Tag: dairy sustainability

Climate Smart Ag Priorities Advance in House

Posted on by Theresa Sweeney

NMPF’s year-long advocacy for robust new conservation funding yielded another step forward as the House of Representatives passed its budget reconciliation measure on Nov. 19. The bill, now known as the Build Back Better Act, includes a once-in-a-generation, NMPF-backed $27 billion funding boost for conservation programs, with an emphasis on climate smart agricultural practices. This substantial funding will provide producers with technical assistance for sustainability and stewardship practices, which will be critical to realizing the dairy industry’s 2050 sustainability goals, as embodied in the Net Zero Initiative.

The House’s action is no small feat. Democratic leadership negotiated for months to find a compromise that would satisfy the various factions of their caucus while also fulfilling budget reconciliation requirements that allow the measure to pass the Senate with a simple majority. NMPF has worked throughout this process to further the interests crucial to dairy farmers and their cooperatives, both advocating for key provisions and urging against harmful efforts that would undermine dairy’s stewardship goals.

NMPF praised the new climate-smart ag investments in the bill as the measure moved closer to full House consideration. “Dairy farmers have long been proactive land and water stewards because they seize opportunities for innovation,” said NMPF President and CEO Jim Mulhern. “These investments will better position dairy farmers to proactively implement the dairy sector’s Net Zero Initiative and fulfill its 2050 environmental stewardship goals.” Mulhern also thanked Senate Agriculture Committee Chairwoman Debbie Stabenow (D-MI) for her leadership in spearheading the climate smart ag provisions.

Highlights among the bill’s investments:

  • $9 billion in new funds for the Environmental Quality Incentives Program, which provides important technical assistance to dairy farmers, targeted toward stewardship practices that can reduce greenhouse gas emissions;
  • $25 million annually for Conservation Innovation Trials, with the new funding targeted toward initiatives that use feed and diet management to reduce enteric methane emissions, which can comprise roughly one-third of a dairy farm’s greenhouse gas footprint. NMPF is excited for this opportunity to amplify its focus on innovative feed additives and rations that reduce enteric emissions;
  • A new cover crop initiative to pay producers $25 per acre of established cover crop practices to reduce nutrient runoff and soil erosion; and
  • $7.5 billion in new funds for the Regional Conservation Partnership Program, which funds locally developed, targeted partnership projects, with emphasis on initiatives that incentivize or target reduced methane emissions.

NMPF has also worked successfully to exclude from the measure proposed changes to the tax code which would have changed how and when capital gains on inherited assets are taxed, including inherited farms and other farm assets. NMPF has actively worked to prevent these changes – commonly referred to as modifying “stepped-up basis” – since they were initially floated earlier this year to pay for the spending initiatives in the larger package.

Thanks to significant NMPF-led advocacy, the tax-writing House Ways and Means Committee did not include these changes in its original portion of the measure, and the full House upheld the committee’s decision. “We are grateful that Congress is likely to heed our call and put aside problematic tax proposals that if enacted would have harmed the future of family farming,” Mulhern said.

The Senate is expected to take up the budget reconciliation package after Thanksgiving. The Senate will likely change the measure in some respects, which will require the House to vote on the revised version. NMPF does not anticipate modifications to the climate smart ag provisions or an attempt to insert the problematic capital gains taxes changes and will work closely with congressional offices to ensure that these dairy priorities make it across the finish line.

Dairy Groups Applaud Major Climate-Smart Agricultural Initiatives Touted at COP26

Posted on by Theresa Sweeney

The U.S. Dairy Export Council (USDEC) and National Milk Producers Federation (NMPF) applauded the U.S. Department of Agriculture’s announcement this week that it has joined the Pathways to Dairy Net Zero initiative as a formal supporter. The dairy groups also welcomed this week’s formal launch of the Agriculture Innovation Mission (AIM) for Climate.

These global agriculture efforts align with the approach U.S. dairy is taking to reduce its environmental impact through its Net Zero Initiative, which aims to achieve net-zero greenhouse gas emissions by 2050 and will help the U.S. dairy industry be an environmental solution now and in the future.

