Of MPCs and Opinions

News EditorIndustry News

00_yale_benA great opinion piece on the MPC debate by Ben Yale for Progressive Dairyman. A must read for dairy industry folks! The full story can be found here.

Generally I see disagreements on policy issues based upon different vantage points and positions and it is appropriate to agree to disagree. There are those rare times when such a gentlemanly approach is inappropriate and what is wrong should be called just that.

Some of the arguments regarding imposing higher tariff rates or quotas on milk protein concentrates (MPC) create such a moment. Let me make this point clear up front: I clearly support efforts to bring fairness to the import treatment of milk protein concentrates (MPCs) under the tariff rate quotas of the U.S. For reasons or excuses which gain us nothing, the U.S. Harmonized Tariff Schedule has no special tariff rate quota for MPC as it does for cheeses, non-fat dry milk (NFDM) and other dairy products. While NFDM is subject to quota tariffs as high as 4 cents a pound plus transportation, imports of MPC40 and above are subject to a minimal duty of only $3.70 per metric ton, or less than a quarter of a cent per pound. Giving foreign producers of this valuable dairy product a virtual free pass to our consumers is wrong.

While I join that fight, I part ways with those who base their challenge to imported MPCs by asserting that all MPCs are foreign in source or claiming that using MPC in products is either illegal or unsafe. We must recognize that MPCs also come from American-produced milk. Once an MPC is in the product, it is not an American MPC or a foreign MPC. It is not the concentration that gives value to the product but the milk protein itself, and Americans consume billions of pounds of milk proteins every year. Only a small percent of those are produced outside of America. When we say bad things about MPC and products that use them, we are saying bad things about our milk.

The American dairyman is rightfully concerned about the absence of import limits on MPCs through inadequate tariff rate quotas, and we all should continue to fight for their inclusion. In that fight we need to argue that foreign products, often subsidized by the governments where produced, should not have an unfair advantage over our domestically produced products. In this fight we must remember that the biggest supplier of MPC in America are American dairymen, and we should never, never falsely argue that this wonderful wholesome product we produce, especially its valuable protein component, is unsafe to our consumers. I hope we can agree on all of that.

Source: Progressive Dairyman

USDA will Purchase Cheese from CCC

News EditorGovernment, Industry News

usdaThe U.S. Department of Agriculture Secretary Tom Vilsack has announced that approximately $60 million in cheese and cheese products will be purchased by the Commodity Credit Corporation (CCC) for use in domestic feeding programs through USDA’s Food and Nutrition Service.

USDA is expediting this cheese purchase to help provide much-needed support for low-income families struggling to put nutritious food on their tables, and to deliver timely assistance to dairy farmers who have been challenged by high feed costs and low dairy prices.

“This purchase will provide food to people in need, while helping dairy producers who are facing economic challenges by increasing demand for dairy products,” said Secretary Vilsack. “The Obama Administration continues to lend assistance in any way we can to support struggling agricultural industries.”

Along with providing market benefits for U.S. dairy producers, commodity purchases such as the $60 million announced today provide much-needed food aid – in the form of high-protein cheese – to food banks across our nation. The purchase continues USDA’s long history of delivering nutritional assistance through domestic and international feeding programs, including 15 domestic nutrition programs that touch the lives of one in every five people in America each day.

This aid comes at a time when demand on the nation’s food banks has reached an all-time high.

The 2010 Agricultural Appropriations Act authorized $60 million for the purchase of cheese and cheese products. This cheese purchase marks the second of two steps announced this week by USDA to utilize a total of $350 million authorized under the Act. Yesterday, Vilsack announced the Dairy Economic Loss Assistance Payment Program, which provides $290 million for one-time payments to eligible dairy producers.

Source: U.S. Department of Agriculture

Redding Confirmed as Pa. Secretary of Agriculture

News EditorGovernment, Industry News

redding_bioCongratulations to Russell C. Redding on being confirmed by the Pennsylvania Senate as the state’s 24th secretary of agriculture. Governor Edward G. Rendell nominated Redding on Sept. 12. Since then, he has served as acting secretary.

“Russell is the right person to lead our state’s agriculture industry,” said Governor Rendell. “His commitment to this state and the agriculture industry is unrivaled, and his proven leadership at the local, state and federal levels will serve the commonwealth well. Russell is an outstanding advocate for Pennsylvania agriculture and I thank the Senate for confirming him as secretary.”

As secretary, Redding oversees the department responsible for encouraging, promoting and protecting the state’s leading economic industry, agriculture, and its related industries. The department also has regulatory authority over food safety, animal health and the state’s dog law, as well as inspection of weight and measurement devices and amusement rides.

