Cooperatives Working Together (CWT) accepted four bids from Dairy Farmers of America for export assistance for a total of 1,219 metric tons (2.7 million pounds) of Cheddar cheese and Monterey Jack to the Middle East and Asia. The product will be delivered in June and July 2010.
Since CWT reactivated the Export Assistance program on March 18, 2010, it has assisted members in making export sales of cheddar cheese totaling 9,219 metric tons (21.7 million pounds) to 15 countries on four continents.
The Export Assistance program was reactivated when economic analysis indicated that sizeable cheddar cheese inventories overhanging the market are hampering a recovery in producer milk prices. Assisting CWT members in exporting cheddar cheese will provide the most immediate way to positively impact producer milk prices.
CWT will pay export bonuses to the bidders only when delivery of the product is verified by the submission of the required documentation.
Source: Cooperatives Working Together