Dairy’s Future Bright, But Present Needs Matter

Dairy farmers and cooperatives got off to a great start to 2026 in January.

Our prominence in the new Dietary Guidelines for Americans will send a positive message about the value of nutritious dairy products for years to come and make it easier for consumers to have access to those products through federal food programs. Meanwhile, the president’s signature on the Whole Milk for Healthy Kids Act cements a legislative victory for the next generation of milk drinkers, allowing them to have in school what they already have at home and encouraging consumers to keep dairy central to American diets.

But great times for dairy do not necessarily mean great times for individual dairy farmers. Supply and demand that is out of alignment means lower prices, lower margins and hardship for producers now. As the nation’s leading advocate for dairy farmers, we have already started conversations on Capitol Hill and with the White House on what can be done to help farmers continue producing the milk that fuels the nation.

We are optimistic that dairy advocates in the federal government understand what farmers are facing, and that meaningful assistance can be achieved. But politics remains, as they say, the “art of the possible.” We’re focusing on what policies will truly benefit producers and will be achievable in the short term, without falling into the trap of calling for nostrums that could have unintended consequences for producers and commodity markets.

Here are a few approaches we are advocating:

  • Immediate, forceful support for whole milk in schools. We are incredibly encouraged by the administration’s embrace of whole milk in the Dietary Guidelines, which follows Congress’s unanimous support of the Whole Milk for Healthy Kids Act. Now, the challenge is to get into school meals. That means quickly implementing the rules needed to introduce whole and 2% milk to menus and offering funding that will help schools cover any additional expense needed to make these healthy products available.

While whole milk has always been about nutrition for the next generation of milk drinkers, it’s also important to note the immediate effects that greater support could bring: Because whole and 2% absorb butterfat, it will help alleviate some of the supply overhang that’s harming milk checks.

  • As it did during the COVID-19 pandemic and at other times of dairy-industry turmoil, we are asking USDA to consider targeted purchases of dairy products to distribute to communities that need them. This is not a heavy lift, considering that USDA purchases of dairy under Section 32 commodity programs have declined in recent years. Simply returning butter purchases to 2021 levels, and cheese and fluid milk to 2024, would significantly reduce surpluses and boost dairy income, helping balance supply with demand.
  • Bolstered support for federally supported risk management programs. Dairy farmers can help themselves by signing up for the DMC Program, which was improved in last year’s One Big Beautiful Bill Act. With updated production histories and a larger number of pounds covered, DMC is more attractive for farmers now than it was in the past; we encourage all dairy farmers to sign up for it (and potentially lock in a 25% discount on premiums) by the Feb. 26 deadline.

Still, DMC is just one part of the federally supported risk management system for dairy. Improving Dairy Revenue Protection (DRP) coverage with enhanced premium support is appropriate to consider under dairy’s current circumstances. Improvements to both DMC and DRP will ensure dairy producers of all sizes have adequate and affordable risk management tools.

  • Disaster assistance. NMPF appreciates USDA’s announcement of $1 billion in September through the Emergency Livestock Relief Program to help offset increased supplemental feed costs due to floods or wildfires in 2023 and 2024. We encourage USDA to continue moving as quickly as possible to get this funding delivered to producers and to be mindful of opportunities to assist as other disaster-related needs become available.

 

The ideas above are by no means the only ways to assist dairy in a challenging moment, but they’re clear, they’re tangible, and we believe they are achievable, working with the team at USDA and our advocates in Congress. They go hand in hand with the work we do every day for dairy farmers, from pushing for vigilance on H5N1 and New World screwworm to support efforts to open markets and promote U.S. dairy products overseas.

We are not looking for extreme government intervention, which is neither necessary nor likely. But we do know — as support for whole milk and dairy in legislation and the Dietary Guidelines shows — that our federal government appreciates dairy farmers, and that there are tools that can effectively support markets in times of need. We look forward to working across the public and private sectors for solutions that benefit dairy farmers and the cooperatives they own. It’s what we do, in good times, in bad times, and in times when good and bad are both happening, in different ways, at once.