“For the past 15 years I have had the pleasure of working each day with some of the best public servants, both elected and appointed, this state has known,” said Redding. “My experiences during this period have confirmed for me that the achievements of the Pennsylvania agriculture industry are a reflection of the great work done by the Pennsylvania Department of Agriculture staff, as well as the more than 63,000 farms and thousands of related agricultural businesses that we serve.

Redding said that he will focus on ensuring that the department is open and accessible to preserve strong relationships with consumers and businesses; enhancing food safety in Pennsylvania by meeting the statutory mandate and through collaborative efforts such as the Governor’s Food Safety Council; expanding environmental stewardship efforts through continued leadership on farmland preservation; making full use of the authority from the Farm Bill for conservation by balancing the needs of farmers and the public with the need for clean water in the Chesapeake Bay; supporting Pennsylvanians who are at-risk for hunger; redoubling efforts of existing programs and initiatives to benefit future generations of producers and consumers; and strengthening the department’s connection to its sister agencies and related state and local partners.

Source: Pennsylvania Department of Agriculture

PDPW Managers Offers Academy Jan. 19

News EditorEducation, Training

pdpw-logoThe Professional Dairy Producers of Wisconsin (PDPW) announce the 2010 Managers Academy, Jan. 19-21, in Seattle, Wash. The conference is open to industry leaders and dairy producers wanting to identify those opportunities as well as build professional competencies and confidence.

The Managers Academy includes two days of highly interactive presentations, workshops and panels coupled with one day of unique, insider-only tours of three world renowned businesses.

Dr. David Kohl, president of AgriVisions, a knowledge-based consulting business, will lead Day 1, sharing proactive management practices that can help attendees capitalize on the economic environment to reach peak business performance. He’ll also oversee a unique workshop where a panel of three CEOs will detail how they navigated through financial crisis, environmental regulations and other challenges to land their companies on solid ground—and then help attendees switch roles with these CEOs to determine the next steps for each company.

Day 2 will be learning outside a classroom setting, with tours of three diverse and vibrant businesses: Pike Place Fish Mart, Chateau Ste. Michelle Winery and Werkhoven Dairy Farm. Key players of each business will address the group and share their secrets of transformation and business success. No question to these CEOs will be off limits.

David Parker, senior vice president of Agribusiness Group, will lead the third and final day of the Managers Academy, providing insight on “Critical Thinking for Critical Times.” After absorbing practical business wisdom, attendees will work in small teams, begin to develop and utilize a planning document designed for application in their own business and engage in “war-gaming.” Participants will leave the session having heard and learned from their peers and empowered to make more effective short- and long-term decision for the viability and advancement of their business.

Source: Professional Dairy Producers of Wisconsin

USDA Implements Program to Help Dairy Producers

Cindy ZimmermanPolicy, usda

Agriculture Secretary Tom Vilsack has announced the implementation of the new Dairy Economic Loss Assistance Payment (DELAP) program. The 2010 Agricultural Appropriations Bill authorized $290 million for loss assistance payments to eligible dairy producers.

“Through this program, eligible dairy producers will receive economic assistance that will help stabilize their operations during these tough economic times,” said Vilsack. “I have personally heard from hundreds of struggling dairy farmers from all across our country who have been hit hard by declining prices over the past year, and now, we’ll be able to offer them help.”

Eligible producers will receive a one-time direct payment based on the amount of milk both produced and commercially marketed by their operation during the months of February through July 2009. Production information from these months will be used to estimate a full year’s production for an operation to calculate the payments, using a 6-million pound per dairy operation limit.

Read more details from USDA here.

Friends of World Dairy Expo Honored

Cindy ZimmermanGeneral, World Dairy Expo

Four “Friends of Expo” were recognized at a special, baseball-themed volunteer appreciation dinner recently at the Alliant Energy Center in Madison, Wisconsin. Nearly 150 volunteers gathered to acknowledge their contributions and celebrate a successful 2009 show.

Honored for their years of support and outstanding service to World Dairy Expo, these individuals were selected from among the nearly 400 volunteers who help run the cattle shows, commercial exhibits, youth contests, school tours and Purple Cow Gift Shop during the annual, five-day show. The 2009 honorees include: Connie Kolpin, Gary Kolpin, Lynda Yates and Gordon Marquart.

Read all about them here.

Dairyline Markets In Review

Chuck ZimmermanDairyline, Markets

DairylineDairy Markets Week in Review

Industry eyes are on the large price spread which grew this week between Chicago Mercantile Exchange block and barrel cheese. It is the longest lived spread ever and is hurting barrel manufacturers particularly.

