World Dairy Diary

DFA Testifies at Cuba Hearing

dfaEasing regulatory hurdles that are impeding exports to Cuba could contribute to recovery in the dairy industry.

That was the main point of testimony presented Thursday before the U.S. House of Representatives Committee of Agriculture by John Wilson, senior vice president of marketing and industry affairs for Dairy Farmers of America, Inc. (DFA).

Speaking in support of the Travel Restriction Reform and Export Enhancement Act (H.R. 4645), Wilson, who also serves on the board of directors for National Milk Producers Federation (NMPF), emphasized that facilitating greater U.S. dairy exports to Cuba could be a step in the right direction toward helping the dairy industry regain ground lost during the 2009 dairy crisis.

dfa“U.S. participation in the global dairy market is essential to putting the U.S. dairy industry on firmer footing going forward,” Wilson said. “It is critical that we work to expand opportunities for our dairy exports to allow our dairy producers, as well as their dairy manufacturing partners, to grow and prosper.”

H.R. 4645 seeks to address the most significant issues hindering trade to Cuba under the 2000 Trade Sanctions Reform and Export Enhancement Act (TSREEA). The bill calls for a clarification on the “cash in advance” requirement that – since being redefined by the Office of Foreign Asset Control in 2005 – has added complexity and expense for potential buyers. The bill also calls for the elimination of TSREEA’s “direct banking” provision, which similarly inflates costs and complicates transactions.

“Cuba is a market where we should be a natural preferred seller due to our strong proximity advantages,” Wilson said. “Yet it is clear that we are now among the least-preferred of suppliers given these technical and regulatory impediments to U.S. agricultural sales to Cuba.”

The bill – which was introduced by House Agriculture Committee Chairman Collin Peterson (D-Minn.) and Rep. Jerry Moran (R-Kan.) and is co-sponsored by more than 30 members of Congress – also aims to eliminate restrictions on Americans’ rights to travel to Cuba. Allowing Americans to travel to Cuba would help stimulate demand for and sales of dairy products in that country.

A June 2009 International Trade Commission Updated Study on U.S. Agricultural Sales to Cuba found that fully eliminating financing and travel restrictions on U.S. exports to Cuba would have boosted 2008 dairy sales to Cuba from $13 million to between $39 and $87 million.

Read Wilson’s opening statement to the committee here.

Young, Savvy and Into Dairy

If you’re young, savvy and into dairy, then have I found an organization for you. Recently established on Facebook, the Young, Savvy and Into Dairy (YSD) group met and enjoyed a night of social networking at the 2010 Great Lakes Regional Dairy Conference in Frankenmuth, MI. YSD is a group of young people joined together by a common interest in the dairy industry. As their mission states, together, “We learn together, teach each other and have a great time doing it.”

Most of the YSD members are age 17 to 35, although there were several “older” dairymen that crashed the social last night! It was great meeting with so many folks who are passionate and enthusiastic about the agriculture industry, and I know this group will be a resource to lean on in years to come.

To become a fan of YSD on Facebook, click here. To follow all tweets on this conference, search #glrdc2010.

Minnesota Dairy Farmers Donate to Hungry

Even though they are facing their own tough times, Minnesota dairy farmers in Minnesota are still helping out those less fortunate.

Governor Tim Pawlenty was joined at the state capitol by representatives from Minnesota Farmers Helping Families, a coalition of state agriculture commodity groups, who donated approximately 85,000 pounds of pork and more than 36,000 pounds of cheese to Hunger Solutions Minnesota.

“Minnesota farmers are known for their willingness to help neighbors in times of need,” Governor Pawlenty said. “It’s heartwarming to see the agricultural community lending a hand, even as it faces its own economic challenges.” About 200 of the state’s dairy farms have closed in the past year as the worldwide economic crisis has resulted in record low prices and a sharp drop in demand.

