Taking a stand for true dairy products

By Clay Detlefsen, Senior Vice President for Environmental and Regulatory Affairs, NMPF.

It’s a tale that’s lasted decades too long. Plant-based companies continue to use dairy terms on their products, violating labeling laws as the Food and Drug Administration (FDA) continues to look the other way. But now a new kid has entered the conversation: synthetic “dairy” products that claim to be “animal-free,” yet worthy of a dairy name.

Synthetic dairy proteins are made in the lab by taking a section of a DNA sequence, programming or genetically modifying yeast and microflora with a specific DNA sequence and then using a precision fermentation to replicate it. The end product is a single whey protein, that’s then used to make products that companies are touting as dairy. That’s similar to the playbook the plant-based industry has run for years – and as research shows, it creates a false equivalence among consumers.

However, these companies aren’t making actual dairy, like milk, cheese and ice cream. Dairy foods are extremely complex. They offer essential nutrients, numerous high-quality proteins, micronutrients, and hundreds of fatty acids, all of which interact with each other to deliver one of the most nutritious foods in the marketplace. Creating a single synthetic dairy protein and mixing it with other ingredients to make a synthetic food product – the method currently being developed for commercial products – doesn’t creating anything approaching the complexity of actual dairy.

The National Milk Producers Federation (NMPF) has been calling on FDA to enforce its own standards of identity for dairy for decades. This has included numerous meetings, comments, filing a Citizen Petition, and sending letters to the FDA Ombudsman. Last March, FDA sent Draft Guidance for Industry on the Labeling of Plant-based Milk Alternatives and Voluntary Nutrient Statements to the Office of Management and Budget. That document has yet to be released. In the meantime, we continue the fight for labeling integrity, for dairy farmers and for consumers.

NMPF’s largest concern with the misuse of dairy terms are the nutritional issues that have arisen in recent years from the use of plant-based beverages as alternative nutrition sources, especially in children. Because of plant-based products not following the labeling laws and using dairy terms on their products, consumers are assuming that they offer the same nutrient package as dairy products, which is inaccurate. In the most critical of cases, it has led to nutritional deficiency diseases like Kwashiorkor and rickets.

NMPF for decades has been baffled by why FDA has not enforced its rules, especially given that it results in human health harm.  Recently, FDA issued a new standard of identity for yogurt: In that rulemaking, FDA specifically calls out the importance of standards. But it seems FDA only cares about such standards when it comes to a real dairy product; with plant-based (and soon, we worry, lab-based) imitators, a Wild West mentality has prevailed. The inconsistency is frustrating. What they have been doing by allowing plant-based food companies to break all the labeling rules is simply wrong, and we cannot allow it to spread to the new up and coming lab-created, synthetic foods.

To better understand FDA’s haphazard approach to standards when applied to dairy, NMPF has sent a Freedom of Information Act (FOIA) request for all information related to plant-based labeling, the use of the term animal-free, the negative human health consequences due to mislabeling of plant-based products and much more. It’s critical that we do this, as with a new generation of imitators on the horizon, we need to stand up for dairy now before consumer confusion proliferates further.


This column originally appeared in Hoard’s Dairyman Intel on Feb. 6, 2023.

NMPF’s Bjerga on the Myths of Plant-Based Beverages (Parts 1 & 2)

In a two-part interview with Ag Information of the West, NMPF Senior Vice President of Communications Alan Bjerga takes on the myths perpetuated by plant-based beverage marketers in the context of such beverages’ declining sales.  “If you read some of this media coverage in the last few years, you would have thought that cows were on their way to going extinct,” Bjerga said. “I think the cows are alive and well.” Part 1 is here, part 2 is here.

NMPF’s Bjerga on Back to School (and Milk)

NMPF Senior Vice President of Communications Alan Bjerga discusses the importance of milk to school nutrition programs in an interview with RFD- TV. According to consumer data, about 80 percent of the milk consumed by school-age children at home is whole or 2 percent milkfat varieties, neither of which are part of federal school nutrition programs.

Regulatory Affairs: Helping Good Ideas Advance While Fighting the Bad Ones

Highlights

  • Developed strategies to maximize benefits of sustainability provisions included in the Inflation Reduction Act, a key accelerator towards meeting the dairy industry’s 2050 sustainability goals
  • Helped shape the upcoming FDA antibiotic residue sampling assignment to ensure farmer and cooperative needs are being met
  • Advanced development of the FARM Biosecurity module, bringing in on-farm elements from the Secure Milk Supply Plan for continuity of business as herd-threatening diseases make headlines around the world
  • Seized a once-in-a-generation opportunity, collaborating with USDEC and Dairy Management Inc., to host the International Dairy Federation World Dairy Summit in 2023
  • Prepared NMPF’s response to an expected FDA guidance on the use of dairy terms in plant-based beverages while arguing the need for labeling integrity before the agency.

