Re-Launched NMPF “Farmer Focus” Tells Dairy’s Story from Those Who Know It Best

On the eve of its first-ever virtual annual meeting, the National Milk Producers Federation today re-launched its “Farmer Focus” series spotlighting the hard-working dairy farmers who nourish the world, telling their stories in their own words and highlighting the contributions dairy makes to the economy, the environment and rural communities. The first installment features Brian Hardy, a dairy farmer near Corinne, Utah whose dairy is a true family affair. It can be read here 

“My oldest son dairies with me, and I appreciate that relationship,” says Hardy, a member of the Dairy Farmers of America cooperative, in Farmer Focus. “Our kids are all close to us and have ties to agriculture in one way or the other. The dairy business has been great to us.” 

Farmer Focus is the flagship of NMPF’s “Sharing Our Story” initiative, which also includes its Dairy Defined thought-leadership series and CEO’s Corner, a monthly thought leadership column from NMPF President and CEO Jim Mulhern.  

NMPF’s annual meeting begins tomorrow and is free of charge to registrants. More information about the meeting — the largest dairy-farmer policy gathering in the U.S. — is hereRegistration information is here 

NMPF Applauds Additional Food-Box Funding

The National Milk Producers Federation applauded USDA for deciding to fund an additional $500 million for combination food boxes to be delivered through the end of the year.  The Farmers to Families Food Box program has delivered approximately $1 billion worth of dairy products to needy Americans since this spring.

“The Farmers to Families Food Box program has proven to be an effective benefit both for families needing assistance and for dairy farmers and processors providing high-quality products to those families via food boxes,” said Jim Mulhern, president and CEO of NMPF. “We hope the department will build upon its successes and lessons learned from this program as it considers further initiatives during the ongoing COVID-19 crisis and beyond.”

NMPF encourages vendors to maximize the amount of wholesome dairy products in the combination boxes to help the most vulnerable population in need for food assistance.

Dairy Defined: Dairy Votes Crucial to 2020 Elections

According to political forecasting website fivethirtyeight.com, Pennsylvania is currently rated as the most likely “tipping point” state in this year’s presidential election – the one most likely to put a presidential candidate past 270 electoral votes and into the White House in 2021. Wisconsin has also taken its turn at the top of the rankings of most-crucial states.

Other leading swing states include Michigan and Minnesota. These states have more in common than simply being politically competitive – central to deciding the White House in 2016 and top battlegrounds again. They’re also among the top U.S. dairy producers, putting dairy farmers at the center of an election that 69 percent of Americans consider the most important of their lifetimes.

Media articles have said that Wisconsin dairy farmers may hold the key to the White House, and dairy’s voting significance isn’t limited to the upper Midwest. Ohio, Florida, Arizona, Iowa, Texas — all of them are being actively targeted by campaigns, and each has a significant dairy presence. Much has been made of the importance of “the farm vote” in 2020. But through accident or historical design, the farmers who may have the most say in this year’s key campaigns are the ones milking cows.

Dairy States Important to 2020 Election

With so much attention focused on where they live, what should dairy farmers or industry allies do? It all comes down to basic civics and citizenship. People vote their conscience – but from a dairy perspective, here are a few thoughts that might be helpful when considering who to vote for, at all levels of federal races.

  • International trade is an important part of dairy, and will only be more so in the future.
  • Federal disaster assistance has been crucial to producers this year, and the need is ongoing, for all producers of all sizes.
  • Dairy labor demands continue to be acute and require solutions.
  • Fake-dairy labeling has been an easy issue to kick down the road. But doing so only makes the problem worse. It must be resolved.
  • All that said, a parochial approach to voting can lose the forest for the sake of a few trees. Just like everyone else, dairy is affected by the major conflicts of our society and the significant challenges that stand before our economy and our public health.

Voting in 2020 is as vital to dairy farmers as dairy products themselves are to a nutritious diet. To be better informed on dairy positions on important issues, visit the National Milk Producers Federation’s Policy Priorities pulldown on its home page, nmpf.org. NMPF also has a call-to-action page for people who wish to lend their voices to support dairy farmers and the broader industry.

Engagement is crucial, and dairy voices are especially important this year. Everyone has a part to play in making them heard. In the United States, the ballot remains the most effective expression of all. From now through Nov. 3: Choose wisely.