Pathways to Dairy Net Zero is a ground-breaking, multi-stakeholder initiative that aims to accelerate climate change action across the dairy sector. It is well-aligned with the U.S. dairy industry’s own Net Zero Initiative, launched last year, that reinforces its leadership within global agriculture as a source of climate solutions. AIM for Climate accelerates climate-smart agriculture and food systems innovation over the next five years by embracing practical solutions identified through investments in research and pilot programs. This is very similar to dairy’s Net Zero approach.

To help demonstrate the U.S. dairy industry’s commitment to sustainability and ensure our farmers, processors and exporters are well represented in this important global forum, USDEC’s senior vice president for Sustainability and Multilateral Affairs, Nick Gardner, was on the ground in Glasgow for COP26 events.

“Dairy farmers are proud to be part of the U.S. Dairy Net Zero Initiative to do our part in driving toward a global climate solution,” said Jim Mulhern, president, and CEO of NMPF. “USDA’s formal support for the Pathways to Dairy Net Zero, which NMPF also supports, will help to further catalyze this global effort by dairy sectors and governments around the world to foster sustainable production practices. We commend USDA’s global leadership in charting an incentive-based approach to encouraging sustainably managed livestock systems that can help feed a growing global population while minimizing environmental impacts.”

“With the world’s lowest greenhouse gas footprint per gallon of milk, U.S. dairy leads the world in sustainability. Yet we’re also deeply committed to making further progress as we work together with others in the U.S. and around the world to create environmental solutions that make U.S. dairy ever more competitive globally,” said Krysta Harden, president and CEO of USDEC. “Working together and with a firm commitment to the positive role that innovation and productivity can play in the sustainability arena, we’ll be able to help create the sustainable future so important to us all.”

Dairy Builds Progress on Sustainability as Legislation Inches Forward

Posted on by Theresa Sweeney

Members of Congress continue working on budget reconciliation and infrastructure legislation that, for all of its political challenges, could provide important support for U.S. dairy’s efforts to achieve net zero greenhouse gas emissions by 2050. We are hoping for a positive conclusion to this process: Strong candidates for inclusion in a final package are important policy gains for dairy that set up farms for new revenue streams and help achieve crucial industry goals. And once those measures are achieved, additional opportunities for dairy success lie ahead.

The biggest emerging opportunity in the current bills before Congress comes under the heading of “climate-smart agriculture” thanks to the leadership of Senate Agriculture Committee Chairwoman Debbie Stabenow.  The idea of farmer stewardship as a climate solution is a no-brainer within farming, but it’s picking up steam more broadly as a way to help farms prosper in a world in which climate change will be a bigger part of federal policy, regardless of which party is in charge. “Climate-smart” often can also mean “conservation smart” as well: That’s creating opportunities to re-examine federal conservation programs in ways that better fit dairy by emphasizing industry practices that can generate and yield meaningful environmental benefits. These can range from sequestering carbon in soil and reducing greenhouse gas emissions to creating new revenue streams from manure management.

Dairy has long supported robust conservation funding, but those programs haven’t always emphasized some of the stewardship practices in which dairy farmers excel most. Ample and appropriate climate-smart ag funding, as an element of the reconciliation package, will move conservation programs in the right direction, creating opportunities to recognize dairy farmers for the great work they’re doing and offering incentives for additional efforts including reducing enteric emissions through improved feed and diet management. That in turn supports the industry’s Net Zero goals and makes U.S. milk even more marketable for sustainability-conscious international customers.

Related to climate-smart progress is the Agriculture Environmental Stewardship Act, which would create a 30 percent investment tax credit to cover the upfront costs of nutrient separation technologies as well as methane digesters for a variety of different uses. The idea has found bipartisan support among tax-writing committees in both the House and Senate, and at least parts of the proposal are in vehicles that could be included in the budget reconciliation package. Doing so would create a great opportunity for producers to turn their environmental leadership into a balance-sheet gain.

These initiatives — and other benefits that range from expanded rural broadband to improved roads and bridges — make us enthusiastic about what the bills being negotiated could hold for dairy, especially with the sidelining of tax proposals that could have harmed the future of family dairy farming in this country. And beyond them, other industry goals are on track for success as well. Prominent among them is faster approval of the feed additives dairy needs to meet emissions goals and compete worldwide.

The Food and Drug Administration has long treated animal feed additives seeking market approval as drugs rather than as foods, a more cumbersome regulatory process that’s impeding a potential game-changer in reducing enteric emissions and meeting Net Zero goals. We’ve argued before FDA that the additives, which are absorbed via the digestive tract, should be treated as food. This year, we’re making progress in prevailing. Both the House and the Senate appropriations bills for the 2022 fiscal year include language looking at how we can get FDA to classify these additives appropriately – and importantly, include the funding needed to see that job through.