Gregg Doud

President & CEO, NMPF

 

El Salvador and Guatemala Agreements Strengthen Protections for U.S. Dairy Exports

The National Milk Producers Federation, U.S. Dairy Export Council and Consortium for Common Food Names welcomed the United States’ signing of reciprocal trade agreements with El Salvador and Guatemala this week, underscoring the importance of reinforcing long-standing market access gains for U.S. dairy exporters and preventing the emergence of new trade barriers.

As outlined in the agreements, El Salvador and Guatemala have both committed to address and prevent barriers to U.S. agricultural products, including dairy. These obligations include recognition of U.S. regulatory oversight and acceptance of currently agreed certificates issued by U.S. regulatory authorities, a prohibition on introducing a facility registration requirement for U.S. dairy products, and streamlining of product registration requirements, which are critical elements for ensuring predictable and fair market access for all U.S. dairy exports.

The two countries have also committed to ensuring that market access for U.S. agricultural exporters will not be restricted due to the use of certain cheese and meat terms. These include 38 widely used dairy terms such as parmesan, gruyere, feta, and asiago, as well as 10 meat terms. This commitment provides important certainty for common name producers and exporters.

“Securing durable market access and setting clear expectations with trading partners is essential for U.S. agriculture,” said Krysta Harden, president and CEO of USDEC. “This agreement builds on the success of CAFTA-DR and we thank the administration for fighting for the right of U.S. dairy exporters to compete fairly in the Salvadoran and Guatemalan market.”

U.S. dairy exports already benefit from duty-free treatment in El Salvador and Guatemala as a result of the Central America–Dominican Republic Free Trade Agreement (CAFTA-DR). Tariffs on U.S. dairy products phased out entirely this past year, following direct advocacy from USDEC and NMPF over a decade ago to secure full market access under the agreement.

“For dairy farmers, these agreements help to keep doors open to U.S. products,” said Gregg Doud, president and CEO of NMPF. “By protecting hard-won access and preventing new barriers from taking hold, the agreements support demand for U.S. milk and dairy products and strengthen the economic outlook for farm families across the country.”

“As European authorities increasingly seek to confiscate common food names across Latin America, the agreements unequivocally protect 38 common cheese names and 10 generic meat terms and send a clear signal by preserving our producers’ right to label their products with terms that have been used for generations in El Salvador and Guatemala,” said Jaime Castaneda, executive director of CCFN.

NMPF, USDEC and CCFN will continue working closely with USTR and U.S. government partners to monitor implementation of the agreement and to ensure that El Salvador and Guatemala fully meet their commitments to maintaining open and predictable access for U.S. dairy products and common name foods and beverages.

Dairy Does Well in Dietary Guidelines

New Dietary Guidelines for Americans are encouraging to dairy in ways that are consistent with the latest science and consumer needs for high-quality, affordable nutrition, NMPF Director of Regulatory Affairs Miquela Hanselman said in a Dairy Defined Podcast.

“We turned out pretty well in the guidelines,” Hanselman said in the podcast released today. “We hit the three servings. Dairy is a distinct group. Full-fat dairy is recommended repeatedly throughout the guidelines, which everyone was very excited to see.”

Hanselman also outlines how these guidelines came to be, and what work remains to be done in the next edition of the twice-a-decade guidelines. To hear more Dairy Defined podcasts, you can find and subscribe to the podcast on Apple Podcasts, Spotify and Amazon Music under the podcast name “Dairy Defined.”


NMPF Statement on Signing of Whole Milk for Healthy Kids Act

From NMPF President & CEO Gregg Doud:

“Dairy farmers and their cooperatives couldn’t be more thrilled that whole and 2% milk is returning to school meals. Dairy is a nutrition powerhouse that should be used to its fullest potential — and that means making it available in the same varieties families consume at home. We are ready to help schools and USDA in any way we can as this important legislation is implemented, and we thank the Trump administration, our advocates on Capitol Hill, and everyone who has worked to make school meals better through increased access to dairy.”

Signup Underway for Improved DMC to Assist Dairy Farmers Facing Low Prices

The National Milk Producers Federation is pleased that Dairy Margin Coverage Program signup is under way, with key improvements aiding farmers as prices have fallen and DMC assistance becomes essential for some farms in 2026.

