Cooperatives Working Together assisted member cooperatives in winning 48 contracts to export 4.75 million pounds of American-type cheeses and 3.03 million pounds of butter in the holiday-shortened month of December. The products will go to customers in Asia, Central America, the Middle East, North Africa, and Oceania, and will be shipped from December 2016 through March 2017.

The contracts captured in December raise the 2016 CWT-assisted sales totals to 50.32 million pounds of American-type cheese, 12.13 million pounds of butter (82% milkfat) and 21.32 million pounds of whole milk powder destined for customers in 23 countries on five continents. The sales are the equivalent of 892.91 million pounds of milk on a milkfat basis. Totals are adjusted for cancellations received during the month.

Assisting CWT member cooperatives gain and maintain world market share through the Export Assistance program expands the long-term demand for U.S. dairy products and the U.S. farm milk that produces them. This increases demand which positively impacts all U.S. dairy farmers by strengthening and maintaining the value of dairy products that directly impact their milk price.

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

All cooperatives and dairy farmers are encouraged to add their support to this important program. Membership forms are available online.

The U.S. Department of Agriculture’s National Agricultural Statistics Service (USDA-NASS) last week reported the November U.S. average all-milk price at $17.60 per hundredweight, a dollar higher than October’s all-milk price. The price jump was a bit stronger than expected, based on the November federal order class prices announced earlier in December.

USDA-NASS last week also reported feed prices for November. The announcements will result in a November monthly Margin Protection Program (MPP) feed cost of $7.62 per hundredweight, 14 cents less than the October monthly MPP feed cost and the fifth-straight drop in the MPP monthly feed cost since June. The monthly MPP margin for November will be $9.98 per hundredweight.

USDA’s current forecast, based on the Dec. 30 CME futures settlements, projects that the MPP margin will remain well above $10.00 per hundredweight through the first half of 2017 and above $11.00 per hundredweight during the second half. USDA’s MPP margin forecasts are updated daily online.

NMPF’s Future for Dairy website also offers a variety of educational resources to help farmers select the desired coverage level.

Key leaders in both the House and Senate have chastised the Food and Drug Administration in the past month for failing to enforce existing food standards that specify products labeled as “milk” have to come from a dairy animal – adding new momentum to NMPF’s longstanding campaign to encourage the FDA to enforce its own regulations.

On Jan. 12, Sen. Tammy Baldwin (D-WI) introduced her DAIRY PRIDE Act, which would protect the integrity of food standards by prompting FDA to enforce labeling requirements for dairy. The measure would require FDA to issue a guidance for nationwide enforcement of such requirements within 90 days, and mandate that FDA report to Congress two years after the bill’s enactment to hold the agency accountable.

NMPF President and CEO Jim Mulhern welcomed Baldwin’s legislative approach, adding that “For too long, the FDA has turned a blind eye to the misbranding of imitation dairy products, despite the decades-old federal law that milk comes from animals, not vegetables or nuts.”

Baldwin’s bill comes roughly a month after House leaders Reps. Mike Simpson (R-ID) and Peter Welch (D-VT), and a bipartisan coalition of 30 other cosigners, sent a letter to FDA asking the agency to more aggressively police the improper use of dairy terms for alternative products. Plant-based foods and beverages “are misleading to consumers, harmful to the dairy industry, and a violation of milk’s standard of identity,” the congressional letter said.

Both NMPF and the International Dairy Foods Association (IDFA) said the letter will help raise the profile of the issue, as it also mentioned other violations of standards of identity for products such as yogurt, cheese and ice cream that are copied by plant-based sources.

NMPF believes action is needed to defend the integrity of federal food labeling standards and prevent the misbranding of dairy imitators. FDA regulations define milk as a product of a cow, with a similar stipulation for yogurt and cheese.

“Milk should be milk,” said Mulhern, “rather than an industrial-produced, artificially whitened, watery beverage formed with nut or grain pastes and some flavoring and emulsifiers.” He said many popular vegetable imitators such as rice and almond beverages have little protein and widely-varying amounts of vitamins and minerals.

