Why do agricultural issues matter to young cosmopolites attending an Ivy League institution and who quite possibly are from a family in the top one percent? Besides being consistently ranked as one of the top agricultural schools in the country and the world, Cornell’s College of Agriculture and Life Sciences conducts an enormous amount of research and outreach to help end food insecurity, combat climate change and, most recently, protect food production workers against COVID-19; just check out the litany of innovations being reported by the Cornell Chronicle. 

Cornell is in a unique position to conduct its research; unlike many of its peers, it’s not a bubble of academia set apart from the communities that surround it. 43 percent of the counties in the Southern Tier are classified as rural. If you include upstate micropolities, such as Corning and Cortland, as semi-rural, that figure jumps to 57 percent.

Within these communities, people are intimately connected to our nation’s food system. The most recent United States Department of Agriculture census conducted in 2017 shows that 55,363 people are employed by New York farms, and that 98 percent of these farms are family owned. From the hard work of these New Yorkers in the same year came $3.785 billion worth of agricultural products, with dairy dominating sales. This goes to show how important it is to not take American farmers for granted. However, because of the relatively small population size of rural communities compared to metropolitan centers like New York City, whose population alone is larger than 38 states, it will be in the electoral college that rural voices are heard — a system now under attack by the National Popular Vote campaign, already passed in 14 states and Washington D.C. 

America’s family-run farms are threatened by big ag and a lack of access to federal subsidies. I looked at the statements made by Joe Biden and Donald Trump in response to the Farm Bureau’s annual presidential candidate questionnaire to see what they had to say about these and other issues affecting American farmers. Biden argues, “The Biden-Harris administration will protect small and medium-sized farmers and producers by strengthening enforcement of the Sherman and Clayton Antitrust Acts and the Packers and Stockyards Act.” Biden and Harris say they will stand up and fight for family farms, in Tompkins county, in the Southern Tier and across the United States. Trump, however, seems to favor the big industry producers who already reap most of the benefits resulting from current agriculture policy. His response to the same question on food system resiliency recounted how, “Throughout this [COVID-19] crisis, the Trump/Pence administration has engaged heavily with leaders in the industry at every point in the supply chain.” How many farmers running family operations were “engaged” by the Trump administration? My guess — not many if at all. 

Even though the majority of farmers would not benefit from another four years of trade wars, tariffs, commodity price drops and unaddressed climate change, DTN, an agricultural focus news source, reported on Friday that Trump still leads by 18 points amongst rural adults. However, rural communities are not unified in their support of Trump. In fact, the same report shows a great deal of indecision among many rural adults, with 39 percent of farmers believing U.S. agriculture is worse off than it was when Trump took office. 

In any case, the issues that farmers are facing exist outside the realm of polls and percentages. I don’t downplay the importance of agriculture specific issues when I highlight climate change; it affects farmers as much, if not more, than urbanites. When it comes to agricultural sustainability and supporting rural communities specifically, Biden has a plan and policy “to ensure our agricultural sector is the first in the world to achieve net-zero emissions.” Proposed as an expansion to the Conservation Stewardship Program created by Senator Tom Harkin (D-IA), the program will “support farm income through payments based on farmers’ practices to protect the environment,” and is based on scientific evidence. I echo Biden when I say Trump has no plan to address climate change, and in his response to the Farm Bureau’s questionnaire he makes no attempt to give one. Instead, he says we should be thanking our farmers as they’re the best stewards of the land America has got. At least we agree on one thing. 

Regardless, Trump has the firm support of many rural communities despite his harmful policies towards small American farmers. But why? Arlie Russell Hochschild, in her 2016 book Strangers in Their Own Land: Anger and Mourning on the American Right, sets out to understand how Tea Party conservatives think and feel. Through extensive interviews, she shows how white Americans have been “triply marginalized by flat or falling wages, rapid demographic change and liberal culture that mocks their faith and patriotism.” It only makes sense that someone who expresses farmers’ grievances and shares their fears will make them feel heard and have their political support. That someone was Donald Trump and his supporters were frustrated, rural, white Americans. However, I would argue there is now a candidate that those same Trump supporters can get behind without getting stabbed in the back — Joe Biden. 

Source: cornellsun.com

Does butter taste better when the cows are happy?

FHow much is too much for a liter of milk? What will dairy cows of the future look like? What does a glass of milk have to do with environmental protection? Will cows be pastured in future, too? These are some of the questions that the new Center of Integrated Dairy Research (Zentrum für Integrierte Milchwirtschaftliche Forschung) or “CIDRe” for short is looking to answer. Scientists from a wide range of disciplines are working in this recently established center at the University of Bonn for the benefit of a balanced and sustainable dairy industry.

or more than 10,000 years, humans have been using cows for obtaining milk and meat, as providers of fertilizer, and as draft animals. During cold periods, humans used the animals’ skins or their leather for protection. In short, cattle helped humans survive under adverse conditions. The production conditions have, however, changed drastically over time. Originally, cows gave about eight liters of milk a day to feed a calf.

Modern high-performance cows produce 50 liters a day now, sometimes at a dramatic price. “The dairy industry system has been off balance for quite some time,” said Prof. Dr. Wolfgang Büscher, Speaker of the new Zentrum für Integrierte Milchwirtschaftliche Forschung at the University of Bonn (CIDRe).

Extreme increase in milk production results in problems

Due to the extreme increase in milk production, cows often need significantly more energy during the first 100 days after calving than they can take in with their feed.

“This imbalance can result in fat and muscle wasting as well as metabolic diseases,” said veterinary Dr. Susanne Plattes, CIDRe Coordinator. High-performance cows are more susceptible to fertility problems or hoof and udder infections. Dr. Plattes explained further, “The animals’ wellness is becoming the focus for ethical and economic reasons. If more species-appropriate animal husbandry results in better products, the economic advantages will also be obvious.”

