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January NEXT-Assisted Export Sales Surpass 19 Million Pounds

Posted on by Rachel Ravencraft

NEXT member cooperatives secured 82 contracts in January, adding 19.3 million pounds of product in NEXT-assisted sales in 2026, as the program built on its record-level activity set in the second half of 2025. These products will go to customers in Asia, Oceania, Middle East-North Africa, South America, Central America, the Caribbean and Sub-Saharan Africa and will be shipped from January through December.

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.

Signup Underway for Improved DMC as Margins Decline

Posted on by Rachel Ravencraft

With the Dairy Margin Coverage Program entering payment territory, NMPF is pleased that signup for the recently improved program is under way through Feb. 26.

The December margin under USDA’s Margin Coverage Program dropped by $0.62/cwt from November to $9.42/cwt, generating a payment, for the first and only time during 2025, of $0.08/cwt, for farmers insured at the highest $9.50/cwt coverage level. USDA is predicting margins below $9.50/cwt through July and averaging $9.53/cwt for the year. This would be $1.62/cwt lower than the $11.15/cwt the margin averaged in 2025.

“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 permanent 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.

NMPF will keep its members apprised of key developments, with staff available to answer questions as necessary.

Dairy’s Importance Reflected in New Dietary Guidelines

Posted on by Rachel Ravencraft

A yearslong effort by NMPF to maintain dairy’s prominence in American diets and regain support for dairy products of all fat levels culminated in the Jan. 7 release of the 2025-2030 Dietary Guidelines for Americans by the Department of Health and Human Services and USDA.

USDA and HHS update the guidelines every five years and affect government policies in numerous ways, including school meal offerings. The latest guidelines maintain the previous recommendation of three dairy servings per day for those consuming a 2,000-calorie diet. This year’s edition explicitly endorses full-fat dairy consumption, including whole milk, which is a marked departure from previous guidelines that recommended only low- and non-fat milk.

“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,” NMPF President & CEO Gregg Doud said in a statement. “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.”

NMPF’s work to highlight advances in nutrition and scientific research showing the value of dairy consumption of all fat levels, including evidence that substituting higher-fat dairy for lower-fat dairy is not linked with increased risk of cardiovascular disease morbidity. The scientific review committee that makes recommendations for dietary guidelines previously acknowledged that reducing or eliminating dairy from the diet leads to undernourishment in key nutrients for millions of Americans, which is reflected in the final guidelines.

The new guidelines also include stricter limits on added sugars, stating that while no amount of added sugars or non-nutritive sweeteners is recommended or considered part of a healthy or nutritious diet, one meal should contain no more than 10 grams of added sugars. The naturally occurring sugar in milk is acknowledged as not counting towards those 10 grams; still, the new guidelines may pose a challenge for some flavored milks and dairy products, such as yogurt, as the administration signals work on a new school meals rule.

The accompanying document to the guidelines, “Daily Servings by Calorie Level,” also includes concerning language about “fortified dairy alternatives” in its definition of the “dairy” food group. Previously, the guidelines only acknowledged fortified soy as a dairy substitute.

NMPF has repeatedly emphasized that imitators do not offer the same consistent package of nutrition provided by real milk, which the scientific review committee agreed in its 2024 report. Any encouragement of plant-based alternatives when lactose-free milk is available to those who are lactose-intolerant is out of step with otherwise encouraging recommendations.

With the guidelines out, the federal government will begin applying them across federal programs.

Whole Milk Goes Back to Schools

Posted on by Rachel Ravencraft

With President Trump’s signature — and NMPF cooperative members in attendance to witness — the Whole Milk for Healthy Kids Act became law Jan. 14. Focus now shifts to USDA implementation.

“Dairy farmers and their cooperatives couldn’t be more thrilled that whole and 2% milk is returning to school meals,” NMPF President & CEO Gregg Doud said in a statement upon signing. “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.”

Kevin Satterwhite and Thomas French, dairy producers with Maola, attended the bill signing at the White House to celebrate the legislative victory.

Focus now shifts to USDA implementation. The department published guidance for schools on the updated fluid milk requirements for school lunch programs Jan. 14. The department will move forward with formal rulemaking in the months ahead to address both whole milk and the updated Dietary Guidelines for Americans.

NMPF will be actively involved in the rulemaking process, working to ensure schools have the support they need to include whole milk on their menus.

“We are ready to help schools and USDA in any way we can as this important legislation is implemented,” Doud said in his statement. “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.”

Joint Statement from NMPF and USDEC on USDA Food for Peace Funding Allocations

Posted on by Rachel Ravencraft

The National Milk Producers Federation and U.S. Dairy Export Council today commended USDA’s Food for Peace funding allocations for fiscal year 2025 that include support for Ready-to-Use Supplementary Foods that incorporate milk powders. The announcements follow a USDEC and NMPF request for continued support for the program used to treat malnutrition globally. 
Statement from Gregg Doud, President and CEO of NMPF:
“NMPF appreciates USDA’s announcement today of fiscal year 2025 funding allocations for Ready-to-Use Supplementary Foods under the Food for Peace program. This common-sense program supports the U.S. dairy producers who supply milk powders used in RUSF while treating those most in need.”