That lack of enforcement in the U.S. market stands in sharp contrast to how the matter is handled in similar nations. While the term “almondmilk” is seen on products sold in the U.S., it is prohibited on the same brand of almond beverage sold in Canada and the United Kingdom.

ARLINGTON, VA – The National Milk Producers Federation today joined 15 other farm organizations in sending a letter to President-elect Donald Trump and Vice President-elect Michael Pence highlighting the importance of trade to America’s farmers.

Echoing points made in NMPF’s own letter to the President-elect last month, the producer groups’ Jan. 6 letter stated: “We know that securing positive benefits for American farmers, ranchers, and workers in trade will be a priority in your Administration. This includes enforcing existing agreements so that other countries abide by their commitments, as well as expanding market access for U.S. producers through new agreements. As the Trump Administration assembles its team and policies, U.S. agricultural trade interests must be maintained, not only in existing markets but by expanding access to new markets,” wrote the 16 groups.

NMPF President and CEO Jim Mulhern noted that farm groups must continue to emphasize that “the health of U.S. agriculture depends on our ability to sell our products outside of the United States. The growth of America’s dairy sector is directly tied to our ability to export. We have a positive trade balance in agriculture, and don’t want to see those hard-earned export markets eroded.”

Mulhern said the U.S. dairy sector exports 14 percent of its milk production, “which last year was worth over $5 billion, in the process generating more than 120,000 jobs in dairy farming, manufacturing and related sectors. Any disruption in exports of dairy and other food products would have devastating consequences for our farmers, and the many American processing and transportation industries and workers supported by these exports.”

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The National Milk Producers Federation (NMPF), based in Arlington, VA, develops and carries out policies that advance the well-being of dairy producers and the cooperatives they own. The members of NMPF’s cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of dairy producers on Capitol Hill and with government agencies. For more on NMPF’s activities, visit our website at www.nmpf.org.

From Jim Mulhern, President and CEO of NMPF, and Matt McKnight, Senior Vice President of Market Access, Regulatory and Industry Affairs for USDEC:

ARLINGTON, VA – “America’s dairy farmers and processors welcome the opportunity to work closely with Robert Lighthizer as the new U.S. Trade Representative. The role of the U.S. Trade Representative is critical to successful U.S. engagement with growing global markets. Mr. Lighthizer’s previous experiences as Deputy USTR, Chief of Staff for the Senate Finance Committee, and his direct private sector engagement in enforcing trade rules on behalf of his clients will serve him well in forging a path forward on trade policy that will benefit this country.

“The U.S. dairy industry, like most other agricultural sectors across America, has significantly benefited from the agricultural provisions of prior U.S. free trade agreements. At the same time, however, we face a growing wave of nontariff barriers that threaten to impede overseas sales. Our NAFTA partners epitomize both sides of that story: Our dairy agreement with Mexico has created an export market worth well over $1 billion a year, while on the other side of the border Canada has at every opportunity decided to flout its dairy trade commitments to the U.S.

“A focus on preserving and growing what is working well, while cracking down further on what is not, will help to expand global markets for U.S. dairy farmers and the companies that turn their milk into nutritious dairy products shipped all over the world. Given that every $1 billion in U.S. dairy exports translates into over 23,000 jobs in the dairy sector and related industries, expanding dairy sales abroad is a strong job-creation strategy.

“USDEC and NMPF look forward to continuing our dialogue with the incoming Administration on the importance of pursuing well-negotiated trade agreements that bolster our ability to serve consumers in foreign markets.”

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The National Milk Producers Federation (NMPF), based in Arlington, Va., develops and carries out policies that advance the well-being of U.S. dairy producers and the cooperatives they collectively own. The members of NMPF’s cooperatives produce the majority of the U.S, milk supply, making NMPF the voice of dairy producers on Capitol Hill and with government agencies. For more on NMPF’s activities, visit www.nmpf.org.

