Whole Milk x 5 = The Importance of Trade

Fact: Getting whole milk back in school meals this fall is a big deal.

Thanks to the Whole Milk for Healthy Kids Act and demand from parents across the country, the most popular variety of milk in the United States is back on lunch trays, benefiting the next generation of milk drinkers.

The return of whole and 2% varieties also will absorb a lot of U.S. butterfat, a boon for dairy producers who have struggled with a supply imbalance. A reasonable estimate of how much whole milk will be consumed by American schoolkids shows additional demand that would be equivalent to nearly 24 million pounds of milkfat — for perspective, that’s enough to make that’s almost 120 million sticks of butter — in additional market need. That boosts dairy demand and improves prices for farmers.

But amid the excitement of bringing whole and 2% milk to schools in the United States, another slower moving, but in some ways even bigger, story is worth a comparison, in part because it’s become so taken for granted that it doesn’t grab attention the same way as whole milk on a lunch plate: Just how much rising exports increasingly support dairy prosperity.

Back to those 120 million butter sticks. That’s the potential demand contribution from whole milk in schools. But in 2026, the amount of milkfat sent overseas rose by more than 160 million pounds from 2025. That’s about 800 million sticks of butter. And trade volumes keep growing, as the United States increases market share and rising global incomes increase demand for the high quality, nutritious, great tasting products that U.S. dairy farmers and their cooperatives supply.

So as summer vacation starts to wind down and kids look forward to better school nutrition this fall, remember there’s another good story beyond the classroom.

American milk producers advance by boosting demand at home, building a (literally) stronger future through a healthier population that relies on and appreciates dairy. But dairy’s future also lies in sales overseas, with an entire world of rising demand. Be thankful that American kids can get whole milk in schools. And also be thrilled that kids worldwide are benefiting just as much from all-American dairy.

U.S. Dairy Industry Supports Administration’s Dedication to Defending U.S. Dairy Market Access into Canada

The White House announced earlier today that it is taking action to impose 50% tariffs on dairy imports from Canada to defend the rights of U.S. dairy exporters. The administration indicated it is invoking Section 338 of the Tariff Act of 1930 to “…hold Canada accountable for its retaliation and discrimination…The National Milk Producers Federation and U.S. Dairy Export Council support the administration’s efforts to identify all possible avenues to drive Canada to make the necessary changes to its protectionist dairy trade practices.

“We appreciate the administration’s commitment to standing up for dairy farmers and manufacturers eager to make full use of the market access commitments Canada made under the U.S.-Mexico-Canada Agreement [USMCA],” Krysta Harden, president and CEO of USDEC, said. “For far too long, Canada has intentionally misused its tariff rate quota system to impede the full use of USMCA dairy quotas. It’s time for Canada to come to the table and resolve this and other USMCA dairy issues. We look forward to working with the administration to ensure that all the intended dairy benefits of USMCA are fully realized.”

“Today’s assertive action by the administration makes clear to Canada that their dairy trade practices will no longer be tolerated,” Gregg Doud, president and CEO of NMPF, said. “Canada simply cannot continue to discriminate against U.S. dairy farmers by effectively blocking negotiated access to its market. It is well past time for Canada to negotiate in good faith and tackle the outstanding USMCA dairy implementation issues to help drive a successful conclusion of the USMCA review.”

Under USMCA, Canada committed to providing important additional quantities of duty-free access for U.S. dairy product exports to its market through the creation of several tariff-rate quotas (TRQs). Regrettably, Canada’s decisions on how to administer those TRQs have resulted in persistent underfill, denying the U.S. dairy industry of the intended market access opportunities. Additionally, Canada has used loopholes to evade USMCA disciplines on dairy protein exports. Both topics are priorities NMPF and USDEC have urged the administration to resolve during the ongoing USMCA Review.

State Dairy Policy Leaders Push for Ag Labor Reform on Capitol Hill

Dairy advocates from across the country urged lawmakers to support agricultural labor reform on Capitol Hill today, concluding a National Milk Producers Federation summit for state dairy associations.

The two-day meeting brought more than three dozen advocates to Washington, with farmers and industry leaders sharing priorities and strategies on dairy issues ranging from truck weights and investment tax credits to agricultural labor reform legislation introduced by Agriculture Committee Chairman G.T. Thompson, R-PA, last month that would create a workable labor system for dairy farmers.

“Ag labor is one of the most important issues of any in agriculture right now,” said Doug Holland, a dairy farmer near Olin, NC and the president of the North Carolina Dairy Producers Association, who spent Wednesday meeting with lawmakers. Holland listed passing a farm bill and keeping all varieties of milk in school meals as other top priorities.

