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U.S. and Indonesia Sign Landmark Dairy Agreement to Boost Nutrition, Trade and Industry Collaboration

Posted on by Theresa Sweeney

The U.S. Dairy Export Council (USDEC), National Milk Producers Federation (NMPF) and KADIN, the Indonesian Chamber of Commerce, signed a memorandum of understanding (MOU) today in a milestone step to deepen cooperation between U.S. and Indonesian dairy industries.

The MOU outlines a framework for collaboration to support enhanced dairy trade, strengthen commercial cooperation and bolster public nutrition through promoting greater consumption of dairy products, particularly in public programs. Key areas of collaboration include the greater integration of dairy into Indonesia’s Free Nutritious Meals program, regulatory procedures including on dairy facility registration, data sharing on market trends, information exchange on best practices and technical expertise areas regarding dairy production, and joint public communication efforts to raise awareness of the benefits of dairy nutrition. The agreement also emphasizes support for school milk programs as a catalyst for child health and educational success.

“This agreement marks an exciting next chapter in U.S.–Indonesia cooperation on trade and dairy,” said Krysta Harden, USDEC president and CEO. “It builds on strong momentum from the U.S.-Indonesia Dairy Partnership Program that USDEC launched in January with U.S. and Indonesian partners in the agriculture and university sectors. It also charts a pathway for U.S. dairy suppliers to more fully complement local Indonesian milk supplies in meeting the country’s evolving nutritional needs during a critical time for U.S.-Indonesia trade relations.”

With its focus on areas of mutual collaboration and support for U.S. dairy exports to Indonesia, this agreement complements ongoing trade negotiations between Indonesia and the United States regarding fostering more reciprocal trade flows.

“The United States and Indonesia share a mission of promoting dairy as a valuable source of nutrition,” said Gregg Doud, NMPF president and CEO. “The agreement signed today commits our industries to join efforts to grow the Indonesian market and support producers in both countries.”

The MOU builds on a deepening relationship between the U.S. and Indonesian dairy industries, initially prompted by Harden’s participation as the featured industry guest on a 2023 National Association of State Department of Agriculture trade mission to Indonesia. Indonesia is the seventh -largest export market for U.S. dairy products, purchasing $245 million in 2024. With Indonesian President Prabowo’s launch of a new national school meals program that includes school milk, dairy demand in Indonesia is poised to expand significantly.

Over the past year, USDEC has led the creation of the U.S.-Indonesia Dairy Partnership Program, which held its first farmer education and training session in January in Indonesia. In collaboration with the New Mexico and Wisconsin Agriculture Departments, New Mexico State University, and Indonesian university and dairy company partners, the project is focused on the dissemination of technical educational materials designed to empower small-scale dairy producers in Indonesia to improve the quality and quantity of milk they produce. As those practices are adopted, U.S. dairy supplies play a vital complementary role to meet Indonesia’s growing dairy needs.

USTR Calls Out Misuse of Geographical Indications as Major Trade Barrier

Posted on by Rachel Ravencraft

The Consortium for Common Food Names (CCFN), National Milk Producers Federation (NMPF) and U.S. Dairy Export Council (USDEC) said they appreciated the U.S. Trade Representative’s (USTR) decision to spotlight protection of common food names in the agency’s 2025 Special 301 Report released today.

The annual report outlines major global intellectual property concerns. It highlighted the European Union’s persistent campaign to monopolize common names—such as “parmesan” and “feta”— through protectionist geographical indication (GI) policies. These efforts restrict the use of widely recognized food and beverage terms to only specific European producers and effectively cut U.S. producers out of certain key markets.

“The European Union’s approach to geographical indications is entirely unacceptable. It intentionally crowds out fair competition by restricting market access for U.S. and international producers,” said Jaime Castaneda, executive director of CCFN. “Too many trading partners have been coerced into imposing trade barriers for products using common food and beverage names. We appreciate USTR’s ongoing recognition of this issue but  urge the U.S. government to stop trading partners to succumbing to European pressures and imposing trade barriers on U.S. products.”

“Europe’s misuse of geographical indications is nothing more than a trade barrier dressed up as intellectual property protection,” said Krysta Harden, president and CEO of USDEC. “It not only unfairly strips American producers of the right to use common, widely understood terms, but significantly handcuffs commercial export opportunities. We welcome USTR’s focus on this issue and appreciate the administration’s dedication to protecting U.S. market access rights.”