Environmental consequences

The environmental effects of modern milk production are also tangible. Gases that further stoke global climate change can escape from dairy cows’ stomachs. Consequently, the central question the researchers involved with the CIDRe, who come from Agricultural Science, IT, Physics, Veterinary Medicine, Economics and Social Sciences, are seeking to answer is how the complex dairy industry system can be brought into balance. In addition to mere milk production, both the health and wellness of the animals, as well as the protection of the environment should be taken into account. Related to this are socioeconomic questions; such as, how highly – in terms of price – consumers value a sustainable dairy industry.

Unique research project at the Frankenforst research station

First, however, lots of data must be collected in order to be able to optimize the dairy industry system also with regard to animal wellness and environmental protection. Here, the Frankenforst research station of the University of Bonn plays a central role in this research area.

“It is the only one of its kind in Germany and allows research at the highest level,” said Prof. Büscher.

So for example, a host of sensors captures how much feed a cow eats and how much she moves. Water intake, milk flow and ingredients as well as heart frequency are among the parameters that are recorded digitally, based on which the scientists can determine how each individual cow is doing. The animals’ behavior is analyzed in cooperation with the University of Halle-Wittenberg.

Comprehensive measured data for a simulation model

The scientists want to capture the dairy industry system as completely as possible and then develop models from their results.

“This will allow us to answer several critical questions,” said Dr. Plattes. “Such as solutions for the trade-off between more freedom to move and the related increase in ammonia and odor emissions.”

In addition, the scientists are interested in finding out whether there is an increased health risk an increased health risk for cows with high milk production. But economic issues are also studied, such as the difference in dairy animal husbandry profitability on field versus pasture locations.

Support for young scholars

“Over the past years, interdisciplinary cooperation in diary industry research at the Agricultural Faculty has been intensified greatly,” said the Dean, Prof. Dr. Karl Schellander. “CIDRe will focus the strengths of the participants involved in this research focus, intensify interdisciplinary research and contribute to increasing its visibility here and abroad.”

Another focus of the Center is supporting young scholars – among others, by means of the Theodor-Brinkmann Graduate School that offers both the Faculty’s Master courses of study as well as its structured doctoral studies, all under one roof. In addition, the CIDRe is scheduled to offer an interdisciplinary Summer School.

The U.S. dairy industry commended the U.S. Trade Representative (USTR) for using its review of Indonesia’s Generalized System of Preferences (GSP) status to hold Indonesia accountable for issues that had threatened the smooth flow of U.S. dairy exports. USTR announced yesterday the conclusion of its review of Indonesia’s eligibility to continue receiving preferential tariff access to the U.S. market under the GSP program.

The U.S. dairy industry exported $238 million in dairy products to Indonesia in 2019, making it the seventh largest market for U.S. dairy exports. That represents an increase of 80% percent by value from 2017. With a potential for even greater growth for U.S. dairy in this key market, it’s important that U.S. products can flow smoothly.

Today, CowManager® launches a new Nutrition module that provides actionable insights regarding feed and transition management on dairy farms. The module has been expanded with clear graphs and user-friendly comparison functionality. Timely notifications regarding cows at risk during the transition period, heat stress, low feed intake, and herd health help to focus a producer’s attention where it is needed most. These notifications allow the producer to approach herd management in a preventive, proactive, and precise manner, resulting in better cow health and a more productive herd.

Koen van Meurs, Head of R&D at CowManager, said, “Nutrition is of great importance to a cows’ performance. It also accounts for the largest portion of the variable costs on farms. Having the right insights to make data-driven decisions about feed and transition management are key to successful and profitable farming. Machine learning technology helped us to create exactly these insights based on the behavior and temperature data we collected from millions of cows worldwide.”

Global customer panel

The Nutrition module was designed with the help of dairy producers and nutritionists in CowManager’s global customer panel. Wilfried Reuvekamp, member of the customer panel and owner of Hilltop Dairy (USA) said, “The insights provided by the Nutrition module encouraged me to implement management changes, which led to a sustained dry matter intake of 38 pounds for our close-up cows. This has already contributed strongly to healthier fresh cows and higher peak milk production. I believe in a few months we will hit the 95-pound milk production mark.”

Working preventively

The transition period is the primary risk period where 75 percent of all adult cow disease events occur. In the past, producers could only dream of cows at risk being identified days or weeks before they

became sick. Today this has become reality. Dry cows with decreased eating and rumination behavior will be flagged as being at risk of becoming sick after calving. Early intervention prevents losses and results in a healthier herd. All alerts within the Nutrition module are designed to foster preventive management practices.

Optimized feed management

About CowManager

Thousands of farmers in over 40 countries already rely on CowManager’s user-friendly ear sensor technology, to help manage their herds. CowManager monitors each cow 24/7, it is an extra pair of eyes on the herd. This valuable management tool shows real-time alerts via easy-to-read and colored hourly behavior graphs on your smartphone or desktop computer. CowManager monitors health, fertility, nutrition, and location, with impressive accuracy.

For more information, visit www.selectsires.com or www.cowmanager.com or follow CowManager on Twitter, Facebook, LinkedIn and YouTube.

Based in Plain City, Ohio, Select Sires Inc., is the largest global A.I. cooperative and is comprised of six farmer-owned and -controlled local organizations in the United States. As the industry leader, it provides highly fertile semen, as well as excellence in service and programs to supply dairy and beef producers with the world’s best genetics.

Core products—NDM/SMP, cheese and whey—make for strong August.

Trade data released Tuesday show that eight months into 2020, the value and volume of U.S. dairy exports continues to grow at a double-digit pace. Volume on a milk solids basis was up 17% compared to last August, putting year-to-date performance up 16%. Value grew by 11% (YTD up 14%).

