Farm Bill Stalls in Senate Ag Committee, NMPF Pushes Dairy Priorities

The Senate Agriculture Committee failed Aug. 6 to advance the Agricultural Act of 2026 in a 10 to 11 vote, falling short amid a partisan standoff over SNAP provisions and the absence of Sen. Mitch McConnell, R-KY.

Committee Chairman John Boozman, R-AR, called the outcome “deeply disappointing” and has pledged another vote when the Senate returns from recess this month, at which point McConnell may be available for a vote.

The setback doesn’t diminish the need to get a farm bill across the finish line. NMPF continues to champion mandatory cost and yield surveys to inform future Federal Milk Marketing Order updates, dairy safety net program extensions and expanded funding for dairy nutrition and innovation initiatives, among others.

NMPF will continue engaging with both parties as negotiations resume, emphasizing that dairy farmers need certainty.

NMPF Urges Canadian Reforms in Trade Dispute

NMPF supported the Trump Administration’s use on Aug. 22 of a novel trade authority tool in the hopes of coercing Canada to fix its dairy tariff-rate quota system.

The U.S. government’s action resulted in the implementation of 50 percent tariffs on Canadian dairy products, as well as a range of other imports from Canada. The Administration cited Canada’s unfair Tariff Rate Quota (TRQ) allocation rules, which discriminate against U.S. dairy exporters, as a main motivation behind the tariffs.

“This action sends an unmistakable message that Canada’s ongoing disregard for its USMCA dairy commitments carries real consequences,” said NMPF President and CEO Gregg Doud, urging Canada to “stop looking for workarounds and instead sit down in good faith” to resolve the outstanding implementation issues that NMPF has been raising for years.

NMPF and the U.S. Dairy Export Council have consistently urged the Administration to prioritize resolution of Canada’s chronic TRQ underfill and its habit of exploiting loopholes to sidestep USMCA dairy protein disciplines as part of the ongoing USMCA Joint Review. These new tariffs reflect that sustained engagement translating into heightened leverage.

The immediate path forward remains uncertain following the negotiations’ breakdown over non-agricultural issues in August. Canadian Prime Minister Mark Carney last week announced a sweeping set of retaliatory tariffs on Canadian imports – including several dairy products – set to begin Sept. 8. NMPF will continue working directly with the Administration to ensure any resolution of the current standoff includes binding fixes to Canada’s TRQ eligibility rules and quota administration.

Acting Secretary Shown Labor Crisis via NM Dairy

NMPF joined Western Growers in New Mexico on Aug. 14 to host Acting Secretary of Labor Keith Sonderling and provide a firsthand look at the labor challenges facing U.S. agriculture.

Sonderling toured DFA member John DeRuyter’s dairy farm near Las Cruces, then joined an ag labor roundtable with farmers and agricultural leaders from across the state.

NMPF underscored dairy’s acute and ongoing labor needs during the visit and pressed Sonderling to collaborate with the president and Congress to deliver real ag labor reform. Sonderling has led key roles at the Department of Labor and was nominated for Secretary in June.

This visit is part of NMPF’s sustained, on the ground push to keep dairy’s workforce crisis front and center in Washington. NMPF also is making passage of the Securing America’s Workforce Act (SAWA) a top legislative priority. The legislation would modernize the outdated H-2A program to finally work for dairy’s year-round labor needs, providing a stable, legal workforce that farms depend on every single day.

NMPF is working every angle, administrative and legislative, to get this done. To get involved, visit nmpf.org/take-action.

With Canada, Beef and Ag Labor, August was Not a “Recess”

The term “August recess,” used to describe the traditional slow period when lawmakers and federal workers alike escaped Washington’s heat and humidity, was a misnomer this year. From critical trade negotiations with Canada, to a frustrating development on beef tariffs, to the ongoing effort to make ag-labor reform real, August has been one of the year’s busiest months for the dairy industry in Washington. (And that’s without even mentioning the Senate version of the farm bill, which is in temporary limbo after a failed committee vote.)

We’ve been keeping up with every development, speaking out and acting as needed on behalf of our members. Here’s a rundown of key issues, and how we’ve stood on them.

On Canada. With USMCA talks with Canada broken down and the potential for retaliatory tariffs in both directions hanging over both economies, including several dairy products, the U.S.-Canada trade relationship is at an impasse, at least for the moment. This may be surprising to many who don’t closely follow the traditionally friendly relationship – but in dairy, this showdown has been decades in the making.

