USDA’s Federal Milk Marketing Order hearing will continue following a recess through the Thanksgiving holiday. Peter Vitaliano, National Milk Producers Federation Vice President of Economic Policy & Market Research, says the hearing is making progress and that farmers are still solidly behind changes to the FMMO system. “The producer groups are together. That’s the key thing,” he said. “The producers are the ones who vote for federal orders.”
NMPF Chief Science Officer Jamie Jonker discusses the International Dairy Federation World Dairy Summit taking place in Chicago this week in an interview with RFD-TV. The summit, which is being hosted by the United States for the first time since 1994, brings together dairy experts from around the world and is proving to be a great showcase for U.S. dairy excellence.
By Paul Bleiberg, Executive Vice President for Government Relations, National Milk Producers Federation
Today’s political climate seems to feature one surprise after another. Congress shocked the country late last month by voting in an overwhelmingly bipartisan fashion to avert a government shutdown that had been considered all but guaranteed. Another jolt came three days later when the House voted for the first time in American history to remove its speaker — all because he allowed the shutdown to be averted!
But even as shocking headlines seem to become the norm, important bipartisan policy work is quietly, gradually advancing. The National Milk Producers Federation (NMPF) has continued its efforts in 2023 to enact policies that position dairy farmers to fulfill their goal of becoming greenhouse gas neutral or better by 2050. A cornerstone of this goal is feed management to reduce enteric methane emissions, which can comprise as much as one-third of a dairy farm’s greenhouse gas footprint.
To make successful feed management a reality, NMPF is pursuing a two-step strategy. The first is securing Food and Drug Administration (FDA) approval of animal feed additives that can reduce enteric emissions. The second is using United States Department of Agriculture (USDA) conservation programs to get these innovative animal feed ingredients into enterprising producers’ hands. This year has been marked by critical progress on both steps.
In June, the Senate HELP Committee passed the Innovative FEED Act by a bipartisan of 19 votes to 2 votes. This important bill, led by Senators Roger Marshall (R-KS) and Tammy Baldwin (D-WI) would provide clear direction for the FDA to review promising animal feed ingredients in a safe but expeditious manner, getting them to market faster than animal drugs to help U.S. dairy farmers remain competitive globally. NMPF is working closely with partners in agriculture and conservation to enact this bill into law this year.
Then, just last month, USDA formally recognized feed management as a climate-smart conservation practice, better positioning dairy farmers to seek conservation support for voluntary uptake of animal feed ingredients. In that spirit, several NMPF members and partners have applied for Regional Conservation Partnership Program funding for the 2023 fiscal year to support dairy farmers who want to be on the front end of the rapid uptake of new feed additives.
Dairy farmers have long been environmental stewards who adapt to new technologies and opportunities. Important progress made on feed management this year, on Capitol Hill and at USDA, is setting the stage for continued innovation on the dairy farm for many years to come.
This column originally appeared in Hoard’s Dairyman Intel on Oct. 16, 2023.
ARLINGTON, VA – Cooperatives Working Together (CWT) member cooperatives accepted two offers of export assistance from CWT that helped them capture sales contracts for 355,000 pounds (161 MT) of American-type cheese. The product is going to customers in Middle East-North Africa and Oceania, and will be delivered from October through December 2023.
CWT-assisted member cooperative year-to-date export sales total 36.8 million pounds of American-type cheeses, 908,000 pounds of butter (82% milkfat), 26,000 pounds of anhydrous milkfat, 36.8 million pounds of whole milk powder and 7.2 million pounds of cream cheese. The products are going to 25 countries in five regions. These sales are the equivalent of 699.7 million pounds of milk on a milkfat basis.
Assisting CWT members through the Export Assistance program positively affects all U.S. dairy farmers and cooperatives by fostering the competitiveness of U.S. dairy products in the global marketplace and helping member cooperatives gain and maintain world market share for U.S. dairy products. As a result, the program has helped significantly expand the total demand for U.S. dairy products and the demand for U.S. farm milk that produces those products.
The amounts of dairy products and related milk volumes reflect current contracts for delivery, not completed export volumes. CWT pays export assistance to the bidders only when export and delivery of the product is verified by required documentation.
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The Cooperatives Working Together (CWT) Export Assistance program is funded by voluntary contributions from dairy cooperatives and individual dairy farmers. The money raised by their investment is being used to strengthen and stabilize the dairy farmers’ milk prices and margins.
NMPF Executive Vice President for Communications and Industry Relations Alan Bjerga offers an update on where the USDA’s Federal Milk Marketing Order hearing stands as it goes on hiatus until late November. Bjerga also discusses the importance of the IDF-World Dairy Summit in Chicago and where the public can go to learn more about the FMMO discussion, in an interview with WEKZ radio, Janesville, WI.