Most major product categories booked strong gains in August. U.S. suppliers shipped 190,435 tons of milk powder, cheese, whey products, lactose and butterfat—a record for the month. The August increase capped a full year—12 straight months—of year-over-year increases in aggregate U.S. dairy export volume.

In August, the United States’ core categories—NDM/SMP, cheese and whey products—propelled a strong month overall and extended year-to-date gains. Each was fueled by different factors.

Total U.S. NDM/SMP exports rose 35% to 68,798 tons, driven primarily from a doubling of shipments to Southeast Asia, with the aid of competitive pricing and a committed U.S. presence in the region. Total U.S. NDM/SMP exports were up by 17,714 tons; shipments to the six primary markets in Southeast Asia grew 14,288 tons.

Another bright spot: Shipments to China went from virtually nothing in August 2019 (173 tons) to 5,343 tons in August 2020, making it the third largest destination for U.S. milk powder for the month. Our No. 2 market, Mexico, lagged in August, with U.S. NDM/SMP shipments down 15% to 23,754 tons.

Even though U.S. NDM/SMP export volumes have decelerated over the past three months, the latest USDA Dairy Products report shows a decline in August inventories and levels remaining below 2019 comparables after the March and April surge. This suggests the market remains in balance despite weakness in Mexican demand.

Cheese enjoyed a surprisingly strong month: U.S. exports grew 17% to 31,009 tons, with impressive growth across the core U.S. markets. U.S. cheese exports to Mexico rebounded in August with a 29% increase to 8,807 tons, while sales to South Korea (+88%), Japan (+49%) and Australia (+53%) soared.

U.S. cheese export prices were well below May-June U.S. domestic prices, suggesting U.S. exporters accepted lower margins to maintain international relationships.

Other markets, where tourism accounts for larger shares of GDP and cheese consumption – such as Central America, the Caribbean and Southeast Asia — continue to lag in cheese buying. International tourism in most import regions remains significantly restricted by COVID-19.

August whey shipments recorded double-digit gains in all categories with U.S. whey strength almost entirely due to China and its continuing attempts to rebuild its hog herd. Total U.S. whey exports grew 29% in August, an increase of 11,281 tons; U.S. shipments to China for the month jumped 318% or by 17,212 tons.

At +318%, it was a significant month-to-month surge that could be a signal of an increase in U.S. whey market share thanks in part to the Phase I trade agreement. U.S. whey export growth to China should be further supported by China’s move last month to extend a retaliatory tariff exemption on U.S. permeate for animal feed.

The Chinese whey import gain more than made up for declines to other regions, like Southeast Asia (-14%) and Mexico (-60%).

In other products, U.S. butterfat exports rose 4% with gains to Canada, Saudi Arabia and Japan.

Lactose volume fell 8% to 29,168 tons, with declines to Mexico (-23%), China (-12%) and South America (-33%). 

MPC exports rose 37% and Canada was the top U.S. MPC market. The increase was a hopeful sign that changes to Canada’s Class 7 pricing scheme mandated by the USMCA might be effective in helping U.S. suppliers reestablish business (MPC and ultrafiltered milk were the major U.S. exports affected by Class 7).

To download a printable PDF summary with charts showing August  trade data in detail, click here.      

 COVID-19 has changed most every aspect of life around the globe.  This post will examine the impact on the U.S. dairy industry.  The analysis below reflects primarily the impact on producer pricing of milk.

The first item to be reviewed will be the deaths in the U.S. that are related to COVID-19.  Chart I below shows a 7 day rolling average of COVID-19 deaths starting in March 2020 through the most current available data.  As reported by the CDC, the majority of these deaths result from underlying health conditions complicated by COVID-19.  The largest spike was in April with another increase in August.  Since the beginning of August to the present there is a downward trend in deaths.

Chart I – U.S. COVID-19 Related Deaths

Much of the disruption in daily life has resulted from measures such as quarantines and closing of restaurants, intended to reduce the number of deaths involving COVID-19.  Demand for dairy products changed with the closing of restaurants, schools, and other places normally frequented by people.  This led to a massive change from reduced food service demand to increased retail demand.   For instance, retail cheese sold in grocery stores is usually branded and in small packages bearing brand names such as Kraft, Borden, etc.  Cheese for food service is packaged by non-retail companies and is typically packed in large containers without consumer branding.  Because of the overnight change in demand, there were brief shortages and excesses causing significant pricing changes. The structure for providing the appropriate product for each channel is significantly different and the rapid change caused major disruption in supply and demand and thereby it caused extreme volatility in commodity dairy product prices. 

As a result, the wholesale price of commodities which are used to price producer milk changed quickly and drastically.   What is amazing is that the dairy industry changed in a matter of months to service the new high demand channels.  There are four commodities that are used to price producer milk in most of the U.S.  They are cheese, butter, Nonfat Dry Milk (NDM), and dry whey.  Cheese and butter are primarily consumed domestically while NDM and dry whey are primarily export products. 

In this post, cheese and butter parameters will be covered first as they are the most significant commodities used to price Class III milk, milk protein, and butterfat.  Some of the charts below use moving averages as they level some of the seasonal changes and month-to-month “blips.”

During this time NASS prices for cheese and butter followed a similar pattern.  In April, as COVID-19 deaths spiked and quarantining was implemented, the prices of both cheese and butter first took a major drop and then increased to higher prices than before the drop. The cheese prices that followed were record setting highs for cheese.  Chart II shows the progression of cheese prices from a low of $1.12 per pound to $2.63 per pound within a few weeks.  The low prices brought some major buys at bargain prices which then resulted in shortages in some channels leading to the record setting prices.   