Regulatory work often focused on building upon past successes and slowly erasing regulatory mistakes. NMPF regulatory staff’s wide breadth of issues in 2022 including monitoring the development of the new WOTUS rule and the evolving PFAS regulations to expanding NMPF’s nutrition presence through the Dietary Guidelines for Americans and Women, Infant and Children supplemental nutrition program.

Critical support to the organization ran across the full scope of regulatory efforts. The Inflation Reduction Act passed in August includes numerous provisions that may benefit dairy farmers, but only if their revenue and carbon-reduction possibilities are maximized. NMPF regulatory staff are working with dairy farmers and stakeholders across the industry to enhance opportunities.

NMPF collaborated with FDA, state officials and industry to develop a new antibiotic residue sampling program being administered by FDA. NMPF sits on the NCIMS Appendix N committee to ensure dairy farmer needs are being met during the development of such programs.

Herd-threatening diseases continue to pop up around the world from high pathogenic avian influenza in the United States to foot and mouth disease threatening to enter Australia. NMPF through the National Dairy FARM Program is continuing to expand the suite of biosecurity resources available for dairy farmers to work to protect their herd and employees from a potential outbreak.

The United States is set to host the 2023 International Dairy Federation World Summit in Chicago, Illinois. NMPF, working with USDEC and DMI, is a key player in developing the agenda for the conference which is set to highlight the United States dairy industry.

In light of the draft guidance “Labeling of Plant-based Milk Alternatives and Voluntary Nutrient Statements; Draft Guidance for Industry “being sent to the Office of Management and March for review before its potential release, NMPF continues to argue the need for labeling enforcement and transparency  by FDA. While what the guidance outlines is unknown, NMPF continues to emphasize to FDA that any guidance which does not align with the standards of identity regulations is in violation of the Administrative Procedures Act.

NMPF’s Detlefsen on the False Promises of ‘Lab-based’ Dairy

 

Much like plant-based imitators, precision fermentation technology is a sector working to create so-called animal-free dairy products. However, Clay Detlefsen, National Milk Producers Federation Senior Vice President and Staff Counsel, says a real dairy product cannot be made with precision fermentation technology. “We’re seeing a lot of folks right now really misleading the public as to what they’re doing. You cannot make a real dairy product with fermentation technology,” he said in an interview with the National Association of Farm Broadcasters.

NMPF’s Bjerga on the Dairy Economy, FMMO Modernization and Fake Milk

 

NMPF Senior Vice President for Communications, Alan Bjerga, discusses dairy issues ranging from pricing to fake milk with KASM radio of Albany, MN, at the National Association of Farm Broadcasters Issues Forum in Washington, DC. Record milk prices are coming with higher costs as well; meanwhile, NMPF is positioned to lead on Federal Milk Marketing Order modernization, a farmer-led process.

NMPF Statement on Califf FDA Confirmation

Statement from NMPF President and CEO Jim Mulhern on the confirmation of Dr. Robert Califf as FDA Commissioner:

“We congratulate Dr. Robert Califf on his confirmation as FDA Commissioner. We are cheering for his success at a particularly challenging time, given the persistence of the COVID-19 pandemic and the urgent need to address the opioids crisis and other public health issues. We are heartened that, in addition to these concerns, he has also cited addressing the proliferation of plant-based products mislabeled as dairy a ‘priority’ issue under his leadership.

“Nutritional confusion over the products is real, with meaningful public health implications, and the Biden Administration has promised guidance by mid-year. We look forward to working with Dr. Califf as he resolves this long-standing, and growing, concern.”

 

NMPF’s Bjerga on the State of Dairy Labeling

With a new FDA commissioner nearing confirmation, NMPF Senior Vice President for Communications Alan Bjerga discusses the state of dairy labeling in the U.S., on RFD-TV. Bjerga also talks about U.S. dairy’s recent win over the European Union on gruyere cheese, which a court ruled is a common name not subject to geographical indication trade restraints.


Dairy Defined: Tough Times Arrive in Fake-Food Land

The hype couldn’t last forever.

No matter how many celebrity funders are brought on board or “next best thing” pitches are made to launch a product, eventually, over-the-top marketing comes back to bite, and that’s what’s been happening in the world of fake food. Here are a couple recent examples.

Oatly, the darling of the plant-based beverage set, lost one-fifth of its trading value in one day last month after warning it wouldn’t meet revenue expectations. As is the fashion of the day, Oatly blamed the pandemic and supply chains, but the simple truth is, consumer demand isn’t what it was earlier hyped up to be. Third-quarter sales in the Americas, expected at 40 million liters a month, fell short by 3 million.