“An improved DMC Program couldn’t come a moment too soon,” Gregg Doud, President & CEO of NMPF, said. “We appreciate USDA’s efforts to quickly update the DMC program, and we urge dairy farmers who will benefit from the program to sign up as part of their risk-management plans.”

The DMC changes were part of the One Big Beautiful Bill Act passed last year that included multiple benefits for dairy, including making the Section 199A tax deduction and making more funds available for dairy farmers and their cooperatives to use for conservation programs.

DMC revisions published in the Federal Register include:

  • An opportunity to establish new production history based on the highest annual milk production level from any one of the 2021, 2022, or 2023 calendar years. Production history established between 2014-2025 will no longer be applicable for coverage.
  • USDA clarification on how new operations (i.e., those that began marketing milk after Jan. 1, 2023) will be able to establish production history.
  • Eligibility for operations to enroll their first 6 million pounds of production at the Tier 1 level, up from 5 million pounds, with all additional production covered under Tier 2. Premium rate fees under Tiers 1 and 2 are unchanged.
  • An opportunity for operations to make a one-time election of coverage level and coverage percentage, “locking in” those elections for a six-year period from January 2026-December 2031. Those who elect this option must participate in DMC at the same coverage levels for the six-year period and will receive a 25% premium discount for doing so.

Signup for the revised DMC runs now through Feb. 26. NMPF will keep its members apprised of key developments, with staff available to answer questions as necessary.

Why Dairy’s Moment Matters

Dairy’s moment is extending into 2026. In many ways, it’s strengthening.

Whole milk is coming back into schools — after being explicitly kept out of recent editions of the Dietary Guidelines for Americans, there it is, specifically included in the new inverted Food Pyramid.

Cheese, butter and yogurt are on the icon too, part of a federal emphasis on whole foods as dairy not only matches the moment, it matches the science, too.

Dairy farmers and their cooperatives are no doubt delighted. With apologies to the Wisconsin state license plate, which calls that state “America’s Dairyland,” perhaps we should say that everywhere, America is Dairyland. But victory dances aside, it’s important to remember why all this matters. For a refresher:

  • Dairy is a critical, affordable source of high-quality nutrition
    • Protein: It provides all essential amino acids, which are vital for muscle repair and growth.
    • Bone Health: It’s an excellent source of calcium, phosphorus, and vitamin D, which builds strong bones and prevents osteoporosis.
    • Immune Support: It’s a major source of vitamin D, zinc, and vitamin A, bolstering immune function.
    • Micronutrient Powerhouse: It includes potassium (for blood pressure), B vitamins (energy), magnesium (nerve function), and iodine (brain development), nutrients under-consumed by much of the U.S. population.
    • Cost-Effective: Dairy provides significant nutrients for a low cost per serving, making it a budget-friendly way to get essential vitamins and minerals.
    • Reduced Chronic Disease Risk: Dairy-rich diets are linked to lower risks of type 2 diabetes, heart disease, and hypertension.
  • Because accepting dairy at all fat levels and acknowledging its diversity encourages greater access to and consumption of that nutrition
    • Full-Fat Dairy Tastes Good: The richer and creamier taste of fuller-fat dairy appeals to more people, encouraging greater intake.
    • Nutritional Powerhouse: School programs can leverage dairy’s 13 essential nutrients to meet children’s needs.
    • The “Food Matrix” Advantage: The natural combination of fat, protein, and other components (the “food matrix”) in whole dairy might offer benefits beyond isolated nutrients, including better weight management and lowered diabetes risk.
    • Satiety & Weight: Full-fat dairy’s fat and protein content can increase fullness, potentially leading to fewer total calories consumed.
    • Product Diversity and Versatility: Dairy’s wide range of products, including milk, yogurt, cheese, cottage cheese, and lactose-free or low-lactose options, fits diverse dietary needs; offering it at all fat levels ensures more people consume dairy.
  • Because dairy supports rural communities and families nationwide
    • Jobs: The dairy industry supports millions of jobs, from farm labor and processing to transportation, boosting rural economies.
    • Sustaining Family Farms: 95% of U.S. dairy farms are family-owned, keeping wealth and decision-making within a community.
    • Fighting Food Insecurity: Dairy farmers and organizations partner with food banks to provide essential nutrients to vulnerable populations.
    • Local Engagement: Dairy farms and co-ops sponsor local events, support school programs, and contribute to local infrastructure, building strong community ties.

