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NMPF’s Morris Assesses Dairy Impact of New Import Tariffs
NMPF’s executive vice president Shawna Morris assesses how the U.S. dairy sector could be impacted by the new tariffs imposed against imports by the Trump Administration, and how foreign countries may in turn raise their own tariffs against American exports.
NMPF’s Bjerga on Dairy, the Snacker’s Choice
Recent data is showing that even as snack food consumption stagnates, dairy-focused products such as Greek yogurt and cottage cheese are increasing sales volumes. NMPF Executive Vice President Alan Bjerga breaks down why in an interview with RFD-TV.
Snacks the Way We Like Them
The Wall Street Journal article last week was ostensibly about Ozempic, and how weight-loss drugs are curbing consumer appetites. But it’s the stats about snacking that stood out.
According to data compiled by the Journal using Nielsen and BNP Paribas Exane estimates, U.S. snack food consumption is under pressure. Volume sales in 2024 for pretzels and crackers were flat; chocolates were down 5 percent; ready to eat popcorn, were down more than 7 percent. “Craveability,” a food-industry buzzword of the past few years, isn’t craved the way it used to be. Consumers – some of them using medications that limit appetites – just aren’t into gobbling up little pieces of sweet and salty things like they used to.
But some snack categories are still up. Way up. #1 on the Journal’s list? Greek yogurt, with volumes up 12.9 percent in 2024. Runner-up? Cottage cheese, increasing 11.8 percent. Nutrition shakes and meat snacks also rose.
The common thread? Protein. And the clear preference? Dairy.
Turns out that when appetites are curbed, but nutrient needs remain, a nutrient-dense, appetite-satisfying product meets the need. In 2025, highly processed is out; high protein is in. And dairy is meeting that demand.
Yet another reason to celebrate. So go ahead, indulge. Open that refrigerator, grab a yogurt or a cottage cheese. There are plenty of snack-sized options to choose from. It’s a healthy choice, and a worthwhile indulgence. And when you do that, you’re not just helping a dairy farmer. You’re a trend-setter, too.
NMPF, USDEC Call for Targeted Tariffs, Trade Negotiations
Dairy leaders called for a targeted approach to tariffs and an emphasis on positive negotiations with most trading partners as the Trump Administration moved ahead with a plan for stepped-up tariffs worldwide on Tuesday.
“Tariffs can be a useful tool for negotiating fairer terms of trade,” said NMPF President & CEO Gregg Doud in a joint statement with U.S. Dairy Export Council President & CEO Krysta Harden released earlier today. “We are glad to see the administration focusing on long-time barriers to trade that the European Union and India have imposed on our exports. The administration has rightly noted both countries’ penchants for restricting sales of American products.
“In fact, 20% reciprocal tariffs are a bargain for the EU considering the highly restrictive tariff and nontariff barriers the EU imposes on our dairy exporters,” Doud continued. “If Europe retaliates against the United States, we encourage the administration to respond strongly by raising tariffs on European cheeses and butter. We also appreciate the President’s recognition of the sizable barriers facing U.S. dairy exports into the Canadian market.
“Through productive negotiations, this administration can help achieve a level playing field for U.S. dairy producers by tackling the numerous tariff and nontariff trade barriers that bog down our exports,” Doud said. “As the administration moves forward with negotiations on these tariffs, we encourage prioritizing getting back to fully open trade with U.S. FTA partners, targeting actors who have long put up entrenched barriers to American exports, and swiftly negotiating constructive outcomes with those we know are working for a long-term, fruitful relationship with American farmers.”
President Donald Trump announced Wednesday that the United States will impose a baseline 10 percent additional tariff on imports from all countries later this week, with a higher additional tariff taking effect next week on dozens of other countries the United States believes have the most unfair trade relationships with the U.S.
The new duties include a 34 percent tariff on China, 26 percent on India, 26 percent on South Korea, 24 percent on Japan and 20 percent on the European Union. Canada and Mexico, the two largest U.S. dairy trade partners, are currently exempted from the latest round of tariffs because both countries’ non-USMCA-compliant products already are subject to 25 percent tariffs that Trump imposed, then largely suspended, last month.
