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NMPF Applauds House Agriculture Committee for Advancing Farm Bill with Dairy Wins

Posted on by Rachel Ravencraft

The National Milk Producers Federation today thanked members of the House Agriculture Committee for advancing a farm bill in Congress, noting the bipartisan approval of a plan introduced by Chairman Glenn “GT” Thompson, R-PA, that contains provisions important to dairy farmers and their cooperatives. 

“We applaud Chairman Thompson and members of the House Agriculture Committee for advancing the 2026 House Farm Bill, which includes key provisions that support and strengthen the dairy industry,” said Gregg Doud, president and CEO of NMPF. “We stand ready to work with members of both the House and Senate on a bipartisan basis to pass a farm bill this year that will provide critical support for dairy farmers and their cooperatives.” 

Key dairy provisions that NMPF advocated for include: 

  • Authorizing long-term dairy product processing cost surveys; 
  • Extending the Dairy Forward Pricing Program, the Dairy Indemnity Program, and the Dairy Promotion and Research Program; 
  • Supporting voluntary, producer-led conservation programs, such as the Environmental Quality Incentives Program (EQIP), with a continued designation of conservation funds for livestock producers and a directive for states to prioritize methane-reducing practices; 
  • Establishing a long-term policy directive for the U.S. government to proactively negotiate protections for common cheese names like “parmesan” and “feta,” as championed by NMPF; 
  • Moving Food for Peace program administration to USDA and continuing $200 million in annual funding for Ready-to-Use Therapeutic Foods that incorporate milk powder to treat chronic malnutrition globally; 
  • Reassigning export promotion funding initially passed last year into existing farm bill programs, including the Market Access Program; 
  • Expanding economic opportunities for farmers to partner with local food distribution organizations to provide fresh, locally grown foods, including milk and other dairy products, to eligible community institutions; 
  • Including full-fat fluid milk, hard cheeses, and yogurt in the Dairy Nutrition Incentive Program;  
  • Expanding the REAP Program to include farmer-owned cooperatives with less than 2,500 employees;  
  • Reauthorizing the Farm and Ranch Stress Assistance Network; and 
  • Continuing the ROPS Rebate Program under USDA, establishing cost-share grants for retrofitting agricultural tractors with rollover protection structures. 

NMPF Staff Outreach Runs from Phoenix to Peru

Posted on by Rachel Ravencraft

The new year has seen NMPF staff sharing expertise and supporting the industry domestically and abroad.

Vice President of Economic Policy and Market Analysis Stephen Cain gave a protein-focused economic outlook Feb. 10 at the Farm Journal Top Producers meeting in Nashville. Senior Vice President of Global Economic Affairs Will Loux presented to the Board of Directors of Lone Star Milk Producers Feb. 18 in Dallas, followed by a Feb. 24 presentation to the Dairy Management Inc. Board in Phoenix.

The FARM Program partnered with Saputo and the University of Wisconsin-Madison’s Dairyland Initiative for the inaugural USA Dairy Welfare Roundtable, a collaborative discussion of dairy farmers and animal welfare scientists Jan. 21-22 in Madison, WI.

The roundtable focused on prevalent topics within the animal welfare sector, such as lameness, social housing and calf care. Discussion amongst the group helped frame what’s in store for the industry, using a SWOT analysis approach to identify key issues and potential ways to navigate those challenges.

In trade policy, NMPF’s team of Executive vice presidents Shawna Morris and Jaime Castaneda, and Senior Director Tony Rice, along with Senior Director of Regulatory Affairs Miquela Hanselman, spent the week of Feb. 24 in Lima, Peru at the Latin America Nutrition Congress hosted by the U.S. Dairy Export Council.

And NMPF Executive Vice President Alan Bjerga spoke to dairy farmers Jan. 28 at the Colorado Farm Show in Greeley, focusing on recent policy wins and efforts to support farmers during a time of low milk prices.

Organizations interested in having NMPF staff take part in their events should contact Casey Kinler, ckinler@nmpf.org.