The company is facing quality control issues as well, with a recall in its native Sweden for potential loose metal in its products. Of all the ingredients seen in plant-based beverages, “loose metal” would be among the least desired – and that’s saying a lot. Oatly’s trajectory toward making oats-and-chemicals America’s drink of choice is falling like a lead balloon – evidence of that via a battered share price, which has kept falling since the bad news was revealed, is a welcome sign of marketplace sanity.

Beyond Meat is another case study in facts can complicate an all-too-perfect narrative. Last month the company had to dramatically lower its expectations for revenue growth, using the pandemic as a cover for a consumer market that’s fizzled much faster than anticipated. Share prices fell accordingly, and like Oatly’s, they keep heading down. Beyond Meat isn’t in the fake dairy business (though it’s made rumbles), but it’s all the same story in animal agriculture, with so-called “innovators” making a short-term splash, then fading with their ad campaigns.

None of this, to be sure, means these companies are going to disappear. Overpriced, flavored plant water has been around for four decades, and while we still wonder why anyone thought they could improve upon the venerable Boca Burger, Beyond Meat has carved its niche. Consumers want variety, and consumer attraction to alternative products is something P.T. Barnum would have found completely understandable generations ago. Though we regret their effects on public health and the environment, fake foods are likely to proliferate even further, as test tubes and fermentation labs bring new imitators that will employ the same sales tricks as their plant-based predecessors. The imposters, it’s safe to say, are here to stay.

What doesn’t need to stay are lax labeling standards and consumer misinformation. A market functions better when it’s transparent – that’s true at a local supermarket as much as it is on Wall Street. This principle is becoming even more important in dairy as where-your-food-comes-from questions become even more crucial to consumer trust and honest marketing.

Over time, promotional flim-flam gets found out, and investors and the public learn that The Next Big Thing isn’t what it was cracked up to be. But the process would move more quickly – and less painfully – if consumers held a clearer understanding of true food “innovation” and better tools for identifying what a food is and what it isn’t. The sooner the puff-up-and-bust cycle is recognized, the more consumer dollars will be better directed toward more nourishing products – the ones that will survive the ups-and-downs of food fads and cash grabs.

All Too Quiet on the Fake-Dairy Front

The news has been quiet on the fake-dairy front. Too quiet.

To update on the latest from FDA, which regulates food-product labeling: FDA is saying it will offer guidance on the labeling of plant-based milk alternatives by June. But indications of what that may actually mean are sparse, even though the agency’s own course of action – should they choose to follow their own rules — is clear.

A new rule on yogurt labels put into effect in July is a helpful, and hopeful, sign. The rule robustly defends standards of identity that ensure consumers purchase products that meet their expectations. As dairy farmers, and consumers, have always maintained, how a food is made, and where it comes from, matters. FDA’s recognition of that is a big win for labeling integrity, one we’re hoping is reflected in next year’s guidance.

But beyond that, nada from an agency that hasn’t inspired confidence via its 40 years of neglect on this issue. The quiet isn’t just unusual, it appears to be willful. In the past year, we at the National Milk Producers Federation have sent two letters – one last October, and another last month, to the FDA’s ombudsman, the office within the agency that members of FDA-regulated industries go to when they experience problems with the regulatory process.

Other than an acknowledgment of receipt of the first letter, again, nothing. And that’s strange, because, as we note in our second letter, if the FDA uses its guidance next June to do anything other than defend its own standards:

We caution FDA that rewriting an existing rule with guidance would be a violation of the Administrative Procedures Act (APA). The APA requires regulatory changes to be made using notice and comment rulemaking which a guidance cannot overrule. In addition, some federal courts are no longer bowing to an agency’s use of enforcement discretion when such discretion is broad and long-term and amounts to a de-facto re-write of existing rules.

And that makes us wonder what FDA is worried about. With food-labeling litigation becoming ever-more sophisticated and time-consuming, the temptation for a federal agency to simply throw up its hands on a hot-button issue would be high. We also know the lack of a new commissioner can slow down decision-making. And it’s not as if the agency isn’t trying to catch up on other pressing matters.

But that’s not serving the interest of the consuming public, which FDA is charged to do. And this issue isn’t a heavy lift – once again, as the FDA states, “Milk is the lacteal secretion, practically free from colostrum, obtained by the complete milking of one or more healthy cows.” That’s the standard. Full stop.

And without that respect for standards – the same respect showed in the yogurt rule – and the courage required to enforce them, a Wild West approach to labeling predominates. And the problem of consumers being misled into incorrect notions of nutritional equivalence by bad-faith labeling – one that’s literally contributed to child malnutrition — only worsens.

We’re hoping to hear back soon.

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.