The blocks closed the third week of December at $1.7025 per pound, up a quarter-cent on the week, and 40 cents above a year ago when the blocks plunged 21 cents, to $1.3025. Barrel closed December 18 at $1.44, down 2 cents on the week, 8 1/2-cents above a year ago, but 26 1/4-cents below the block price. Forty five cars of block traded hands on the week and only two of barrel. The NASS-surveyed U.S. average block price averaged $1.6227, up 3.8 cents. Barrel averaged $1.5165, down slightly.

Butter closed at $1.3250, down 12 1/2-cents on the week, but 15 1/2-cents above a year ago. Eight cars were sold. NASS butter averaged $1.4520, down 4.6 cents.

Cash Grade A nonfat dry milk closed Friday at $1.37, down a penny. Extra Grade held all week at $1.40. NASS nonfat dry milk averaged $1.2756, up 1.4 cents. Dry whey averaged 36.34 cents, up 0.1 cent.

Provided courtesy of Dairyline.

Charm Sciences Test Approved

News EditorGeneral

Charm logoA recent press release from Charm Sciences reports the news that their Fast Alkaline Phosphatase (F-AP) Test has been accepted as an official approved pasteurization test for milk and dairy products in the Grade “A” Pasteurized Milk Ordinance (PMO).

The actions of the 2009 National Conference on Interstate Milk Shipments (NCIMS) were recently released by the FDA in Memoranda IMS-a-47.

Charm F-AP provides the fastest HACCP verification of effective pasteurization by delivering results in just 45 seconds. The limit of detection of 20 mU/L is well below the established US and EU regulatory thresholds of 350 mU/L. The simple one-step procedure requires no reagent preparation or incubation. The Charm F-AP test is based on the proven Charm PasLite test, an ISO/IDF standard method for testing alkaline phosphatase in milk and dairy products. PasLite also carries official acceptance by NCIMS/ PMO as well as by Australian (Victorian) and New Zealand Food Authorities.

Source: Charm Sciences

Charges Mounted Agaisnt Former Humboldt Creamery

News EditorIndustry News

John Driscoll from The Eureka Times-Standard reports that the bankruptcy mess that the California-based Humboldt Creamery faced this spring continues. Now, several organizations are seeking money from Humboldt’s former dairy farmers to pay reparations.

Now, the state is going after individual dairymen and businesses in an effort to recover assessments, fees and penalties it says they never paid. A lawsuit recently filed by the California Attorney General on behalf of the California Department of Food and Agriculture is seeking nearly $430,000 from the farmers and the association that provided milk to Humboldt Creamery.

The complaint alleges that the farmers and the association didn’t pay into a pool meant to stabilize what producers are paid, and are therefore delinquent to the tune of $276,000. The California Milk Advisory Board — which promotes and markets milk — is also owed some $95,000 in costs and late fees, the suit alleges. Inspection, administration and other fees also stand to be collected, according to the suit.

While former members of the association are expressing anger and frustration at the state’s decision to sue, they also say their own audits may tell a different story. Former association member Dennis Leonardi said that every milk plant realizes a credit or a debit to the milk pool based on its use of milk. Leonardi said an analysis of the accounting, which he described as broader than the state’s, could find that the state owes money to the producers.

He said the state has gone after individual dairy businesses because the association is just a shell today, with no assets left to seize.

“How much more can you kick people when they’re already down?” Leonardi asked.

Source: The Eureka Times-Standard

2010 ANIMART Calendar Available

News EditorGeneral

2010 Cowlendar.inddStill looking for a gift for the farmer in your life? How about the annual ANIMART calendar? The 2010 calendar features photos of “Cheese…Wisconsin’s Pride and Passion.”

ANIMART, Inc. has released its annual, uniquely-themed client appreciation calendar. This year, the ANIMART calendar features photos of Wisconsin cheeses, which celebrates 100 years of Wisconsin as the largest cheese-producing state. As the nation’s top cheese producer crafting more than 600 varieties, types and styles of cheese, Wisconsin is home to classics such as Cheddar and Colby and also America’s leader in specialty and artisanal cheeses.

The Cowlendar incorporates as a tool for producers return and due dates on each day to help with dairy cattle heat detection, management and pregnancy planning. In addition, dairy industry conferences are listed on the calendar keeping producers up-to-date on upcoming 2010 dairy events.

“This year’s theme focuses on one facet of the dairy industry and the importance of our clients’ dedication in producing exceptional dairy products, such as cheese,” says Ruth Metz, co-owner of ANIMART with her husband, Dr. James Metz. “This year’s Cowlendar honors our client’s commitment in producing safe, high quality milk and meat products 365 days a year.”

Souce: ANIMART, Inc.