While attending the 2011 IFAJ Congress in Canada I recorded a presentation by Richard Doyle, Executive Director, Dairy Farmers of Canada and President, International Dairy Federation. He’s pictured in the center of the photo. The panel was labeled, “Canadian Agriculture 101.”
A big part of Richard’s presentation deals with the supply management system in Canada that is “based on planned domestic production, administered pricing and dairy product import controls.” There are licensed quotas and various other components to the system which you can read about in this pdf. A good source of information is the Canadian Dairy Information Centre. They national system was introduced in 1970. Listen to his presentation here: Richard Doyle Presentation
Last week I joined with other members of the International Federation of Agricultural Journalists (IFAJ) for the 2011 IFAJ Congress. We meet every year in a different country to learn about agriculture there and for professional improvement sessions. This year we were in Canada and visited some dairy farms. My tour group visited Claynook Farms where we met owners, Wayne and Dennis Wagler.
The conversation with the dairy operators covered just about every topic you could imagine from genetics to marketing. I recorded part of a conversation with reporters in which I asked about their thoughts on the Canadian supply management system (more on that later). You can listen in on that Q&A here: Claynook Farms
I also recorded a video clip with part of the discussion too.
Leprino Foods Co. has opened a new facility in Singapore, which includes an “innovation studio” designed to create cheese and other dairy products for the Asia-Pacific market.
Leprino spokesman Ted Wie techa said the company’s international sales have more than doubled during the past two years, with the Asia-Pacific market playing a “significant role” in the expansion. The sales are driven by increased cheese consumption and demand for whey and lactose, used in confections and protein drinks, he said.
Leprino’s chefs at the innovation studio will work with customers — including U.S. and European restaurants in the Asia-Pacific market — to create products that appeal to the “tastes and choices” of the region.
Kevin Burke, Leprino’s senior vice president for global business development, said the firm will be in the region “long term.”
“We’re deeply committed to helping our customers in the region win in the marketplace,” Burke said. “Our investment in Asia will continue and increase over time.”
In addition to the Singapore expansion, the company is growing closer to home as well.
Leprino will open the first phase of its 500,000-square-foot plant near Greeley in November, Wie techa said.
The first phase of the Greeley plant will process 1 million pounds of milk a day, which will be converted to nonfat dry milk and sent to other plants. When finished, it will produce 700,000 pounds of cheese daily and employ 500.
The IDF World Dairy Summit 2011 will be highlighting the importance of dairy nutrition through three different sessions.
New to the programme this year, a conference exploring “Sustainable Public Health and Dairy Nutrition Economics” on October 19 is set to prove extremely valuable. With the important contribution of dairy products to human nutrition and health, the concept of Nutrition Economics helps to demonstrate how a greater awareness of the nutritional benefits of dairy products can improve nutritional status and reduce health care costs.
The interplay between economic systems and the nutritional value of food is particularly relevant today as we look ahead to increased longevity and aiming to improve public health across the globe. Coordinated by conference manager Irene Lenoir-Wijnkoop, an expert in nutrition economics at Danone Research as well as a member of the IDF Standing Committee on Nutrition and Health, a series of prestigious speakers will present recent findings and initiatives within this emerging science.
In addition, the conference “Dairy Products: A Healthy Choice” will focus on leading science projects in the health and nutrition area. On 16-17 October participants are invited to attend this three part conference, with presentations on the positive nutritional impact of dairy products, healthy aspects of specific nutrients in dairy, and how to address age-related nutritional needs with dairy.
Finally, on October 18, the Marketing Conference will showcase new thinking in dairy marketing following the theme: “Conveying the Benefits of Dairy to Consumers”. Presentations will concentrate on new strategic communication techniques such as social media, suggesting innovative ways to deliver positive dairy nutrition messages. Through exploring approaches followed in current and future campaigns this conference aims to develop a united approach and to make the dairy sector be once again top of mind for consumers.
The new 2011 Baileys® Irish Champion Holstein Friesian cow has been crowned. Dalevalley OT1 J Lulu, owned by Irish farmers Eugene and Sean Murphy, has won the prestigious award.
