Dairy Farmers Urge Action on Labor, Other Issues at Congressional Fly-in

More than 80 NMPF board members and young dairy farmers met with about 100 congressional offices today in the organization’s annual fly-in, advocating on behalf of dairy on issues ranging from agricultural labor to the recent return of New World screwworm to the United States.

The fly-in came after NMPF’s June board meeting on Tuesday, which was highlighted by remarks from Deputy Secretary of Agriculture Stephen Vaden and Ambassador Julie Callahan providing perspective on the agriculture economy and trade landscape.

“We know what we need to do,” said NMPF President & CEO Gregg Doud in remarks before the fly-in. “We will push in every way we can to make things happen.”

Other action items NMPF members called for in their meeting included:

  • Passing a farm bill through the full Congress in 2026
  • Maintaining access to all types of milk in school meal programs
  • Passing the DAIRY PRIDE Act ensuring integrity in milk labeling
  • Urging lawmakers to tell the administration to strengthen dairy provisions while renewing the USMCA trade agreement.

NMPF also welcomed a new board member, Ted Vander Schaaf of Northwest Dairy Association/Darigold, and a new associate member, Illinois Farm Bureau.

The fly-in was organized by NMPF’s Young Cooperators program. The organization also held committee meetings as well as a workshop on Artificial Intelligence for co-op executives. NMPF leadership continues its meetings this week, discussing animal health and well-being along with other important industry topics.

U.S. Dairy Cites New USITC Report in Call for Action on Canadian Dairy Trade Practices

The National Milk Producers Federation and the U.S. Dairy Export Council today reiterated their call for the U.S. Trade Representative to use the U.S.-Mexico-Canada Agreement (USMCA) joint review process to address Canada’s distortionary nonfat milk solids export practices. Their statement follows yesterday’s release of the U.S. International Trade Commission’s (USITC) Section 332 report, Nonfat Milk Solids: Competitive Conditions for the United States and Major Foreign Suppliers.

The report confirms what NMPF and USDEC have long documented: that Canadian milk production quotas that “aim to match domestic supply and demand for butterfat lead to a level of raw milk production that results in a domestic structural surplus of [nonfat milk solids] components.” The report goes on to note that the Canadian government-administered milk pricing system “unlinks its relatively high farmgate price of milk from the price that [nonfat milk solids] processors pay for milk components in Canada using regulated ‘price discrimination.’”

The Canadian structural surplus and pricing system outlined in the report served as a basis for NMPF and USDEC to work with the first Trump administration to secure commitments during the USMCA negotiations for Canada to limit its artificially low-priced skim milk powder and milk protein concentrate exports. The deal established an annual threshold over which these nonfat milk solids exports are subject to a surcharge to ensure U.S. producers are not being undercut in the U.S. or international markets.

While the report acknowledges that Canada has to date limited its exports of products formally classified as nonfat milk solids, it also cites a marked increase in Canadian exports of products categorized under tariff codes for “blended dairy products” and “protein isolates,” that fall outside of the USMCA-disciplined tariff categorization. The report estimates that from 2013 to 2015 exports under the “protein isolate” tariff code were just 76 metric tons. Post USMCA implementation, the volume of protein isolates has grown dramatically to over 32,000 metric tons from 2022 to 2024. While the tariff code is not exclusive to dairy proteins, USITC estimates that most of the exports were dairy based.

USITC notes that the dairy products are entering the United States from new and expanded processing plants in British Columbia and Manitoba. The report cites that “[i]n addition to access to cost-competitive sources of [nonfat milk solids] components, these facilities received grants and loans from national and provincial governments.”

In testimony before the USITC as part of the investigation in July 2025, NMPF and USDEC’s Jaime Castaneda and William Loux called out the detrimental effects of Canada’s cumulative pricing and trade practices on U.S. dairy farmers and processors. Castaneda said, “it is absurd that Canadian dairy producers receive one of the highest farmgate milk prices in the world by a wide margin, yet their nonfat milk solids end up on the global market at prices below our cost of production.” Loux added, “Canada’s actions distort markets and undermine fair competition … This information is critical to bring substantive results for U.S. dairy producers and processors, including during the upcoming USMCA review process.”