Targeted Use of Tariffs and Robust Negotiations Essential to Successful Results
Leaders from the National Milk Producers Federation (NMPF) and the U.S. Dairy Export Council (USDEC) released the following statements today in response to President Donald Trump’s tariff announcements.
“Tariffs can be a useful tool for negotiating fairer terms of trade. To that end, we are glad to see the administration focusing on long-time barriers to trade that the European Union and India have imposed on our exports. The administration has rightly noted both countries’ penchants for restricting sales of American products,” said Gregg Doud, President and CEO of the National Milk Producers Federation. “In fact, 20% reciprocal tariffs are a bargain for the EU considering the highly restrictive tariff and nontariff barriers the EU imposes on our dairy exporters. If Europe retaliates against the United States, we encourage the Administration to respond strongly by raising tariffs on European cheeses and butter. We also appreciate the President’s recognition of the sizable barriers facing U.S. dairy exports into the Canadian market.
Through productive negotiations, this administration can help achieve a level playing field for U.S. dairy producers by tackling the numerous tariff and nontariff trade barriers that bog down our exports. As the administration moves forward with negotiations on these tariffs, we encourage prioritizing getting back to fully open trade with U.S. FTA partners, targeting actors who have long put up entrenched barriers to American exports, and swiftly negotiating constructive outcomes with those we know are working for a long-term fruitful relationship with American farmers.”
“President Trump’s commitment to addressing certain unfair and harmful trade policies that American dairy farmers and manufacturers have long faced in the global marketplace can yield positive results if the tariffs announced today are used as leverage to remedy the various trade barriers facing our exporters,” said Krysta Harden, President and CEO of the U.S. Dairy Export Council. “A firm hand and decisive approach to driving changes is most needed with the European Union and India to correct their distortive trade policies and mistreatment of American agriculture including both imbalanced tariff barriers and nontariff choke-points such as the misuse of Geographical Indications to block sales of our cheeses.
The strong majority of our trading partner relationships are positive ones; this includes many of the countries that will see higher tariffs imposed on them. We encourage the administration to work swiftly with these constructive partners to negotiate new trading terms that expand opportunities for U.S. exports and secure the elimination of both tariff and non-tariff barriers.”
DMC Margin Loses $0.73/cwt in March, on Lower Milk Price and Higher Feed Cost
The Dairy Margin Coverage margin fell $0.73/cwt to $13.12/cwt for March as milk prices fell and feed costs rose.
The U.S. average all-milk price lost $0.50/cwt in February, falling to $23.60/cwt, while higher feed costs covered the rest of the margin loss. The DMC Decision Tool on the USDA Farm Service Agency website at the end of March projected the monthly margin would average $12.51/cwt during 2025, with a low of $11.10/cwt in May. Such a performance would result in no DMC payouts for farmers this year.
FARM Biosecurity Remains Leader on H5N1; First In-Person Training Approaches
The National Dairy Farmers Assuring Responsible Management (FARM) Program is preparing for its first in-person FARM Enhanced Biosecurity training, with H5N1 in dairy cattle still a significant concern one year after it was first identified.
The Program has released five new guides and one-pagers in the past year that give farmers necessary tools to protect their farms. The two-day in person training, set for April 30-May 1, will provide FARM program evaluators with the opportunity to learn how to help farmers develop an enhanced biosecurity plan.
The training also provides a networking opportunity with other dairy professionals and a chance to hear from a Virginia dairy producer about the process and lessons learned from implementing a FARM Biosecurity–Enhanced plan.
This training is supported by a cooperative agreement with USDA National Animal Disease Preparedness and Response Plan (NADPRP). The agreement supports expanding the resources available through the FARM Biosecurity program, such as additions to the current online module and a second in-person training set for 2026 in Washington.
For questions, please contact Miquela Hanselman, mhanselman@nmpf.org.
New Maritime Fees Would Undermine U.S. Dairy, NMPF Argues
NMPF and USDEC filed joint comments on March 24 to USTR urging the administration to reconsider proposed fees on Chinese-owned or built vessels under the agency’s Section 301 investigation into China’s maritime and shipbuilding practices. NMPF warned that fees ranging up to $1.5 million per port call would significantly increase shipping costs, undermining U.S. dairy export competitiveness abroad, even as it supported efforts to bolster the U.S. commercial fleet.