Dalevalley OT1 J Lulu, is a six year old cow that beat 24 other bovine beauties from across Ireland to take the Baileys Irish Champion title. The competition recognises good body conformation with proven excellence in milk production and it is the first time that the Murphy family, who are from Co. Cork, has won this prestigious competition which dates back to 1983.
Dalevalley OT1 J Lulu has had four calves and produced 12,007 kgs of milk in her last lactation (approximately 2,500 gallons.) She was bred in the North of Ireland, in Donegal, as part of the Dale Valley herd, owned by Roy Cromie and was purchased by the Murphy’s as a heifer-in-milk. She is the daughter of sire, Astronomical and dam Dalevalley Cousteau Lulu. She adds the title of Baileys Irish Champion to her recent success at the Cork Show.
Commenting on his selection, competition judge, Iwan Morgan from Wales said: “It has been an ambition of mine to follow in my father’s footsteps and judge this competition. All of the cows here today were remarkable but the sheer power and capacity of the winner and in particular that incredible udder gave her the edge.”
Fonterra, New-Zealand’s exporter of dairy products and ingredients, has recently opened a new Research & Development Centre in Amsterdam.
By opening this fourth R&D Centre in the world Fonterra concludes the migration of her European headquarters to Amsterdam.At the centre Fonterra is able to perform tests of new manufacturing processes and work together with partners on tailor made innovations. The centre will employ 10 technical specialists.
With the start of the new Research & Development Centre – and earlier the new European headquarters – in Amsterdam, Fonterra moves closer to her customers and partners in Europe. According to Koert Liekelema, General Manager of Fonterra Europe, Holland is the centre of dairy and food developments.
“At our new R&D Centre we can develop innovations more easily and market them quicker. The European consumer has very specific dairy wishes and we can fulfil those wishes and needs even better and quicker out of Amsterdam.”
Europeans consume more dairy products such as milk, yogurt and cheese than consumers in other markets, and globally there is greater awareness and attention on healthy and sustainable nutrition.
Calling all registered Holstein breeders in Ireland – your best show cow could be the next Baileys® Irish Champion Dairy Cow! Be sure to enter the competition for a chance to win this coveted title.
Pedigree Holstein Friesian breeders across the island of Ireland are being invited to compete for the top title of ‘Baileys Champion Cow’ which attracts a prize of €2,000 along with the Virginia Milk Products trophy. €650 will be awarded to the breeder of the ‘Reserve Champion’. In an enhanced Best Heifer in Milk prize fund of €1,700, 1st place attracts a prize of €500, 2nd place will be awarded €300, and €200 will go to 3rd place. In addition, €100 will be awarded to entrants from 4th to 10th place inclusively. Trophies will also be presented for Highest Protein Content, Best EBI and Best Exhibitor-Bred Cow. The Virginia Show, in Co. Cavan which celebrates its 70th Anniversary this year will once again play host to this prestigious event on Saturday 30 July.
To enter cows must first have produced 500kgs of butterfat and protein in a 305 day lactation (except for the heifer in milk awards). A 10% extra weighting is being given to the protein portion of the entry standard. Entrants are required to complete an entry form which this year should include a recent full body picture of their cow in electronic format. For further enquiries and to obtain an entry form contact Brendan Smyth, Competition Director on ++ 353 (0)87 2560952 or email@example.com
Baileys has been sponsoring the competition in association with its cream supplier, Glanbia Ingredients since 1983. Approximately 250 million litres of milk per year are needed to make Baileys which equates to the annual output of about 40,000 dairy cows.
Last week I attended the Alltech International Symposium. Of course dairy is a big part of the educational topics offered at this annual event. I’ve got a couple of interviews to share with you starting with this one.
Disruptive change sounds disturbing. However, perhaps it’s more of a challenge. Mandi McLeod, System Insights, Ltd., New Zealand, talked about it and its impact on the dairy industry during the Alltech International Symposium. She’s seen here being interviewed by Ireland’s RTE voice Damien O’Reilly. I spoke with Mandi after Damien to learn what is going on with dairy farming in her country and how she coaches family business strategy.
