, and lifestyle topic areas will generate online conversation and awareness surrounding the REAL® Seal campaign and lead consumers to official REAL® Seal web pages. In July, a special Buyer’s Guide section will be added to the REAL® Seal website, where consumers will be able to go to find dairy products and foods made with dairy products that are using the REAL® Seal, as well as restaurants that serve only REAL® dairy products. REAL® Seal users will have the option of providing links to their company’s website as well.

“The advent of social media has changed how brands relate to consumers,” said Jim Mulhern, Chief Operating Officer of NMPF, which has leased the REAL® Seal from the United Dairy Industry Association and is spearheading the revitalization. “Today, there is a much is a greater expectation for transparency and engagement across the consumer packaged goods chain. The REAL® Seal allows dairy companies to define themselves amid a sea of imitators, and the new seal will also enable companies to utilize it as a country of origin label, which itself connotes important values.”

Mulhern said that the marketing environment has changed dramatically in the 30 years since the REAL® Seal became a national icon, and that NMPF’s efforts to work with dairy processors to use the Seal must harness new tools to reach consumers. The challenge will be to use social media and other digital outreach efforts to remind older consumers of what the Seal means, and to educate a new generation to look for the REAL® Seal on packages.

“The marketplace has become crowded by products packaged to look like dairy products, depicted as dairy products, even using the common names of dairy products, but that aren’t real dairy,” Mulhern said. “Foods made from grains, vegetables, plants and nuts and have usurped dairy designations like milk, cheese, yogurt, ice cream, and the use of the REAL® Seal can help us reclaim some of dairy’s traditional portfolio.”

Currently the REAL® Seal is being used primarily on dairy products and pizza, said Jim Mulhern, Chief Operating Officer of NMPF. “By stacking messages like ‘Made With, ‘We Only Use’ and ‘American Made’ above the iconic REAL® Seal symbol and dairy product descriptors like cheese, butter, dairy ingredients, we believe its use can be extended to a host of products made with real dairy products sold here and in export markets,” Mulhern said.

 

The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s 30 cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of more than 32,000 dairy producers on Capitol Hill and with government agencies.

Cooperatives Working Together (CWT) received 71 requests in May for assistance from member cooperatives: 56 for cheese exports and 15 for butter exports. A total of 30 bids ultimately were accepted by CWT, totaling 8.2 million pounds of cheddar, Gouda, and Monterey Jack cheeses.

Through the first five months of 2013, CWT has assisted member cooperatives in selling 59.2 million pounds of cheese, 51.7 million pounds of butter, 44,092 pounds of anhydrous milk fat, and 218,258 pounds of whole milk powder to 31 countries on six continents. This was 14.9% more cheese exports, and 22.8% more butter exports, than were transacted during the same five month period in 2012.

The 2013 CWT sales are the equivalent of 1.675 billion pounds of milk on a milkfat basis, which is the annual production of nearly 80,000 cows and more than USDA’s projected increase in milk marketings for all of 2013.

NMPF testified last month in support of the Trans-Atlantic Trade and Investment Partnership (TTIP) at the Trade Policy Staff Committee’s hearing on the proposed agreement between the U.S. and the European Union.

In his testimony, NMPF’s Jaime Castaneda said that “a comprehensive trade agreement will remove the many tariff and nontariff barriers that hinder U.S. dairy market access.” He added that “we firmly believe that TTIP offers a genuine opportunity to expand U.S. dairy exports and chip away at the sizable dairy trade deficit currently in place.”

NMPF believes that this is a golden opportunity for U.S. dairy exports and looks forward to working with U.S. government officials to reach a comprehensive and acceptable agreement for the dairy industry.

The NMPF Board of Directors (BOD) will convene for its summer meeting next Tuesday and Wednesday, June 11 and 12, at the Westin Alexandria in Alexandria, VA.

The board will receive updates on Dairy Security Act and Farm Bill negotiations, immigration reform, and other policy issues. Aside from the board meeting, other important events will include a CWT Committee Meeting, the NMPF Officers Meeting, and the NMPF Scholarship Committee Meeting.

NMPF’s Young Cooperators (YCs) will also be in town to attend meetings of their own and visit their representatives on Capitol Hill. NMPF’s annual Capitol Hill Reception will take place the evening of June 11 and will give NMPF members the opportunity to meet prominent figures in Congress and governmental agencies.

Watch for Board meeting highlights in NMPF’s next newsletter. For more information about the YCs, please visit NMPF’s YC webpage.