Registration Open for NMPF/NDB/UDIA Annual Meeting Oct. 27-28

Registration is open for the joint annual meeting of the National Milk Producers Federation (NMPF), the National Dairy Promotion and Research Board (NDB) and the United Dairy Industry Association (UDIA) that will be held virtually Oct. 27-28. The meeting is being offered at no cost, allowing dairy farmers and others nationwide to participate in the annual policy and promotion leadership gathering.
“This unusual year, for all of its volatility, also provides an unusual opportunity to involve more farmers in the flagship meeting of our organization,” said Jim Mulhern, president and CEO of NMPF. “We hope the farmers who own our member cooperatives join us in a meeting that will be like no other, showing the strength and collaborative spirit of the dairy community.”
“Farmers attending the 2020 meeting will have the opportunity to learn more about how their dairy checkoff organizations adapted plans to move milk and dairy during a truly unprecedented year, and how this learning will affect domestic and international marketing plans for 2021 and beyond,” said Tom Gallagher, CEO of Dairy Management Inc. (DMI), which manages the national checkoff program and is co-funded by NDB and UDIA.
The two-day sessions will start at 11 a.m. Eastern/8 a.m. Pacific and will last three hours. General session highlights include:

Tuesday, October 27

  • A dairy farmer leadership panel featuring NMPF Chairman Randy Mooney, Pennsylvania farmer and DMI Chair Marilyn Hershey and Texas farmer and U.S. Dairy Export Council (USDEC) Chairman Larry Hancock will focus on lessons learned during unprecedented times.
  • David Wasserman, House editor for The Cook Political Report, will offer a forecast ahead of the 2020 local, state and federal elections. Wasserman can address questions about specific House and Senate races, as well as the presidential campaign.
  • NMPF also will hold a moderated Town Hall discussion, featuring senior staffers offering updates and answering questions regarding key policy issues that affect dairy farmers and U.S. dairy.

Wednesday, October 28

  • A dairy executive panel will share promotion priorities and plans for 2021 and beyond, including how COVID-19 has uncovered and accelerated opportunities for U.S. dairy. Featured panelists include Gallagher and USDEC President and CEO Tom Vilsack.
  • Peter Sheahan, founder of Karrikins Group and a globally recognized thought leader, will share his thoughts on how companies develop and sustain a competitive edge. Sheahan’s books include the recent “Matter: Move Beyond the Competition, Create More Value and Become the Obvious Choice.”
  • A spotlight panel will share critical updates and context around the industry’s sustainability journey, featuring Innovation Center for U.S. Dairy, co-op, farmer and other experts who will share why this topic is more important than ever among consumers and customers and how U.S. dairy is positioning itself for today and in the future.
NMPF thanks the sponsors supporting the free meeting, including CoBank; Farm Credit; Boehringer-Ingelheim; Elanco; Phibro Animal Health; Nelson-Jameson; and Cornerstone.

USDA’s Dairy Margin Coverage Program Now Open for 2021 Enrollment

With the ongoing COVID-19 crisis teaching hard lessons on risk management throughout agriculture, and with dairy margins expected to be volatile over the next year, the National Milk Producers Federation (NMPF) urges farmers to sign up for maximum coverage in 2021 under the Dairy Margin Coverage (DMC) program.

DMC is designed to ensure that dairy farmers can protect themselves against financial catastrophe. Despite forecasts in late 2019 predicting that DMC was unlikely to generate payments in 2020, margins fell to their lowest levels in more than a decade in the first half of this year, triggering payments that kept many dairies afloat. The current USDA forecast indicates margins will drop below $9.50/cwt. in the first half of 2021. DMC coverage offers certainty in times of need, allowing for better financial planning and faster payment when necessary.

Enrollment for the 2021 DMC program year starts today and runs through Dec. 11. See below and visit USDA’s Farm Service Agency’s DMC page for more information.

 

ELIGIBILITY

All U.S. dairy operations are eligible for DMC. An operation can be run either by a single producer or multiple producers who commercially produce and market milk. Each producer on an operation must share the risk of producing milk and make contributions (including land, labor, management, equipment, or capital) to the dairy’s operation at least equal to the individual or entity’s share of the operation’s proceeds.

An eligible dairy operation must:

  • Have a production history determined by USDA’s Farm Service Agency (FSA).
  • Be registered to participate during a signup announced by FSA.
  • Pay a $100 administrative fee annually for each year of participation, except if the dairy operation qualifies for a waiver for limited resource, beginning, socially disadvantaged, or veteran farmers and ranchers.