Mandi says the New Zealand dairy model is still working but needs to evolve further in light of disruptive changes in the industry. She says that their level of productivity hasn’t kept up with the price of their product which makes them vulnerable at the moment. The current pricing of dairy products is just not financially sustainable and it looks like that isn’t going to improve soon. Mandi is a family business strategist and advises dairy farmers to take a look at their business and make sure they’re using resources wisely. Sounds like common sense advice for any business. She wants people to enjoy what they are doing by finding a balance in their life and business. Having a good plan would help a family business tremendously. Perhaps you should give Mandi a call if you need help. Mandi McLeod Interview
A great article by Tom Quaife, Editor of Dairy Herd Network:
The fallout continues following the rejection of a stricter somatic cell count limit in the U.S.
Matt McKnight, vice president of market access and regulatory and industry affairs for the U.S. Dairy Export Council, told those attending the Pfizer Animal Health Dairy Wellness Summit on Friday that having a 750,000 cells/ml legal limit makes it more difficult to convince international trading partners that we are serious about milk quality.
“When you are sitting down with a trading partner, what’s in your books is what you have to live with,” he said. The trading partner can point out that the regulations allow the U.S. to produce milk up to the 750,000 limit, “so the burden is greater to prove we are below it,” he added.
On May 4, the National Conference on Interstate Milk Shipments rejected a proposal to upgrade the somatic cell count standard from 750,000 to 400,000 cells/ml.
Some countries, such as Russia, may not accept imported dairy products from milk above 400,000 cells/ml.
The U.S. has increased dairy exports in recent years, but many in the international trading arena are watching to see if the American dairy industry is serious about sustaining that progress. In 2010, the U.S. exported 12.8 percent of its milk production, on a milk-solids basis.
McKnight shared the results of a Global Buyer Survey, which was conducted last fall and polled 75 buyers from more than 25 countries.
The survey found that some buyers are skeptical. There’s frustration on their part “that we don’t move fast enough and skepticism on their part that we don’t want to continue,” McKnight said. For instance, buyers point to the somatic cell count standard and the fact the U.S. won’t change it. And, there have been instances where their product specifications for milk powder and other products have not been met.
Many buyers have exact specifications and don’t want variation. Yet, “our milk powder can range from 34 to 39 percent protein,” McKnight said.
The survey also identified opportunities. For one thing, the U.S. is seen as an alternative supplier to the Oceania countries of New Zealand and Australia. Some buyers see the Oceania countries as having a monopoly aspect when it comes to dairy exports.
“We’ve been a late-comer (to the dairy export market),” McKnight said. Yet, the U.S. has entered at a time when countries around the world are “starting to get more money in their pockets and moving up the food chain to eat,” he added.
In China, 20 million babies will be born this year and those babies will be pampered by their parents and grandparents, due to China’s one-child policy. That presents tremendous possibilities for the infant formula market.
To the credit of American dairy products, they are viewed as very safe, McKnight said. “No one around the world is concerned about the safety of the U.S. supply,” he said.
Posted: February 18, 2011 at 11:39 am
By News Editor
Canadian cheese maker Saputo Inc. will acquire the parent company of DCI Cheese Co Inc, one of the largest U.S. specialty cheese marketers, for $270.5 million to expand its presence in the lucrative market.
DCI’s product portfolio includes more than 100 types of specialty cheeses. It sells products under brand names such as County Line, Great Midwest, Joan of Arc and King’s Choice.
DCI, which employs about 475 people, recorded sales of $460 million in 2010.
The deal is expected to close in March.
Fairmount Cheese Holdings Inc is DCI’s parent.
Reporting by S. John Tilak, editing by Gerald E. McCormick
Posted: February 11, 2011 at 2:22 pm
By News Editor
Global dairy company Fonterra is now closer to the heart of Europe’s dairy and food innovation hub with the official opening of its new Amsterdam office in The Netherlands today.
