Tag: farm subsidies

Dairy Defined Podcast: Mooney Speaks at Annual Meeting

Posted on by Alan Bjerga

 

(Note: NMPF’s Dairy Defined podcast explores today’s dairy farms and industry using high-quality data and podcast-style interviews to explain current dairy issues and dispel myths.)

ARLINGTON, Va. – U.S. dairy farmers have been through challenging times, but they’re ready to face the challenges of trade, the environment, climate and changing consumer tastes, said Randy Mooney, a Missouri dairy farmer and chairman of the National Milk Producers Federation. Mooney spoke this morning at the organization’s annual meeting, this in New Orleans.

“Dairy farmers play an important role in society. We help preserve communities,” he said. “Like all of you, I’m proud to be a dairy farmer, producing the most nutritious product in the world.”

To listen to the full podcast, click here. You can also find the Dairy Defined podcast on Spotify and SoundCloud. Broadcast outlets may use the MP3 file. Please attribute information to NMPF.

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 The National Milk Producers Federation (NMPF), based in Arlington, VA, develops and carries out policies that advance dairy producers and the cooperatives they own. NMPF’s member cooperatives produce more than two-thirds of U.S. milk, making NMPF dairy’s voice on Capitol Hill and with government agencies. For more, visit www.nmpf.org.

NMPF Welcomes California Dairies Inc., Second-Largest U.S. Dairy Cooperative, Into Membership

Posted on by Alan Bjerga

ARLINGTON, Va. – The National Milk Producers Federation today welcomed California Dairies Inc. into its membership, as the addition of the largest dairy cooperative in the biggest dairy-producing state significantly bolsters the strength of dairy producers in speaking with a unified voice on national and international issues of concern to farmers.

“We are very pleased to have CDI’s voice among our already strong and active membership,” said Jim Mulhern, president and CEO of NMPF, which is the largest U.S. dairy-farmer organization. “CDI bolsters the nationwide reach and diversity of our organization and strengthens our ability as farmer-owned cooperatives to tackle a wide array of challenges in marketing, farm labor and trade, food safety, nutrition and product labeling.”

CDI, based in Visalia, produces 40 percent of California’s milk and about 8 percent of all milk in the U.S. By volume, it is the second-largest dairy cooperative in the United States. Co-owned by more than 370 dairy producers who ship 16 billion pounds of milk annually, CDI makes high-quality butter, fluid milk products and milk powders. It produces two leading brands of butter – Challenge and Danish Creamery — and its products are available in all 50 states and more than 50 foreign countries.

“California Dairies, Inc. is excited to begin our membership with the National Milk Producers Federation as we work toward a stronger U.S. dairy industry,” said Simon Vander Woude, Chairman of the CDI Board of Directors.  “Both CDI and NMPF are active and respected organizations in Washington, DC, advocating on behalf of our respective memberships. However, we believe by combining our efforts, we can be an even stronger and more effective coalition, advocating pro-dairy policies that fundamentally strengthen our farmers and our industry as a whole.”

CDI officially joined National Milk today by a unanimous vote of its board of directors at NMPF’s June meeting. The cooperative will have five seats on that board of 53 members. In addition to approving CDI’s membership, NMPF also created a 14-member executive committee, which will include one member from CDI, to serve as a core leadership body, supplementing the work of its officers and board. The members of the executive committee include:

Jay Bryant, Maryland & Virginia Milk Producers Cooperative Operation (Reston, VA)

Beth Ford, Land O’Lakes Inc. (Arden Hills, MN)

Tony Graves, Prairie Farms Dairy, Inc. (Edwardsville, IL)

Mike McCloskey, Select Milk Producers Inc. (Dallas, TX)

Randy Mooney, Dairy Farmers of America (Kansas City, KS)

Keith Murfield, United Dairymen of Arizona (Tempe, AZ)

Ken Nobis, MMPA (Novi, MI)

Doug Nuttelman, DFA

Leroy Plagerman, Northwest Dairy Association/Darigold (Seattle, WA)

Neal Rea, Agri-Mark, Inc. (Andover, MA)

David Scheevel, Foremost Farms USA (Baraboo, WI)

Steve Schlangen, Associated Milk Producers Inc. (New Ulm, MN)

Simon Vander Woude, CDI

John Wilson, DFA

“The addition of the new executive committee will be helpful in gaining additional member input on often fast-developing policy issues, and it reflects the strong interest of our membership in united dairy community action,” said Randy Mooney, NMPF’s chairman and dairy farmer from Rogersville, MO.

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The National Milk Producers Federation (NMPF), based in Arlington, VA, develops and carries out policies that advance dairy producers and the cooperatives they own. NMPF’s member cooperatives produce the majority of U.S. milk, making NMPF the voice of dairy producers on Capitol Hill and with government agencies. For more, visit www.nmpf.org.