And all these benefits are only scratching the surface. U.S. dairy also feeds the world; U.S. dairy farmers are sustainability leaders; and (speaking of moments) birthday parties just go better with ice cream. The endorsements dairy has received at the highest levels of government in recent weeks strengthens all of this. And its recognition that’s come after years of leadership and effort throughout the dairy industry.

Moments are important. They don’t last forever: Rules will be written, and critics will find new lines of attack. All isn’t rosy in the world of dairy, where lower prices are making times challenging for farmers even as demand reaches new heights. But dairy is succeeding in many ways. It’s something to raise a glass to — we’ll leave it to you to guess what that glass should appropriately contain.

 

NMPF Statement on the 2025-2030 Dietary Guidelines for Americans

From NMPF President & CEO Gregg Doud:

“NMPF thanks HHS and USDA for recognizing dairy’s critical role in a healthy diet in the new Dietary Guidelines for Americans, as shown by its continued recommendation of three servings of dairy for Americans, its recognition of dairy’s benefits at all fat levels, and dairy’s prominence in diverse diets. We are proud to benefit American health in fundamental ways, and we welcome the potential these guidelines hold for expanding upon dairy’s critical role in the diet.

“As also shown in the scientific report that preceded today’s guidelines, reducing or eliminating dairy from the diet leads to undernourishment in key nutrients for millions of Americans. These guidelines encourage consumption of dairy nutrients critical to human health. Meanwhile, not all fats are created equal, and because the guidelines acknowledge this, dairy’s benefits are better reflected in this iteration of the guidelines.

“Now that the guidelines are out, the federal government will begin applying them across federal programs. We look forward to working with the entire nutrition community to ensure that dairy is best used to generate positive health outcomes for families across America.”

NMPF Welcomes Forsyth as Vice President of Government and Regulatory Affairs

Trey Forsyth, a native of Iowa agriculture with wide-ranging Washington experience, this week is joining NMPF as its new vice president of government and regulatory affairs.

In this role, Forsyth will oversee the development and execution of comprehensive legislative and regulatory strategies to advance NMPF’s goals for the dairy community at the national level.

Forsyth brings extensive experience in government affairs. In July 2025, he was named acting Deputy Under Secretary for Food Safety. In this role, Forsyth led the USDA Office of Food Safety, which oversees FSIS.

Prior to joining USDA, Forsyth served as a professional staff member for the Senate Committee on Agriculture, Nutrition and Forestry for Chairman John Boozman (R-AR). In this role, he handled livestock, poultry, dairy, animal health, food safety and tax portfolios. Additionally, Forsyth served as senior manager of federal and industry relations for Land O’Lakes, director of government affairs at the Torrey Advisory Group and policy advisor to the chief agriculture negotiator at the Office of the U.S. Trade Representative.

Forsyth holds a bachelor’s degree in agricultural business, public service and administration from Iowa State University and grew up on his family’s swine and row crop farm in northeast Iowa.

Merck, Meristem, NEDPA and C-Lock Join NMPF

Merck Animal Health, Meristem Crop Performance, Northeast Dairy Producers Association and C-Lock joined NMPF late last year as associate members.

Merck Animal Health offers veterinarians, farmers, producers, pet owners and governments one of the widest ranges of veterinary pharmaceuticals, vaccines and health management solutions and services as well as an extensive suite of connected technology that includes identification, traceability and monitoring products. Merck Animal Health is dedicated to preserving and improving the health, well-being and performance of animals and the people who care for them.

Meristem Crop Performance helps farmers produce more bushels for less cost per bushel. As the global leader in delivering live, in-field biologicals through the patented BIO-CAPSULE™ Technology platform, Meristem significantly reduces waste in crop input systems through improved supply chain efficiency and advanced concentrates. Meristem was founded in 2018 and is headquartered in Powell, OH.