FDA Finalizes Cottage Cheese Exemption

Posted on by Rachel Ravencraft

After nearly a decade of back-and-forth, FDA announced Feb. 19 that Grade “A” cottage cheese is getting an exemption from FDA’s Food Traceability Rule.

This exemption from the added traceability requirements tied to foods on the Food Traceability List will reduce the record-keeping burden on Grade “A” cottage cheese manufacturers who are already meeting the highest standards set by the Grade “A” Pasteurized Milk Ordinance and regulated by the National Conference on Interstate Milk Shipments.

NMPF supported the passage of the Food Safety Modernization Act in 2011 and agrees that food traceability measures and adequate record keeping are important to food safety. However, since Congress passed FSMA, NMPF has disagreed with the FDA’s approach to determining the list of “high-risk foods” as defined in Section 204 of the law.

Despite NMPF’s many objections, FDA passed a final rule in November 2022 in which all cheeses other than hard cheeses are considered high-risk foods. FDA’s risk-ranking model under this rule places “pasteurized cheese, other than hard” as the highest risk level of all foods in the marketplace — even above cheese made from raw milk. The final rule set a compliance date of January 20, 2026, for all manufacturers to meet the rule requirements, but efforts by NMPF and other industry organizations led FDA to extend the compliance date for the rule by 30 months to July 20, 2028. This extension creates more opportunities for NMPF to push for changes. The Grade “A” cottage cheese exemption from the Food Traceability List announced this month was one change for which NMPF, in conjunction with the International Dairy Foods Association, pushed very hard. The Food Traceability List originally included cottage cheese because it falls into the category of “Cheese (made from pasteurized milk), fresh soft or soft unripened.”

FDA ultimately agreed with the case NMPF made in September 2024 comments that the oversight already in place from the PMO and its built-in safeguards make extra traceability steps unnecessary. This common-sense outcome reduces burden while keeping strong food safety protections.

New Trade Deals Include Key Dairy Priorities

Posted on by Rachel Ravencraft

Following significant engagement from NMPF and the U.S. Dairy Export Council, the United States signed new trade agreements in February with Indonesia, Taiwan, Argentina and Bangladesh that strengthen export opportunities for America’s dairy farmers. These deals secure reliable market access and remove long-standing non-tariff barriers that have limited sales of U.S. dairy products abroad.

The Indonesia, Taiwan and Bangladesh agreements would end tariffs on all U.S. dairy exports, remove and forestall burdensome facility listing requirements, as well as commit trading partners to protecting over three dozen common cheese names like “parmesan” from European monopolization.

The three markets imported $3.6 billion in total dairy products last year, with just 9% coming from the United States. Removing trade barriers will improve U.S. suppliers’ competitiveness in key Asian markets where dairy consumption is growing quickly.

The Indonesia agreement also builds on NMPF’s strong relationship with the Indonesian dairy industry and government, including a memorandum of understanding (MOU) signed last May with the Indonesian Chamber of Commerce and Industry (KADIN) to expand dairy trade and strengthen commercial ties. NMPF and USDEC also forged an MOU with the Dairy Association of Taiwan last September that combines efforts in growing domestic dairy consumption and support a school-milk initiative.

The Argentina agreement comes at a critical moment, as the South America country moves toward implementing the EU-Mercosur trade agreement that would grant EU suppliers greater market access and potentially hand them exclusive use rights for certain common name cheeses. In the U.S.-Argentina deal, NMPF worked to secure increased market access for several key dairy products, commitments to protect generic terms and measures to preempt more nontariff barriers to trade.

As cleared advisors to U.S. trade negotiators, NMPF and USDEC emphasized the importance of securing durable access to these growing markets, helping ensure that U.S. dairy farmers can compete on a level playing field as the European Union continues to pursue aggressive trade agreements worldwide.

NMPF and USDEC have worked with the administration to ensure new opportunities for U.S. dairy exports are included in all nine of the reciprocal trade agreements signed to date and will continue working closely with USTR and U.S. government partners to ensure full implementation. Implementation timing is uncertain. NMPF will work to ensure that Indonesia, Taiwan, Argentina and Bangladesh fully meet their commitments, supporting open, predictable, and growing export markets for U.S. dairy producers.