NMPF Statement on Federal Trade-Mitigation Package for Farmers

Posted on by Theresa Sweeney

ARLINGTON, Va. – From National Milk Producers Federation President and CEO Jim Mulhern:

“Dairy farmers have been harmed substantially by disrupted markets. We know that USDA is concerned about the damage being done to dairy farmers by ongoing tariff battles. We hope it will use the full range of tools available to provide a large segment of the payment in the first tranche to appropriately assist milk producers who have experienced a prolonged downturn in prices because of these conflicts,” he said. “We appreciate USDA’s concern for dairy’s needs, and we look forward to working with USDA, Congress and the White House as the department further develops its plans.”

NMPF estimates that producers have lost at least $2.3 billion in revenues through March due to higher tariffs against U.S. dairy, which has lowered milk prices for all producers.

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The National Milk Producers Federation (NMPF), based in Arlington, VA, develops and carries out policies that advance dairy producers and the cooperatives they own. NMPF’s member cooperatives produce the majority of U.S. milk, making NMPF the voice of dairy producers on Capitol Hill and with government agencies. For more, visit www.nmpf.org.

NMPF Applauds House Subcommittee for Putting Dairy First; DMC Decision Tool Now Online

Posted on by Alan Bjerga

ARLINGTON, Va. – As key milestones are being met in offering much-needed financial relief for dairy producers, the National Milk Producers Federation today thanked the House Agriculture Committee’s Subcommittee on Livestock and Foreign Agriculture for choosing dairy as the subject of its first hearing this year.

Lawmakers heard a diverse array of witnesses who provided important perspectives on the state of U.S. dairy, which is in its fifth year of low prices and its second year of trade-related hardships. In their opening statements:

  • Minnesota dairy farmer Sadie Frericks spoke of the importance of the new Dairy Margin Coverage program as a risk management tool as her family weathers economic challenges;
  • California Dairies, Inc. President and CEO Andrei Mikhalevsky provided an overview of dairy’s trade issues, a rising concern as exports are crucial to increasing dairy demand;
  • Pennsylvania dairy farmer Dave Smith, Executive Director of the Pennsylvania Dairymen’s Association, discussed additional challenges, including the importance of milk consumption in schools and the need to combat mislabeled fake milks in the marketplace.
  • New York dairy farmer Michael McMahon gave voice to the dairy industry’s unique workforce challenges, including the lack of a viable guest worker program that covers year-round workers
  • and Dr. Scott Brown, Director of Strategic Partnerships for the University of Missouri’s College of Agriculture, Food and Natural Resources, provided economic insight.

“Dairy’s challenges reverberate through the U.S. economy, and it’s appropriate that lawmakers put dairy first on its 2019 agenda,” said Jim Mulhern, president and CEO of NMPF. “We thank all of the farmers and industry leaders who spoke out. We also commend subcommittee Chairman Rep. Jim Costa (D-CA) and ranking member Rep. David Rouzer (R-NC), as well as Agriculture Committee Chairman Rep. Collin Peterson, (D-MN), who made helpful opening statements at the hearing, for their attention to dairy’s urgent needs.”

The NMPF continues to encourage farmers to prepare for Dairy Margin Coverage signup, scheduled to begin June 17. The USDA’s decision tool, designed to help farmers determine their appropriate coverage level, is now online here. Later this week, letters will be sent to producers informing them of their premium refunds under the previous Margin Protection Program.

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The National Milk Producers Federation (NMPF), based in Arlington, VA, develops and carries out policies that advance dairy producers and the cooperatives they own. NMPF’s member cooperatives produce the majority of U.S. milk, making NMPF the voice of dairy producers on Capitol Hill and with government agencies. For more, visit www.nmpf.org.

Pressure Mounts for EU to End Agriculture Trade Deficit

Posted on by Alan Bjerga

With policies that include both high tariffs and onerous non-tariff barriers to trade, such as complex and excessive import requirements and bans on the use of common food names, it’s no surprise that the European Union would want to keep agriculture out of negotiations for a free-trade agreement with the U.S. NMPF and its congressional allies are working to ensure that doesn’t happen, pointing to a lopsided trade imbalance in dairy as one reason that EU hypocrisy must end before broader trade progress occurs.

The EU exports approximately $1.5 billion in dairy to the United States each year, compared to $100 million in U.S. shipments to the EU. Wanting to lock in that advantage – the product of protectionist policies — the EU is already insisting that discussing agriculture is off the table before formal negotiations begin on any trade deal. NMPF and industry stakeholders are making it clear that an “agriculture-free” model for a free-trade agreement would be unacceptable and that any agreement with the EU must address the above-mentioned drivers of the U.S. dairy deficit.