The Amsterdam office, opened by Dutch Minister of Economic Affairs, Agriculture and Innovations, Mr Verhagen, will bring Fonterra closer to its partners and food manufacturing customers and open the door for new ideas and products.
Fonterra’s Managing Director of Global Ingredients and Foodservices Andrei Mikhalevsky says the move to Amsterdam exemplifies Fonterra’s commitment to growing its European business alongside its investment in dairy research and innovation.
“Our new office in Amsterdam provides a home to our international sales force as well as a local technical centre to support the growth of our value-added and specialty ingredients portfolio in Europe.”
“Fonterra already has a strong relationship with the Netherlands to build upon. As well as our existing partnerships and trading presence, we have also chosen to use Dutch ports and distribution channels for the majority of our exports to Europe.”
Minister Verhagen said: “The arrival of the European headquarters of Fonterra is an asset for the Dutch agri-food sector. Their coming is also a recognition of our strong business climate. We in the Netherlands, also have much to offer in terms of our own expertise and knowledge in the field of dairy and logistics.”
A host of European and New Zealand dignitaries attended the opening including the Deputy Mayor of Amsterdam, Lodewijk Asscher and New Zealand’s ambassador to The Netherlands, George Troup. Guests were greeted with a Maori Pōwhiri (traditional Maori welcome), enjoyed an array of New Zealand influenced food and had the chance to participate in a cheese tasting with technical experts.
Posted: December 22, 2010 at 10:46 am
By News Editor
This is an interesting new study, and good news for dairy farmers. As consumers become even more time strapped, many are looking to dairy snack foods as a source of nutrition.
The international market for dairy snacks, such as cheese strings and yogurt tubes, grew by 7% in 2009 and is heading for a 6% rise this year. The first major study on this sector, by leading food and drink consultancy Zenith International, estimates total volume at 217,000 tonnes in 2010 across 26 countries in North America, Latin America, West Europe, East Europe, Africa, the Middle East and Asia Pacific.
Currently, the majority of dairy snack products are cheese-based and targeted at children. In some countries, however, manufacturers are increasingly looking at innovations for adults. Although many dairy snacks are designed to be eaten on the move, some recent launches have been designed for at-home snacking, reflecting continuing changes in consumer eating habits.
Of the total dairy snack volume identified in 2009, the US accounted for almost two-thirds. The UK was the second largest market, with other key countries including France, Canada, Germany and Japan. The most developed regions are North America, West Europe and Australasia, with Latin America and East Europe presenting the next opportunities for companies to be first to market.
The most successful dairy snack products have come from leading international players in the overall dairy market, who command brand recognition and marketing power. Key players and brands include Bel with Mini Babybel, Kraft with Dairylea, and Yoplait yogurt tubes. In countries where dairy snacks have been available for longer and are more established, retailer private labels have been introduced, but these have yet to make a material impact.
“Dairy snacks, although a relatively recent phenomenon, have firmly established themselves as an important segment within both the dairy market and the wider market for snacks,” commented Zenith Market Analyst Laura Knight. “As modern on-the-go lifestyles have left consumers time poor, many people are increasingly looking for a convenient snack that delivers on health and nutrition, also one that tastes good and provides a pleasurable eating experience. Dairy snacks are well placed to meet these consumer demands and manufacturers have begun to capitalise on the opportunity this presents.”
Although dairy snacks are undeveloped as a snack segment, compared to more traditional snacking foods such as crisps and bars, it is clear that there is considerable long term potential for the market and Zenith expects the market to reach over 260,000 tonnes by 2014.
Source: Australian Food News
One of the features of the Alltech Global 500 are a series of discussion dinners. Attendees can choose a topic of they are most interested in. During the dinners a moderator will stimulate conversation with everyone providing input. It’s a great opportunity to interact with other dairy and beef producers from around the world and hear their perspectives on these topics.
I attended a dinner with the topic of milk quality. I met Travis from Texas and Charles from New Zealand. We spoke after the dinner and you’ll hear them say that the ability to meet with and talk with other dairy farmers is one of the most important things they get out of the conference. They also realize how similar their challenges are regardless of what country they live in.
