NMPF Statement on Electoral-Vote Certification and Condemnation of Insurrection at U.S. Capitol

From NMPF President and CEO Jim Mulhern:

The National Milk Producers Federation congratulates incoming President Joe Biden and Vice President Kamala Harris, and we applaud the culmination of the democratic process achieved at the U.S. Capitol early this morning under previously unimaginable circumstances.

Yesterday’s reprehensible violence was an attack on our democracy, intended to undermine the results of a free and fair election and desecrate the sovereign will of the American people. Peaceful protest is a cornerstone of our society; yesterday’s insurrection put thousands of lives in danger in a brazen mob attempt to disrupt the peaceful transfer of power that has marked our country since its founding and has always set apart the United States as an example to the rest of the world.

We are grateful to the many professionals who kept our friends, colleagues and fellow citizens safe during this trying ordeal. We emphatically reject the rhetoric of elected officials whose words encouraged and perpetuated yesterday’s assault on our democracy. And we pledge to do our part to work with the Biden Administration and Congress to move our country forward this year, always supporting the democratic ideals that remain the foundation of these United States.

NMPF Thanks Congress for Dairy Provisions in COVID Assistance Package

The National Milk Producers Federation (NMPF) thanked Congress today for the positive steps it is taking through COVID relief legislation to assist dairy farmers who have faced unprecedented market volatility while working every day to nourish struggling families.

“With difficult months of the pandemic still ahead, it was crucial for lawmakers to come to a bipartisan agreement that helps farmers do what they do best: feed families. To do this, they need financial stability and ways to connect to families in need. We thank Congress for its leadership, and we look forward to working with USDA in implementing this legislation. Importantly, this package includes nearly $1 billion in targeted support to help dairy producers continue to feed families throughout these difficult times,” said Jim Mulhern, NMPF president and CEO.

Highlights of the pandemic legislative package for dairy producers include:

  • Dairy Donation Program – the measure provides $400 million for a new NMPF-backed Dairy Donation Program to help dairy stakeholders and non-profits work together to provide dairy products to food-insecure households and minimize food waste. This program is carefully balanced and is open to all dairy products. NMPF is grateful to Senator Debbie Stabenow (D-MI) and Rep. Collin Peterson (D-MN) for their leadership in securing this and other dairy provisions in the package.
  • Payment Limits Flexibility – the bill includes dedicated funding to allow USDA to provide additional compensation to producers who were unable to receive the full support they needed under the Coronavirus Food Assistance Program on account of payment limitations. NMPF thanks Rep. Mike Conaway (R-TX) for advocating for this provision, as well as the many members who have sought flexibility on this front all year long including Sens. Jerry Moran (R-KS) and Dianne Feinstein (D-CA) and Rep. Jim Costa (D-CA).
  • Supplemental DMC Payments – the measure establishes Supplemental Dairy Margin Coverage payments for farms that have increased their DMC production history since 2014. These payments will be based on the difference between the farm’s 2019 actual production and its DMC production history. While the provision is targeted to smaller operations, it will enhance the farm bill baseline for all dairy farmers as it runs concurrently with DMC up to 2023.
  • Paycheck Protection Improvements – the bill includes the bipartisan NMPF-backed Paycheck Protection for Producers Act which would make the Paycheck Protection Program work better for sole proprietor, independent contractor, and self-employed dairy farmers by allowing them to use their 2019 gross farm income to determine their PPP loan amounts. NMPF commends Sens. John Thune (R-SD) and Tammy Baldwin (D-WI) and Reps. Ron Kind (D-WI), Glenn ‘GT’ Thompson (R-PA), Anthony Brindisi (D-NY), and John Joyce (R-PA) for their work on this measure.

Dairy producers will also be eligible for support in the $11 billion agricultural disaster assistance package Congress has included in the legislation, with additional details expected in coming days. Of note, at least $1.5 billion of this package is dedicated to additional product purchases.

NMPF has served its members as the leading advocate for U.S. dairy farmers throughout the coronavirus pandemic. It has also been an industry leader in providing useful informational resources for the dairy sector.

Podcast: Sen. Pat Roberts on His Past and Agriculture’s Future

Senate Agriculture Committee Chairman Pat Roberts is leaving Congress after 40 years in January. The only person to lead both the House and Senate agriculture committees takes with him a wealth of wisdom in agriculture policy – but also holds optimism for agriculture’s ability to get things done in an environment of difficult challenges.

