News for Dairy Co-Ops

U.S. dairy farmers are remaining resilient in the face of H5N1 influenza outbreaks while advancing in policy areas including nutrition and milk pricing, said NMPF Chairman Randy Mooney at the organization’s annual meeting held in Phoenix Oct. 21-23.

Dairy persists in its best practices in biosecurity and work with government officials, veterinarians and scientists to understand, contain and prevent Highly Pathogenic Avian Influenza in dairy cattle, Mooney said in remarks at the meeting held jointly by NMPF, the National Dairy Promotion and Research Board and the United Dairy Industry Association.

“Everything we do, the future is going to take a level of cooperation and coordination from all of us. And we’ve had that, but it’s going to take more than we’ve ever had,” said Mooney, a Dairy Farmers of America member-owner who farms near Rogersville, MO. “I continue to be inspired by all of you and the work that you’re doing. Amid great change and preparation for the future, we are still part of the greatest industry that there is.

Dairy producers in the past year have grappled with HPAI and delays on a farm bill that expired in September even as milk prices have risen and consumer demand has remained strong. Meanwhile, farm-level margins have remained at a record high for months, well above levels that trigger payments under the federal Dairy Margin Coverage program, the main producer safety net, even as dairy is poised for growth with upcoming dairy manufacturing plant expansions.

Underpinning the entire industry is USDA’s plan for Federal Milk Marketing Order modernization, which is likely to resemble a proposal released in July that incorporated key NMPF principles and would be voted on by dairy farmers early next year.

Also at the meeting, NMPF’s Board of Directors approved the organization’s policy positions and elected new members. New board members approved by NMPF delegates include:

• Darrin Monteiro, California Dairies Inc.
• Dan Kullot, Dairy Farmers of America
• Kimberly Parks, Dairy Farmers of America
• Deric Lindstrom, Ellsworth Cooperative Creamery
• Joel Eigenbrood, Foremost Farms
• Jon Cowell, Maola (formerly Maryland & Virginia Milk Producers Cooperative Association)

Cowell and Eigenbrood also were elected to NMPF’s Executive Committee. The board also elected Craig Caballero of United Dairymen of Arizona to serve as its secretary. In addition, Jacob Larson of Southeast Milk, Inc. was elected chairman of the Small Cooperative Caucus and, in turn, to NMPF’s Executive Committee.

The members awarded Honorary Directors for Life recognition to John Wilson and Kent Herman, both of Dairy Farmers of America; and Jay Bryant of Maola, NMPF’s outgoing secretary.

The meeting drew roughly 750 attendees and featured breakout sessions on industry topics ranging from an economic outlook to the National Dairy Farmers Assuring Responsible Management (FARM) Program’s Environmental Stewardship updates, to be released Oct. 31.

Featured panelists at the meeting’s general session included Doud, who appeared with fellow dairy CEOs Barb O’Brien of Dairy Management Inc. and Krysta Harden of the U.S. Dairy Export Council, along with a session on innovative dairy revenue streams that included Brent Lilienthal, president and CEO of LF Bioenergy; Katie Cook, vice president of livestock sustainability and U.S. farm animal marketing for Elanco; and Chris Cook, head of sustainable business solutions for Syngenta.

The annual meeting is also held in conjunction with NMPF’s Young Cooperators annual meeting for younger dairy leaders, as well as NMPF’s annual cheese contest.

FARM Program Environmental Stewardship (ES) Version 3 launched Oct. 31, supporting the dairy community’s efforts to achieve greenhouse gas neutrality by 2050. FARM ES Version 3 gives dairy farmers a scientifically robust tool with more advanced features to assess the impact of potential practice or technology changes.

The update is critical as dairy farmers, cooperatives and processors continue to look for ways to advance their sustainability efforts in ways that make business sense.

Version 3 incorporates the Ruminant Farm System (RuFaS) model, a whole-farm model that simulates dairy farm production and environmental impacts. The process-based RuFaS model follows biological, physical and chemical flows on the farm, enabling more granular environmental foot-printing and scenario analysis.

FARM ES Version 3 provides farmers an advanced report, including estimates of carbon sequestration and the ability to analyze the environmental and productivity impacts of various practices and technologies. Version 3 also contains optional data inputs, such as details on reproductive programs, culling information and cropping practices, for more tailored results.

A key focus for the rest of the year will be to collect farmer, FARM Evaluator and other stakeholder feedback to further refine Version 3. FARM plans to host stakeholder webinars to foster discussion about the new platform.