Congress has taken notice as well.

Representatives Ron Kind (Wis.), Jackie Walorski (Ind.), Virginia Foxx (NC) and Angie Craig (Minn.) led a letter to the USTR dated March 14 emphasizing that agriculture must be included in upcoming negotiations. The letter attracted signatures from 114 members of Congress who wrote that “agriculture is the source of a great number of trade barriers and irritants in the U.S.-EU trading relationship. Thus, an agreement with the EU that does not address trade in agriculture would be, in our eyes, unacceptable.”

NMPF conducted outreach to House members allied with dairy to help secure support for this important message to U.S. negotiators. The organization will continue working to ensure that any potential trade deal with the EU is focused on narrowing the U.S. dairy trade deficit with the EU, not on worsening it.

Congressional Farm Leaders, Secretary Perdue Thanked for Work on Swift Dairy-Program Implementation

Posted on by Alan Bjerga

NMPF worked closely with key House and Senate dairy leaders in March to add bipartisan momentum to the U.S. Department of Agriculture’s efforts to implement the new Dairy Margin Coverage program created in the 2018 Farm Bill, highlighted by letters to Agriculture Secretary Sonny Perdue urging dairy implementation backed by members of both parties in both chambers.

Perdue has prioritized dairy programs in his farm-bill rollout, noting in testimony before Congress on April 9 that DMC outreach materials are being prepared for distribution via Farm Service Agency offices nationwide. NMPF appreciates the Secretary’s commitment to a timeline as well as congressional support for fast, farmer-friendly implementation of reforms. The bipartisan House and Senate letters urge USDA to implement the dairy provisions of the 2018 Farm Bill as quickly as possible and in a farmer-friendly manner.

House Agriculture Committee Chairman Collin Peterson (D-MN) and senior committee member Representative Glenn ‘GT’ Thompson (R-PA) led the House effort, and Senate Agriculture Committee Ranking Member Debbie Stabenow (D-MI) and Senator Roy Blunt (R-MO) led in the Senate.  As noted in the letters, DMC and the other improvements will provide critical help to dairy farmers this year.

The letters, signed by 77 House members and 38 Senators from both parties, also urge USDA to engage actively with farmers on multiple levels, including mailings, phone calls and local meetings, as well as collaboration with stakeholders including state officials, cooperatives, producer groups and institutions of higher education.

NMPF participated heavily in generating support for the letters among members, and appreciates how bipartisan, bicameral efforts in Congress draw attention to the challenges dairy farmers are facing and applauds Secretary Perdue for putting forward a timeline for implementation.  While urging action to speed up implementation wherever possible, the organization continues to work with USDA and Congress to ensure the DMC program best serves hard-working, economically stressed dairy producers.

DMC Payments Already Outpace Annual Premium, According to USDA Data

Posted on by Alan Bjerga

USDA’s National Agricultural Statistics Service margin calculation for February indicates a second month of payouts for producers who enroll at the higher coverage levels allowed under the new Dairy Margin Coverage program.

The prices used to determine the February 2019 margin under the Dairy Margin Coverage program, the new version of the previous Margin Protection Program for Dairy, generated a margin of $8.22 per cwt. That would not have produced a payment to any farmer under the old MPP, which had a $8/cwt. ceiling. Under the new DMC, that margin will generate a payment of $1.28 per cwt. for producers who purchase coverage for this year at the new maximum level of $9.50 per cwt.  For example, a farmer insuring 5 million pounds of milk production history at the maximum $9.50 per cwt. is already guaranteed to receive $6,307 and $5,347, respectively, for the first two months of the year under the DMC as currently calculated.

The February margin was $0.23 per cwt. higher than the margin in January, the result of a $0.20 higher milk price and a 3-cent lower feed cost. Together, margins from the first two months of 2019 are already enough to ensure that producers who enroll at the maximum coverage level will receive more in DMC payments during 2019 than they will pay in premiums. USDA, which has announced that signups for the 2019 program will begin by June 17, is predicting that DMC coverage at $9.50 per cwt. will continue generating payments each month from March through August.

The 2018 Farm Bill also removes the previous restriction that prohibited producers from enrolling milk in both the MPP program and the Livestock Gross Margin for Dairy (LGM-Dairy) program during the same month. It further allows farmers previously prevented from enrolling in MPP during 2018 due to this restriction to enroll retroactively in MPP and collect payments for 2018 for the months during which they were prevented from doing so. Farmers who purchased buy-up coverage under MPP during 2014-2017 are also eligible under the Farm Bill to receive a partial refund of their net payments during those years.

USDA’s DMC margin forecasts can be accessed online.