Statement from Krysta Harden, President and CEO of USDEC:
“U.S. dairy farmers and processors feed the world, and USDA’s announcement today of continued funding for Ready-to-Use Supplementary Foods is a critical component of that effort. Our farmers and manufacturers supply the milk powder used in these vital, lifesaving products that are used to treat chronic malnutrition worldwide. Thank you to USDA for continuing to support this essential program.”

Dairy’s Future Bright, But Present Needs Matter

Posted on by Rachel Ravencraft

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

Posted on by Rachel Ravencraft

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

Posted on by Rachel Ravencraft

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.”

Responsible antibiotic use remains the focus

Posted on by Rachel Ravencraft

By Jamie Jonker, Chief Science Officer and Vice President, Sustainability & Scientific Affairs

Reducing drug residues isn’t just about compliance, it’s also about mastering the science of prevention to combat the greater challenge — antimicrobial resistance. The dairy industry saw a small uptick in drug residues found in milk in 2025, but industry efforts continue to support producers by educating on and evaluating proper antibiotic use in dairy cattle.

Keeping track of residues

Antimicrobial resistance occurs when bacteria, viruses, fungi, and parasites no longer respond to medicines, which could increase the spread of infections or even death. Milk or meat residues could add to the threat of antimicrobial resistance, but judicious use of antibiotics can help minimize resistance and lower risk of residues occurring.

In order to keep track of and help reduce drug residues, and to ensure the sanitary quality of Grade “A” milk and milk products shipped in interstate commerce, the Food and Drug Administration in collaboration with the National Conference on Interstate Milk Shipments created the National Milk Drug Residue Database (NMDRD) in 1991. This voluntary effort helps dairy farmers show industry-wide commitment to providing consumers with dairy products they can trust.

According to the 2025 NMDRD report released in December, more than 3.2 million bulk milk pickup tankers were tested from October 2024 to September 2025, yielding 206 (one in every 15,860 milk trucks) positive samples. This is a slight uptick from 2024 with only 196 positive samples (one in every 17,080 milk trucks). The number of samples tested, which includes tankers, packaged products, producer samples, and reported positive grew from from 301 in 2024 to 307 in 2025. It’s important to note that any milk or milk product found with a drug residue violation is destroyed and not sold to the public.

Despite the small bump in the number of positive samples, the overall percentage of milk samples that tested positive for antibiotic residues in 2025 remains among the lowest recorded levels since the NMDRD was created. U.S. dairy farmers remain committed to producing safe, high-quality milk.

Preventing and reducing milk residues

Dairy farmers and their employees work alongside veterinarians to develop treatment protocols that ensure prudent and responsible antibiotic use. This includes proper use of approved drugs and adhering to withdrawal times. Established protocols give herd managers and employees guidelines for administering treatments, which can reduce residues from occurring. Accurate, current, and well-documented treatment logs also help reduce risk.

Farmers can use resources created by the National Dairy Farmers Assuring Responsible Management (FARM) Program to help guide on-farm decisions. The FARM Program supports producers in their commitment to antibiotic stewardship in two of its program areas.

The FARM Animal Care Program, which captures more than 99% of the U.S. milk supply, implements standards surrounding herd health and antibiotic protocols. Program standards require a written Herd Health Plan for participating farms. This emphasizes the importance of prevention and timely decision making on necessary treatment of all sick or injured dairy cattle on the farm. Participating farms are required to establish and maintain a Veterinarian Client Patient Relationship with annual renewed documentation. During an evaluation, evaluators review the farm’s treatment records to support and ensure proper use of antibiotics for treating dairy cattle.

As part of FARM Animal Care, the Antibiotic Stewardship Program collaborates with industry partners to publish the biennial Milk & Dairy Beef Drug Residue Prevention Manual. This resource serves as an informational guide for drugs approved for use in dairy animals and can also be used as an educational tool to develop on-farm best management practices. An updated manual will be available later this summer.

The FARM Program, through its educational efforts, advances its mission to help ensure the success of the entire dairy industry by demonstrating U.S. dairy farmers are committed to producing high quality, safe milk with integrity.

To learn more about FARM’s mission, visit nationaldairyfarm.com.

This column originally appeared in Hoard’s Dairyman Intel on Jan. 19, 2026.

NMPF Statement on Signing of Whole Milk for Healthy Kids Act

Posted on by Rachel Ravencraft

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.”

NMPF’s Castaneda on Continued Tariff-Free Access to Colombia

Posted on by Jessi-Ryah Cordova

NMPF and the U.S. Dairy Export Council welcomed the government of Colombia’s dismissal of a Subsidies and Countervailing Measures investigation into milk powder imports from the U.S. The investigation began in 2024 and alleged, without a factual basis, that U.S. milk powders were unfairly subsidized and harmed Colombian dairy producers. NMPF’s Jaime Castaneda, vice president for policy development and strategy, said that’s never been the case.