Under the USMCA trade agreement negotiated during the first Trump term, Canada committed to providing meaningful additional duty-free access for U.S. dairy exports through a series of tariff-rate quotas (TRQs). Canada’s administration of those TRQs has repeatedly resulted in chronic under-use, reducing the benefit for American dairy farmers. Canada also continues to exploit loopholes to sidestep USMCA on dairy protein exports.

NMPF and our partners at the U.S. Dairy Export Council have long urged the White House to make fixing this a priority. The Trump team has consistently called out Canada’s disregard for its USMCA commitments on dairy market access. Canada needs to stop looking for workarounds and instead sit down in good faith to resolve these long-standing dairy issues. Canada’s retaliation against U.S. goods is disappointing, but all it’s doing is forcing the U.S. hand. A cool-down would be welcome; but must include a dairy market access fix. The objective should be for both our countries to prevent increased friction and build on the progress made through weeks of negotiations.

While we consistently offer our expertise and assistance to support the Administration on improving U.S.-Canadian dairy trade, we also believe it is important to explain the unintended consequences of federal intervention in agricultural commodity markets such as this recent decision to eliminate the tariff on imported beef.

Cull cow and calf sales have become a key economic driver for U.S. dairy farmers, equating to roughly 20% of annual dairy farm income, and more than 20% of the U.S. beef production is now being supplied by dairy farms. Current beef prices have helped push dairy cow numbers to the highest point in the United States since 1992; meanwhile U.S. milk production is up 2.7% versus last year. Both trends help keep beef and dairy products affordable for consumers; dairy is stepping up to contribute to solving the consumer challenge of higher beef prices.

Rewarding imports sends the wrong message to U.S. dairy farmers and manufacturers who are investing billions of dollars to grow the domestic supply of beef and dairy products. The decision to remove duties on imports of 300,000 metric tons of beef over the next 90 days will have a short-term, muted price impact for consumers. But the effects on both dairy and beef producers could be felt for some time by delaying the necessary economic signal sent to U.S. producers to increase beef production.

While all that has been going on, we’ve continued our efforts to see the Securing Agriculture’s Workforce Act, landmark ag-labor legislation, become law. The election-year calendar makes passage in 2026 a challenge; but we’re doing our best to ensure that when the political moment for real reform arrives, Congress knows that change is needed and that a powerful coalition won’t settle for anything less than progress.

Since the June 30 introduction of the bill, which would finally grant dairy farms meaningful access to the H-2A visa program and make that program more workable, we have:

  • Coordinated more than 100 Capitol Hill meetings with lawmakers to advocate for SAWA’s passage as part of our state associations summit.
  • Sent a letter along with eight of our member cooperatives and nearly all state dairy associations among the more than 450 agriculture groups, businesses and associations who collectively urged SAWA passage on Aug. 10.
  • Joined Western Growers in hosting acting Labor Secretary Keith Sonderling in New Mexico to discuss the ag labor crisis. The Aug. 14 visit included a tour to DFA member John DeRuyter’s dairy outside of Las Cruces. Sonderling will be a critical voice in getting the Trump administration’s support in securing H-2A reforms.
  • Been active on social media in showing the need for the bill and making folks aware of how important this legislation is. That social media campaign will be expanded in September as it complements a broader, agriculture wide effort to show support for Thompson other leaders for positive change.
  • And finally, our  Advocacy Alert is drawing both dairy farmers and their allies into the debate.

With each passing year, the idea that Washington slows down in August is increasingly a relic of a bygone era. The world is too connected, the conflicts too intense, the needs too real and urgent to pause. And if Washington doesn’t, we don’t either. These have been just a few of the ways we’ve served our members during the “recess.” And a challenging fall awaits.

NMPF Statement on Plan to Increase Beef Imports

From NMPF President & CEO Gregg Doud:

NMPF is concerned by the Trump Administration’s decision to increase imports of foreign-raised beef, which will have unintended consequences for U.S. cattle and dairy producers alike. Cull cow and calf sales are a key economic driver for U.S. dairy farmers and equates to 20% of annual dairy farm income and greater than 20% of the U.S. beef production is now being supplied by dairy farms. Current beef prices are an important reason why we have the most dairy cows in the United States since 1992; meanwhile, U.S. milk production is up 2.7% versus last year. Both trends help keep beef and dairy products affordable for consumers; dairy is stepping up to solve the consumer challenge of higher beef prices.