The monthly margin under the Dairy Margin Coverage (DMC) program rose by $1.85/cwt from August’s previous record level to $15.57/cwt, again the highest since margin protection became the basic dairy safety net program in January 2015.

The September all-milk price was $25.50/cwt, $1.90/cwt higher than the month before, while the DMC feed cost formula inched up from August by $0.05/cwt of milk, mostly on offsetting price moves for corn and premium alfalfa.

The end of October dairy and grain futures indicated that the DMC margin would average around $12/cwt for all of calendar year 2024.

Nearly 90 young dairy farmers and co-op coordinators representing 12 NMPF member cooperatives and 23 U.S. states convened for an intensive leadership training during the National Young Cooperators (YC) Program’s annual Leadership and Development Program, held in conjunction with the Joint Annual Meeting.

The professional development event held Oct. 20-21 included a workshop on building skills for effective cooperative governance; a presentation on intergenerational communication; a co-op leadership panel; a session on managing a team and a tour of Danzeisen Dairy, a Phoenix dairy processing company offering milk in glass bottles throughout the Southwest.

“Taking on this leadership role has expanded our perspectives, sharpened our skills and reinforced the importance of working cooperatively as an industry to achieve common goals,” said Chairpersons Matthew and Hannah Lansing of J&K Dairy in Sunnyside, WA. “Through our participation in the YC Program, we’ve gained a strong network of peers who share the same passion and dedication to the future of dairy. The connections we’ve made—both with other young farmers and with industry leaders—have been invaluable.”

The National YC Program has provided training and leadership development opportunities to beginning dairy farmers for more than 70 years, and aims to provide producers with the education, tools and resources they need to improve their leadership skills, profitability and resilience through year-round virtual and in-person programming.

The program is managed by NMPF and funded by its members with support from stakeholders including Farm Credit, Ever.Ag and Monument Advocacy. Employees and owners of dairy farms that are members of an NMPF member cooperative and under the age of 45, as well as co-op staff, are invited to participate.

Click here for more information and sign up here for program updates.

Ellsworth Cooperative Creamery took top honors in this year’s NMPF Dairy Products Competition, winning the Chairman’s Award with its Garden Vegetable with Sweet Basil Rub from Menomonie, WI.

This year’s annual edition of the contest for member cooperatives featured butter for the first time. The contest included 250 entries from 13 participating NMPF co-ops, a total of more than 3,500 pounds of cheese, yogurt and butter.

The entered products are assessed against scoring standards for cheese, yogurt or butter. NMPF thanks the judges for helping with the contest this year: Allison Reynolds (head judge), USDA, Dairy Grading Branch, Turlock, CA; Timothy Meyers, College of DuPage, Glenn Ellyn, IL; Gina Mode, Center for Dairy Research, University of Wisconsin, Madison; and Chad Galer, Dairy Management Inc., Rosemont, IL.

Ellsworth’s champion cheese was made by Team Menomonie. Upstate Niagara Cooperative won the Reserve Chairman’s Award for its Salted Butter produced in Batavia, NY. Best in Class awards included:

• Best Cheddar – Mild cheddar from Agri-Mark, Inc., Chateaugay, NY made by Team Chateaugay

• Best Cottage Cheese – Chive cottage cheese from Dairy Farmers of America, Farmington, MN made by Kemps LLC

• Best Italian – Provolone Non-Smoked w/ Lipase (Vat #13) from Foremost Farms, Richland Center, WI made by Bryan Allen and the Clayton Team

• Best Yogurt – 10% Plain Greek Yogurt from Agri‐Mark, Inc., Cabot, VT made by the Cabot Culture Plant

Extra dairy products from the contest were donated to Chefs to End Hunger, which provides meals to the hungry by redistributing the excess prepared food that would normally go to waste in hotels, restaurants, and other food service operations to local charitable organizations to serve the meals.

Farmer leaders in animal care, antibiotic stewardship, sustainability and workforce best practices, along with a top FARM Program evaluator, were recognized at the fourth annual FARM Excellence Awards presentation Oct. 22 during the Awards Luncheon at the 2024 Joint Annual Meeting of the NMPF, the National Dairy Promotion and Research Board and the United Dairy Industry Association in Phoenix.