Northeast Dairy Producers Association (NEDPA) has served as the voice, resource and network for New York’s family dairy farms for more than three decades. NEDPA is an organization of dairy producers and industry partners committed to an economically viable, consumer-conscious dairy industry dedicated to the care and well-being of its communities, its environment, its employees and its cows.

C-Lock Inc. provides solutions for measuring and improving livestock efficiency and sustainability worldwide through GreenFeed and SmartFeed technologies. GreenFeed delivers precise methane and carbon dioxide emissions data, helping researchers and producers across the globe make informed decisions on nutrition, genetics, and environmental impact. SmartFeed tracks feed intake and efficiency, offering valuable insights into animal performance and health. C-Lock also offers SmartScale and SmartWater systems that give dairy producers precise measurement tools and valuable insights for improved herd performance. C-Lock is headquartered in Rapid City, SD and was founded in 2005.

2025 NEXT-Assisted Export Sales Surpass 141.5 Million Pounds

NEXT member cooperatives secured 66 contracts in December, adding 24.2 million pounds of product to NEXT-assisted sales in 2025, capping off an impressive inaugural year. These products will go to customers in Asia, Oceania, North America, Middle East-North Africa, Central America, Sub-Saharan Africa and South America and will be shipped from December 2025 through May 2026.

NEXT-assisted 2025 dairy product sales totaled over 141.5 million pounds on product volume basis. Product destinations include Asia, Oceania, Central America, the Caribbean, North America, Europe, Middle East-North Africa, Oceania, Sub-Saharan Africa and South America.

Exporting dairy products is critical to the viability of dairy farmers and their cooperatives across the country. Whether or not a cooperative is actively engaged in exporting cheese, butter, anhydrous milkfat, cream cheese, or whole milk powder, moving products into world markets is essential. NEXT provides a means to move domestic dairy products to overseas markets by helping to overcome U.S. dairy’s trade disadvantages.

The amounts of dairy products reflect current contracts for delivery, not completed export volumes. NEXT will pay export assistance to the bidders only when export and delivery of the product is verified by the submission of the required documentation.

U.S. Secures Continued Tariff-Free Access to Colombian Market

NMPF efforts with the U.S. Dairy Export Council against a meritless Colombian investigation into milk power efforts paid off with a Dec. 30 Colombian government decision to terminate an ongoing case and not impose tariffs 

The Colombian Ministry of Commerce, Industry and Tourism decision to dismiss a Subsidies and Countervailing Measures investigation on milk powder imports from the United States due to lack of merit came after extensive U.S. government collaboration with NMPF, USDEC and their members in successfully rebut Colombia’s allegations.  

NMPF and USDEC coordinated a multi-faceted response to the case, which was launched in 2024. It alleged, without factual basis, that U.S. milk powders were unfairly subsidized and harmed Colombian dairy producers. NMPF and USDEC demonstrated that the Colombian government’s methodology was flawed, that assumed benefits to the U.S. dairy industry were miscalculated, and that no evidence of harm to Colombia’s domestic dairy sector could be substantiated. 

“The U.S. dairy industry secured hard-won access to the Colombian market more than a decade ago, and as of this year tariffs have now fully phased out,” said Gregg Doud, president and CEO of NMPF, in a statement after the decision. “Attempts to restrict U.S. access through bogus claims and misused trade tools set a dangerous precedent not only for dairy exports but for all U.S. trade. We commend the U.S. government and our members for working with us to coordinate a strong, credible defense and to send a clear message that efforts to evade trade agreement commitments will not be tolerated.” 

NMPF and USDEC Executive Vice President Jaime Castaneda testified on behalf of the U.S. dairy industry at an October 2024 hearing, clarifying how USDA programs work to refute the unfounded claims by Colombian producers. Colombia initially imposed preliminary countervailing duties of 4.86% on U.S. milk powder imports but chose not to extend them when the temporary measures expired in January 2025, following the sustained campaign coordinated by NMPF and USDEC.  

U.S. dairy exports to Colombia exceeded $128 million in 2024. Tariffs on U.S. dairy products were fully eliminated at the beginning of 2026 under the U.S.-Colombia Free Trade Agreement, which NMPF and USDEC worked with the U.S. government to secure in 2012.