World Dairy Diary

Weekly CWT Export Update

Cooperatives Working Together (CWT) has announced their weekly export acceptance bids.

Both of the bids were from Dairy Farmers of America of Kansas City, MO, for the export of butter to Morocco in the following amounts: 125 metric tons (275,578 pounds), and 75 metric tons (165,347 lbs.).

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 these accepted bids, CWT’s total 2008 export obligations are: butter, 15,587 metric tons (34.2 million lbs.); cheese, 1,315 metric tons (2.9 million lbs.); whole milk powder, 170 metric tons (374,000 lbs.); and anhydrous milkfat, 4,638 metric tons.

CWT Weekly Export Update

Your weekly Cooperatives Working Together (CWT) export update.

CWT has accepted four export assistance bids last week for the sale of butter, cheese and anhydrous milkfat.

Two of the bids were from Dairy Farmers of America of Kansas City, MO: one for the export of 200 metric tons (440,925 pounds) of anhydrous milkfat to Russia, and another for the export of 19 metric tons (41,888 lbs.) of Monterrey Jack cheese to Panama.

One bid was accepted from California Dairies Inc., for the export of 115 metric tons (253,532 lbs.) of butter to Honduras.

And finally, a bid was accepted from Foremost Farms of Baraboo, WI, for the export of 185 metric tons (407,855 lbs.) of Mozzarella cheese to South Korea. 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: butter, 15,349 metric tons (33.7 million lbs.); cheese, 1,315 metric tons (2.9 million lbs.); whole milk powder, 170 metric tons (374,000 lbs.); and anhydrous milkfat, 4,638 metric tons (10.2 million lbs.). The milk equivalent total of these products is 1.05 billion pounds.

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:

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 power.

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, 75 metric tons (165,000 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 two export assistance bids last week for the sale of whole milk powder.

The first bid was from Humboldt Creamery of Fortuna, CA, for the export of 2,000 metric tons (4.4 million pounds) of whole milk powder to Venezuela. The second bid was from Dairy Farmers of America of Kansas City, MO, for the export of 20 metric tons (44,000 lbs.) to El Salvador.

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

These accepted bids increases CWT’s total 2007 export obligations for whole milk powder to 2,880 metric tons (6.34 million lbs.). In addition, CWT’s YTD export obligations for cheese are 5,595 metric tons (12.3 million lbs.), its YTD anhydrous milkfat export obligations to 4,385 tons (9.6 million lbs.), and its YTD export obligations for butter to 10,975 metric tons (24.1 million lbs.).

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 Land O’Lakes of Arden Hills, MN, for the export of 60 metric tons (132,000 pounds) of whole milk powder to Trinidad. CWT will pay an export bonus to the bidder, only when delivery of the product is verified by the submission of the required documentation.

This accepted bid increases CWT’s total 2007 export obligations for whole milk powder to 860 metric tons (1.89 million lbs.). In addition, CWT’s YTD export obligations for cheese are 5,595 metric tons (12.3 million lbs.), its YTD anhydrous milkfat export obligations to 4,385 tons (9.6 million lbs.), and its YTD export obligations for butter to 10,975 metric tons (24.1 million lbs.).

Canadian Border to Open…

The USDA announced the lifting of its ban on Canadian cattle that are 30 months of age or older, starting Nov. 19.

The U.S. has banned the older, or “cull cattle,” since Canada reported its first case of bovine spongiform encephalopathy, or mad-cow disease, in May 2003. The U.S. eased restrictions on cattle under 30 months old, which are the bulk of Canadian exports, in July 2005 because those younger cattle are believed to be far less likely to be infected with BSE.

But the USDA now believes that even if infected cattle come across the border from Canada, the protections in place here are sufficient to keep the disease from spreading in herds as well as out of the human food supply. The final rule unveiled Friday also lifts the U.S. ban on Canadian beef that has been produced from older cattle slaughtered there.