“This donation is funded with Minnesota soybean, pork and dairy farmer dollars, and we are proud to play a role in combating hunger across this state with a donation of healthy and nutritious pork and dairy products,” said Pat Lunemann, president of the Minnesota Milk Producers Association and a dairy producer from Clarissa, Minn.

Luneman (second from left) is pictured here with Barb Overlie of the Minnesota Soybean Research and Promotion Council, Jim Merritt of the Minnesota Pork Board and Gov. Pawlenty.

The Battle For Milkquarious

MilkquariousThe Got Milk folks and milk loving rock star White Gold are about to introduce “The Battle for Milkquarious” which debuts on October 5.

Here’s a YouTube video which features “White Gold and Strawberry Summers make some sweet, sweet music… until the milk runs out.”

New York Farms Kick Off Dairy Profit Team Program

Recently reported in the Farm and Dairy, 22 dairy farms have kicked off a statewide Dairy Profit Team Program in New York. This team effort will focus on improving finances and milk production, among other things. These groups will use team work, cost sharing, I’m proud of these dairies who are teaming up to change their circumstances and quality resources to reach their goals. and I wish them, and other dairy producers, the best of luck in these hard economical times.

The farms are among the first in the state to sign up for a Dairy Profit Team, under a program by the NY Center for Dairy Excellence to establish 45 new teams this year.

Dairy Profit Teams are a group of advisers that help a farmer work through defined issues and opportunities on the farm, and develop strategies for change.

Team members are often agronomists, veterinarians, animal nutritionists, bankers and others. They may come from agribusiness, Cooperative Extension or elsewhere. Team members offer solutions and suggestions. The farmer is ultimately responsible for farm management decisions.

Dairy Princesses to be Crowned Friday

The Times-Standard announced an upcoming event, the 52nd annual District 1 Dairy Princess Contest. Tomorrow, three local women are competing for the honor of being crowned the new princess for 2009-2010 on Friday at the River Lodge. Kerilyn Ambrosini, Brooke Chrisler and Rachel Phillips, will vie for the Dairy Princess title, scholarships and awards. To learn more about these wonderful ladies, link here.

The contestants will be judged on poise, speaking ability, dairy background, community involvement and future plans. The winner of the contest will represent the dairy industry in Humboldt and Del Norte counties. She will succeed current Dairy Princess Alayna Renner of Ferndale, a senior at Ferndale High School who will be attending Cal Poly, San Luis Obispo as an agriculture science major this fall.

The evening will begin at 6 p.m. with a social hour, dinner at 7:30 p.m., followed by the contest and coronation of the new Dairy Princess and alternates. Reservations are suggested. Door prizes will be included for attending guests. Tickets and sponsorships are available by calling 725-9497. Sponsorships for $60 include two complimentary dinner tickets and inclusion in the program. Dinner tickets are $25 each.

ABI and ADPI to Hold Annual Meeting

abi adpi annual meetingThe American Butter Institute (ABI) and the American Dairy Products Institute (ADPI) will meet next month from April 26-28, 2009 at the Hyatt Regency in Chicago, Ill. for their Joint Annual Meeting.

This year’s conference will address current critical issues affecting the dairy industry, such as the fluctuations in markets and what lies beyond the current dip in prices. Keynote speaker Peter Luongo, former President and CEO of the Berry Company and current executive director of the Center for Leadership & Executive Development at the University of Dayton, will offer timely insights on effective executive leadership in challenging economic times. During his 33 year career with the Berry Company, Luongo not only “talked the talk,” but also “walked the walk” as he helped the company’s revenues grow from $75 million to $450 million during his final six years as head of the company.

“The 2009 Annual Conference features a terrific program this year with an impressive line-up of industry speakers. The Conference offers a unique opportunity for both proprietary and coop dairy processors, as well as numerous customers, suppliers and traders, to come together in Chicago to conduct business, network and to advance the overall interests of the manufactured dairy products industry,” stated Dale Kleber,
Chief Executive Officer, ADPI.