Chart II – NASS Cheese Prices

The butter price shown in Chart III follows a similar pattern but without record setting high prices.  The reason for this will be coved later in this post.

Chart III – NASS Butter Prices

The prices of NDM and dry whey follow different patterns from cheese and butter.  Chart IV shows a major drop in NDM prices in May with a fairly steady increase to its current price.  These prices result from international supply and demand and are only slightly impacted by domestic supply and demand.  NDM prices are used to price Class IV skim milk.

Chart IV – NASS NDM Prices

The prices of dry whey took an entirely different pattern with highs during the first four months of COVID-19 in the U.S.,  but then prices fell by nearly 20 percent. Dry whey prices are used to set the value of “Other Solids” in the Class III milk price.

Chart V – NASS Dry Whey prices

What did not change?  

The product used to represent the NASS cheese is Cheddar cheese.  USDA data separates cheese into two categories, American Cheese and “Other” cheese.  Cheddar cheese is considered an American cheese.  Chart VI shows the production of Cheddar cheese and other American cheeses.  Unlike many of the above charts, this chart shows no variation during the time of COVID-19 lifestyle changes.

Chart VI – Production of American Cheeses

Production of Butter is shown in Chart VII.  This is shown as a 12-month moving average as there are annual cycles of butter production that make trends more difficult to follow.  Butter production has been increasing in 2019 and 2020, after years of minimal changes in butter churning.  In 2020, the increases have been very significant, and with little impact from COVID-19.  

Chart VII – Production of Butter

The “bottom line is that the COVID-19 pandemic had little impact on the production of cheese and butter.

Inventories and prices of cheese and butter have made some major increases and decreases during the COVID-19 pandemic.  The changes for cheese are shown in Chart VIII.  As shown in Chart VI above, production of American Cheese has not changed much in the last three years.  In early 2019, American cheese inventories were high and cheese prices were low.  In late 2019, American cheese inventories fell, and prices increased.  In 2020, American cheese inventories found a bottom and have increased during the COVID-19 restrictions.  The current prices are likely to continue as long as American cheese inventories do not significantly increase in the near future.

Chart VIII – Inventories and NASS price of Cheese

Butter inventories and prices have taken a different path. As shown in Chart VII, butter churning has increased.  Butter disappearance from cold storage has been steady through the COVID-19 pandemic and the increased churning has therefore increased cold storage supplies.  With increased inventories, lower prices have prevailed and will probably continue for some time.

Chart IX – Inventories and NASS price of Butter

In conclusion, the “crisis” of COVID-19 has had a very significant impact especially on cheese prices.  Cheese prices are the most influential variable in producer milk prices.  While the COVID-19 pandemic continues to be a threat to the U.S. lifestyle, it appears that the worst of deaths and price volatility is behind us.  American cheese inventories are at a 50 to 55 days’ supply which is “normal.”  

The CFAP program has delivered some nice cash support for the dairy industry.  Now the problem that may arise will likely be the familiar one of too much milk.

Source: Milkprice

With FDA giving little indication of promised action on proper labeling of imitation dairy products, the National Milk Producers Federation asked the agency’s ombudsman to ensure that rules are properly enforced.

“Allowing unlawfully labeled ‘plant-based’ imitation dairy foods to proliferate poses an immediate and growing risk to public health; it is a clear dereliction of the FDA’s duty to enforce federal law and agency regulations,” wrote NMPF President and CEO Jim Mulhern in the letter, sent to Laurie Lenkel, ombudsman for the U.S. Food and Drug Administration. “The FDA’s Office of the Ombudsman must intervene to break the bureaucratic logjam that is adversely affecting consumers. Doing so would fit squarely within the office’s own mission to ensure even-handed application of FDA policy and procedures.”

The FDA ombudsman, based in the agency commissioner’s office, “serves as a neutral and independent resource for members of FDA-regulated industries when they experience problems with the regulatory process,” according to the agency. NMPF is urging the ombudsman’s office to take appropriate action to remedy the FDA’s lax approach to enforcing its own rules on the use of dairy terms on products containing no dairy ingredients, which have proven impacts on public health – a new phase of advocacy brought about by the agency’s regrettable inaction. The American Academy of Pediatrics and other organizations have offered evidence of nutritional deficiencies caused by confusion over the contents of plant-based versus dairy beverages.

NMPF last year released its own road map offering solutions to how public health, product integrity and free speech could be protected through updated regulations. NMPF also supports the DAIRY PRIDE Act, a potential legislative prod for FDA action, and has asked FDA commissioner Stephen Hahn to follow up on the pledge he made nearly one year ago to make fake-dairy labeling a high-priority issue at FDA.

Combined milk production within the major dairy exporting regions of New Zealand, the EU-28, the U.S., Australia and Argentina finished 1.4% higher on a YOY basis during Aug ’20, reaching a record high seasonal level. The aforementioned regions combined to account for over 90% of global butter, cheese, whole milk powder and nonfat dry milk export volumes throughout 2019.

Combined milk production growth rates experienced throughout the major dairy exporting regions decelerated over much of 2018 but remained positive until Nov ’18, when production volumes declined on a YOY basis for the first time in the past 22 months. Combined milk production volumes finished largely flat or lower on a YOY basis over eight consecutive months through Jul ’19, prior to finishing higher throughout each of the past 14 months through Aug ’20.

Aug ’20 YOY increases in milk production were widespread across the major dairy exporting regions and led on a percentage basis by New Zealand (+5.3%), followed by Argentina (+5.0%), Australia (+3.5%), the U.S. (+1.8%) and the EU-28 (+0.3%). The EU-28 produces significantly more milk than the other dairy exporting regions, accounting for over half of the combined production within the five exporting regions during Aug ’20. Production gains have been widespread across the major dairy exporting regions for three consecutive months through Aug ’20, the longest consecutive streak experienced throughout the past five years.