The awards recognized three farms and one evaluator who go above and beyond industry standards and best management practices through their commitment to innovation and continuous improvement. The 2024 FARM Excellence Award recipients are:

• Animal Care & Antibiotic Stewardship — Carlson Dairy LLP (First District Association)
• Environmental Stewardship – Double S Dairy (Saputo Cheese USA, Inc.)
• Workforce Development — Oakridge Dairy (Dairy Farmers of America)
• Evaluator of the Year — Nicole Frank (First District Association)

The FARM Excellence Awards were created in 2021 to celebrate farms that are dedicated to continuous improvement in the FARM Program pillars, and to recognize a FARM Program evaluator for their exceptional care and attention to the farms they evaluate. The awards are judged by FARM Farmer Advisory Council members and other subject matter experts. Farms and evaluators can be nominated by fellow dairy farmers and evaluators, members of their communities, extension, cooperative or processor staff, veterinarians, or other industry professionals.

Visit the FARM website for more information about the FARM Excellence Awards.

CWT member cooperatives secured 89 contracts in October, adding 11.2 million pounds of product to CWT-assisted sales in 2024. In milk equivalent, this is equal to 100.9 million pounds of milk on a milkfat basis. These products will go to customers in Asia, Oceania, Middle East-North Africa, Europe, Central America, the Caribbean and South America and will be shipped from October 2024 through June 2025.

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 cheese, butter, anhydrous milkfat, cream cheese, or whole milk powder, moving products into world markets is essential. CWT provides a means to move domestic dairy products to overseas markets by helping to overcome U.S. dairy’s trade disadvantages.

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.

NMPF and the U.S. Dairy Export Council (USDEC) submitted Oct. 17 comments to the Office of the U.S. Trade Representative (USTR) highlighting access to Canada, Indonesian foot-dragging and EU protectionism as among the most pressing trade barriers affecting U.S. dairy exports for the agency’s National Trade Estimate report.

The annual report provides a comprehensive review of significant foreign trade and investment barriers to U.S. exports.

The comments underscore that U.S. dairy exporters face challenges accessing markets around the globe, ranging from unnecessary import certification requirements to attempts by trading partners to limit imports by sanitary requirements not grounded in science. NMPF and USDEC urged the U.S. government to prioritize issues in 37 markets, including:

• U.S. dairy access to the Canadian market, which has failed to the promises made by the US-Canada-Mexico Agreement (USMCA).
• Resolving Indonesia’s inability and/or unwillingness to register U.S. dairy plants in a timely and predictable manner.
• Countering the European Union’s attempts to monopolize common food names like “parmesan” and “feta” in markets around the world.

Read the full complete set of comments here.

NMPF and the FARM Program held sessions Oct. 3 and 4 exploring current industry happenings at the World Dairy Expo in Madison, WI. Dairy farmer members, NMPF staff and other industry experts participated, sharing insights and discussing ongoing efforts to drive the industry forward.

NMPF’s National YC Program kicked off Oct. 3 with a panel discussion on farm transition planning. NMPF members Ben Smith of Cool Lawn Farms in Remington, VA, Steve Ohlde of Ohlde Dairy in Linn, KS, Hannah Lansing of J&K Dairy in Sunnyside, WA and Myron Czech of Pike Hills Dairy in Little Falls, MN shared their experiences and insights with farm transitions.

Later that day, the FARM Program partnered with Uplevel Dairy Podcast to bring Expo attendees exclusive insights into the ongoing H5N1 animal health outbreak. Veterinary and producer perspectives were shared during the panel discussion, which discussed best practices for mitigating H5N1 risks and preparing for a potential outbreak. NMPF’s Miquela Hanselman shared recommendations to strengthen producers’ disease preparedness plans.

The day concluded with another panel discussion featuring Peter Vitaliano, NMPF’s Vice President of Economic Policy and Market Research, who examined the short- and long-term impacts of the Federal Milk Marketing Order (FMMO) modernization process on dairy farmers. He was joined by Land O’Lakes’ Pete Kappelman and Somula Schwoeppe, owner of Schwoeppe Dairy Farm. The panel discussed the USDA’s proposed updates and next steps in the FMMO modernization process.

NMPF’s National YC Program partnered with the Dairy Girl Network on Oct. 4 to host a panel featuring women leaders in the U.S. dairy industry. The event, which reached over 1,500 attendees and livestream viewers, included Krysta Harden of the U.S. Dairy Export Council, Joanna Shipp of Bowmont Dairy, Krista Knigge from the Wisconsin Department of Agriculture, Trade and Consumer Protection, and Gertie van den Goor of Goma Dairy Farm. The discussion highlighted leadership experiences, strategies for overcoming industry challenges and the evolving role of women in dairy.