These gains, along with progress toward voluntary carbon markets and other initiatives, represent years of work from NMPF and its allies. It’s gratifying to see them nearing reality. It’s also important to note that even if some, or even all, of these goals aren’t reached in the next few weeks – if their legislative vehicles get snagged by the back-and-forth of Washington or some components aren’t included in a final agreement – the support they’ve attracted this year positions dairy well for the next farm bill, the writing of which will begin in earnest very soon. Patience will be rewarded.

These initiatives may not get the same attention as headline items like free community college or childcare, but for dairy, they represent real improvements in farmer fortunes. They don’t happen overnight – but they remind us why dairy’s future is exciting, and why even though the narrative may often be that “nothing’s getting done,” the fact is, sometimes progress happens. And we’re pleased to be helping it along.

CEO’s Corner: Dairy Builds Progress on Sustainability as Legislation Inches Forward

Posted on by Theresa Sweeney

Members of Congress continue working on budget reconciliation and infrastructure legislation that, for all of its political challenges, could provide important support for U.S. dairy’s efforts to achieve net zero greenhouse gas emissions by 2050. We are hoping for a positive conclusion to this process: Strong candidates for inclusion in a final package are important policy gains for dairy that set up farms for new revenue streams and help achieve crucial industry goals. And once those measures are achieved, additional opportunities for dairy success lie ahead.

The biggest emerging opportunity in the current bills before Congress comes under the heading of “climate-smart agriculture” thanks to the leadership of Senate Agriculture Committee Chairwoman Debbie Stabenow.  The idea of farmer stewardship as a climate solution is a no-brainer within farming, but it’s picking up steam more broadly as a way to help farms prosper in a world in which climate change will be a bigger part of federal policy, regardless of which party is in charge. “Climate-smart” often can also mean “conservation smart” as well: That’s creating opportunities to re-examine federal conservation programs in ways that better fit dairy by emphasizing industry practices that can generate and yield meaningful environmental benefits. These can range from sequestering carbon in soil and reducing greenhouse gas emissions to creating new revenue streams from manure management.

Dairy has long supported robust conservation funding, but those programs haven’t always emphasized some of the stewardship practices in which dairy farmers excel most. Ample and appropriate climate-smart ag funding, as an element of the reconciliation package, will move conservation programs in the right direction, creating opportunities to recognize dairy farmers for the great work they’re doing and offering incentives for additional efforts including reducing enteric emissions through improved feed and diet management. That in turn supports the industry’s Net Zero goals and makes U.S. milk even more marketable for sustainability-conscious international customers.

Related to climate-smart progress is the Agriculture Environmental Stewardship Act, which would create a 30 percent investment tax credit to cover the upfront costs of nutrient separation technologies as well as methane digesters for a variety of different uses. The idea has found bipartisan support among tax-writing committees in both the House and Senate, and at least parts of the proposal are in vehicles that could be included in the budget reconciliation package. Doing so would create a great opportunity for producers to turn their environmental leadership into a balance-sheet gain.

These initiatives — and other benefits that range from expanded rural broadband to improved roads and bridges — make us enthusiastic about what the bills being negotiated could hold for dairy, especially with the sidelining of tax proposals that could have harmed the future of family dairy farming in this country. And beyond them, other industry goals are on track for success as well. Prominent among them is faster approval of the feed additives dairy needs to meet emissions goals and compete worldwide.

The Food and Drug Administration has long treated animal feed additives seeking market approval as drugs rather than as foods, a more cumbersome regulatory process that’s impeding a potential game-changer in reducing enteric emissions and meeting Net Zero goals. We’ve argued before FDA that the additives, which are absorbed via the digestive tract, should be treated as food. This year, we’re making progress in prevailing. Both the House and the Senate appropriations bills for the 2022 fiscal year include language looking at how we can get FDA to classify these additives appropriately – and importantly, include the funding needed to see that job through.