The forecast for the number of older Canadian cattle to be sent for slaughter in the U.S. - usually because they are too decrepit to produce milk anymore - was lowered substantially Friday, USDA Chief Veterinary Officer John Clifford said. The new forecast shows 75,000 head entering the U.S. in 2008, but predicts that amount will rise to 161,000 head per year by 2012. A previous USDA report predicted an average of about 610,000 head coming down from Canada yearly if the ban was lifted.

There are some U.S. cow-slaughter operations that specialize in processing older beef and dairy cattle. The U.S. was importing about 250,000 head of older Canadian cattle each year before the U.S. banned them, according to the American Meat Institute.

…And NMPF isn’t Happy About it

The National Milk Producers Federation (NMPF) expressed their concern over USDA’s rule to reopen the Canadian border to cattle over 30 months of age. CEO Jerry Kozak says the concern is in two areas.

For one, this will mean the border will again be open for replacement dairy heifers to come into the United States. Before the border was closed, Canada exported between 50,000 and 60,000 replacement animals into the U.S. each year. Now while that pales in comparison to the more than 4 million replacements raised in this country each year it is still a question as to whether we can absorb those additional animals. Kozak says the increased heifer numbers would mean increased milk production and lower prices. “Our analysis shows that a return to export levels of 2003 will reduce milk prices by 18% over the next five years, cutting dairy farmer income by $5 billion.” In fact, NMPF had requested USDA and then the Office of Management and Budget do an in depth analysis before opening the border.

The other concern says Kozak is the fact that Canada has had several cases of BSE in cattle that were born after their ruminant-to-ruminant feed ban went into effect. He says there is a pretty good chance there are more positive animals in Canada and that means the possibility that one crosses the border. “Our dairy farmers can’t take any comfort from USDA’s probabilities and statistical projections. The reality is that animals infected with BSE in Canada become our problem when they arrive in the U.S.”

Aging Population in Japan is U. S. Opportunity

USDECBrian Baxter was busy at last week in Denver between the Dairy and Beef Checkoff meetings taking place. Here’s one of the reports he put together for the U. S. Dairy Export Council.

Japan is one of the strongest economies in the world, but its population is aging. Those market realities are providing opportunity for U.S. dairy producers to grow their exports, as Brian Baxter reports.

CWT Export Assistance Bids

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

Cooperatives Working Together announced today that it accepted seven export assistance bids last week for the sale of cheese, anhydrous milkfat and butter.

Two of those bids were accepted from Land O’Lakes of Arden Hills, MN: one for 450 metric tons (990,000 pounds) of butter to the Netherlands, and one for 90 tons (198,000 lbs.) of butter to Angola (the first CWT export to that country).

The other five bids were from Dairy Farmers of America of Kansas City, MO: a pair of exports of anhydrous milkfat to the Netherlands, in the amounts of 252 tons (554,400 lbs.) and 200 tons (440,000 lbs.); 252 tons (554,400 lbs.) of anhydrous milkfat to Spain; and 3.5 tons (7,652 lbs.) of retail-packaged cheese to China, along with 1.6 tons (3,440 lbs.) of retail cheese to Panama.

These accepted bids increase CWT’s total 2007 export obligations for cheese to 5,725 metric tons (12.6 million lbs.), its YTD export obligations for butter to 10,470 metric tons (23 million lbs.), and its YTD anhydrous milkfat exports to 2,984 tons (6.6 million lbs.).

CWT Export Assistance Bids

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

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

Both bids were accepted from Foremost Farms of Baraboo, WI: one for 500 tons of butter (1.1 million lbs.) to the Netherlands, and another for 190 tons (418,000 lbs.) of Cheddar cheese, also to the Netherlands.

These accepted bids increase CWT’s total 2007 export obligations for cheese to 5,720 metric tons (12.6 million lbs.), its YTD export obligations for butter to 9,930 metric tons (21.8 million lbs.), and its YTD anhydrous milkfat exports to 2,280 tons (5 million lbs.).

Export Opportunities in the Middle East

USDECIt may come as a surprise, but many nations in the Middle East offer growing markets for U.S. produced dairy products, especially cheese. In this report from the U.S. Dairy Export Council, you can hear from Nina Dakht who manages market development programs for the USCDEC in the middle east region. Brian Baxter has more on this U.S. dairy export market, in this report.