Excluding the U.S., milk production within the major dairy exporting regions increased by 1.1% on a YOY basis throughout the month of August, finishing below the growth rate exhibited within the U.S. for the first time in the past four months.

Source: AttenBabler

The UK’s first national dairy TV campaign for 20 years helped drive an estimated 11.2 million litres of additional liquid milk sales during the Coronavirus pandemic earlier this year, as well as raising £100,000 for mental health charities.

According to Kantar, the UK-wide “Milk Your Moments” campaign, which ran for 12 weeks from mid-May, resulted in an additional 212,000 consumers buying milk who would not otherwise have purchased it. This was against a challenging background of milk already being bought by 98 percent of UK households prior to the pandemic.

The campaign also saw positive shifts in attitudes towards dairy in the target audience, with more consumers claiming that dairy was an important part of their diet and perfect for a growing family.

Funded with £1 million from AHDB, Dairy UK, Department for Environment, Food and Rural Affairs, as well as the Scottish, Welsh and Northern Ireland governments, the campaign aimed to address the drop in liquid milk demand caused by the closure of foodservice outlets due to Coronavirus.

Working with Dairy UK, processors helped to bring multiple retailers on board with the campaign and drove additional engagement on social media through dairy brands and industry organisations.

Paul Flanagan, AHDB Dairy Strategy Director: said: “The campaign was a brilliant example of industry and government pulling together during a crisis with fantastic results. Every £1 spent on media, turned into £13.99 of retail sales.

“It shows just how much can be achieved when industry and government are all pulling in the same direction with a hard-hitting campaign which struck a chord with consumers in very uncertain times.”

“Milk Your Moments” was created to inspire moments of connection as people were forced to stay apart due to coronavirus. It highlighted the role fresh milk and dairy plays during difficult times, with people encouraged to visit the campaign website to receive an “inspirational moment of connection” to share on social media with £1 donated to mental health charities Mind, SAMH and Inspire. £100,000 was raised overall.

Consisting of social media, website, billboards outside supermarkets and, for the first time in 20 years, television advertising, the campaign contributed £6.6 million of milk sales, equivalent to 11.2 million litres, to the overall uplift.

Dr Judith Bryans, Chief Executive of Dairy UK said: “Everyone involved in the development and funding of this campaign went into it with a very positive mindset wanting to connect with our consumers and reassure them that dairy has always been with them and would continue to be with them through this crisis.

“The uplift in sales that was achieved and the positive behaviour changes evidenced by the results reflect the fact that the campaign’s messages resonated with consumers.”

Milk Your Moments also targeted a shift in consumer attitudes to build the industry’s reputation and build upon previous work by AHDB and Dairy UK over the previous four years with the Department for Dairy Related Scrumptious Affairs.

Source: thecattlesite.com

With Halloween coming up fast, many people will be eating all kinds of candy and chocolate. But there is one kind of chocolate that’s actually good for you!

This year’s Alice in Dairyland, Julia Nunes, took time to chat with us live on Daybreak to explain to us the health benefits of chocolate milk. She says chocolate milk is packed with nutrients like Calcium, Vitamin D, and Protein. In fact, each 8-ounce serving has a total of 8 grams of protein to help build strong muscles. The Dietary Guidelines for Americans also say those 9-years-old and older, should have three servings of low-fat and fat-free dairy foods like cheese, yogurt, and milk. And chocolate milk isn’t considered a sugary drink by both the American Academy of Pediatrics and the American Heart Association.

But not only is chocolate milk good for young kids, it’s also a versatile snack. Nunes says you can serve it hot or cold and use it in recipes like Chocolate Milk Overnight Oats or Chocolate Pumpkin Pancakes. And when you have drunk all your chocolate milk, you can turn the carton into a spooky decoration, just in time for Halloween.

Best of all, Nunes says buying chocolate milk can also benefit our local dairy farmers. All you have to do is look for the Proudly Wisconsin Badge or the number 55 on milk cartons to make sure you are buying fresh and local milk.

For more information on this year’s Alice in Dairyland, check out her website.

For family owned and operated Maleny Dairies, a passion for supporting the local community has only been reinforced since the COVID-19 pandemic began.

Founded by the Hopper family who have been farming in the Maleny Hinterland north of Brisbane for generations, Maleny Dairies was established following the deregulation of the milk industry in 2000.

With the COVID-19 pandemic leaving many businesses in dire straits, Mr Falcongreen said it was initiatives like Buy Australian that has encouraged consumers to become more aware of the benefits of supporting their local farmers.

“It has been a strong message that consumers have responded to regarding the importance of what Maleny Dairies has to offer Queenslanders,” Maleny Dairies general manager Peter Falcongreen.

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Heavily invested in supporting local families, the company’s McCarthy Rd factory directly employs 50 staff members from the community and an additional 30 staff members who are employed in sales and distribution.

“The reciprocal benefit is that the Maleny Dairies indirectly supports 12 farming families and their staff, which is estimated at around 50 people,” Mr Falcongreen said.

“Care for the land, cows and farmers is at the heart of our business and we’re proud to support, purchase and process milk from other local dairy farmers, as well as our own.”

Regarded as one of the most productive rural communities in Queensland, Maleny’s population has relied on local farmers for centuries, with Maleny Dairies not shying away from the fact their success comes down to quality of the products and relationships they have built since their inception.

“The investment and support from our consumers, enables us to continue doing what we do best, (producing) award-winning products,” Mr Falcongreen said.

“By buying local you support your local economy and there is also the added guarantee that the produce is delivered fresh,” Mr Falcongreen said.

“Local rural communities play a fundamental role in strengthening our economy.”