These gains, along with progress toward voluntary carbon markets and other initiatives, represent years of work from NMPF and its allies. It’s gratifying to see them nearing reality. It’s also important to note that even if some, or even all, of these goals aren’t reached in the next few weeks – if their legislative vehicles get snagged by the back-and-forth of Washington or some components aren’t included in a final agreement – the support they’ve attracted this year positions dairy well for the next farm bill, the writing of which will begin in earnest very soon. Patience will be rewarded.

These initiatives may not get the same attention as headline items like free community college or childcare, but for dairy, they represent real improvements in farmer fortunes. They don’t happen overnight – but they remind us why dairy’s future is exciting, and why even though the narrative may often be that “nothing’s getting done,” the fact is, sometimes progress happens. And we’re pleased to be helping it along.

NMPF, NCFC Lead Coalition Backing Climate-Smart Ag Investments

Posted on by Theresa Sweeney

The National Milk Producers Federation (NMPF) and the National Council of Farmer Cooperatives (NCFC) on Aug. 5 led a coalition of 12 agricultural and conservation organizations on a letter advocating for significant new funding for climate-smart agricultural practices that can help farmers to build on their environmental stewardship leadership.

Congressional efforts toward infrastructure legislation provide opportunities for substantial new investments in conservation support, with more emphasis on climate-smart agricultural practices. USDA conservation financial incentives provide farmers with voluntary technical assistance to carry out numerous stewardship practices. But more can be done to enhance practices that can yield meaningful environmental benefits, such as climate-smart manure and feed management on dairy farms.

“Dairy farmers are proactive stewards of their land and water resources, but they are always seeking to innovate further. Dairy farmers in 2020 committed to become carbon-neutral or better by 2050 and maximize water quality around the country. Bolstering conservation investment and focusing on climate-smart practices better positions dairy farmers to fulfill the dairy sector’s 2050 environmental stewardship goals as envisioned in the Net Zero Initiative,” said Jim Mulhern, president and CEO of NMPF.

NMPF, NCFC, and their colleagues call in the letter for increased spending on conservation incentives, including strong technical and financial assistance, with a greater focus on climate-smart practices. The organizations also support new rural broadband resources in pending infrastructure legislation. The letter also reiterates the signers’ major concerns regarding several proposed changes to tax policy that would undermine the transfer of family farms from one generation to the next.

Congress is expected this fall to pass a major budget package using a process known as reconciliation, which eliminates the 60-vote threshold normally needed to adopt legislation in the Senate. The budget resolution Congress is advancing this month to tee up that bill includes instructions to the House and Senate Agriculture Committees to enable them to boost funding for conservation and climate smart ag practices. The Senate passed the budget resolution on Aug. 11, and the House subsequently adopted it Aug. 24.

Organizations that joined NMPF and NCFC on the letter include the Agricultural Retailers Association, American Seed Trade Association, CropLife America, National Association of Conservation Districts, National Association of State Departments of Agriculture, National Association of Wheat Growers, National Farmers Union, National Potato Council, Produce Marketing Association, and U.S. Apple Association.

Net Zero Initiative Policy Path Moves Forward

Posted on by Theresa Sweeney

NMPF worked throughout May to leverage regulatory and legislative opportunities to improve dairy farmer access to financial resources as well as voluntary ecosystem services trading markets that enhance affordability and revenue opportunities, continues its advocacy on behalf of U.S. dairy farmers as global leaders in addressing climate change,.

These most recent efforts included comments to USDA to improve NRCS conservation practice standards to meet real-world dairy farm needs; meeting with FDA to streamline regulatory approval of feed additives which may reduce enteric methane; and working through coalitions such as the Food and Agriculture Climate Alliance to advocate for legislation to make access to voluntary ecosystem service markets easier.

NMPF on April 29 submitted a series of comments to USDA on the Executive Order on Tackling the Climate Crisis at Home and Abroad. President Biden issued the Executive Order on Jan. 27 “to pursue action at home and abroad in order to avoid the most catastrophic impacts of that crisis and to seize the opportunity that tackling climate change presents.  Domestic action must go hand in hand with United States international leadership, aimed at significantly enhancing global action.” The comments spoke to the ability of U.S. dairy and U.S. agriculture in general to be environmental solutions to climate change. The three sets of comments are:

CEO’s Corner: Trade + Sustainability = Dairy’s Next Frontier

Posted on by Theresa Sweeney

Among all the great stories dairy can tell in 2021 as it celebrates National Dairy Month in June, from its reaffirmation by grocery shoppers to farmer leadership in COVID-19 vaccine drives, the sector’s gains in global trade is a true standout. U.S. dairy exports volumes reached a record in March, with the percentage of domestic milk production sent overseas that month the second highest ever. Revenues are also increasing – the $688 million worth of dairy products shipped abroad in March was the highest since 2014.