The testimony complemented comprehensive comments submitted by NMPF and USDEC as part of the investigation and coordination among members to demonstrate the breadth of the issue. The organizations will continue to work with USTR to leverage the report and ensure Canadian attempts to circumvent their dairy protein export commitments are comprehensively addressed in the ongoing USMCA joint review process.

U.S. Dairy Highlights USMCA Review Priorities

NMPF’s Tony Rice joined a March 17 briefing hosted by the Congressional Agriculture Trade Caucus to emphasize the importance of the North American market for dairy producers and underscore the need to use the U.S.-Mexico-Canada Agreement (USMCA) review process to resolve longstanding trade barriers that limit American dairy-farmer access to key North American markets.

“The USMCA Joint Review presents an opportunity for the United States to strengthen the agreement and ensure Mexico and Canada live up to their commitments,” Rice said. “Preserving tariff-free access to Mexico is paramount, while measures to address Canada’s failure to comply with its dairy obligations and Mexico’s delayed implementation of its common name provisions are necessary for U.S. dairy producers receive the full benefit of the agreement.”

Canada has continued to manipulate its tariff-rate quota administration in ways that effectively shut out U.S. dairy, while also circumventing its USMCA disciplines on dairy protein exports. These violations undermine the market access that USMCA was designed to deliver.

Mexico, meanwhile, also as implementation gaps that require attention during the review even as it remains a positive trading partner. Specifically, Mexico still needs to incorporate certain USMCA common name commitments, which protect the ability of American producers to market their products like “feta,” into its regulatory structures and take clearer steps to ensure that new restrictions are not imposed on U.S. cheese exports.

NMPF and the U.S. Dairy Export Council have been raising these concerns with members of Congress and the Administration throughout the lead-up to renewal, and the Agriculture Trade Caucus has become an important venue for that work. The bipartisan caucus, which NMPF and USDEC helped launch in January 2024, regularly convenes briefings on challenges facing agricultural exporters and Congress’ role in leveling the playing field.

NMPF and USDEC will continue to push to strengthen the agreement and ensure that the promises made to U.S. dairy farmers are kept as the three countries meet to discuss the future of the trade pact on July 1.

Trade Pacts Offer Dairy Opportunities, Trade Leader Morris Says

The United States is negotiating bilateral trade agreements at a frenetic pace across the globe. Dairy’s key to success has been a proactive approach that gets the fundamentals of industry needs right, said Shawna Morris, an executive vice president with NMPF and the U.S. Dairy Export Council, in a Dairy Defined Podcast released today.

“On the whole, a lot of good stuff coming down the pipe,” said Morris, specifically citing agreements with Indonesia and Taiwan as holding potential for significant market expansion, for dairy, which saw its second-best year for exports in 2025. Both in advising the U.S. government on agreements and maintaining gains overseas, NMPF/USDEC trade efforts are matching the federal government’s in its intensity, she said.

“Our focus really is on, how do we make sure that we’re keeping the doors open, and also looking at some of the policy tools that can be leveraged in order to expand consumption or dairy access more broadly,” Morris said.


NMPF’s Rice: U.S. Dairy Banking on Renewing the USMCA Trade Agreement

U.S. agriculture groups are watching the pending negotiations between the U.S., Mexico, and Canada as the countries work on renewing the U.S.-Mexico-Canada trade agreement. Tony Rice, senior director of trade policy for NMPF, said the USMCA is very important for the dairy industry and U.S. dairy exports. “They’re number one and two, respectively, and the USMCA agreement has brought a tremendous number of benefits in growing our exports to Mexico, and simultaneously to Canada, while servicing the demand in those two markets,” he said.


NMPF Advocates for a Stronger, Better USMCA

NMPF significantly escalated its public engagement ahead of this summer’s U.S.-Mexico-Canada Agreement Review, with an NMPF cooperative farmer testifying before Congress and the head of its trade team speaking on behalf of a new coalition NMPF launched to help strengthen the agreement.