I think the comment I’ve heard most often at the Alltech Global 500 is how important and rewarding the interaction with other dairy and beef producers from around the world is. We’ve got 29 countries represented here. One of our international visitors that I met today was George Strang, Scotland.
George is a dairy farmer with 250 cows and it’s a family run farm. He actually won an Alltech competition and the prize was this trip. He’s loving his first visit to the USA. He admits that he hasn’t embraced technology as much as he should so he’s planning on getting a Facebook account to help keep in touch with other farmers he’s met here. He says he has found that farmers face the same kinds of challenges regardless of what country they are from. However, he says his country is one of the few that doesn’t grow corn so he’s hoping some varieties will be created that can be grown in Scotland.
A forward looking panel of experts spoke to the Alltech Global 500 today. Their topic, “Forecast 2025: A vision for the future.” Now that’s not an easy task!
I spoke with one of the panelists, Mandi McLeod, Dunvegan Farms, Ltd, New Zealand. Mandi says the future is about doing what you do well and focusing on the resources you have, in fact, “use them to the absolute maximum.” She says that you have to make sure your profits and people are sustainable and that profits come before production. She was very clear that by 2025 she hopes there will be no subsidies. I asked her what sustainability means to her. She provides a very common sense definition. Too bad there are so many that aren’t! She says farmers here are curious about prices and controls and how to become more profitable.
Posted: October 5, 2010 at 2:29 pm
By Cindy Zimmerman
According to the official attendance figures from World Dairy Expo, there were 65,136 visitors to this year’s event, including 2,468 from 87 countries. Among those international visitors were a delegation from China hosted by Novus International, shown here attending a seminar sponsored by Novus on feeding lower protein rations. They also were able to make a few other stops during their visit to the United States, courtesy of Novus.
“We are Novus International and we take the international part very seriously,” said Stephanie Gable, Global Market Manager for Ruminants with Novus. “We’re in over 90 countries and we’re strong in those other countries understanding what those local needs are. And as a native Missourian, I also understand the importance of agriculture here in the United States and whenever you take people from other countries to show them what we’re doing, you realize what proud heritage we have.”
Stephanie just returned from a tour of five different countries in Eastern Europe with a group called Global Dairy Farmers. “When you’re traveling through Poland and East Germany, and Romania and Hungary, and you’re walking on dairy farms that not very long ago were communist, state-run dairy farms, you realize that the agriculture today in those countries is not where we are in the U.S.,” says Stephanie. “Getting a chance to see other parts of the world was a wonderful experience, but it makes you appreciate what you have right here in your own backyard.”
She notes that increased global demand for dairy products continues to create growth both for the export market here at home and for production in other countries.
Posted: September 7, 2010 at 7:42 pm
By News Editor
Dairy companies and suppliers of technology and equipment are being invited to form consortia to research and demonstrate new energy efficient technologies in both CIP and homogenization. The Carbon Trust will provide up to £500,000 per project to fund a maximum of 60% of project costs, depending on State Aid rules for the project type and size of company, as well as value for money considerations.
The organization, in partnership with Dairy UK, is inviting consortia to submit proposals to deploy less energy hungry and lower carbon technologies for clean-in-place (CIP) and homogenization.
The invitation comes as part of the Carbon Trust’s Industrial Energy Efficiency Accelerator (IEEA): a £15m program that aims to generate a step change in reducing energy use and carbon emissions in British industry.
An initial phase to monitor energy use at dairy production sites has already taken place in collaboration with Robert Wiseman Dairies, Arla, Dairy Crest, BV Dairy, and Glanbia Cheese.
As a result, CIP and homogenization have been identified as two key processes where the demonstration and deployment of new technologies could significantly reduce energy use, operating costs and carbon emissions.
“Carbon emissions from clean-in-place in dairy are up to 46,000 tonnes of CO2 per annum and could account for as much as 5% of the sector’s total emissions. Similarly, homogenization is a very energy intensive process where alternatives could bring real cost and carbon savings,’ said Al-Karim Govindji, Technology Acceleration Manager at the Carbon Trust.