Over the course of two days, the ABI/ADPI conference will examine a variety of topic areas that include the dairy industry and consumption trends of the world’s largest dairy market in China (including a further look into the recent melamine scandals), policy updates from Washington, new dairy commodity futures and options products, and international whey products. The Tuesday lunch will feature Jeff Thredgold, President of Thredgold Economic Associates, who will help decipher the tangled maze of today’s economy.

I’m no chemist, but I sure like dairy!

amanda_nolz11 A semester into my first year of college, I decided that I needed a part-time job, so I applied for a lab assistant job at Dairy Microbiology. I was pretty excited about the job as it paid well, and I was fascinated by the dairy industry. Plus, I got to take home free milk, cheese and ice cream samples home as a benefit. Free ice cream? Hello, dream job!

As I was given a tour of the facilities on my first day on the job, I learned that I would spend my days testing for fat content in milk samples. I would also wash dishes and test tubes. I would grid tests and fill out paperwork. I thought to myself, “Okay, I’m not a chemist, but maybe I’ll learn something new. It can’t be that bad can it?” However, as a journalism student, I quickly realized that detailed chemistry experiments, endless dishes to wash and tedious lab tests and paperwork were definitely not my thing.

One day, I was working in the lab when it suddenly dawned on me that I might not belong in a chemistry lab. I was testing for fat content in a batch of chocolate milk samples. The chocolate milk was constantly causing me problems, and I always ended up doing the experiment twice. That day I vowed that I would get it right the first time.

Unfortunately, I soon started day dreaming about my career goals, my weekend plans and how much homework I had that night. The next thing you know, I had put a chemical into my experiment earlier than it had called for. Well, in my mind, that called for another experiment. What would happen to my chocolate milk if I finished the test this way? I placed the test tubes into the centrifuge. I pushed the button to start the spin, and BAM! Chocolate milk exploded everywhere! Sadly, I cleaned up the mess in shame, knowing I would have to repeat the test to earn accurate results.

I walked home from work that day and thought that maybe a chemistry lab position wasn’t exactly the perfect fit for my skill set. I knew my dairy experimenting days were numbered. Throughout my college experience, I have tried new jobs and learned new things, but I will never forget the day I realized…I’m no chemist, but I sure like the dairy industry!

Welcome to the Scoop

messingI thought I would highlight another great dairy blog for you to check out this weekend. It’s called, The Scoop, and it’s written by Ashley Messing, a senior dairy management and animal science student at Michigan State University. The Scoop is a blog that describes Ashley’s life in the dairy industry.

Ashley started this blog in 2007, and I had been following it in its early beginnings. I finally had the chance to meet her at the Great Lakes Regional Dairy Conference in Grand Rapids, Mich. She is certainly a dynamic person that is truly passionate about the dairy industry. This is a great way to share with others the ins and outs of dairy production to those that might not understand this industry. Here is a little description from her blog. Be sure to check it out!

I would like to welcome everyone to my blog. I am an enthusiastic, animal lover who respects everything animals give the human race. I have a passion for working with cows and I want to show it to everyone. I encourage you to ask me questions because I am willing to share my knowledge, especially if you have a non-agriculture background!

Kristy Mussman is Princess Kay of the Milky Way

Kristy MussmanHere’s the new Princess Kay of the Milky Way. She’s Kristy Mussman, a 19-year-old college student from Claremont, MN. Her crowning took place at the Minnesota State Fairgrounds on Wednesday.

As Princess Kay, Mussman, who represents Steele County, will serve as the official goodwill ambassador for Minnesota’s nearly 5,000 dairy farmers.

Kristy is the daughter of Mike and Julie Mussman of Claremont, and is a student at the University of Minnesota-St. Paul majoring in applied economics with an emphasis in marketing and a minor in mass communications.