Buy Australian is a News Corp Initiative – in partnership with Woolworths and Australian Made Campaign and supported by Red Energy – to help put money back in to our economy by supporting our producers, makers and manufacturers.

Source: couriermail.com.au

Supply management needs a massive overhaul in Canada to help the dairy industry.

That’s according to a joint report from Dalhousie University and the University of Guelph that warns half of the dairy farms in Canada could disappear by 2030.

The study notes that major coffee chains are serving less dairy, younger Canadians have mixed feelings about whether dairy is good for the environment and are concerned about animal welfare, plus dairy alternatives are becoming more popular.

Sylvain Charlebois is the director of the Agri-Food Analytics Lab at Dalhousie University and co-authored the report.

He says farmers are on the receiving end of compensation from trade deals ratified by the federal government, but argues that by overcapitalizing the system, these funds will hurt farmers in long run.

The report calls for the implementation of what they call Supply Management 2.0, which is comprised of four steps.

“The first step would be to provide an incentive for some farmers to leave the industry altogether. There are farmers out there that are really not investing and don’t necessarily want to compete,” he says.

Other steps include making significant changes to the Canadian Dairy Commission, removing interprovincial trade barriers on dairy products and creating an innovation fund for the sector, and starting a 20-year plan to reduce general tariffs, develop an exporting strategy, create a Canadian brand, and incentivize innovation.

The report was originally slated to be released in March but was only released yesterday because delays due to COVID-19. 

However, Charlebois says the ongoing pandemic meant there was even more information to add about how it has taken a toll on the industry.

“That’s why we went back to the report and added an extra layer related to COVID and pandemics and what may happen in the future, because this could happen again.”

Source: HalifaxToday

In the next ten years, the number of dairy farms in the Netherlands will decrease by 33%, from 16,000 in 2018 to approximately 10,600 in 2030.

The total amount of milk produced will remain the same until 2024 and then increase slightly towards 2030. This is evident from a basic scenario of an exploration of development directions for Dutch dairy farming for 2030 carried out by Wageningen University and Research. Four scenarios are juxtaposed. The study was carried out by Wageningen Economic Research on behalf of Friesland-Campina.

Baseline scenario

The basic scenario is based on established and implemented policy and continuation of past behavior in the dairy farming sector. Policy that has not yet been fleshed out in concrete terms, such as external netting and the proposed new fertilizer policy, for example, has not been included. In the basic scenario it is assumed that the dairy farmers will use the financial scope available to invest in the growth of the dairy farm. In this scenario, the number of dairy cows will drop to just under 1.5 million over the next ten years. The total milk production will increase by 4% because the milk production per cow continues to increase autonomously in line with the trend of the past period. The average farm size of a Dutch dairy farm will increase in the basic scenario from 101 to 139 dairy cows.

Wageningen University & Research is relying on a newly developed economic model that enables a cohesive study of the effect of economic, policy and social changes on the structure of the Dutch dairy sector. The model uses data from the CBS Agricultural Census and the Business Information Network of Wageningen Economic Research.

The model explorations show that some of the dairy farmers will stop in the next ten years due to age and the lack of a successor, but there is also a proportion of the farmers who are expected to have to stop because they can no longer meet their financial obligations .

in the basic scenario, dairy farming remains within the phosphate ceiling and the nitrogen ceiling and the agreements from the Climate Agreement appear to be feasible. However, there still seems to be a challenge on the theme of ammonia. The research also shows that the results of the baseline scenario are sensitive to changes in the assumptions of the model, such as the milk price, technical results or the level of interest to be paid.

Exploratory Scenarios

In addition to the basic scenario, the study also explored three exploratory scenarios in which the question was asked: what would happen if …? These scenarios are based on possible future societal changes and aim to explore which development directions the sector could go through in the coming decade.

In the first exploratory scenario, there is more attention from the market and society for ‘nature-inclusive’ dairy farming. In the second scenario, ‘the free market’, the emphasis is on the production of reliable and cheap food and there are no additional requirements for nature and the environment. In the third scenario (‘focus on social requirements and returns’), dairy farmers do not make the most of growth, but the dairy farmer sets requirements for the income from the company and other investment opportunities within and outside the company are also considered.

In all three of these exploratory scenarios, the number of dairy farms decreased further in 2030 than in the base scenario. In addition, these scenarios lead to on average larger companies, which are on average clearly larger and more intensive in the free market scenario and on average more extensive in the nature-inclusive scenario. In the scenario in which dairy farmers focus less on growth, total milk production decreases the most.

An important result of the study is also that a model has been developed with which the effect of changes in the economy, policy and investment behavior on the structure of the dairy farming sector can be explored in conjunction. The model can also be used to calculate new scenarios and circumstances.

Simultaneously improving the sustainability and economic perspective of dairy farming is not an easy task and should not be approached too one-sidedly. It is important that all relevant stakeholders, such as dairy farmers, banks, dairy companies, regional and national policymakers, develop appropriate measures, management and economic perspective, aimed at the long term
Alfons Beldman, project leader at Wageningen University & Research, about what the research means for Dutch dairy farming.

Source: thedairysite.com

Prime Minister Justin Trudeau said Tuesday he is committed to honouring past promises to compensate dairy farmers who have suffered losses due to trade deals.

Trudeau made the comment in response to a demand by Canadian dairy farmers for compensation from the government because of losses they say have been caused by a series of agreements that have subjected them to more competition.

Dairy Farmers of Canada representatives say they have received a multi-year commitment for $1.75 billion in compensation from the government for losses they have incurred due to Canada’s trade deals with Europe and with Pacific Rim countries.

But they have yet to be compensated for a third trade deal: the new North American trade pact with the United States and Mexico that came into force July 1.

Trudeau said his government is working with dairy farmers to compensate them for the recent Canada-U.S.-Mexico Agreement, or CUSMA, that replaced the North American Free Trade Agreement.