DMC Generates $1.69/cwt Payment in January

Posted on by Rachel Ravencraft

The Dairy Margin Coverage Program margin for January was $7.81/cwt, generating a payment of $1.69/cwt for coverage at the maximum $9.50/cwt level.  

The low margin was driven by a $1.50/cwt drop in the all-milk price from December and a rise of $0.11/cwt in the January DMC feed cost formula, primarily due to a higher cost of premium alfalfa hay. 

At the beginning of March, the DMC Decision Tool on the USDA website projected a similarly low margin in February, followed by a margin rebound to well above $10.00/cwt for the remainder of 2026, with an average of $10.57/cwt for the year. 

February NEXT-Assisted Export Sales Surpass 54 Million Pounds

Posted on by Rachel Ravencraft

NEXT member cooperatives secured 246 contracts in February, adding 54.3 million pounds of product in NEXT-assisted sales in 2026. These products will go to customers in Asia, Europe, North America, Oceania, Middle East-North Africa, Eurasia, South America, Central America, the Caribbean and Sub-Saharan Africa and will be shipped from February through July. 

NEXT is a critical tool for participating U.S. dairy cooperatives to grow export sales, which have become increasingly important for dairy farmers and their cooperatives nationwide. Whether or not a cooperative is actively engaged in exporting, moving products into international markets is essential to generate dairy demand. For more information on the NEXT Program, contact the team at NEXT@nmpf.org. 

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

NMPF Advocates for a Stronger, Better USMCA

Posted on by Rachel Ravencraft

NMPF significantly escalated its public engagement ahead of this summer’s U.S.-Mexico-Canada Agreement Review, with an NMPF cooperative farmer testifying before Congress and the head of its trade team speaking on behalf of a new coalition NMPF launched to help strengthen the agreement.

Ted Vander Schaaf, an Idaho dairy farmer and board member of both the Northwest Dairy Association/Darigold and the Idaho Dairymen’s Association, an NMPF associate member, testified at a Feb. 12 Senate Finance Committee hearing on the importance of USMCA for the dairy community and the targeted improvements that must be addressed.

Vander Schaaf emphasized that USMCA is vital for providing open and predictable market access, particularly to Mexico, while also highlighting areas where the agreement has fallen short. He emphasized the glaring shortcoming of Canada’s continued manipulation of its dairy tariff-rate quotas and its circumvention of USMCA dairy protein export disciplines to shortchange U.S. dairy exporters. He also noted Mexico’s delay in fully implementing its commitments to protect common cheese names and explained its importance to dairy producers and processors.

NMPF also played a leading role in the Feb. 5 launch of the Agricultural Coalition for USMCA, an industry-wide effort to support renewing and strengthening the agreement. The coalition will work with congress and the Administration to ensure USMCA’s shortcomings are rectified before renewal.

“USMCA is an extremely strong agreement, but it’s not perfect,” said NMPF Executive Vice President Shawna Morris at the coalition’s launch press conference. “The USMCA review offers an unmissable opportunity to make targeted enhancements so the agreement can live up to its full intended potential.”

USDA Dairy Purchases Match NMPF Request

Posted on by Rachel Ravencraft

USDA took steps to boost low milk prices and expand dairy consumption through $148 million in Section 32 purchases announced Feb. 19, pledging to buy a balanced, effectively targeted mix of dairy products, including the first major butter purchases in five years, in keeping with NMPF efforts that dated to November.

“Dairy farmers have shared in the struggles faced throughout the agricultural economy, and these purchases will provide important relief to producers who will benefit from the additional demand, helping them provide nutritious dairy products to Americans and the world,” NMPF President and CEO Gregg Doud said in a statement.

The USDA purchase plan includes:

  • $75 million of butter;
  • $32.5 million in cheddar cheese;
  • $20.5 million in fresh fluid milk;
  • $10 million of Swiss cheese; and
  • $10 million in Ultra-High Temperature (shelf-stable) milk.