“I would just say that I am very confident that the people who will be taking my place, they have a lot of experience,” Roberts said in a Dairy Defined interview released today. “They’re good folks. I think the same attempt, at least, with regards to making it bipartisan, will continue.”

Roberts, who first came to Washington as a congressional staffer a half-century ago, also reflects on the two farm bills he led — 1996’s Freedom to Farm law and the 2018 bill — as well as one area where he wished he could have done more: his leadership of the Senate Intelligence Committee during the Iraq War. He also said he doesn’t consider his career to be over – without revealing plans, he said that when it comes to farm policy, “I intend to have my finger in the pie somewhere.”

To listen to the full discussion, click here. You can also find this and other NMPF podcasts on iHeartRadio, Apple Podcasts, SpotifySoundCloud and Google Play. Broadcast outlets may use the MP3 file. Please attribute information to NMPF.

On Final Day, NMPF Urges Dairy Farmers to Sign Up for DMC

The National Milk Producers Federation (NMPF) is urging dairy farmers to sign up for 2021 coverage under the Dairy Margin Coverage (DMC) program if they haven’t yet done so, as today is the final day producers may enroll in the main federal dairy-farmer risk-management program. NMPF is advising any producer who wants to enroll in DMC for 2021 to contact their local Farm Service Agency office by the close of business today to at least notify them of intent to enroll.

“Given the current economic outlook and the heightened uncertainties of 2021, DMC signup, especially at the maximum $9.50 coverage level, is the rational choice for dairy producers,” said Jim Mulhern, NMPF President and CEO. “But to take advantage of this program, farmers need to sign up now.”

The DMC, the main federal risk-protection tool for dairy farmers, is currently projected to pay all producers enrolled at the maximum $9.50/cwt. coverage level through much of 2021. The program, which by year’s end may end up with payments for five months of 2020, offers protection against volatile market conditions that are expected to persist well into next year.

NMPF has produced an easy-to-digest brochure highlighting the benefits of DMC coverage and an explanation of how the program works. Dairy producers can also visit NMPF’s page on risk management to learn more about DMC and other tools to promote financial security for dairy operations.

Today is also the signup deadline for the second round of Coronavirus Food Assistance Program disaster payments.

Dairy Industry Applauds USTR Action to Address Canadian TRQ Violations

The U.S. Dairy Export Council (USDEC) and the National Milk Producers Federation (NMPF) applaud today’s announcement that the U.S. Trade Representative (USTR) will initiate official consultations with Canada to examine the administration of its dairy Tariff Rate Quota (TRQ) obligations. The two organizations, with strong bipartisan backing from Congress, have long raised the alarm about the need to ensure the United States-Mexico-Canada Agreement (USMCA) is fully enforced, due to Canada’s history of undermining its trade commitments.

“USMCA is designed to improve trade with Canada, while modifying some of Canada’s trade-distorting dairy policies. We knew from day one that enforcement would be key to bringing the intended benefits home to America’s dairy industry. I applaud USTR for hearing our concerns and relying on our guidance to take this critical enforcement step to ensure that the agreement is executed in both letter and spirit,” said Tom Vilsack, president and CEO of USDEC. “This is the critical first step, but more work may be needed to ensure Canada complies with its Class 7 related USMCA commitments as well.”

Even prior to its entry into force, USDEC and NMPF monitored Canada’s actions regarding its USMCA commitments and urged Congress and the administration to make this a priority as soon as USMCA entered into force. Canada has distorted its TRQ administration to limit imports from the U.S. Earlier this year, USDEC and NMPF highlighted for USTR and the U.S. Department of Agriculture (USDA) the inconsistencies between Canada’s dairy TRQ allocations and Canada’s USMCA obligations. In a detailed filing submitted to the administration, NMPF and USDEC provided the agencies with a specific legal review of the Canadian TRQ system and an explanation of the negative impacts resulting from them.

“America’s dairy farmers appreciate USTR’s commitment to the fair and transparent enforcement of USMCA. Enforcement has been one of the top priorities of our industry since the final agreement was announced, and we’ve worked diligently to ensure that it remains one of USTR’s top priorities, as well. Only when Canada is held fully accountable to its trade commitments will America’s dairy farmers be able to realize the full benefit of the provisions that the U.S. government worked so hard to secure,” said Jim Mulhern, president and CEO of NMPF. “We look forward to working closely with the incoming administration as well since enforcement efforts are likely to require sustained focus going forward.”