Policy-created disruption threatens the billions of dollars invested by U.S. dairy farmers and manufacturers to grow supply of beef and dairy products. For the second time this year, the federal government has significantly intervened into the U.S. beef market, this time to remove duties on imports of 300,000 mt of beef over the next 90 days. This will have a short-term, muted economic impact for consumers: But the effects on both dairy and beef producers could be felt for some time. This decision risks a reduction in the price dairy farmers receive for their cull cows and higher profits for foreign beef exporters, all for a potentially nominal decrease in the retail ground beef price.

Again, removing the tariff isn’t likely to lower consumer prices, as the price of this imported product is already well below that of the comparable domestically produced product derived from U.S. cull dairy and beef cows, but it will certainly improve the profit margin for the exporter. The more consequential impact will be a delay in the necessary economic signal sent to U.S. beef producers to increase production, which may reduce domestic supplies in the longer term.

U.S. dairy farmers’ appreciation for the strength that beef prices have provided to their operations cannot be overstated, as milk prices continue to be low by historical standards. That appreciation extends to U.S. consumers who are increasingly demanding not only our exceptional dairy products but also the beef we produce. That’s the choice U.S. consumers are making, as it should be.

USDEC, NMPF Thank Administration for Maintaining Pressure on Canada to Resolve USMCA Dairy Concerns

The National Milk Producers Federation (NMPF) and U.S. Dairy Export Council (USDEC) expressed their strong appreciation to the Trump Administration for its continued focus on using all available trade tools to resolve outstanding U.S.-Mexico-Canada Agreement (USMCA) dairy market access issues with Canada. With a 50 percent tariff on certain Canadian imports taking effect on Saturday, the organizations urged Canada to return to the negotiating table and prevent further escalation.

“We appreciate the Administration’s persistence in standing up for American dairy producers and exporters who have waited far too long for Canada to live up to its promises,” said Krysta Harden, president and CEO of USDEC. “Canada has had plenty of chances to fix its unfair market access practices and close the loopholes it’s used to dodge its dairy commitments under USMCA. This weekend’s action makes clear that patience has run out. We look forward to continuing to work with the Administration until Canada resolves these issues and America’s dairy farmers and exporters see the full benefits USMCA promised.”

“This action sends an unmistakable message that Canada’s ongoing disregard for its USMCA dairy commitments carries real consequences,” said Gregg Doud, president and CEO of NMPF. “It’s time for Canada to stop looking for workarounds and instead sit down in good faith to resolve these outstanding USMCA dairy implementation issues. Canadian retaliation would only serve to force the United States’ hand in escalating its leverage. The objective should be for both our countries to prevent increased friction and build on the progress made through weeks of negotiations.”

Under USMCA, Canada committed to providing meaningful additional duty-free access for U.S. dairy exports through a series of tariff-rate quotas (TRQs). Canada’s administration of those TRQs has repeatedly resulted in chronic underfill. In addition, Canada has continued to exploit loopholes to sidestep USMCA disciplines on dairy protein exports. NMPF and USDEC have consistently urged the Administration to prioritize resolution of both issues as part of the ongoing USMCA Joint Review and continue to call on Canada to come to the table and negotiate in good faith.

Dairy Farmers Near Win in Decades-Long Regulatory Fight

The Emergency Planning and Community Right-to-Know Act, aka EPCRA, was created in 1986 to help communities plan for chemical emergencies. It requires industry to report on the storage, use, and release of hazardous substances to federal, state, and local governments.

It’s a good law, says NMPF Chief Counsel Clay Detlefsen, but unintended consequences have snared dairy farmers into a decades-long fight against over-regulation. And for those decades, Detlefsen’s been part of every twist and turn, with potential light at the end of the tunnel within the next year.

“EPCRA overall I think is a great law. It’s just been misconstrued by environmental activists, and they’ve hijacked a good law for nefarious purposes,” Detlefsen said. “My job is making sure that regulatory agencies don’t do stupid things, and yes, it takes literally decades to stop things from happening.”


International Food Aid Programs Prioritize U.S. Dairy

NMPF welcomed the Trump administration’s announcement of a new partnership to expand the use of Ready-to-Use Therapeutic Foods (RUTF) to combat severe acute malnutrition worldwide, an important step forward for both global nutrition and America’s dairy farmers.

The U.S. State Department will provide up to $100 million over the next two years through Operation End Starvation to deliver life-saving nutrition assistance, building on the administration’s distribution of more than 27,000 metric tons of RUTFs that treated nearly 2.7 million children in 15 countries last year. RUTF incorporates U.S. milk powders, providing high-quality dairy protein and essential nutrients that are critical to treating severe acute malnutrition and wasting among young children.