“We are right now working with dairy farmers and others on compensation for NAFTA,” Trudeau said.

“We recognize how many families and communities have been hit hard by this pandemic and we will always be there to support people, including with compensations that we have long promised and will deliver.”

The Dairy Farmers say that by 2024 trade concessions will mean that 18 per cent of domestic milk will be outsourced to foreign dairy farmers.

“When the pandemic started here in Canada, we were very careful not to be pushing hard. We knew that the government had their hands full in trying to deal with the pandemic to ensure that Canadians were well-looked-after,” said David Wiens, the vice-president of the organization.

“It’s eight months later, and we’re saying, you know, those commitments were made.”

Access to Canada’s supply-managed dairy sector was a thorny issue during the negotiations for the Comprehensive Economic and Trade Agreement (CETA) with Europe that went into force in 2017, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) that took effect in 2018 and the recent CUSMA.

Wiens said the dairy farmers received their first instalment of compensation payments last year for CETA and CPTPP. But it wants the government to set up a schedule to start payments to compensate for losses due to CUSMA.

“Without the compensation that has been promised to us, dairy farmers may have to postpone or forego investments, which will have serious consequences for rural communities across the country,” he said.

This report by The Canadian Press was first published Oct. 20, 2020

The AHDB’s most recent survey of major milk buyers indicates a drop in UK dairy producers of almost 5% while milk volume per farm goes up.

According to the October survey, there were an estimated 8,310 dairy producers in Great Britain. This is a reduction of 410 producers (4.7%) compared with the survey AHDB conducted in at the same time in 2019, writes Chris Gooderham, AHDB Head of Market Specialists – Dairy & Livestock.

The latest numbers suggests that the average volume per farm in GB has now risen above 1.5 million litres per year.

Why do we carry out the survey?

Getting a true picture of the number of dairy producers in the country is often difficult due to the different reporting methods used.

• The Food Standards Agency (FSA) is often used to track producer numbers across England and Wales, based on the number of farmers registered to produce milk. However, the FSA database will be updated quickly when a new farmer starts up production, but not necessarily when a farmer exits. Deregistering is voluntary, and therefore unlikely to be top of the “to do” list for a farmer leaving the industry. The FSA will often only capture this cessation when a regular check is carried out. These checks occur on a 10-year basis (for those registered with Red Tractor) or a 2-year basis otherwise. This means FSA numbers will often over-state the number of dairy farmers in the country.
• Defra carry out a survey on the number of dairy holdings. This includes all farms with a dairy cow over 2 years old with offspring. The latest data, for 2018, showed there were 19,272 dairy holdings in the UK. This is a much larger number than our estimate, even after taking into consideration the difference between UK and GB. However, nearly 33% of these holdings had fewer than 10 cows, meaning they are unlikely to be commercial dairy farms.

AHDB’s estimate represents the number of producers actively contributing to Great Britain’s milk production. It is based on the number of active producers and temporary inactive producers from the milk buyers that contribute to the Daily Milk Deliveries survey. This covers approximately 76% of volumes in Great Britain, so the estimate has been adjusted accordingly. A figure based on levy data has been used to account for direct suppliers.

Source: thedairysite.com

Like many other sectors in India, the dairy sector faced the heat of Covid-19. But farmer-owned cooperatives shielded dairy farmers from the brunt of a drop in demand from bulk consumers by absorbing the shock at a time when small and big private players, including milk processors, left the field waiting for the market to recover.
Though milk as farm commodity can’t be compared with food grains, the management of this perishable liquid through cooperatives may offer farmers and policy makers some insights. The milk cooperative model can be an apt example when the sector, backed by newly enacted farm laws, looks to offer options for small and marginal farmers, accounting for 86% of India’s farming community, through promoting an additional 10,000 farmer producers’ organisations (FPOs) over next five years.

“The FPOs may be a game-changer for farmers the way milk cooperatives in different states changed the dairy sector landscape over the years. The model may not only save crop farmers in crisis as we had seen for dairy farmers during Covid-19, but can also ensure economies of scale even in normal situation for getting better price of their produce,” said an official.

Data of first six months (April-September) of current and previous financial years show that dairy cooperatives did not stop procurement despite selling less during the six months in 2020 compared to the corresponding months last year. Ideally, the procurement of cooperatives and sale could have been higher. But, data from milk unions and dairy federations shows procurement remained higher even as sales dipped below the previous year due to Covid crisis. Dairy cooperatives could not sell due to massive drop in demand from bulk consumers — requiring conversion into long shelf life milk powder. This conversion, however, won’t give them immediate returns. Nevertheless, they managed to maintain supply chain for daily retail domestic consumers.

“If supply of milk and milk products were not interrupted during this period of crisis, we should thank the dairy cooperatives and other producer centric organisations who have been resilient enough to work tirelessly as Covid warriors during this emergency to minimise the disruptions in the dairy supply chain,” said Dilip Rath, chairman, National Dairy Development Board which promotes, finances and supports producer-owned and controlled organisations.

Rath said the Centre responded to the need of the dairy sector and announced an interest subvention scheme on working capital loans to address the liquidity problem. Most of the private players, including processors, had significantly reduced milk procurement as demand dipped due to closure of hotels, restaurant and catering (HORECA) segment, lack of purchasing power with consumers and aversion to the chilled milk beverages and ice creams during Covid-19. Though the economy is now getting progressively unlocked, the HORECA segment is expected to remain subdued as people will prefer in-home eating.
“We should take this crisis head-on and convert these into an opportunity to undertake structural reforms to bring about efficiencies, effectiveness and sustainability across the dairy value chain. On the consumer side, rather than waiting for consumer to reach to us, we will have to reach to consumers through doorstep delivery, use of e-commerce portal, innovations for nutritious and immunity boosting products, and building awareness about the quality of the packaged milk and milk products,” Rath said.