Nearly 40% of U.S. dairy exports rely on ocean freight. Higher fees risk lost market access, supply chain disruptions and economic harm to dairy farmers and exporters, NMPF and USDEC argued in their comments. NMPF joined two March 24 letters—one from a broad industry coalition and a second from agricultural organizations— call for alternative approaches that support U.S. strategic goals without disproportionately harming American exporters.
NMPF Strengthens Latin American Ties Amid Trade Uncertainty
Amid tense and uncertain trade relations between the United States and Mexico, NMPF Executive Vice President Jaime Castaneda reinforced U.S. dairy’s commitment to its Mexican partners at the Pan American Dairy Federation’s (FEPALE) Board of Directors meeting.
Castaneda highlighted new and continuing opportunities for NMPF and FEPALE to promote dairy consumption and boost trade between the two neighboring countries at the meeting, held the week of March 3. Castaneda also met with key Mexican farm representatives, processors and importers to discuss the looming threat of tariffs and other challenges facing the U.S. and Mexican dairy industries. Castaneda met with Ricardo Villavicencio, president of CANILEC (the Mexican association of processors and importers), and Sergio Soltero, secretary of the National Confederation of Livestock Organizations, to emphasize Mexico’s value as a trade partner to the U.S. dairy industry.
Building on these efforts, NMPF and USDEC signed a memorandum of understanding with the Guatemalan Dairy Development Association (ASODEL) on March 20 in Guatemala City. The agreement aims to boost dairy trade, promote consumption and address trade barriers across the Americas—underscoring NMPF’s broader strategy to strengthen regional ties and support open, fair dairy markets.
NMPF-Led Common Names Bill Reintroduced in Congress
NMPF, USDEC and the Consortium for Common Food Names (CCFN) welcomed the April 1 reintroduction of the bipartisan SAFETY (Safeguarding American Value-added Exports) Act that would protect the rights of U.S. dairy producers to use common food names like “parmesan” and “feta” in global markets.
Shaped and championed by NMPF, USDEC and CCFN, the legislation, first introduced in May 2023, would amend the Agricultural Trade Act of 1978 by:
- Establishing a list of names at risk and explicitly defining “common names” as a term ordinarily used for marketing a food product, as determined by the U.S. Department of Agriculture (USDA),
- Defining foreign restrictions of those common names as an unfair trade practice; and
- Directing USDA to “coordinate with the U.S. Trade Representative to proactively defend the right to use common names for agricultural commodities or food products in their markets” through various negotiating tools.
The bill is sponsored by Sens. John Thune, R-SD, Tammy Baldwin, D-WI, Roger Marshall, R-KS, and Tina Smith, D-MN, in the Senate and Reps. Dusty Johnson, R-SD, Jim Costa, D-CA, Michelle Fischbach, R-MN, and Jimmy Panetta, D-CA, in the House. It marks a renewed effort to counter the European Union’s attempts to monopolize generic names in markets around the world by misusing geographical indications rules, effectively blocking access for American cheese exporters.
“Losing the right to use common names has direct, on-the-ground consequences for U.S. dairy farmers,” said Gregg Doud, President and CEO of NMPF. “The Safeguarding American Value-added Exports Act is an important milestone to making that a reality.”
FDA Traceability Delay Creates NMPF Advocacy Opportunity
NMPF welcomed the Food and Drug Administration’s recent 30-month compliance date extension for its final Food Traceability Rule, which creates additional opportunities to push for changes.
NMPF has long opposed the Food Traceability Rule as it is currently written while supporting sensible food traceability measures, and last year made great strides working with the International Dairy Foods Association toward getting FDA to consider exempting Grade “A” cottage cheese from the Food Traceability List.
NMPF plans to use the extra time to work with FDA and the Partnership for Food Traceability, a nonprofit partnership dedicated to this issue which NMPF joined last year, to find better solutions to food traceability.
The final rule establishes additional traceability recordkeeping requirements beyond what is already required in existing regulations for people who manufacture, process, pack, or hold foods on the Food Traceability List. It applies to domestic and foreign entities producing food for U.S. consumption and was issued in 2022 in accordance with the FDA Food Safety Modernization Act.