You can listen to the report here: Listen to MP3USDEC Report (1 min MP3)

CWT Export Assistance Bids

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

Cooperatives Working Together accepted eight export assistance bids last week for the sale of butter and cheese.

The first bid was from Michigan Milk Producers Association for 190 MT (418,000 lbs) of butter to Egypt.

The second bid was from Darigold for the export of 300 MT (660,000 lbs) of butter to Saudi Arabia.

The other six bids were from Land O’Lakes for: 400 MT (880,000 lbs) of butter to the Netherlands, along with another 100 MT (220,000 lbs) of butter also destined for the Netherlands; two bids for 11.3 MT each (24,860 lbs) for Parmesan cheese to South Korea; 8.3 MT (18,260 lbs) of retail-packaged cheese to the United Arab Emirates; and .54 MT (1,188 lbs) of retail-packaged cheese to Egypt.

These accepted bids increase CWT’s total 2007 export obligations for cheese to 5,307 MT (11.7 million lbs); its YTD export obligations for butter to 7,994 MT (17.6 million lbs) and its YTD anhydrous milkfat exports to 2,180 MT (4.8 million lbs).

CWT Export Assistance Bids

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

CWT announced today (Monday) that it accepted six export assistance bids last week for the sale of cheese, butter and anhydrous milkfat.

The first bid was from Dairy Farmers of America for the export of 500 Mt (1.1 million lbs) of anhydrous milkfat to Algeria.

The second bid was from Darigold for the export of 200 Mt (440,000 lbs) of butter to the Netherlands.

The other four bids were from Land O’Lakes for the export of small amounts of retail-packaged dairy products. These include 6.4 Mt (14,080 lbs) of cheese and 0.3 Mt (660 lbs) of butter to China; and 3.5 Mt (7,700 lbs) of cheese, and 0.4 Mt (880 lbs) of butter to South Korea.

These accepted bids increase CWT’s total 2007 export obligations for cheese to 5,279 MT (11.6 million lbs); its YTD export obligations for butter to 5,314 MT (11.7 million lbs); and its YTD anhydrous milkfat exports to 2,180 MT (4.8 million lbs).

CRI to Market Internationally

crilogoCooperative Resources International (CRI) and AMELIS, a French bovine genetics cooperative, have signed a memorandum of understanding with the intent to jointly market semen on an international basis. Management staff from both organizations will finalize the terms of the agreement in coming months as additional aspects of cooperation are further analyzed. The overall goal will be to promote growth and economic efficiency while providing a high-quality product to improve the profitability of dairies worldwide.

CWT Export Assistance Bids

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

Cooperatives Working Together announced that it accepted seven export assistance bids last week for the sale of cheese and butter.

One bid was from Darigold for the export of 300 MT (660,000 lbs) of butter to Belgium.

Another bid was from Foremost Farms for the export of 36 MT (79,200 lbs) of Mozzarella cheese to South Korea.

The other five bids were from Land O’Lakes for the export of retail-packaged cheese and butter products. These include 4.8 MT (10,560 lbs) of cheese to China, 1.6 MT (3,520 lbs) of butter to Bermuda; 0.815 MT (1,793 lbs) of cheese to Panama; 0.12 MT (264 lbs) of butter to China; and 0.05 MT (119 lbs) of butter to Trinidad & Tobago.

These accepted bids increase CWT’s total 2007 export obligations for cheese to 5,265 MT (11.6 million lbs), its YTD export obligations for butter to 5,117 MT (11.3 million lbs) and its YTD anhydrous milkfat exports to 1,680 MT (3.7 million lbs).

Through these bids, the total milk equivalent for 2007 is 470 million pounds.

CWT Export Assistance Bids

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

CWT announced today it accepted three export assistance bids last week for the sale of cheese.

All of the bids were from Land O’Lakes, and all were destined for South Korea. The first bid was for the shipment of 111 MT (244,200 lbs) of Monterey Jack cheese; the second bid was for the shipment of 74 MT (162,800 lbs) of Cheddar cheese and the third was for the shipment of 10.8 MT (23,760 lbs) of Parmesan cheese.