A dairy operated by more than one producer still will be registered as a single operation. Producers who operate two or more dairies need to register each operation separately to cover that operation.

Eligible DMC participants are also eligible to participate in the Livestock Gross Margin for Dairy Producers Program and the Dairy Revenue Protection Program. Both are administered by the USDA Risk Management Agency.

 

COVERAGE LEVELS

Producers have multiple options for coverage each year. Basic catastrophic coverage of $4/cwt. is free, except for the $100 annual administrative fee. Farms can insure their first 5 million pounds of milk production history, designated as Tier I, in 50-cent increments from $4/cwt. up to $9.50/cwt.  Annual production above 5 million pounds falls into Tier II. Coverage options in Tier II range from $4/cwt. to $8/cwt. Producers must also select a coverage percentage of the dairy operation’s production history ranging from 5 percent to 95 percent, in 5-percent increments.

The following table provides the premium schedule.

 

HOW TO APPLY

FSA opens enrollment for DMC on Oct. 13 for calendar year 2021. The deadline to enroll for 2021 coverage is Dec. 11.

All dairy farmers who want 2021 coverage must visit their local USDA Service Center office to pay the annual administrative fee, which is $100 for all coverage levels. Producers must visit their local office even if they locked in coverage in 2019 for five years to take advantage of the 25% premium discount offered the first year of the program.

 

ADDITIONAL SUPPORT

USDA offers a variety of programs that have helped dairy farmers in addition to DMC, including insurance, disaster assistance, and conservation programs. Most recently, the first round of aid under the Coronavirus Food Assistance Program provided $1.75 billion in direct relief to dairy producers who faced price declines and additional marketing costs due to COVID-19 in early 2020. Signup is now underway for a second round of CFAP payments, offering further assistance for dairy producers and many other eligible producers. CFAP 2 applications are being accepted by FSA offices now through Dec. 11.

 

ADDITIONAL RESOURCES

For more information, visit the farmers.gov DMC webpage, or contact your local USDA Service Center. To locate your local FSA office, visit farmers.gov/service-center-locator.

Looking To 2021, All Dairy Farmers Should Sign Up for DMC, NMPF Says

With the ongoing COVID-19 crisis teaching hard lessons on risk management throughout agriculture, and with dairy margins expected to be volatile over the next year, the National Milk Producers Federation is urging farmers to sign up for maximum 2021 coverage under the U.S. Department of Agriculture’s Dairy Margin Coverage program. DMC signup begins today.

“The DMC emphatically proved its worth this year, as payouts rapidly reacted to unprecedented price plunges and protected farmers exactly when they most needed help,” said Jim Mulhern, president and CEO of NMPF. “Coronavirus-related volatility in dairy markets is expected to continue well into 2021, with DMC payments a possibility. That makes it essential that farmers include DMC coverage in the robust risk-management plans they will need to ensure financial stability.”

DMC, the main risk-protection tool for dairy farmers enacted in the 2018 Farm Bill, is designed to promote stable revenues and protect against financial catastrophe on some or all of a farmer’s milk. Despite forecasts in late 2019 predicting that DMC assistance wouldn’t be needed by farmers in 2020, margins instead fell to their lowest levels in more than a decade in the first half of this year, triggering payments that undoubtedly kept many participating dairies afloat. And unlike difficult-to-predict federal disaster assistance that’s provided via specific legislation or administrative action, DMC coverage offers certainty in times of need, allowing for better financial planning and faster payment when necessary.

DMC also offers:

  • Affordable higher coverage levels that permit all dairy producers to insure margins up to $9.50/cwt. on their Tier 1 (first five million pounds) production history. Recent margin trends in reference to that $9.50 threshold is included in the graphic below.
  • Affordable $5.00 coverage that offers meaningful catastrophic coverage for farms of all sizes.

NMPF has a resource page on its website with more information about the DMC.

Dairy Defined Podcast: Sustainability, in All Its Forms, Key to Dairy’s Future, Vold Says

On National Farmer’s Day, dairy farmer Suzanne Vold is highlighting dairy’s commitments to the environment and a net-zero future, noting that her colleagues are already effective stewards and are committed to doing more.