The concerns raised by USDEC and NMPF have been echoed by a broad bipartisan coalition of members of Congress. In August, 104 Representatives sent a letter to USTR and USDA asking for Canada to be held accountable to its trade promises while a letter in the Senate was signed by 25 Senators. USDEC and NMPF commend the continued engagement of so many members of Congress on this important issue.

Dairy Defined: Where Dairy Terms are Done Right – a Photo Essay

This week’s Dairy Defined is a little different: It’s a multi-lingual tour of alternative beverages, coming to you from the European Union, where an oat drink is called … an oat drink.

While many EU dairy policies leave much to be desired, its approach to dairy labeling shows how it’s possible to name beverages accurately, no matter what fake-milk marketers and FDA inaction may enable in the United States. From “hirse” and “chanvre” to “amande” and “soja,” EU grocery shoppers have a wealth of plant-based beverages to choose from – and somehow those beverages manage to exist, like they do in almost the entire world, without being called milk.

Don’t believe it? Click here for proof.

NMPF Celebrates Rep. Glenn Thompson’s Election as Ranking Member of House Agriculture Committee

The National Milk Producers Federation today congratulated Representative Glenn ‘GT’ Thompson (R-PA) on being elected by his colleagues to serve as the Ranking Member of the House Agriculture Committee in the 117th Congress. Rep. Thompson is the descendant of a long line of dairy farmers and been a champion of dairy producers on the House Agriculture Committee since coming to Congress in 2009.

“We have enjoyed working with Congressman Thompson and his team for years. GT has been a vocal and effective advocate for the needs of dairy farmers in Pennsylvania and throughout the country,” said Jim Mulhern, NMPF president and CEO. “He also has a keen understanding of the need to build a vibrant rural economy to sustain a safe, abundant, and affordable food supply to nourish our country and our planet.”

During his time in Congress, Rep. Thompson has played a critical role in enacting bipartisan policies that create an effective climate for dairy farmers and their cooperatives to produce safe, healthy dairy products in an environmentally sustainable manner. As Vice Chairman of the Agriculture Committee, GT worked with his colleagues to secure much-needed dairy policy reforms, culminating in the Dairy Margin Coverage program created in the 2018 Farm Bill.

Congressman Thompson served as Chairman of the Conservation and Nutrition Subcommittees during the writing of the last two farm bills. He has championed bipartisan legislation to improve the effectiveness of farm bill conservation programs and to enhance consumption of nutritious dairy products. In addition, GT has been a vocal advocate for expanding markets for all farmers, helping to push through the US-Mexico-Canada Agreement last year.

“Congressman Thompson’s bipartisan record of achievement speaks for itself, and we are eager to work with him to build on that record as he assumes his new role,” said Mulhern. “We congratulate GT on his appointment as Ranking Member and know he will continue to be a leading voice in the House for dairy and all of agriculture.”

NMPF featured Rep. Thompson on its Dairy Defined podcast earlier this year. The full interview is available here.

Reminder: NMPF Dairy-Economy Webinar Today; DMC Brochure Available

To better inform the dairy community of what it should expect from next year’s economy as well as what risk-management options are available, the National Milk Producers Federation is offering a free webinar today at 1:30 EST to help them develop effective risk management plans that can protect them in what’s predicted to be a volatile 2021. Registration is here.

NMPF Chief Economist Peter Vitaliano will discuss the dairy price outlook for next year and the value of risk management tools, including Dairy Margin Coverage, in the webinar moderated by Chris Galen, NMPF’s Senior Vice President for Member Services. Participants will be able to ask questions about the year ahead and learn more about how farmers can manage their risk through expected turbulence.  The webinar will examine the milk and feed price forecast, forecast margins, and analyze how the Dairy Margin Coverage program will offer farmers protection against price volatility.

The deadline for DMC signup, as well as signups for the latest round of the Coronavirus Food Assistance Program, is Dec. 11. The DMC also offers affordable protection to all producers against price catastrophes and can be used in tandem with other risk management tools, such as the Dairy-Revenue Protection and the Livestock Gross Margin programs. NMPF has also produced an easy-to-digest brochure highlighting the benefits of DMC coverage and an explanation of how the program works. Dairy producers can also visit NMPF’s page on risk management to learn more about DMC, CFAP and other tools to promote financial security for dairy operations.