ARLINGTON, VA – The National Milk Producers Federation (NMPF) thanked the U.S. Department of Agriculture (USDA) for extending the application deadline for critical, long-awaited financial assistance for dairy farmers affected by natural disasters.
The Milk Loss Assistance program administered by the Farm Service Agency will compensate eligible dairy farms and processors for milk dumped due to qualifying disaster events in 2020, 2021 and 2022, including droughts, wildfires, hurricanes, floods, derechos, excessive heat, winter storms and smoke exposure.
“We are grateful to USDA for giving dairy farmers extra time to enroll in the Milk Loss Program,” said Jim Mulhern, president and CEO of NMPF. “This essential program will compensate producers for milk dumped due to disasters over several years. This extension will allow farmers more time to prepare their applications and fully benefit.”
The Milk Loss Program will help farmers and, in certain cases, cooperatives, recover losses previously overlooked by disaster assistance. Affected dairy farmers and cooperatives are encouraged to sign up as soon as possible. For eligibility and application information, as well as details about how payments will be calculated, visit USDA’s original Milk Loss Assistance program announcement.
Chris Galen, NMPF’s senior vice president of member services and governance, discusses the change in leadership in Congress resulting from the budget bill approved on Oct. 1 i this audio segment from Dairy Radio Now. He also updates listeners on USDA’s national hearing on Federal Order modernization, and the timing for that as well as a possible 2023 Farm Bill.
ARLINGTON, VA – Cooperatives Working Together (CWT) member cooperatives accepted seven offers of export assistance from CWT that helped them capture sales contracts for 84,000 pounds (38 MT) of American-type cheese, 132,000 pounds (60 MT) of whole milk powder and 267,000 pounds (121 MT) of cream cheese. The product is going to customers in Asia and the Middle East-North Africa, and will be delivered from October 2023 through April 2024.
CWT-assisted member cooperative year-to-date export sales total 36.4 million pounds of American-type cheeses, 908,000 pounds of butter (82% milkfat), 26,000 pounds of anhydrous milkfat, 38.8 million pounds of whole milk powder and 7.2 million pounds of cream cheese. The products are going to 25 countries in five regions. These sales are the equivalent of 696.5 million pounds of milk on a milkfat basis.
Assisting CWT members through the Export Assistance program positively affects all U.S. dairy farmers and cooperatives by fostering the competitiveness of U.S. dairy products in the global marketplace and helping member cooperatives gain and maintain world market share for U.S. dairy products. As a result, the program has helped significantly expand the total demand for U.S. dairy products and the demand for U.S. farm milk that produces those products.
The amounts of dairy products and related milk volumes reflect current contracts for delivery, not completed export volumes. CWT pays export assistance to the bidders only when export and delivery of the product is verified by required documentation.
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The Cooperatives Working Together (CWT) Export Assistance program is funded by voluntary contributions from dairy cooperatives and individual dairy farmers. The money raised by their investment is being used to strengthen and stabilize the dairy farmers’ milk prices and margins.
Between the USDA Federal Milk Marketing Order Modernization hearing and efforts to pass a new farm bill, dairy’s policy plate is full this fall – with plenty of opportunities for different parts of the industry to argue over what’s their favorite dish.
That’s to be expected, and disagreement alone doesn’t forestall progress, said Peter Vitaliano, NMPF vice president for economic policy and market research, in a Dairy Defined podcast released today. “There’s always been contention in this industry, and as an economist, I can appreciate that, because there are genuine economic interests at stake,” he said. “So certain conflicts are inevitable, and they tend to come out in an issue such as federal orders.”
But that said, NMPF’s proposal for comprehensive modernization remains the strongest path forward, as shown in hearing testimony. “It’s almost two years now since National Milk began crafting a very carefully balanced proposal that is in the interest of dairy farmers and their marketing cooperatives,” he said. “I think we’re doing a great job of presenting our case at this hearing. That’s the whole purpose of the hearing, to make our case in great detail based on factual evidence for our proposal, which our board of directors approved unanimously.”
Vitaliano is joined on the podcast by Executive Vice president for Government Relations Paul Bleiberg, discussing the likely path forward for yet-to-be-passed farm bill, a twice-a-decade reauthorization of USDA programs that expired Sept. 30.
For more information on NMPF’s FMMO efforts and to follow the hearing, click here. The full podcast is here. You can also find the podcast on Apple Podcasts, Spotify and Google Podcasts. Broadcast outlets may use the MP3 file below. Please attribute information
By Shawna Morris, Executive Vice President, Trade Policy & Global Affairs, National Milk Producers Federation
In business, a top customer is a very important relationship, one that requires careful tending and cultivation to maintain. The best business relationships are two-way streets, with each party tending to the other’s needs with care. These are simple principles for successful commerce — but they also seem to have been forgotten in the European Union (EU) when it comes to dairy.