The U.S. Dairy Export Council (USDEC) is a non-profit, independent membership organization that represents the global trade interests of U.S. dairy producers, proprietary processors and cooperatives, ingredient suppliers and export traders. Its mission is to enhance U.S. global competitiveness and assist the U.S. industry to increase its global dairy ingredient sales and exports of U.S. dairy products. USDEC accomplishes this through programs in market development that build global demand for U.S. dairy products, resolve market access barriers and advance industry trade policy goals. USDEC is supported by staff across the United States and overseas in Mexico, South America, Asia, Middle East and Europe.

The U.S. Dairy Export Council prohibits discrimination on the basis of age, disability, national origin, race, color, religion, creed, gender, sexual orientation, political beliefs, marital status, military status, and arrest or conviction record.

WASHINGTON, D.C. – A new congressional effort to prod federal regulators to crack down on the inappropriate labeling of products designed to imitate milk drew support today from the International Dairy Foods Association (IDFA) and the National Milk Producers Federation (NMPF), which thanked lawmakers for speaking out on the issue.

WASHINGTON, D.C. – A new congressional effort to prod federal regulators to crack down on the inappropriate labeling of products designed to imitate milk drew support today from the International Dairy Foods Association (IDFA) and the National Milk Producers Federation (NMPF), which thanked lawmakers for speaking out on the issue.

In a letter written by Reps. Mike Simpson (R-ID) and Peter Welch (D-VT), and cosigned by a bipartisan coalition of 32 other members of the House, lawmakers urge U.S. Food and Drug Administration Commissioner Robert Califf to more aggressively police the improper use of dairy terms, which are used on the labels of many products that have no real dairy ingredients.

Federal standards of identity stipulate that milk and related foods have to be made from animal sources to use these established dairy terms. Thus, plant-based foods and beverages made of nuts and grains are “misleading to consumers, harmful to the dairy industry, and a violation of milk’s standard of identity,” the letter said.

“We request that the Food and Drug Administration (FDA) exercise its legal authority to investigate and take appropriate action against the manufacturers of these misbranded products.”

Dairy organizations have voiced similar concerns in the past, urging FDA to restrict the use of dairy terms on labels of plant-based imitation products such as milk, cheese and yogurt.

“You haven’t ‘got milk’ if it comes from a seed, nut or bean,” said Jim Mulhern, President and CEO of NMPF. “In the many years since we first raised concerns about the misbranding of these products, we’ve seen an explosion of imitators attaching the word ‘milk’ to everything from hemp to peas to algae. We don’t need new regulations on this issue, we just need FDA to enforce those that have been on the books for years.”

Michael Dykes, president and CEO of IDFA, said that while “imitation may be the sincerest form of flattery, dairy imitators do not naturally provide the same level of nutrition to the people buying them as milk does.” He noted that non-dairy beverages “can mislead people into thinking these products are comparable replacements for milk, when in fact most are nutritionally inferior.”

The congressional letter points out that while consumers are entitled to choose imitation products, “it is misleading for manufacturers of these items to profit from the ‘milk’ name.  These products should be allowed on the market only when accurately labeled.”

Welch and Simpson noted that the European Union offers an example of how product terminology can be altered to make it less misleading. Regulators in the EU allow the use of the term “soy drink,” but prohibit “soy milk.”

Addressing this issue, the letter concluded, “will provide consumers with the accurate information they expect.”

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About IDFA
The International Dairy Foods Association (IDFA), Washington, D.C., represents the nation’s dairy manufacturing and marketing industries and their suppliers, with a membership of 550 companies within a $125-billion a year industry. IDFA is composed of three constituent organizations: the Milk Industry Foundation (MIF), the National Cheese Institute (NCI) and the International Ice Cream Association (IICA). IDFA’s nearly 200 dairy processing members run nearly 600 plant operations, and range from large multi-national organizations to single-plant companies. Together they represent more than 85 percent of the milk, cultured products, cheese, ice cream and frozen desserts produced and marketed in the United States. IDFA can be found online at www.idfa.org.