These accepted bids increase CWT’s total 2007 export obligations for cheese to 5,331 MT (11.7 million lbs); its YTD butter exports to 4,573 MT (10.1 million lbs) and its YTD AMF exports to 1,642 MT (3.6 million lbs).

With these accepted bids, the milk equivalent is 440 million lbs in FY 07.

CWT Export Assistance Bids

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

CWT announced today that it accepted nine export assistance bids last week for the sale of cheese and butter.

Five bids were accepted from Darigold: 250 MT (550,000 lbs) of butter to Saudi Arabia; 50 MT (110,000 lbs) of butter to the United Kingdom and another 50 MT (110,000 lbs) of butter to Egypt; 200 MT (440,000 lbs) of Cheddar cheese to Egypt; and 75 MT (165,000 lbs) of Cheddar to the United Kingdom.

Three bids were accepted from Land O’Lakes: 150 MT (330,000 lbs) of butter to Morocco; 0.3 MT (660 lbs) of retail-packaged butter to China and 8 MT (17,600 lbs) of retail-packaged cheese to China.

The last bid accepted was from Foremost Farms USA to export 180 MT (396,000 lbs) of butter to Morocco.

These accepted bids increase CWT’s total 2007 export obligations for cheese to 5,002 MT (11 million lbs); its YTD butter export obligations to 4,423 MT (9.7 million lbs) and its AMF export obligations to 1,623 MT (3.6 million lbs). That is the milk equivalent of 390 million pounds.

CWT Export Assistance Bids

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

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

Five bids were accepted from Land O’Lakes of Arden Hills, MN: 237 metric tons (521,400 pounds) of butter to the United Arab Emirates; 6 tons (13,200 lbs.) of retail-packaged cheese to the Philippines; 6 tons (13,200 lbs.) of retail cheese to Bahrain; 3 tons (6,600 lbs.) of retail cheese to Kuwait; and 0.5 metric tons (1,100 lbs.) of retail cheese to Qatar.

Three of the bids were from Dairy Farmers of America of Kansas City, MO: 19 metric tons (41,800 lbs.) of Cheddar cheese to South Korea; 18 tons (39,600 lbs.) of Mozzarella cheese to Japan; and 15 tons (33,000 lbs.) of Mozzarella to Israel.

Finally, a bid from Foremost Farms of Baraboo, WI, was accepted to export 36 tons (79,200 lbs.) of butter to the United Arab Emirates. CWT will pay an export bonus to the bidders, once completion of the butter and cheese shipments is verified.

CWT will pay an export bonus to the bidders, once completion of the butter, milkfat and cheese shipments is verified.

CWT Accepts 343 Bids

logo_cwt.gifCooperatives Working Together (CWT) announced the results of its latest herd retirement effort today. According to CWT, the accepted bids will remove more than one billion pounds of milk.

CWT announced today that it is tentatively accepting 343 bids from 39 states, representing 54,000 cows which produced 1.03 billion pounds of milk last year. A total of 1,397 bids were submitted to CWT in this round, a larger sum than the combined number of bids submitted in rounds 2 in 2004 (736 bids) and 3 in 2005 (651 bids).

CWT will remove more than one billion pounds of milk, or 0.6% of the nation’s dairy supply, in an effort to help strengthen and stabilize farm-level milk prices. USDA projects a 2.3 billion pound increase in milk production for 2007 and this action by CWT effectively reduces that projection by 45 percent.

The total number of bids accepted by region in this round includes:
Northeast 138 million pounds, 48 farms accepted, 13% of total milk reduction, 7,195 number of cows
Southeast 92 million pounds, 64farms accepted, 9% of total milk reduction, 5,710 number of cows
Midwest 101 million pounds, 122 farms accepted, 10% of total milk reduction, 5,902 number of cows
Southwest 280 million pounds, 56 farms accepted, 27%of total milk reduction, 14,519 number of cows
West 416 million pounds, 53 farms accepted, 41% of total milk reduction, 20,611 number of cows
TOTALS 1.03 billion pounds, 343 farms accepted, 100%of total milk reduction, 53,937 number of cows


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