“Last year, the United States imported nearly $3 billion more in dairy products from the European Union than we exported to Europe. Europe’s abuse of the GI system is a significant reason for that deficit,” said Gregg Doud, president and CEO of NMPF. “EU GI schemes create a two-tiered system that benefits European producers and stamps out competition. We appreciate that USTR is addressing this unfair practice and look forward to continuing to work together to level the playing field for U.S. dairy producers.”

CCFN submitted comments to the agency in January, which broke down the many markets where U.S. dairy producers’ common name rights are being threatened. NMPF and USDEC filed supporting comments noting the urgency for action to address this pressing trade barrier. CCFN Senior Director Shawna Morris built on those comments at a Feb. 19 USTR hearing, where she underlined how the EU misuses geographical indications and why it’s imperative for the U.S. government to match the EU’s efforts on common names.

NMPF’s Jonker, Hain See Bird Flu Lessons One Year Later

Posted on by Rachel Ravencraft

Dairy farmers have boosted biosecurity and researchers have learned much about the H5N1 bird flu virus in dairy cattle one year after its introduction, top NMPF experts said in a Dairy Defined podcast. Still, the hope is that the virus may leave the dairy herd completely. 

“We’re still learning things about the virus and how it’s being transmitted from farm to farm, and we still need some answers on that, but hang in there, we’re going to get through this,” said Dr. Jamie Jonker, NMPF’s chief science officer. “I do believe we’re going to eliminate the virus from the U.S. dairy cattle population. I think it’s just a matter of when, not if.” 

Since the H5N1 Avian Influenza virus was first reported in cattle in March 2024, more than 1,000 dairy herds have been infected, Jonker said. Still, successful eradication has taken place in some areas, and the lack of evolution of the viruses within cattle has created hope. Dr. Meggan Hain, NMPF’s chief veterinary officer, said biosecurity practices are key to containment and elimination. The National Dairy FARM (Farmers Assuring Responsible Management) Program offers a wealth of materials that can assist, she said.  

Bird flu has “given us a chance to really learn some of the lessons of, where do we have opportunities, where are there things that we’ll want to sort of dig into so that we’re better prepared in the future if we do get challenges,” she said. “I think there’s a lot of things we can take away from this that we can really make improvements on.” 

To learn more about biosecurity responses in dairy, visit the FARM Program website at nationaldairyfarm.com. For more of the Dairy Defined podcast, visit Apple Podcasts, Spotify, or Amazon Music and search under the podcast name “Dairy Defined”. 

NMPF Reaffirms Milk Safety After FDA Program Suspension

Posted on by Rachel Ravencraft

The National Milk Producers Federation today reaffirmed the safety of milk, citing the numerous safeguards and rigorous testing procedures still in place after FDA announced a temporary suspension of one testing program, which the agency confirmed played a minor role in its overall food safety protocols. 

“The milk proficiency testing program is a periodic review of the testing capacities of laboratories in FDA’s network, and is not used to directly test milk or other dairy products,” an FDA spokesperson said, referring to its Grade “A” milk proficiency testing (PT) program in a statement shared with NMPF. “The temporary suspension to the Proficiency Testing program does not impact routine testing of milk destined for pasteurization, or milk and dairy testing in illness investigations. The FDA continues to have confidence in the safety of the commercial, pasteurized milk supply.” 

NMPF would like to be clear: The U.S. milk supply is safe. All routine quality and safety checks on farms, during milk transport, and at processing plants are being conducted as they always have been, in coordination with both state and federal partners.

NMPF has full confidence in the state, federal, and industry partnerships that work together to implement the Pasteurized Milk Ordinance, which has kept the U.S. milk supply safe for more than 100 years.  

NMPF’s Saffran Explains Importance of FARM Program Sustainability Tools

Posted on by Chris Galen

NMPF’s Manager of Sustainability Initiatives, Sage Saffran, describes for listeners of Dairy Radio Now how tools developed by the FARM program can help dairy producers better quantify their environmental footprint, including greenhouse gas production, so they can continually improve their farm’s sustainabilty and reduce energy costs.facebook sharing button

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Can we export out of the glut of cream?