About NMPF
The National Milk Producers Federation, based in Arlington, VA, develops and carries out policies that advance the wellbeing of dairy producers and the cooperatives they own. The members of NMPF’s cooperatives produce the majority of the U.S. milk supply, making NMPF the voice of dairy producers on Capitol Hill and with government agencies. Visit www.nmpf.org for more information.

Efforts to update child nutrition programs – and to enhance the milk options available in school lunch programs – faded this month as negotiations between the Senate and House failed to arrive at new school nutrition legislation.

The authorization for federal child nutrition programs formally expired at the end of September 2015, but existing programs continue to operate pending approval of a bill to reauthorize federal feeding programs, including school lunch regulations. NMPF worked on a bipartisan basis with both the House and Senate during the past two years to include language in the reauthorization bill that would prompt the U.S. Department of Agriculture (USDA) to review milk consumption in school meals and WIC programs, as well as take steps to increase the intake of milk and the nutrients it provides.

NMPF held out hope that the December congressional lame-duck session would offer the opportunity to pass the nutrition legislation, but Senate Agriculture Committee Chairman Pat Roberts (R-KS) said this week that negotiations have reached an impasse.

"I'm very disappointed that the bipartisan, bicameral Child Nutrition Reauthorization negotiations have come to an end for the 114th Congress,” Roberts said. “I remain committed to continuing to look for ways to increase integrity within the program and to provide flexibility to local school and summer meal program operators.”

Both the Senate and House Agriculture Committees had approved legislation in the past year, supported by NMPF, to reverse the decline of milk consumption in schools. NMPF’s goal was to prompt a reassessment of the current USDA policy that only allows fat-free flavored milk – and not 1% flavored milk – in the school lunch line, even though federal dietary guidelines support the inclusion of low-fat flavored milk.

After USDA removed low-fat flavored milk from lunch programs, schools served 187 million fewer half-pints of milk during the years 2012-2014, although total public school enrollment grew during that period.

“We will continue to work on this issue in the coming year to bolster the important role of milk in the nation’s schools,” said NMPF President and CEO Jim Mulhern. “Ignoring the decline in school milk consumption could have serious consequences for children’s health today and throughout their adult lives.”

As governments around the world focus additional resources on battling the rise of antibiotic resistant bacteria and its causes, NMPF continues to engage on behalf of the U.S. dairy industry at international discussions of the emerging public health concern – including an international meeting last week.

The Codex Alimentarius Commission, created in 1963 to develop international food standards that protect consumer health and promote fair trade practices, is one of the key global platforms for addressing the intersection of food safety and antibiotic use.  Back in July, the Codex Commission approved the re-establishment of an intergovernmental Task Force on Antimicrobial Resistance, a group that develops science-based guidance on the management of foodborne antimicrobial resistance.

Last week, a working group met in London to finalize the task force’s Terms of Reference and draft proposals for new work to revise guidelines to monitor for and reduce the incidence of antibiotic resistance bacteria. Dr. Jamie Jonker, NMPF Vice President for Sustainability & Scientific Affairs, is representing U.S. dairy interests as a Codex stakeholder through his involvement with both the U.S. government delegation to Codex, and his engagement with the International Dairy Federation. His work is also made possible through support of the U.S. Dairy Export Council.

In comments submitted to the U.S. Codex delegates on Oct. 6, NMPF asked for more clarity in the Terms of Reference, and proposed new work items to ensure that the task force focuses on managing antimicrobial resistance through the food chain. In London last week, the Codex working group adopted key elements of NMPF’s request to focus this effort on food safety and fair trade in food. The revised project documents will now be submitted to the 40th Session of the Codex Alimentarius Commission for adoption. The resulting standards are intended to give countries guidance on how to manage antimicrobial resistance through the food chain.