The announcement reflects years of advocacy by NMPF and USDEC to expand the use of U.S. dairy ingredients in international food assistance programs. Congress in February approved a record $300 million in funding supported by NMPF for RUTF procurement, helping ensure that American-produced milk powders continue to play a central role in treating malnutrition while creating an additional market for U.S. dairy producers.

NMPF and USDEC also submitted comments to USDA on July 24 urging the department to expand dairy’s role in the non-emergency Food for Peace program. The organizations encouraged USDA to incorporate U.S. milk powders into school milk and other controlled feeding programs through reconstituted fluid milk, increase procurement of dairy-containing SuperCereal+ formulations, and continue broadening the use of nutrient-dense U.S. dairy ingredients in food assistance.

The comments emphasize dairy’s nutritional value, long shelf life, established safety standards, and the opportunity to pair humanitarian assistance with long-term market development by introducing children to dairy products in emerging markets.

NMPF Strengthens Partnerships in Latin America

NMPF and USDEC led a delegation of U.S. dairy industry leaders to Guanajuato, Mexico for the eighth annual U.S.-Mexico Dairy Binational event July 29-30, building on a longstanding partnership to mutually grow demand and address shared issues with the United States’ largest dairy trading partner. Producers from Dairy Farmers of America and Land O’Lakes joined the event.

Coming on the heels of the third round of USMCA negotiations with Mexico, the two industries reaffirmed their commitment to collectively growing the U.S. and Mexican dairy markets, limiting trade barriers and promoting the image of dairy. Participants also included a new commitment to collaboratively support the next generation of dairy farmers.

Further south, NMPF and USDEC signed a new Memorandum of Understanding with the Association of Livestock Producers of the Highlands and Eastern Region (AGSO), a major agricultural cooperative based in Ecuador, on July 13 in Quito. The agreement deepens ties between the U.S. and Ecuadorian dairy sectors and commits the parties to cooperate on knowledge-sharing, dairy consumption promotion, productivity improvements, and coordinated engagement in international forums like Codex and the United Nations’ Food and Agriculture Organization. The MOU includes a shared commitment to defend common food names such as “parmesan” and oppose foreign efforts to restrict their use.

The agreement is the latest step in NMPF’s sustained push across Latin America, building on momentum from the U.S.-Ecuador Agreement on Reciprocal Trade which will lower dairy tariffs and address nontariff barriers to trade. As global pressure mounts on common names and market access, NMPF continues cultivating regional relationships to strengthen U.S. dairy’s footprint and defend shared industry interests across Latin America.

U.S. Dairy Welcomes Trade Deal with Jordan as New U.S. Tariffs Announced

NMPF welcomed a tenth Agreement on Reciprocal Trade on July 21 with a new deal signed between the United States and Jordan that reinforces duty-free access for U.S. dairy exports and secures important commitments to address nontariff barriers.

The agreement builds on the 2001 U.S.-Jordan Free Trade Agreement and advances priorities NMPF and the U.S. Dairy Export Council (USDEC) have consistently advocated in trade negotiations, including preempting unnecessary regulatory barriers and protecting the use of common cheese names.

Specific to dairy, Jordan committed to recognize the U.S. dairy safety system as equivalent to its own and refrain from imposing facility registration requirements on U.S. dairy imports. The agreement also protects the use of 40 common cheese names, including “parmesan,” “feta” and “asiago,” and establishes transparent procedures for evaluating geographical indications applications. Additional commitments on import licensing, technical regulations, and sanitary and phytosanitary measures are intended to ensure science-based, predictable trade rules that facilitate U.S. dairy exports.

The deal came shortly before United States on July 24 imposed new Section 301 tariffs on 60 markets around the world due to their “failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor.” Ranging from 10 to 12.5 percent by country, with exemptions for USMCA-compliant goods, the new duties replace the 10 percent Section 122 tariffs imposed in February due to balance of payments deficits, which expired after the 150-day statutory limit.

USTR also granted zero exemptions for dairy imports into the United States under the new tariff announcement, following NMPF and USDEC’s July 6 comments urging the agency to keep dairy off exemption lists. The comments highlighted the more than $2 billion dairy trade deficit between the United States and the European Union driven primarily by a web of tariff and nontariff barriers. NMPF and USDEC noted that granting the European Union its request for dairy tariff relief would be a step in the wrong direction to correcting the deeply imbalanced transatlantic trade relationship.

While China maintains a 10 percent tariff on all U.S. exports, including dairy, no additional markets announced plans for retaliation. NMPF will continue to work with the administration to ensure the leverage yields new market access for U.S. dairy exporters, building on the 10 Agreements on Reciprocal Trade signed to date.