One of Mussman’s first duties as Princess Kay will be to sit in a rotating cooler for nearly eight hours on the opening day of the Minnesota State Fair to have her likeness sculpted in a 90-pound block of butter. Each of the 11 other finalists will have her likeness carved in butter during the fair, as well. This year marks the debut of a bigger and better butter-sculpting booth. The new booth is more energy efficient than its predecessor, and will allow a greater number of visitors to get a good view of the sculpting.

Throughout her yearlong reign as Princess Kay of the Milky Way, Mussman will make public appearances to educate consumers about dairy farmers’ commitment to providing wholesome milk and dairy product and caring for their animals and the land.

Focus on Consumer Perceptions

Dave PelzerOne of the main dairy groups represented at today’s Joint Beef & Dairy Information Symposium here at the Cattle Industry Summer Conference was Dairy Management Inc. David Pelzer is Senior VP, Industry Image & Relations. DMI is a non-profit organization that manages the Dairy Checkoff.

I spoke to him today about dairy and beef producers getting together and discussing common issues. He says that on the dairy side of things it’s important for the industry to become more consumer driven instead of just production driven. As he puts it, “Give consumers what they want, when they want it and how they want it.”

He says that on-farm practices or the consumer’s perception of on-farm practices can affect buying habits. For this reason he says that all DMI related organizations are becoming increasingly focused on consumer perceptions. He wants to show consumers that it’s standard operating procedure for beef and dairy producers to care about their animals and the environment.

David thinks this Symposium is a great opportunity to get together.

You can listen to my interview with David here:

Cattle Industry Summer Conference Photo Album

Dairy Industry Animal Welfare Program

Rob ByrneEarlier this week the National Dairy Board met and like last year, that meeting ended just in time for attendees to meet with beef producers at the Cattle Industry Summer Conference, Joint Beef & Dairy Information Symposium. One of those people is Rob Byrne, Sr. VP Scientific & Regulatory Affairs, National Milk Producers Federation.

I spoke with Rob during today’s session. He was on the second part of the program that focused on animal care and welfare. Rob thinks that this joint meeting idea is fantastic. It’s an opportunity to discuss issues of common interest. Animal care just happens to be a primary one right now.

Rob says the dairy industry has actually worked on this issue for many years. Recently released videos have sensationalized what is a very uncommon practice though and that has brought this issue to the forefront. He says that the increased consumer interest probably won’t result in any significant changes since producers in general do take good care of their animals but the situation he says, has placed a renewed focus on it. Rob says that this is currently a primary focus for NMPF. To that end, he says they’re forming a national animal welfare and care program for the dairy industry.

You can listen to my interview with Rob here:

Cattle Industry Summer Conference Photo Album

CWT Export Assistance Bids

Cooperatives Working TogetherHere’s the latest announcement from Cooperatives Working Together:

Cooperatives Working Together announced today that it accepted five export assistance bids last week for the sale of butter.

Two of the bids were from Foremost Farms of Baraboo, WI: 1,370 metric tons (3,014,000 pounds) of butter to Iran, and 38 metric tons of butter (83,600 lbs.) to Japan.

The other three bids were from United Dairymen of Arizona of Tempe, AZ: two separate bids were accepted for butter exports to Morocco, one in the amount of 140 metric tons (308,000 lbs.), and another for 120 metric tons (264,000 lbs.). The last bid was for 70 metric tons (154,000 lbs.) of butter to Egypt.

CWT will pay an export bonus to the bidders, only when delivery of the product is verified by the submission of the required documentation.

With these accepted bids, CWT’s total 2008 export obligations are: whole milk powder, 170 metric tons (374,000 lbs.); butter, 2,029 metric tons (4,464,240 lbs.); cheese, 209 metric tons (459,800 pounds); and anhydrous milkfat, 210 metric tons (462,000).

Increasing Cheese Sales in Japan

USDECThe dairy industry continues to become more global, and with the help of dairy checkoff dollars, the U.S. Dairy Export Council is pursuing growth opportunities for U.S. cheese worldwide, including Asia. Brian Baxter provided us with this report featuring Jeff McNeill, USDEC – Japan Director, that says that major progress has been made increasing U.S. cheese sales in Japan.