“We need to work with our partners in government. We need to work with partners in academia, dairy science departments, and agronomy departments and our colleges and universities. And we need to work with our cooperatives, the companies that process our milk into products to sell,” said Vold in the latest Dairy Defined podcast, released today. “But we have to start the work somewhere, and we have to start the work now.”

Vold, with her husband, brother-in-law and two part-time employees, runs Dorrich Dairy, a 400-cow, fourth-generation dairy farm in western Minnesota. In the podcast, she also discusses specific practices on her farm that save money and create potential revenues as well as improve water and soil health – as well as the importance of other initiatives important to dairy and agriculture, from the Dairy Margin Coverage program to rural broadband.

The full podcast is here. You can also find the podcast on Apple Podcasts, Spotify,  SoundCloud and Google Play. Broadcast outlets may use the MP3 file. Please attribute information to NMPF.

NMPF Supports USDA Efforts to Modernize Animal ID and Disease Traceability Requirements

The National Milk Producers Federation submitted comments supporting the United States Department of Agriculture’s Animal and Plant Health Inspection Service (APHIS) proposal on the Use of Radio Frequency Identification Tags as Official Identification in Cattle and Bison. APHIS has proposed to require the use of official 840-RFID tags for all dairy cattle involved in interstate commerce starting Jan. 1, 2023.

“We commend USDA-APHIS for taking this next step in moving animal identification forward, with the use of RFID tags for official animal identification for dairy cattle,” said Jim Mulhern, president and CEO of NMPF. “A national animal identification system can provide immediate access to relevant information in an animal disease or food safety crisis that could endanger the entire dairy chain, while protecting farmers’ privacy.”

The U.S. dairy industry has long advocated modernizing animal ID and disease traceability systems. Farmer organizations including NMPF, the American Jersey Cattle Association, Holstein Association USA, Inc., National Association of Animal Breeders, National Dairy Herd Information Association and Dairy Calf and Heifer Association formed a group called IDairy to collectively advance official mandatory animal identification to aid disease traceability.

IDairy in received a USDA-APHIS cooperative agreement on premise registration and animal ID education that propelled the use of RFID tags in the U.S. dairy industry. Since 2009, the National Dairy FARM Program: Farmers Assuring Responsible Management (FARM) Program has also recommend use of official 840-RFID tags for all dairy cattle.

Animal ID and disease traceability needs may be different for other livestock sectors, so NMPF encouraged APHIS to carefully consider comments from those other livestock industries when finalizing requirements and implementation timelines.

Dairy Defined: An Open Letter to FDA Commissioner Dr. Stephen Hahn

Dear Dr. Hahn –

Sorry to bother you at such a busy time, but we need to talk. We’re guessing that 2020 wasn’t what you expected, dealing with COVID vaccines and a host of other pressing concerns. It’s been crazy for us too. But faith and friends can help you through, no matter how big or small the troubles may be. We hope you’ve felt supported through these challenging times.

We’ve noticed that recently, FDA has been getting more active on topics beyond COVID-19, in some cases even revisiting issues that have lain dormant from previous decades in the spirit of completing unfinished business. That made us think it was time to remind you about something you promised you’d deal with back in November, before everything turned upside down. At your FDA confirmation hearing, Senator Tammy Baldwin asked you whether and when FDA under your leadership would soon start enforcing labeling standards that reserve dairy terms for real dairy products, not the plant-based imposters that are posing an increasing problem for public health. You said you supported “clear, transparent, and understandable labeling for the American people” and that you would “very much” look into it.

How is that going? Any way we could help? We understand that FDA has kicked fake dairy deception down the road for decades, but the problem is only growing, public-health experts are growing concerned, and it isn’t a heavy lift for the FDA to do what’s not only true to its mission but also what’s legally required. In fact, we have provided an entire road map proposal that offers a clear guide to resolution – one that is well-grounded in First Amendment law, would ensure that consumers know what products are and aren’t nutritionally, and even could allow plant-based “milks” to continue dairy terms in some instances, with proper qualifiers that have long been established in FDA regulations to clearly distinguish them from dairy.

We had been very hopeful, based on your pledge, that this would be the year this problem could finally be solved. Since it’s late in 2020 – and who knows what the next few months might be like? — we thought we should check in.

We’re cheering for you to take action. FDA commissioner is never an easy job, and 2020’s been a challenge for the ages. But since fake milk has long been crucially important to dairy farmers – in places like Wisconsin, in Michigan, in Pennsylvania, in Minnesota, and all across the United States – we thought this might be a good time to remind you of this promise.