Dairy farmers and advocates participated in about 50 meetings with Hill staff and lawmakers today.

Thompson’s legislation, the Securing Agriculture’s Workforce Act, represents the most significant reform to the ag workforce seen in decades. For dairy farmers, the bill grants meaningful access to the H-2A program, the main agricultural labor visa, by removing the seasonal requirements of the program and allowing contracts up to 350 days of the year. The bill also streamlines the application process, addresses cost concerns and provides a targeted mechanism to help the current dairy workforce transition to a workable visa program, ensuring a smoother transition to H-2A.

The State Dairy Association Summit, part of NMPF’s expanded member service on state-level policy, began yesterday with discussions of state-level legislative and regulatory issues as well as updates on NMPF’s federal policy activities, featuring subject matter experts and industry leaders.

Dairy Farmers Advancing at the State Level

Even as regulatory and legislative challenges persist at all levels of state government, pro-dairy advocacy is making progress nationwide, two leaders in state dairy policies said in the latest Dairy Defined podcast.

“Some farms are struggling. I don’t want to diminish what those farms are going through,” Allyson Jones-Brimmer, executive director of the Northeast Dairy Producers Association, said.

“But overall, we have elected officials at every level that want to see dairy and agriculture as a whole succeed. Those leaders are making changes and investments in dairy, both at the state and federal level to help farms help set the industry up for success.”

Jones-Brimmer is in Washington this week with other state dairy organizations in NMPF’s annual State Dairy Association Summit. She was joined on the podcast Jim Boyle, owner-manager of his family’s dairy in Casa Grande, AZ and the leader of the Western States Dairy Producers Association.


FARM Program Kicks off Annual Excellence Awards

FARM is accepting nominations for its annual Excellence Awards, recognizing U.S. dairy industry achievements in adopting and improving on-farm practices.

Awards are divided into four categories: Animal Care & Antibiotic Stewardship, Environmental Stewardship, Workforce Development and FARM Evaluator of the Year.

Nominations are open until 11:59 p.m. PDT Aug. 3 via the online form. Nominations are accepted from fellow dairy farmers, members of their community, extension staff, cooperative or processor staff, veterinarians, themselves or others.

Nominated farms must have a current FARM Program evaluation in the relevant category and must be in good standing with the program. Evaluators nominated must be FARM Program certified in at least one program area as of June 1. Nominees must be willing to have their names and images used in promotional materials should they receive an award.

Visit the FARM Excellence Awards page for more details.

Don’t Miss Your Chance to Sponsor the 2026 NDB/NMPF/UDIA Joint Annual Meeting

The NDB/NMPF/UDIA Joint Annual Meeting is headed to Kissimmee, FL, Oct. 19–21, with sponsorship opportunities available ahead of registration opening later this month.

The Joint Annual Meeting is the premier gathering for dairy cooperative leaders, bringing together the National Dairy Board, the National Milk Producers Federation, and the United Dairy Industry Association for three days of promotion and policy discussions, industry updates, and high-level networking. It’s where decisions get made and relationships get built.

Sponsorship puts an organization front and center, offering a unique opportunity to showcase support for the dairy industry. 2026 sponsors include:

  • CoBank
  • U.S. Dairy Export Council
  • Foremost Farms USA
  • Ever.Ag
  • Merck Animal Health
  • StoneX
  • BMO
  • Monument Advocacy
  • Cornerstone Government Affairs
  • Boehringer-Ingelheim Animal Health

Sponsorship at the Joint Annual Meeting signals an organization’s commitment to the dairy community and positions it as a partner in its future. Available branded sponsorship opportunities include:

  • Welcome Reception
  • Keynote Speaker
  • Grab & Go Breakfast
  • Breakout Session
  • Wi-Fi
  • Coffee Station

Organizations interested in available sponsorship packages are encouraged to contact Casey Kinler at ckinler@nmpf.org.

June NEXT-Assisted Export Sales Surpass 34.6 Million Pounds

NEXT member cooperatives secured 74 contracts in June, adding 34.6 million pounds of product in NEXT-assisted sales in 2026. These products will go to customers in Asia, North America, Middle East-North Africa, Oceania, South America and Central America and will be shipped during the period running from last month through next February. 

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, 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 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. 

May DMC Margin Gains Eight Cents Over April

The May margin under USDA’s Margin Coverage Program was $10.62/cwt, $0.08/cwt higher than the month before and marking the third consecutive month this year for which the program generated no payment at any coverage level.