Ted Vander Schaaf, an Idaho dairy farmer and board member of both the Northwest Dairy Association/Darigold and the Idaho Dairymen’s Association, an NMPF associate member, testified at a Feb. 12 Senate Finance Committee hearing on the importance of USMCA for the dairy community and the targeted improvements that must be addressed.

Vander Schaaf emphasized that USMCA is vital for providing open and predictable market access, particularly to Mexico, while also highlighting areas where the agreement has fallen short. He emphasized the glaring shortcoming of Canada’s continued manipulation of its dairy tariff-rate quotas and its circumvention of USMCA dairy protein export disciplines to shortchange U.S. dairy exporters. He also noted Mexico’s delay in fully implementing its commitments to protect common cheese names and explained its importance to dairy producers and processors.

NMPF also played a leading role in the Feb. 5 launch of the Agricultural Coalition for USMCA, an industry-wide effort to support renewing and strengthening the agreement. The coalition will work with congress and the Administration to ensure USMCA’s shortcomings are rectified before renewal.

“USMCA is an extremely strong agreement, but it’s not perfect,” said NMPF Executive Vice President Shawna Morris at the coalition’s launch press conference. “The USMCA review offers an unmissable opportunity to make targeted enhancements so the agreement can live up to its full intended potential.”

Dairy Industry Leader Testifies to Congress on USMCA Review Priorities

Ted Vander Schaaf, an Idaho dairy farmer and member-owner of Northwest Dairy Association, testified today before the Senate Finance Committee on the importance of the U.S.-Mexico-Canada Agreement (USMCA) to the U.S. dairy industry and the improvements needed for the agreement to fully deliver for American dairy farmers.

Vander Schaaf serves on the board of directors for the Northwest Dairy Association, the cooperative that owns Darigold, and the Idaho Dairymen’s Association, both of which are members of the National Milk Producers Federation and the U.S. Dairy Export Council.

“Strong, enforceable trade agreements are critically important to the U.S. dairy industry. The United States exported approximately $9 billion in dairy products in 2025, including a record 559,000 metric tons of cheese last year through November,” Vander Schaaf said at the hearing.

Mexico and Canada are critical markets for U.S. dairy, purchasing $3.6 billion in American dairy products in 2024 and accounting for 44 percent of total U.S. dairy export value. USMCA is vital to those trade flows. However, Canada’s ongoing, blatant disregard of key USMCA obligations has undermined the agreement, and Mexico’s strong collaboration and partnership with the U.S. has yet to extend to its intellectual property office, as it pertains to common food names.

Vander Schaaf highlighted Canada’s continued manipulation of its dairy tariff-rate quotas and its circumvention of USMCA dairy protein export disciplines, which have limited U.S. producers’ ability to compete in Canada and other markets. He also noted that while Mexico has been a great partner, it has still not fully met its commitments to protect common cheese names such as “parmesan” and “feta.”

USMCA mandates a “joint review” in 2026, offering the U.S. government an opportunity to negotiate solutions to the current shortcomings in dairy trade.

“For U.S. dairy producers exports are critical not just for growth but for survival, and we all agree it must continue. But a firm base depends on Canada upholding their end of the bargain, and on preserving our fully open trade flows with Mexico,” continued Vander Schaaf. “The U.S. dairy industry is counting on Congress and the Administration to help us fix the issues that I have laid out today, and to secure a better, stronger USMCA for American dairy farmers.”

Vander Schaaf’s testimony also builds on the Feb. 5 launch of The Agricultural Coalition for USMCA. Co-led by USDEC and NMPF, the Coalition is advocating for the strengthening and renewal of USMCA.

A link to the written testimony can be found here.

 

U.S. Dairy Supports Launch of New Ag Coalition for USMCA

The National Milk Producers Federation and the U.S. Dairy Export Council co-led today’s launch of “The Agricultural Coalition for USMCA,” an industry-wide effort to support the strengthening and renewal of the U.S.-Mexico-Canada Agreement (USMCA).