We’re happy to chat further because this simple matter can be resolved soon, to the benefit of everyone. Well, maybe not marketers of dishonest products, but they’ve had their day. Say hi to everyone at FDA for us, there’s never enough bandwidth on Zoom to talk to everyone we’d like to. Good luck with the rest of the year!

With Regards,

The National Milk Producers Federation

CWT-Assisted Sales Contracts Top 78 million Pounds of Dairy-Product Exports

Cooperatives Working Together in September assisted member cooperatives in capturing 37 contracts to sell 1.7 million pounds of American-type cheeses, one million pounds of butter, 749,572 pounds of whole milk powder, and 875,235 pounds of cream cheese. The products will be going to customers in 11 countries in Asia, the Middle East, North Africa and Central and South America during the months of September 2020 through February 2021.

These contracts bring year’s total CWT-assisted product sales contracts to 78.1 million pounds. That includes of 26 million pounds of cheese, 8 million pounds of butter, 36.2 million pounds of whole milk powder, 2 million pounds of anhydrous milkfat, and 5.9 million pounds of cream cheese. These transactions will move the equivalent of 784 million pounds of milk on a milkfat basis overseas.

Assisting CWT member cooperatives gain and maintain world market share through the Export Assistance program, in the long-term expands the demand for U.S. dairy products and the U.S. farm milk that produces them. This, in turn, positively impacts all U.S. dairy farmers by strengthening and maintaining the value of dairy products that directly impact their milk price.

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

All cooperatives and dairy farmers are encouraged to add their support to this important program. Membership forms are available at http://www.cwt.coop/membership.

FARM Hosts Quick Conversations on Program Components

The FARM Program staff and industry experts will lead a series of quick, 30-minute conversations for producer audiences to learn more about FARM program components, expectations and resources. This series will be held weekly beginning on Wednesday, Nov. 4.

Feedback from the 20-farmer member FARM Farmer Advisory Council suggested that quick Q&As about the FARM program, no longer requiring a physical event, would be helpful to broaden awareness and answer frequently asked questions about the program.  Each conversation will be streamed live via Zoom and on the FARM program Facebook page. After the livestream, the recordings and supplementary materials will be stored on the FARM site here.

Participants will discuss four program areas of FARM, Animal Care, Antibiotic Stewardship, Environmental Stewardship and Workforce Development, as well as the farmer’s role within the program. Most importantly, this is a key opportunity for farmers to get their questions about FARM answered directly from staff. For more information, please contact the FARM team at dairyfarm@nmpf.org.

NMPF Stands for Common Cheese Names and U.S. Dairy Jobs

NMPF continues to lead opposition to unjustified European Union (EU) attempts to ban U.S. dairy producers from using common terms for cheeses and limit market opportunities for U.S. dairy manufacturers and exporters, with increased traction on Capitol Hill.

A bipartisan coalition from the House of Representatives will soon begin circulating a letter to the U.S. Trade Representative (USTR) and U.S. Department of Agriculture (USDA) supporting American-made food and wine exports labeled with commonly used terms. Reps. Jim Costa (D-CA), Jodey Arrington (R-TX), Angie Craig (D-MN), Dusty Johnson (R-SD), Ron Kind (D-WI) and Mike Gallagher (R-WI) are seeking signatures for their letter that urges USTR and USDA to advance a consistent trade policy that prioritizes securing specific market access assurances for products that use common food terms, traditional terms, or the names of legitimate plant and grape varietals in all trade-related discussions.

NMPF applauded a similar letter sent by 61 senators this summer.

The USTR also made explicit note of the EU’s anti-trade GI campaign in an op-ed in the Wall Street Journal in August, writing, “The EU uses its trade deals in many cases not to advance trade liberalization, but to force other countries to adopt thinly veiled protectionist measures like ‘geographic indications,’ which prohibit the use of common labeling terms for wine and food items produced outside the EU.”

More information on how the EU’s campaign would harm American farmers and processors alike can be found in a recent Hoard’s Dairyman op-ed written by Jaime Castaneda, NMPF Senior Vice President for Policy Strategy and International Trade.

NMPF has also worked with the U.S. Dairy Export Council and the Consortium for Common Food Names to develop a one-page fact sheet showing what’s at risk for U.S. dairy if the EU is left unchecked, making it clear that this is an issue to which everyone in dairy should pay attention to.