The higher margin was driven by a $0.50/cwt increase in the all-milk price from April, to $21.30/cwt, which was mostly offset by a rise of $0.42/cwt of milk in the May DMC feed cost formula, driven by increases equivalent in the formula to $0.18/cwt of milk in both the corn and the premium alfalfa prices and $0.06/cwt of milk in the soybean meal price.

At the end of June, the DMC Decision Tool on the USDA website projected no other DMC payments this year, other than a possible small one for August. The forecast continues to show a somewhat unusual two-peaked structure for the monthly DMC margins for the remaining seven months of the year, hitting peaks of $11.51/cwt in June, November and December, with an interim trough of $9.75/cwt in August, while averaging $10.25/cwt for the year.

Senate Farm Bill Proposal Advances Key NMPF Priorities

The Senate Agriculture Committee’s release June 23 of its farm bill proposal marks another important step toward securing a comprehensive, five-year law this year that delivers needed certainty for dairy farmers and their cooperatives.

The proposal includes several key dairy priorities strongly supported by NMPF, building on the strong foundation established by House passage of its farm bill earlier this year. The proposal:

  • Authorizes mandatory cost and yield surveys to better inform future Federal Milk Marketing Order updates
  • Extends the Dairy Indemnity Program and Dairy Promotion and Research Program
  • Makes permanent the Dairy Forward Pricing Program
  • Supports voluntary, producer-led conservation programs
  • Protects common cheese names in international markets
  • Strengthens dairy export promotion
  • Expands nutrition opportunities for dairy products
  • Clarifies that whole milk may be served in the school breakfast program
  • Increases support for dairy innovation, animal health and farm stress assistance.

The Boozman plan “will bring greater certainty to producers,” NMPF President & CEO Gregg Doud said in a statement. “Dairy farmers look forward to working with senators to get this legislation passed and into conference with the already passed House bill, where lawmakers can craft the best legislation possible.”

These provisions reflect NMPF’s sustained advocacy with lawmakers in both chambers and both parties to ensure dairy’s needs are addressed throughout the farm bill process.

The Senate Agriculture Committee is expected to formally consider the bill later this month.

NMPF Urges EPA to Advance Sterile Insect Technology

As New World Screwworm bears down on the United States, NMPF on June 25 submitted comments to the Environmental Protection Agency supporting the agency’s continued review and advancement of the NovoFly program.

In the comments, NMPF noted that it rests on solid science and the long-standing success of sterile insect technique in real-world use. It highlighted EPA’s own review findings indicating minimal risks and emphasized that this approach represents an improvement over traditional methods through more efficient male-only production, reduced unnecessary releases and stronger overall control of New World screwworm. EPA has also noted that SIT remains the only proven non-chemical tool for controlling New World screwworm and that this approach reduces reliance on conventional insecticides.

“NMPF supports EPA’s continued review of these active ingredients and the associated product under the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA), particularly given the importance of effective tools to prevent the establishment and spread of New World screwworm in the United States,” NMPF said in its comments.

These new comments supporting EPA’s findings follow earlier comments and an advocacy campaign led by NMPF in April to demonstrate broad dairy industry support for effective, environmentally responsible tools to protect U.S. livestock and agriculture from New World screwworm. EPA’s continued review of NovoFly and its active ingredients under the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) is a requirement to clear the way for field trials of the NovoFly in Panama.

USDA on April 17 started building its domestic sterile fly production facility in Edinberg, TX, with operations projected to begin late next year. The first detection of New World screwworm in the United States was announced by USDA June 3, with 32 cases found, of which 18 are active, as of July 6. Visit NMPF’s screwworm page for resources about New World screwworm or visit screwworm.gov for the current status of U.S. detections.

NMPF, FARM Develop Screwworm Resources as Cases Climb

As New World screwworm cases have multiplied in the United States, NMPF and the National Dairy FARM Program have kept members up-to-date on quickly changing developments.

Since USDA confirmed the first case in Texas on June 3, 32 total animal cases across two states have been confirmed domestically, though none yet in a dairy cow. With screwworm expected to maintain a U.S. presence for potentially years, FARM and NMPF are offering resources to help farmers adjust to the new reality, while NMPF has led advocacy efforts to support outbreak response.

NMPF and FARM’s dedicated resource webpage to help producers stay informed. The page outlines what to watch for, state directives on movement controls and guidelines on prevention and treatment.

Resources available include a link to the Approved Animal Drugs & Pesticides fact sheet, which contains information on conditional approval or emergency use FDA-authorized drugs for dairy cattle, and FARM Biosecurity Program guidance on the Premises ID process, recommended for producers who may be subject to screwworm related travel restrictions.