A port workers strike that threatened millions in U.S. dairy exports was successfully limited Oct. 4, after NMPF and the U.S. Dairy Export Council (USDEC) called on the Biden Administration to intervene in the port workers strike.

NMPF and USDEC in an Oct. 1 joint statement and Oct. 2 industry letter co-signed by more than 270  agricultural, manufacturing, retail and additional supply chain stakeholders helped apply pressure on the negotiating parties, who agreed to resume work on Oct. 4.

More than $4.5 million in U.S. dairy exports moved through east and gulf coast ports in 2023 and a work stoppage forced exporters to cancel shipments and undertake costly reroutes. NMPF and USDEC relayed information between exporters and USDA to highlight and address storage and rerouting challenges as a result of the strike.

The International Longshoremen’s Association reached a tentative agreement with the United States Maritime Alliance to suspend the strike and resume normal operations on Oct. 3. NMPF and USDEC welcomed the end to the strike and pressed both parties to come to a long-term agreement before the current contract extension expires on Jan. 15, 2025.

Prairie Farms Dairy, Inc., took top honors in NMPF’s annual cooperative communications contest, winning five categories and the competition’s “Best in Show: Writing” award announced Oct. 10. A farmer-owner of Michigan Milk Producers Association (MMPA), Doug Chapin, received NMPF’s Farmer Communicator of the Year award.

Edwardsville, IL-based Prairie Farms also took one second-place finish and two third-place finishes in the competition, which recognizes the top communications efforts among NMPF’s member cooperatives. The Best of Show: Writing award was given for Prairie Farms’s  article, “R-Homestead Holsteins – 150 Years of Family Tradition.”

“This was a good feature showing the history of a small Illinois dairy with the father, Dave, having a long history of activism in Illinois boards and commissions,” the competition review wrote. “The story also touches on challenges such as why an 80-head dairy hasn’t expanded like others. It also highlights Dave’s interest in genetics with his herd as well. It’s a good, rounded, thorough story of a single family farm.”

Chapin was recognized for his leadership in communicating farmer and co-op perspectives on challenging issues that were of top priority to dairy farmers and the entire industry throughout 2024, including dairy’s response to the discovery of the H5N1 influenza virus in dairy cattle and efforts to modernize the Federal Milk Marketing Order system.

At a time when simply speaking out on H5N1 invited additional scrutiny, Chapin ably represented dairy farmers and the cooperatives they owned by addressing consumer and industry concerns during moments of great uncertainty early in the H5N1 outbreak.

“During the H5N1 crisis in Michigan, Doug was instrumental in advocating to legislators for a science-based regulatory approach, representing dairy interests to the media, and maintaining critical industry relations within the agriculture community,” Michigan Milk Producers Association said in its nomination letter. “His efforts ensured that the dairy community’s perspective was front and center, demonstrating his unwavering commitment to the industry and the health and safety of workers and cattle.”

Chapin also “played a crucial role in the Federal Milk Marketing Order reform by testifying on behalf of NMPF and the Michigan Milk Producers Association,” MMPA continued. “He advocated for the higher of Class 3 or 4 proposal for the Class I skim milk price mover, supporting his testimony with data and his farm’s experience during the pandemic. His participation ensured that his peers’ voices were heard in the reform process.”

Chapin is the chairman of the board for MMPA and a member of NMPF’s executive committee. He farms near Remus, MI. In an NMPF Farmer Focus article to be published later this month, he said that in the early days of H5N1, dealing with uncertainty about the virus and the necessity of a response by state and federal officials. “Our objective was to make sure that the response made sense and was manageable by our dairy producers, to make sure that they could operate within the guidance that Michigan was putting out and work with the USDA,” he said.

“It’s important to remember that there is still a lot we don’t know about the virus, and early on, there was even less,” he continued. “So we wanted to make sure we were using real facts and the best science we had to make sure we were making good decisions.”

The “Best of Show” award is selected from the first-place entries in the contest’s main areas: publication, writing, graphics and special projects. In addition to Prairie Farms’s recognition in the writing category, Upstate Niagara Cooperative won publications for its annual report; Dairy Farmers of America won graphics for its photo, “Dairy Fountain at Sunset,” and Land O’Lakes won the special projects category with its video series, “Rural is Incredible.”