USMCA, which replaced the North American Free Trade Agreement (NAFTA) in 2020, mandates a “joint review” in 2026, which allows the countries to consider potential changes to the agreement. Since the stakeholder engagement process began in October 2025, the U.S. dairy industry has spoken to the importance of the agreement, while stressing that certain critical shortcomings must be addressed.

“USMCA has helped grow vital export opportunities that support dairy farm incomes across the country,” Gregg Doud, president and CEO of NMPF, said. “Unfortunately, Canada has clearly not upheld their end of the deal and Mexico needs to fully implement USMCA commitments to respect our use of common cheese names. We look forward to working with the Administration during the review to ensure our trading partners honor their commitments so the agreement can best deliver for dairy farmers.”

“USMCA has been critical to maintaining strong export demand for U.S. dairy farmers, manufacturers and exporters, providing greater opportunities in the Mexican market in particular,” Krysta Harden, president and CEO of USDEC, said. “At the same time, persistent market access barriers, particularly in Canada, limit the full potential of the agreement and must be addressed to ensure that U.S. dairy exporters receive the benefits they were promised.”

The U.S. dairy industry exported about $3.6 billion in dairy products to Canada and Mexico in 2024, which accounts for about 44 percent of total export value. At the same time, USMCA has fallen short in certain key areas. USDEC and NMPF will continue to fight for several priorities in the review, including through the Coalition:

  • Combatting Canada’s continued manipulation of its administration of dairy tariff-rate quotas, denying U.S. exporters the meaningful market access guaranteed under USMCA.
  • Tackling Canada’s circumvention of USMCA dairy protein export disciplines, which has resulted in continued offloading of artificially low-priced dairy proteins, undercutting U.S. products in both domestic and global markets.
  • Ensuring that Mexico upholds its USMCA commitments to protect common cheese names such as “feta.” The issue is increasingly pressing as European Union trade negotiations seek to restrict the use of generic terms worldwide.

NMPF and USDEC will continue to work with trade negotiators to address USMCA noncompliance areas ahead of the July 1 joint review deadline.

NMPF Leads Charge to Prioritize Dairy in 2026 USMCA Review

As preparations continue for the 2026 review of the U.S.-Mexico-Canada Agreement (USMCA), NMPF and the U.S. Dairy Export Council are advancing a coordinated strategy to ensure the agreement delivers on its promises to U.S. dairy producers.

NMPF Executive Vice President for Trade Policy and Global Affairs Shawna Morris testified before the Office of the U.S. Trade Representative at a Dec. 3 hearing, to highlight the trade pact’s importance for U.S. dairy producers and emphasize the need for the administration to address violations of USMCA dairy commitments. Morris detailed how Canada continues to manipulate dairy tariff-rate quotas and offload surplus nonfat milk solids into global markets at artificially low prices. She also pointed to Mexico’s failure to implement USMCA protections for common cheese names like “feta.”

Congress reinforced the message the same day, as a bipartisan group of 74 House members sent a letter to U.S. Trade Representative Jamieson Greer urging the administration to address unresolved dairy issues in the USMCA review. Developed with support from NMPF, USDEC, and dairy stakeholders, the letter calls out Canada’s unfair import restrictions and global dumping practices, while pressing for full implementation of Mexico’s commitments on common cheese names.

NMPF and USDEC also took their case directly to Capitol Hill. NMPF Trade Policy Director Tony Rice participated in a pair of briefings for House Ways and Means and Senate Finance Committee staff on Dec. 9 and 10 as part of the new U.S. Agriculture Coalition for USMCA. Rice emphasized the importance of targeted improvements to the agreement, noting that 44 percent of U.S. dairy exports by value went to Mexico and Canada last year.

The progress builds on sustained engagement by NMPF and USDEC, including joint written comments submitted Oct. 31, an Aug. 5 appearance before the U.S. International Trade Commission, and multiple filings tied to the Commission’s investigation into nonfat milk solids competitiveness that will inform the administration’s approach to address Canada’s offloading of dairy proteins.