The U.S. is one of the EU’s top food and agricultural export markets; in dairy alone, it shipped an eye-popping $2.7 billion of cheese, butter, food preparations, and other dairy products to America. This year it’s on track to top that record, with sales through July up 12%. The U.S. is a major and lucrative market for the EU’s dairy industry and other food sectors.
With all that on the line, it would be reasonable to expect the EU to prioritize U.S. trade concerns. Instead, the EU is increasingly seeking to use trade policy to dictate to the world — including American dairy farmers — how to farm and, while serving its own self-interest, how to properly produce products.
National Milk Producers Federation (NMPF) and U.S. Dairy Export Council (USDEC) staff met last week with the EU’s Health and Food Safety Agency on one of the EU’s latest policies advancing that goal. Article 118 is a rule slated to impose new restrictions on which veterinary medicines EU trading partners can use for any products destined for the EU. Given the interconnected nature of milk flows in the U.S., however, requirements for EU shipments can impact a much wider swath of U.S. production to avoid disrupting supply chain flexibilities.
In that meeting, NMPF and USDEC, together with the other U.S. agricultural organizations, strongly objected to the EU imposing its domestic farm process steps on American farmers. We also pointed out the importance of a two-way relationship: The EU relies on the United States continuing to reliably import billions of dollars of EU products that are produced in keeping with EU farm process requirements, not American ones.
NMPF staff, working closely with our partners at USDEC, has engaged with the U.S. government, other agricultural sectors, and the EU itself for the past few years in trying to shape the implementation of this regulation. Thanks to that extensive investment in staving off the worst edges of this ill-conceived EU policy, U.S. dairy exports aren’t expected to be affected by the initial list of targeted veterinary medicines. But what’s true today may not be tomorrow. NMPF continues to work on this issue to guard against any future inclusion of more broadly used safe veterinary medicines down the road.
Article 118 is just one of many policies the EU is pushing to foist its farming preferences onto the world’s farmers. Issuing specific animal welfare standards for trading partners is also under development, even though U.S. dairy farmers know how to farm safely and hold high standards while exporting to more than 100 markets worldwide. European bureaucracy does nothing to elevate the quality of U.S. dairy products, but it does risk exacerbating trade tensions.
Because of this growing EU tendency to attempt to serve as a global regulator, NMPF is encouraging the U.S. government to look more strategically at the U.S.-EU agricultural trade relationship. Every customer has its breaking point, and the U.S. should make clear to the EU that we are no different. The trans-Atlantic partnership between U.S. and EU interests is one of the world’s most important. But all good relationships are based on care and respect. We in dairy are urging the EU to tend its trade relationship with the U.S. more carefully, because if they don’t, the consequences will be pleasant for no one.
This column originally appeared in Hoard’s Dairyman Intel on October 5, 2023.
NMPF and USDEC coordinated a Sept. 8 U.S. Department of Transportation briefing on its Freight Logistics Optimization Works (FLOW) program to a group of members that have been engaged in the organizations’ supply chain working group.
A novel approach to optimizing supply chain data, FLOW allows U.S. stakeholders including ocean carriers, ports, motor carriers, railroads, warehousers and others to exchange data and better measure cargo traffic demand versus equipment supply. FLOW incorporates elements of the now-defunct USDA Ocean Shipping Container Availability Report, which NMPF and USDEC have long advocated for resuming. The two organizations are also pressing the U.S. government for increased transparency into the export supply chain, including through expanding dairy exporter participation in FLOW.
NMPF’s Jaime Castaneda traveled to Mexico on Sept. 25-27 with leadership from the U.S. Dairy Export Council (USDEC) and Dairy Management, Inc. (DMI) to reaffirm the U.S. dairy industry’s commitment to working with Mexico as a key dairy trading partner.
Krysta Harden, president and CEO of USDEC; Barb O’Brien, president and CEO of DMI; Alex Peterson, Missouri dairy producer and chair of USDEC; and Marilyn Hershey, Pennsylvania dairy producer and chair of DMI; and Castaneda took part in a series of meetings with government officials and local dairy industry leaders.
The delegation spoke to Mexico’s importance as a trade partner for the U.S. dairy industry and the organizations’ commitment to building on the foundation that the U.S.-Mexico-Canada Agreement has established. The U.S. delegation emphasized the commonality between Mexico and the U.S. dairy industries and the need to defend dairy’s image and provide nutrition to consumers in both countries.
Castaneda raised strong objections to any geographical indications restrictions that the European Union may seek to convince Mexico to impose if they would limit the ability of U.S. exporters to use common cheese names. He also urged the Mexican government to reject proposed regulatory standards that would create unnecessary barriers to trade.
In talks with allied organizations, NMPF, USDEC and DMI offered to collaborate on efforts to increase milk consumption in Mexico through educational and marketing campaigns.