Trade is always top of mind at the National Milk Producers Federation, and of course at the U.S. Dairy Export Council, with whom we work closely. As the U.S. dairy-farmer organization that encompasses the full range of issues that shape a farmer’s success, we at NMPF are also focused on an important part of the trade story that’s less obvious, but increasingly important: how boosting dairy sales overseas depends on progress on sustainability investments at home. Just as it is in the United States, sustainability is increasingly becoming crucial for global consumers. The good news is U.S. dairy is a leader globally on sustainability just as it is on quality and affordability – crucial considerations for feeding the world, which ultimately benefits both farmers at home and consumers abroad.

First, the part we’ve always known: U.S. dairy farmers deliver affordable nutrition that meets global food-security needs. Nutrient-dense U.S. dairy products have nourished billions of people worldwide. They provide nutrients critical to preventing and addressing malnutrition, including high-quality protein, calcium, phosphorus, potassium, iodine, and vitamins B2 and B12. And because U.S. dairy combines high quality and competitive cost, its export creates broad-based nutritional benefits worldwide.

But another, increasingly important element of U.S. dairy’s appeal is its world-leading sustainability. Even as they produce high-quality, affordable products, U.S. dairy cooperatives and the entire industry are cultivating and supporting sustainable food systems that are good for people, animals, and the planet. This serves global consumers and reflects their needs. It dovetails with the environmental, economic and social aspects of sustainability as defined by the UN Food and Agriculture Organization, and it also aligns with the values of stewardship U.S. dairy farmers have always embodied. Sustainability matters to dairy, as U.S. consumers have discovered — and as the world increasingly knows.

U.S. dairy’s commitments are tangible and measurable. The industry’s 2050 Environmental Stewardship Goals and its Net Zero Initiative are putting the U.S. dairy sector on a path toward becoming carbon neutral or better by 2050 while optimizing water use and improving water quality. The same emphasis on sustainable production is at the core of the National Dairy FARM Program, which helps U.S. dairy farmers remain leaders in animal care, environmental stewardship, workforce development, antibiotic stewardship, and biosecurity.

Such sector-wide emphasis on best practices and sustainability leadership has already brought results. Innovative farming practices helped reduce dairy’s carbon footprint per gallon of milk by 19 percent from 2007 to 2017, while using 30 percent less water and 21 percent less land. UN FAO research has found that North America was the only region in the world to reduce farm-level dairy greenhouse gas (GHG) emissions between 2005 and 2015, even as milk production increased.

Choosing American milk products directly reduces global dairy emissions. That’s a great message for the world about U.S. milk. And make no mistake, the world needs what we have to offer. Global dairy consumption is expected to rise 16 percent in the next decade, and with competitors such as New Zealand and the European Union facing constraints on production due to their own policies, the opportunities for U.S. dairy brought through sustainable production are real.

So let’s raise a glass to sustainability this National Dairy Month. U.S. dairy farmers and its world of consumers are working to improve their health and the health of their planet every day. This is a success that can be sustained. And in the U.S. dairy community, it is what we pledge to do.

Dairy Defines Sustainability, Land O’Lakes’ Kappelman Says

Posted on by Theresa Sweeney

Sustainability is shaping the U.S. dairy industry’s future, making it better equipped to make sure the world has the nutrition it needs, says Pete Kappelman, a longtime dairy farmer and Land O’Lakes’ Senior Vice President of Member and Government Relations.

“U.S. dairy farmers are deeply involved and concerned about the many communities that they touch. And that starts with producing a safe, nutritious, affordable food, but it also includes things like being good stewards of the land, for the good of the planet,” as well as being able to pass a farm down to future generations, said Kappelman in a Dairy Defined podcast released today. “In order to feed a growing population, we’ve got to work together across continents, across cultures and markets to make abundant nutritious food available so everyone can realize their full potential.”

Kappelman also discusses industrywide sustainability commitments and Land O’Lakes Venture 37, which delivers market insights and technical expertise to agricultural development projects worldwide. 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. Please attribute information to NMPF.