NMPF Awarded USDA Grant to Advance On-farm Biosecurity

The National Milk Producers Federation today was awarded funding from the U.S. Department of Agriculture’s (USDA) Animal and Plant Health Inspection Service (APHIS) to develop and improve biosecurity on U.S. dairy farms.  

As one of two livestock industry organizations chosen along with 16 state animal health authorities and 14 land-grant universitiesNMPF will use the $488,603 grant to implement and coordinate the Secure Milk Supply (SMS) plan and develop biosecurity program area through the National Dairy FARM Program (FARM). The FARM Animal Care program places an emphasis on biosecurity as a key element of dairy herd health and the grant funding will allow for further prioritization.  

“The dairy industry has partnered with USDA for more than a decade on the Secure Milk Supply PlanWith this new funding, we are eager to continue and expand our work on biosecurity through integration with FARM,” said Jim Mulhern, president and CEO of NMPF. We applaud USDA’s work to enhance the prevention, preparedness, detection, and response to animal diseases that threaten the viability of U.S. dairy farms.” 

The grant is funded by the 2018 Farm Bill as part of an overall strategy to help prevent animal pests and diseases from entering the U.S. and reduce the spread and impact of potential disease incursions through advance planning and preparedness. APHIS will distribute funding through the National Animal Disease Preparedness and Response Program (NADPRP) as well as the National Animal Health Laboratory Network (NAHLN) 

USDA has funded the NADPRP projects with the goal of individually and collectively addressing critical livestock biosecurity, large-scale depopulation and carcass disposal concerns in all major livestock industries across all U.S. regions. NMPF will apply the grant funding to advance biosecurity on dairy farms by partnering with stakeholders and experts including the Center for Food Security and Public Health at Iowa State University, dairy farmers, veterinarians, dairy cooperatives and processors, and state and federal animal health officials.  

October DMC Margins Above Trigger; Declines Expected in 2021

The monthly margin for October under the Dairy Margin Coverage (DMC) program increased by $1.93 per cwt from September’s margin, to $11.13 per cwt, meaning no payments to farmers for milk produced that month. Still, forecast margin declines made a compelling case for signup for the program in 2021, due by Dec. 11.

Both the milk-price and the feed-cost components of the margin formula increased in October; the milk price increase during the month, $2.30 per cwt, far outpaced the $0.57 per cwt higher feed cost. For the second month in a row, both the corn and soybean meal prices were higher by appreciable amounts in October.

As the DMC 2021 deadline approaches, futures markets continue to indicate that margins will drop below $9.50 per cwt early next year and remain well below that level through at least next summer. As this year proved, making the decision to sign up for the program based on the market outlook near the end of the enrollment period can be very misleading, and that signing up should be the default decision in any case. But for next year, the outlook further reinforces that indication, erasing any residual uncertainty about participating next year at $9.50 per cwt for the first five million pounds of production history.

The DMC information page on NMPF’s website offers a variety of educational resources to help farmers make better use of the program. NMPF also is offering dairy farmers, cooperative members and state dairy associations a free webinar at 1:30 p.m. ET on Wednesday, Dec. 2, to help them develop effective risk management plans. Participants will be able to ask questions about the year ahead and learn more about how farmers can manage their risk through expected turbulence.

NMPF Strikes Bipartisan Tone as Election Results Become Clear

NMPF congratulated President-elect Joe Biden and members of the incoming 117th Congress as election results became clear in November, pledging to work with both political parties to craft solutions to dairy and agriculture’s needs.

“Congratulations to President-elect Biden and the incoming members of the 117th Congress, who will have a lot of work to do in this country, from legislating to building common ground,” said NMPF President and CEO Jim Mulhern in a Nov. 9 statement. “Dairy is ready to do its part and work with the administration and Congress to face difficult problems successfully, in the bipartisan spirit we have always practiced and believed in.”

NMPF that same day elaborated its commitment to cooperation in a Dairy Defined column that acknowledged political realities while pledging to be part of their solution. “Looking at the political landscape that’s coming into focus after the 2020 elections – the most bitter and viciously fought in anyone’s memory — it’s safe to say that for at least the next two years, bipartisanship isn’t everything. It’s the only thing, as hard as that may be for some to accept at this moment,” the column said.