All together, these efforts reflect NMPF’s ongoing push to ensure the USMCA review strengthens the agreement, holds U.S. trading partners accountable, and delivers fair market access for American dairy producers.

NMPF, USDEC Praise Bipartisan Call for USMCA Dairy Enforcement

The National Milk Producers Federation and the U.S. Dairy Export Council commended 74 House lawmakers today for sending a bipartisan letter urging the U.S. government to leverage the U.S.-Mexico-Canada Agreement (USMCA) 2026 Joint Review to address concerns over the deal’s dairy provision implementation.

The letter to United States Trade Representative Jamieson Greer highlights Canada’s attempts to evade its dairy commitments by misallocating its USMCA dairy tariff rate quotas and continuing to export artificially low-priced dairy proteins without appropriate limits. It also touches on Mexico’s need to fully implement common cheese name protections agreed to as part of USMCA. The lawmakers called on the administration to ensure these issues are resolved during the upcoming review process.

“USMCA raised the standard for what a trade agreement could be and promised new opportunities for U.S. dairy farmers,” Gregg Doud, president and CEO of NMPF said. “Unfortunately, the Canadian government has continued to evade its dairy trade obligations, and U.S. dairy farmers are not seeing the full benefits USMCA intended. We commend Representatives Tenney, DelBene, Wied, and Costa for championing this effort and working with the Administration to hold our trading partners accountable.”

“Our industry thrives when trade agreements deliver real results for the people they are meant to support,” Krysta Harden, president and CEO of USDEC said. “Representatives Tenney, DelBene, Wied, and Costa are standing up for our dairy producers and processors by ensuring our trading partners honor their trade obligations. We are grateful for their leadership and for their commitment to securing the full benefits of USMCA for U.S. dairy. USDEC is committed to working closely with both Congress and the Administration to address these dairy issues as the USMCA Review moves forward.”

U.S. dairy exports to Mexico and Canada last year exceeded $3.6 billion, accounting for 44% of total export value. USMCA preserved duty-free access for U.S. dairy into Mexico and introduced a series of provisions to expand market access into Canada and discipline trade-distorting practices, both of which Canada has failed to fully implement.

NMPF, USDEC Testify on USMCA Dairy Priorities at USTR Hearing

NMPF and USDEC Executive Vice President for Trade Policy and Global Affairs Shawna Morris testified today before the Office of the U.S. Trade Representative (USTR), urging the administration to leverage the 2026 U.S.-Mexico-Canada Agreement (USMCA) Review to ensure that the agreement’s anticipated benefits for U.S. dairy producers and exporters are fully achieved.

“USMCA is a critical agreement for the U.S. dairy community,” said Morris at the hearing. “It’s crucial that the Review address targeted implementation problems with Mexico and Canada to create an even stronger agreement that will be up to the task of facilitating U.S.-Mexico-Canadian trade for years to come.”

Throughout her testimony, Morris highlighted a few key priorities, including combatting Canada’s continued manipulation of its administration of dairy tariff-rate quotas (TRQs) that denies U.S. exporters the meaningful market access guaranteed under USMCA. She also focused on Canada’s circumvention of USMCA dairy protein export disciplines has resulted in continued offloading of low-priced dairy proteins, undercutting U.S. products in both domestic and global markets.

Morris urged the administration to ensure Mexico upholds its USMCA commitments to protect common cheese names such as “parmesan” and “provolone.” The issue is increasingly pressing as ongoing European Union trade negotiations with Mexico seek to restrict the use of generic terms in the United States’ largest dairy market.

The testimony builds on joint comments submitted by USDEC and NMPF on Oct. 31, as well as an Aug. 5 testimony and two filings provided to the U.S. International Trade Commission on July 15 and Nov. 17 as part of its Section 332 investigation into U.S. global competitiveness on nonfat milk solids. An investigation report due in spring 2026 will be an important resource for USTR to address Canadian attempts to evade its dairy protein export disciplines.