Posted on by Rachel Ravencraft

By Will Loux, Senior Vice President, Global Economic Affairs

The U.S. dairy market is awash in cream. Elevated butterfat content in the milk, rebounding milk supply, weaker production of full-fat cheeses, and soft demand for cream for food service have created the perfect storm to push butter prices to the lowest levels in nearly four years. Cream multiples are near the record lows of March 2020, even as domestic butter consumption is growing.

The relative weakness in U.S. butterfat markets runs in stark contrast to the rest of the world as Oceania and European butter markets sit comfortably north of $3.50 per pound. The United States’ current discount is such that, even if the White House’s reciprocal tariffs prompt retaliation

against U.S. butter by trading partners, U.S. butter could still be price competitive depending on the level of retaliation.

Given the unusual abundance of supply and price competitiveness, one would expect that U.S. butterfat exports would surge, and, indeed, the trade data suggests they are doing just that. U.S. butter exports more than doubled in February, and anhydrous milkfat (AMF) sales grew tenfold with volume increases of more than 3,000 metric tons (MT) compared to the same month the year prior. In fact, for the first time in more than two years, the U.S. exported more butter than it imported.

Even as U.S. butter and AMF exports surge compared to 2024, the U.S. will still face challenges in exporting to a tighter butter market. For one, U.S. butter typically has an 80% fat content and is salted, compared to the international standard of 82% and unsalted. Additionally, given that the United States has historically been a net importer of butter, the costs of entry to the international market for companies can be daunting. It takes significant investment by suppliers to export, including refocusing sales staff to build relationships with international customers, ensuring your product has correct documentation and labeling, and determining how to navigate an uncertain tariff landscape and sluggish global marketplace.

Given the costs to entry, U.S. butter typically has an extended lag time before converging with global prices compared to U.S. cheese or ingredients, as it takes more time before the United States starts moving butter and AMF overseas. As such, the United States is unlikely to export its way back to a tighter cream market right away.

However, if dairy companies can focus their export investment on building consistent, long-term international business — potentially in countries where the United States currently has a freight and/or tariff advantage, like Mexico and Central America — U.S. dairy farmers and manufacturers would benefit both by having a more consistent supply of butterfat moving overseas to meet growing global demand and by helping ensure U.S. butter prices don’t lag behind global markets for an extended time.

This column originally appeared in Hoard’s Dairyman Intel on April 10, 2025.

NMPF’s Morris Assesses Dairy Impact of New Import Tariffs

Posted on by Chris Galen

NMPF’s executive vice president Shawna Morris assesses how the U.S. dairy sector could be impacted by the new tariffs imposed against imports by the Trump Administration, and how foreign countries may in turn raise their own tariffs against American exports.

Snacks the Way We Like Them

Posted on by Rachel Ravencraft

The Wall Street Journal article last week was ostensibly about Ozempic, and how weight-loss drugs are curbing consumer appetites. But it’s the stats about snacking that stood out. 

According to data compiled by the Journal using Nielsen and BNP Paribas Exane estimates, U.S. snack food consumption is under pressure. Volume sales in 2024 for pretzels and crackers were flat; chocolates were down 5 percent; ready to eat popcorn, were down more than 7 percent. “Craveability,” a food-industry buzzword of the past few years, isn’t craved the way it used to be. Consumers – some of them using medications that limit appetites – just aren’t into gobbling up little pieces of sweet and salty things like they used to.  

But some snack categories are still up. Way up. #1 on the Journal’s list? Greek yogurt, with volumes up 12.9 percent in 2024. Runner-up? Cottage cheese, increasing 11.8 percent. Nutrition shakes and meat snacks also rose.  

The common thread? Protein. And the clear preference? Dairy.  

Turns out that when appetites are curbed, but nutrient needs remain, a nutrient-dense, appetite-satisfying product meets the need. In 2025, highly processed is out; high protein is in. And dairy is meeting that demand.  

Yet another reason to celebrate. So go ahead, indulge. Open that refrigerator, grab a yogurt or a cottage cheese. There are plenty of snack-sized options to choose from. It’s a healthy choice, and a worthwhile indulgence. And when you do that, you’re not just helping a dairy farmer. You’re a trend-setter, too.   