The purchases match the amount requested by NMPF in a letter sent to USDA last November, which was followed by extensive conversations and further official communication with USDA and compare favorably with other recent USDA purchases intended to boost the farm economy, which include $80 million for specialty crops and $100 million for seafood.

USDA Section 32 purchases, authorized by the Agricultural Adjustment Act of 1935, allow USDA to buy surplus, domestically produced agricultural products to stabilize farm products and provide food to federal nutrition assistance programs.

Under the program, USDA’s Agricultural Marketing Service notifies industry and stakeholders of new opportunities by issuing Purchase Program Announcements throughout the year. Now that the announcement has been made, USDA is inviting offers from approved USDA vendors and awarding purchase contracts. For more information, visit USDA here.

Trade Progress Poised to Reel in Revenue

Posted on by Rachel Ravencraft

In the turbulent tides of overseas commerce over the past year, U.S. negotiators landed a trophy bass in February: a trade agreement with Indonesia that we’ve been trying to hook for decades. It’s a big fish for dairy.

Following years of advocacy by NMPF and our partners at the U.S. Dairy Export Council and the Consortium for Common Food Names, the deal announced Feb. 19 will eliminate tariffs on all U.S. dairy exports, ease regulatory snarls and protect common cheese names like “parmesan.” Indonesia is already the eighth-biggest market for our dairy products — but it’s the world’s fourth most-populous nation, giving its growth potential for U.S. producers nowhere to go but up.

The Indonesia deal was the ninth trade deal secured to date by U.S. negotiators that includes new market access for U.S. dairy products. It’s a good one, but far from the only gain. Some other highlights of these pending agreements include:

  • Elimination of 100% of tariffs on U.S. dairy products in most deals and notable tariff cuts in others, helping to provide competitive parity to suppliers from Oceania or the EU. A great example of this is the level playing field we now have for extended shelf-life milk into Taiwan.
  • Bans on the introduction of dairy facility listing requirements in all these markets; in Indonesia this wipes away a process that could take over three years for a processing plant to navigate before it gained approval to ship.
  • Commitments in each deal to protect U.S. exporters’ use of up to 40 common cheese names like “parmesan,” a result that’s particularly important as the European Union’s Free Trade Agreement network expands, threatening to limit U.S. growth opportunities to market cheeses with widely recognized terms.

This successful expedition would not have been possible without a world-class captain. Chief Agricultural Negotiator Julie Callahan was instrumental in securing these trade deals that will bring real results back to U.S. farmers. NMPF thanks her and the USTR team, all of whom we have had the honor of working with closely, for the substantial efforts made to bring these agreements home.

And even though a recent Supreme Court ruling on tariffs added even more uncertainty to trade policy, the progress made so far also underscores an important fact about dairy’s future: Trade continues to grow, and the foundations for future growth are only getting stronger, as bilateral negotiations continue and the dairy industry continues patiently building markets.

2025 was one of the strongest trade years ever for dairy products. Volume growth for U.S. dairy exports rose 4% over 2024 as measured in milk solids equivalent, ending up second only to 2022 in all-time shipments. Measured in value, U.S. dairy exports rose 15% over 2024 to $9.63 billion, just short of the 2022 record of $9.66 billion.

The star performer of the year? Cheese. Shipments in 2025 rose 20% over the previous year, which also set a record. New domestic processing capacity helped, as did growing familiarity with the quality and taste of American-made products. Just as impressive, the record sales were spread across the globe, lessening the risk that over-reliance on any single market could create risk in the future: In 2025, 39 countries bought more than 1,000 metric tons of U.S. cheese.

Butterfat and high-protein whey also saw banner years, showing the broad-based nature of sales growth. While conflicts between the U.S. and trading partners are throwing exports into doubt in some areas, in dairy, we’re not seeing widespread effects. In fact, it’s the opposite: U. S. dairy is highly competitive in the global marketplace, and we’re building stable, collaborative, relationships that we are confident will stand the test of time and contribute to long-term prosperity for U.S. dairy farmers.