Listen to the report here:

DFA Celebrates a Decade

More than 1200 members and industry guests are in Kansas City this week for the 10th annual Dairy Farmers of America annual meeting.

With the theme, “Ten Years and Building,” the two-day event features a line-up of dynamic speakers, as well as the annual delegate meeting, election of board members, member recognition and trade show.

Dairy Farmers of AmericaKicking off the meeting was Tom Camerlo, of Florence, Colo., chairman of DFA’s Board of Directors. He looked back on the first 10 years of DFA, highlighted 2007 and looked ahead to the future. He discussed the progress of DFA, industry trends and issues, and new areas such as sustainability.

“As a cooperative and an industry, we are making tremendous progress,” says Camerlo. “DFA has developed and changed significantly in 10 years, and as an industry, we are working more closely together than ever before. Growing worldwide dairy demand and the success of Cooperatives Working Together are just two examples of what can be accomplished with hard work, team work and determination.”

At DFA’s annual banquet, seven ‘Members of Distinction’ are being recognized for exhibiting vision, leadership and innovation in the dairy industry. The 2008 honorees, which represent DFA’s diverse membership, include: Abo Dairy, Sulphur Springs, Texas; DeBoer Dairy, Tulare, Calif.; Empire Dairy, LLC, Wiggins, Colo.; Esh Dairy Farm, Paradise, Pa.; Royal Farms Dairy, LLC, Garden City, Kan.; Spadgenske Dairy, Menahga, Minn.; and Wright Dairy, Lebanon, Ky.

What CWT is Doing at World Ag Expo

CWT BoothOut at the World Ag Expo, Bill Baker, Dairyline, is hard at work. Bill has been supplying us with a weekly dairy markets wrapup.

He sent along an interview with Jim Tillison, National Milk Producers Federation, about their Cooperatives Working Together program. Jim’s in the picture second from the left.

Jim says that dairy producers are wondering if CWT has enough money to be effective this year and he says the answer is yes. He says they’re on display at World Ag Expo to get more producers to sign up.

You can Bill’s interview with Jim here:

Innovative Dairy Farmer of the Year

2008 Innovator Dairy FarmerThe Innovative Dairy Farmer of the Year was named by the International Dairy Foods Association and Dairy Today Magazine. Pictured are (l-r) The Fletcher family (Tyler, Melissa, Mikala and Charles) accept congratulations from IDFA Secretary Mike Reidy and Dairy Today Editor Jim Dickrell.

KBC Farms in Purdy, Mo., a member of Dairy Farmers of America, Inc. (DFA), was named the Innovative Dairy Farmer of the Year. Operations Manager Charles Fletcher and his family received the award on Jan. 21 at the 2008 Dairy Forum in La Quinta, Calif. The award is co-sponsored by the International Dairy Foods Association and Dairy Today magazine.

The award recognizes U.S. dairy producers who apply creativity, excellence and forward thinking to achieve greater on-farm productivity and improved milk marketing.

“DFA is proud of Charles and congratulates him and his family on this accomplishment,” says Randy Mooney, of Rogersville, Mo., first vice chairman of DFA’s Board of Directors. “Charles and his family farm are a real success story. We can all be inspired by his example of innovation and excellence.”

Charles operates KBC Farms with his family, where they milk 600 cows on two pasture-based dairies. His father, Gene, started the farm in 1969, and started a partnership with his sons and son-in-law in 1993. Charles is the managing partner and farms with his wife, Melissa, and their children: Tyler, 15 and Mikala, 10.

CWT Export Assistance Bids and News

Cooperatives Working TogetherHere’s the latest announcement from Cooperatives Working Together:

In the next herd retirement round conducted by Cooperatives Working Together, dairy producers submitting bids to retire their herds of milk cows also will have the option of selling all their bred heifers, CWT officials announced today.