NMPF, USDEC Call for Targeted Tariffs, Trade Negotiations

Posted on by Theresa Sweeney

Dairy leaders called for a targeted approach to tariffs and an emphasis on positive negotiations with most trading partners as the Trump Administration moved ahead with a plan for stepped-up tariffs worldwide on Tuesday.  

“Tariffs can be a useful tool for negotiating fairer terms of trade,” said NMPF President & CEO Gregg Doud in a joint statement with U.S. Dairy Export Council President & CEO Krysta Harden released earlier today. “We are glad to see the administration focusing on long-time barriers to trade that the European Union and India have imposed on our exports. The administration has rightly noted both countries’ penchants for restricting sales of American products. 

“In fact, 20% reciprocal tariffs are a bargain for the EU considering the highly restrictive tariff and nontariff barriers the EU imposes on our dairy exporters,” Doud continued. “If Europe retaliates against the United States, we encourage the administration to respond strongly by raising tariffs on European cheeses and butter. We also appreciate the President’s recognition of the sizable barriers facing U.S. dairy exports into the Canadian market. 

“Through productive negotiations, this administration can help achieve a level playing field for U.S. dairy producers by tackling the numerous tariff and nontariff trade barriers that bog down our exports,” Doud said. “As the administration moves forward with negotiations on these tariffs, we encourage prioritizing getting back to fully open trade with U.S. FTA partners, targeting actors who have long put up entrenched barriers to American exports, and swiftly negotiating constructive outcomes with those we know are working for a long-term, fruitful relationship with American farmers.” 

President Donald Trump announced Wednesday that the United States will impose a baseline 10 percent additional tariff on imports from all countries later this  week, with a higher additional tariff taking effect next week on dozens of other countries the United States believes have the most unfair trade relationships with the U.S. 

The new duties include a 34 percent tariff on China, 26 percent on India, 26 percent on South Korea, 24 percent on Japan and 20 percent on the European Union. Canada and Mexico, the two largest U.S. dairy trade partners, are currently exempted from the latest round of tariffs because both countries’ non-USMCA-compliant products already are subject to 25 percent tariffs that Trump imposed, then largely suspended, last month. 

Targeted Use of Tariffs and Robust Negotiations Essential to Successful Results

Posted on by Theresa Sweeney

Leaders from the National Milk Producers Federation (NMPF) and the U.S. Dairy Export Council (USDEC) released the following statements today in response to President Donald Trump’s tariff announcements.

“Tariffs can be a useful tool for negotiating fairer terms of trade. To that end, we are glad to see the administration focusing on long-time barriers to trade that the European Union and India have imposed on our exports. The administration has rightly noted both countries’ penchants for restricting sales of American products,” said Gregg Doud, President and CEO of the National Milk Producers Federation. “In fact, 20% reciprocal tariffs are a bargain for the EU considering the highly restrictive tariff and nontariff barriers the EU imposes on our dairy exporters. If Europe retaliates against the United States, we encourage the Administration to respond strongly by raising tariffs on European cheeses and butter. We also appreciate the President’s recognition of the sizable barriers facing U.S. dairy exports into the Canadian market.

Through productive negotiations, this administration can help achieve a level playing field for U.S. dairy producers by tackling the numerous tariff and nontariff trade barriers that bog down our exports. As the administration moves forward with negotiations on these tariffs, we encourage prioritizing getting back to fully open trade with U.S. FTA partners, targeting actors who have long put up entrenched barriers to American exports, and swiftly negotiating constructive outcomes with those we know are working for a long-term fruitful relationship with American farmers.”

“President Trump’s commitment to addressing certain unfair and harmful trade policies that American dairy farmers and manufacturers have long faced in the global marketplace can yield positive results if the tariffs announced today are used as leverage to remedy the various trade barriers facing our exporters,” said Krysta Harden, President and CEO of the U.S. Dairy Export Council. “A firm hand and decisive approach to driving changes is most needed with the European Union and India to correct their distortive trade policies and mistreatment of American agriculture including both imbalanced tariff barriers and nontariff choke-points such as the misuse of Geographical Indications to block sales of our cheeses.

The strong majority of our trading partner relationships are positive ones; this includes many of the countries that will see higher tariffs imposed on them. We encourage the administration to work swiftly with these constructive partners to negotiate new trading terms that expand opportunities for U.S. exports and secure the elimination of both tariff and non-tariff barriers.”