“The IEEA is designed to catalyze change by demonstrating new, lower-carbon technical solutions that can then be replicated widely across the dairy sector.”
Posted: September 1, 2010 at 9:42 pm
By News Editor
Fonterra has rented a big new warehouse just down the highway from its United States headquarters near Chicago’s O’Hare Airport.
Fonterra has taken 46,500 square metres of space in the Heartland Corporate Centre at Shorewood, 66km from Chicago and is expected to channel significant amounts of its billion-dollar exports to the US through the site.
The warehouse has been vacant for several years but its owner, ING Clarion, is installing a new security fence to meet conditions of a Partnership Against Terrorism Act that requires cargo handling areas for imported products to be protected.
“It’s nice to get a huge client out there,” said a Shorewood Village trustee, Gary Fitzgerald, who heads its planning committee. “The drought has ended,” he told the Joliet Herald-News.
The warehouse was built in 2007 as the start of a projected 63ha business campus.
Product will be shipped from New Zealand to US ports, and sent by rail to Chicago, which is considered a central point for US distribution.
Two years ago Fonterra USA opened a $4 million research and development site – its Chicago technical centre – near O’Hare Airport, and moved its corporate headquarters to Rosemont, the suburb adjoining the airport.
The technical centre’s processing equipment and sample analysis lab are planned to be developed into a major sensory application centre to work directly with North American customers for dairy proteins and other ingredients, including HP Hood, Nestle and Unilever.
Bright Dairy, a China-based dairy company, will be investing in New Zealand dairy company Synlait Milk.
Bright Dairy will own 51 percent of a new company, which will specialize in making infant and whole milk powder for Chinese consumers. Synlait will continue to own and operate its Synlait farms in Canterbury through a separate company.
Bright Dairy is listed on the Shanghai Stock Exchange and says it “holds the leading position in value-added consumer dairy products in China and is China’s third largest dairy company by volume.”
The company, a subsidiary of Bright Food Ltd, has a market capitalisation of approximately NZ$1.7 billion and reported revenues of approximately NZ$1.63 billion for the 2009 calendar year.
Synlait Milk’s chief executive John Penno said work had already begun building a second large scale milk powder processing plant capable of producing high specification milk powders alongside the company’s existing facility at Dunsandel near Christchurch. This plant will be commissioned in time for the 2011/12 season, more than doubling the capacity of the site.
All across the world, dairy farmers are leading their finest dairy cows across the show ring tanbark. But, what does a blue ribbon compare to being crowned the 2010 Baileys® Irish Champion Cow?
The dairy cow contest is sponsored Baileys® Irish Cream in Dublin. Over 20 groomed and pampered ‘cowtestants’ from all over the island of Ireland will wear their county sashes with pride as they parade in front of the judges at the Virginia Show, in County Cavan on July 31 for the title. Superior milk production is a must for short-listing but final judgment on the day will be on looks alone with marks going for shapely legs, an elegant neck, good-shaped back and well proportioned udders.
For dairy breeders, winning ‘the Baileys®’ is like having a horse win at the Grand National. Widely acknowledged in agricultural circles as the most prestigious dairy livestock event in Ireland and Britain, this is of course serious stuff for the dairy breeders.
“Never mind the World Cup, the only cup the entrants will be interested in winning this summer will be our Virginia Milk Products Cup! quipped Competition Director Brendan Smyth, “because for dairy cow breeders, winning ‘the Baileys®’ is like having a horse win at the Grand National.”
275 million litres of milk per year from over 35,000 Irish cows across 1,400 farms is needed to make Baileys®. Together, they contribute to the 2,300 glasses of Baileys® that are drunk every minute of every day across 130 countries and this prestigious event is only open to the best bred ‘supermilkers’ amongst them, that is cows producing over 11,000 litres of milk a year. For all their hard work in the making of Baileys’ quality cream ingredient, it makes perfect sense that the world’s no. 1 liqueur should recognize and reward the queen of them all.