We have a lot of folks to be thankful for on this journey, from our USDEC and CCFN colleagues to the cooperatives who provide high quality products and invaluable expertise. But looking ahead, we need to capitalize. At NMPF, a big part of our trade support comes from our NEXT (NMPF Exports & Trade) program, launched in the second half of last year.

NEXT helps create export opportunities for U.S. dairy producers in international markets, by overcoming trade barriers and keeping domestic dairy products competitively priced overseas. The 142 million pounds of export volume it assisted in its half-year nearly matched the full-year 2024 volumes under the prior Cooperatives Working Together program, which NEXT succeeded.

The program continues to test innovative ways to grow dairy’s market share through new initiatives, including expanding its product mix and providing targeted, additional support beyond primary assistance in key markets — places where the U.S. is at a tariff disadvantage or the U.S. has the ability to gain market share. Cooperatives interested in joining NEXT, or wanting to know more about the program, should contact next@nmpf.org.

Improved trade access coming soon in numerous markets through bilateral agreements, a full year of NEXT, and the continued collaboration of dairy partners builds great momentum for 2026 in U.S. dairy shipments overseas.

Keep that in mind as you read about tariffs, tariff limitations, tariff alternatives, and trade tensions. Though the waters may not be calm, a skillful angler can still net an impressive haul. And thus far, we in dairy have been casting very effectively, and reeling in a brighter future for U.S. dairy products.

Gregg Doud

President & CEO, NMPF

 

Real Milk Extends its Comeback

Posted on by Rachel Ravencraft

In the long run, reality wins.

In the decades-old saga of Real Milk vs. The Plant-based Imposters, Team Real had another good year in 2025. While retail sales of fluid milk stayed steady, sales of imitators made from almonds, oats and other items fell 6 percent to 358.4 million gallons last year, according to Circana data of retail sales. Since its peak in 2021, plant-based sales have declined by nearly one-fifth; last year’s drop of 6 percent was the steepest of all four.

As a result, for the fourth straight year, good-old-fashioned fluid milk’s market share rose compared to plant-based beverages, holding 90.7 percent of the combined dairy-and-alternative-beverage market in 2025. That’s the fourth straight annual increase in milk’s market share, and it’s up from 89.4 percent in 2021.

Slowly, but surely, consumers are choosing the better value — in nutrition, in price, and in trustworthiness. In a rational world, real milk and plant-based beverages wouldn’t even be in the same category — their nutritional profiles are radically different, and their ingredients bear no similarity. Decades of plant-based marketing as dairy alternatives have made their mark; but despite that, dairy remains dominant. That’s a tribute to milk’s irreplaceable nutritional package — and to consumers who dig past the hype and make the choices that best fit their nutritional needs.

Not that plant-based beverages are ever going away — far from it. Going back to the data: Even though beverages made from almonds, which is 63 percent of the plant-based market, fell by 8.6 percent last year, and soy fell 8.3 percent, oat-based beverages rose 1.8 percent, as it’s become a solid-though-distant second place to almonds.

People have their reasons to choose ultra-processed beverages of inferior nutritional value. But the decline of plant-based beverages fits within several trends of the 2020s, from the embrace of real food to renewed appreciation of dairy’s nutritional benefits, especially at fuller-fat levels, to consumers who are more critical of what they consume.

Confusion remains in the marketplace over the inferior nutrition of plant-based versus true dairy beverages; that’s shown by surveys and studies. Enforcing federal standards of identity that define milk as an animal product and reserving dairy terms on labels only for true dairy beverages would further these positive marketplace trends. Nutrition science has spoken, and consumer behavior is changing too. Slowly but surely, milk’s integrity is carrying the day, and real dairy is winning. Often, it just takes time.

NMPF’s Forsyth on DMC Signup Deadline

Posted on by Jessi-Ryah Cordova

The signup deadline for the Dairy Margin Coverage Program ends on Thursday, Feb. 26. Trey Forsyth, the vice president of government and regulatory affairs for NMPF, said the DMC has been improved by multiple changes. This program has generated significant return on investment for producers of all sizes.