NMPF followed up on social media with a series of tweets congratulating dairy champions who were re-relected to Congress, keeping dairy at the front of attention in Congress as lawmakers consider coronavirus-related stimulus legislation and other agriculture-related programs.

Washington May Be Divided, But Bipartisanship Aids Dairy Gains

A bitter election season is winding down, and the shape of the Biden Administration and Congress is becoming clear. Just as clear is another political reality: Washington next year will be, if anything, more closely divided than it was before.

That places bipartisanship at a premium, as any lasting solutions to policy challenges will require cooperation from both sides of the aisle. Fortunately, dairy is well-situated to play an important role in the agreements that will be necessary to get anything done in Washington, as evidenced by the many bipartisan policy gains that bore fruit for dairy in 2020.

Consider this. At the beginning of this year, dairy prices were projected at levels sufficient to keep income-over-feed-costs margins high enough to avoid triggering payments under the Dairy Margin Coverage Program. Instead, as the coronavirus crisis seized the nation beginning in March, prices plunged, leading to emergency-milk dumping and triggering about $200 million in payments to producers who enrolled in DMC.

That assistance came about because of the 2018 farm bill, passed with the support of both parties and including a revamp of dairy risk management tools that literally paid off at an incredibly crucial time. Signup for DMC coverage in 2021 is open until Dec. 11, and with payouts projected for the first eight months of the year, it’s important that farmers take advantage of this important program. Doing so directly delivers the benefits of effective bipartisan policymaking to the farm.

On top of DMC assistance, bipartisan cooperation yielded several benefits to dairy this year that have proven crucial to farmers’ economic health. The Coronavirus Food Assistance Program (the latest round of which also has a Dec. 11 signup deadline) bolstered many farmers’ cash flows, with two rounds of payments providing disaster assistance averaging as high as $2.47 per cwt for all milk marketed in 2020 and softening the blows of pandemic disruptions for many farm families. In tandem with CFAP, the Farmers to Families Food Box program has fed those in need and kept processors in business, benefiting communities, preserving jobs and ensuring that farmers have supply chains to serve.

NMPF also helped ensure that programs implemented for small businesses nationwide worked for dairy. The Paycheck Protection Program (PPP) and COVID-19 Economic Injury Disaster Loans (EIDLs), two coronavirus-related rescue measures implemented by the Small Business Administration (SBA), initially evolved from a hope to a frustration for dairy producers, who didn’t have equitable access to the programs. Working with allies, members of Congress from both parties, and administration officials, NMPF rectified many of the hurdles to the programs, increasing dairy’s access to the small business support as the SBA programs continued.

This more than $5 billion infusion of federal aid, and ongoing improvements in their administration, has been a difference-maker for dairies across the nation. Albeit, not all our farmers received the same level of support due to issues including payment limitations, organizational structures or market volatility. Nevertheless, in a telling statistic, the pace of dairy farm consolidation appears to be slowing this year – this is counterintuitive given the disruptions farms have faced, but a tribute to the effective efforts made to help farmers weather these storms.

All of it has been the product of fruitful collaboration, from within the dairy community as we at the National Milk Producers Federation and cooperatives and dairy associations across the country together pursued policy goals, to Capitol Hill, where champions in both parties spoke out on the need for dairy initiatives, and in the administration, which implemented programs funded by a Democratic House of Representatives and a Republican Senate for the betterment of dairy.

We’ve also fostered bipartisan collaboration on trade, with lawmakers from both parties calling for action against protectionist EU practices that inhibit dairy-export growth and defending the use of common cheese names. And we’ve worked for bipartisan agreement on immigration – a promising package passed in the House nearly one year ago stalled in the Senate as coronavirus demanded attention, but renewed efforts are expected in the next Congress.

In the near term, we remain hopeful that Congress may pass another COVID-19 relief package this month, given the acute strains our health-care systems and economy are facing now and for at least the next several months. Times of crisis demand unity – and despite the tendency toward reflective naysaying about Washington, consensus is possible to achieve, as the gains of the past year have shown. NMPF is advocating for additional relief for dairy producers that reflects the losses they have suffered, no matter the size of an operation. We are also urging Congress to approve a dairy donation program that can maximize dairy consumption among food-insecure populations.

In 2021 NMPF will continue its work as an advocate for dairy producers and their cooperatives in policy decisions, with our hallmark bipartisanship giving us a seat at the table wherever, whenever, and with whomever is making important decisions affecting farmer livelihoods.