A flat rate per bred heifer will be established by CWT to be paid to all producers choosing to include their bred heifers with their herd retirement bid. The producer will get retain the slaughter value of the bred heifers, so the price per heifer offered by CWT offers will be in addition to the animals’ slaughter value, just as the payment CWT makes to producers for their milk cows is in addition to the beef value of the animals.

CWT Chief Operating Office Jim Tillison said the decision by CWT’s operating committee to include a bred heifer option “is the result of many months of work by our members to devise a new program to enhance the effectiveness of CWT’s milk reduction activities. Our members asked us to come up with a way to make a bred heifer removal option work for them, and I believe this new initiative will meet their expectations.”

CWT has not announced when it will conduct a fifth herd retirement round. The last one was done in February 2007. When the next one is conducted, producers submitting bids for their milking herds will also then have the option of using the bred heifer program. Producers will have to indicate the number of bred heifers they have at the time the bid is submitted, and the location of the heifers. CWT will pay a flat fee, announced at the time the retirement program commences, for each heifer. Producers will have to sell all their bred heifers, regardless of age.

Tillison said that whether a producer elects to also sell his bred heifers will have no bearing on whether the producer’s herd retirement bid is accepted by CWT. Also, if the farmer’s herd retirement bid is not accepted, the bred heifers he or she offers will not be accepted, either. Additional details about the terms of the bred heifer program will be posted to the CWT website once a herd retirement round commences.

In other news, CWT announced today that it accepted an export assistance bid last week for the sale of whole milk power. The bid was from Humboldt Creamery of Fortuna, CA, for the export of 20 metric tons (44,000 pounds) of whole milk powder to Honduras. CWT will pay an export bonus to the bidder, only when delivery of the product is verified by the submission of the required documentation.

With this accepted bid, CWT’s total 2008 export obligations are: whole milk powder, 170 metric tons (374,000 lbs.), and butter, 291.2 metric tons (641,805 pounds).

CWT Export Assistance Bids

Cooperatives Working TogetherHere’s the latest announcement from Cooperatives Working Together:

Cooperatives Working Together announced today that it accepted an export assistance bid last week for the sale of whole milk powder. The bid was from Humboldt Creamery of Fortuna, CA, for the export of 75 metric tons (165,000 pounds) of whole milk powder to Egypt.

CWT will pay an export bonus to the bidder, only when delivery of the product is verified by the submission of the required documentation.

With this accepted bid, CWT’s total 2008 export obligations are: whole milk powder, 150 metric tons (330,600 lbs.), and butter, 291.2 metric tons (641,805 pounds).

Southern Great Plains Dairy Consortium

Southern Great Plains Dairy ConsortiumIf you’re interested in learning more about dairy herd management there’s a relatively new consortium to turn to. It’s made up of 8 schools.

The Southern Great Plains Dairy Consortium (SGPDC), will coordinate with industry and government to enhance the dairy industry’s competitiveness, as well as its ability to produce a safe, wholesome and competitively priced supply of milk and related products. The consortium has research, extension and teaching components. However, the first activity of the consortium will be to establish a large herd teaching program.

Consortium Teaching Program leaders Mike Tomaszewski of Texas A & M University, Bob Collier of the University of Arizona, and Robert Hagevoort of New Mexico State University describe the teaching program as the first of its kind for the dairy industry: a regional, multi-university program which provides a framework for coordinating dairy training in a large herd setting.

Consortium members are Abilene Christian University, University of Arizona, New Mexico State University, Oklahoma State University, Tarleton State University, Texas A&M University, Texas Tech University, West Texas A&M University, Texas Agricultural Experiment Station, Texas Cooperative Extension, Texas Veterinary Medical Diagnostic Lab, and USDA Agricultural Research Service. In addition industry support is being provided by trade organizations such as Dairy Producers of New Mexico, Texas Association of Dairymen, Dairy Max and Southwest Dairy Museum.

The first program to be offered is “Advanced Large Herd Management Program” which will give 25 to 30 students a unique educational experience and employment opportunities.


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