Source: timesofindia.indiatimes.com

New Zealand farmers are so desperate for workers that they are offering unlimited supplies of free meat, milk, honey and firewood to tempt employees onto remote properties.

The prime minister, Jacinda Ardern, ordered the closure of her country’s borders in mid-March, sparing New Zealand the worst of Covid-19.

Despite being hailed as a global success story for fighting and managing the disease, the hard border shutdown and multiple lockdowns have taken a toll on the economy, with the country now officially in recession after the economy contracted 12%.

With a population of just 5 million, many New Zealand industries are heavily reliant on migrant labour, including in tourism, horticulture and farming.

The dairy industry contributes more than NZ$15bn (US$10bn) in export dollars to the New Zealand economy. The country is also the world’s largest exporter of dairy, producing 3% of all the world’s milk, from its 6.6 million dairy cows. But farms around New Zealand are struggling, with more than 800 jobs urgently needing to be filled.

Farmers say that despite their best efforts – including offering free accommodation, free meat, free milk, free honey, free firewood and free warm clothing – Kiwis are reluctant to apply.

“It’s a tough job; we’re out in the elements, and farms can be quite isolated and away from the urban centres,” said Wayne Langford, the dairy spokesperson for Federated Farmers.

“They’re the main challenges. We did have quite a reliance on overseas staff and it has been quite a strain on the system. The foreign staff in the country are also wanting to get home.”

Langford said farmers were prioritising animal welfare above other jobs on farms, and using machinery and automation instead of humans where possible.

The shortages are worst in the dairying hot-spots of Southland, the Waikato and Canterbury and range from hundreds of entry-level positions to senior management roles which pay six-figure sums.

“Everyone is looking for employees at the moment. We haven’t fared as badly as the tourism industry, but we’re not out of the woods yet, businesses are battling.” Langford says.

Chris Lewis owns a dairy farm in the Waikato and is the board member for employment and immigration issues at Federated Farmers.

He said the shortages could be “significantly higher” than 800 and would like to talk to the new government about gradually allowing more overseas workers in.

Entry-level workers at Lewis’ farm are offered a starting package of NZ$58,000 (US$38,000), which includes free accommodation, free meat, free milk and free honey.

“My wife has been very busy and the kids have been working on their school holidays – it’s certainly been very stressful,” says Lewis, who currently has two part-time vacancies, but no time to fill them.

“Farmers are hunkering down to get the job done but it’s not great for wellbeing or mental health.”

One upside of Covid-19 has been the gradual return of community on large farms, says Langford, with many farmers putting concerted efforts in to retain and keep staff happy, including cutting down their working hours.

“We’re seeing a lot more focus on looking after who’ve you’ve got on-farm – treating them like part of the family, and that’s a cool result of Covid,” saod Langford.

Calls for the government to loosen its border restriction are growing louder as other farming industries around the country struggle to find workers.

The horticulture industry said it is short 50,000 people for the up-coming fruit harvest, while some in the hospitality industry have been forced to reduce their opening hours because they can’t find staff to keep the doors open.

Source: theguardian.com

The US dairy industry contributes roughly 1.58 percent of the total US greenhouse gas emissions; however, it also supplies the protein requirements of 169 million people, calcium requirements of 254 million people, and energy requirements of 71.2 million people. A suggested solution to increasing food production worldwide while reducing greenhouse gas emissions has been to eliminate or reduce animal production in favor of plant production. In an article appearing in the Journal of Dairy Science, scientists from Virginia Tech and the US Dairy Forage Research Center studied the effects of dairy product removal on greenhouse gas emissions and nutrient availability in US diets under various removal scenarios.

The authors of this study assessed three removal scenarios—depopulation, current management (export dairy), and retirement. In depopulation, consumers would stop consuming dairy products, resulting in depopulation of the animals; in current management (export dairy), the cattle management would remain the same and milk produced would be used for products other than human food or exported for human consumption; in retirement, the cattle would be retired to a pasture-based system but reduced to numbers that could be supported by available pastureland.

“Land use was a focus in all animal removal scenarios because the assumptions surrounding how to use land made available if we remove dairy cattle greatly influence results of the simulations,” said lead investigator Robin R. White, Ph.D., Department of Animal and Poultry Science, Virginia Tech, Blacksburg, VA, USA. “If dairy cattle are no longer present in US agriculture, we must consider downstream effects such as handling of pasture and grain land previously used for producing dairy feed, disposition of byproduct feeds, and sourcing fertilizer.”

Greenhouse gas emissions were unchanged in the current management (export dairy) scenario, with a decrease in nutrient supplies, as expected. Emissions declined 11.97 percent for the retired scenario and 7.2 percent for the depopulation scenario compared to current emissions. All 39 nutrients considered in human diet quality were decreased for the retired scenario, and although 30 of 39 nutrients increased for the depopulation scenario, several essential nutrients declined.

The results of the study suggest that the removal of dairy cattle from US agriculture would only reduce greenhouse gas emissions by 0.7 percent and lower the available supply of essential nutrients for the human population.

Professor White added, “Production of some essential nutrients, such as calcium and many vitamins, decreased under all reallocation scenarios that decreased greenhouse gas emissions, making the dairy removal scenarios suboptimal for feeding the US population.”

This study illustrates the difficulties in increasing supplies of critically limiting nutrients while decreasing greenhouse gas emissions.

The pandemic has taken a toll across all spectrums of our lives and had trickle-down effects to places most of us don’t even think about.

When the schools and restaurants shut down during the “stay at home” months earlier this year, the impact hit like a hammer on dairy farms.

Suddenly there was nowhere for their milk to flow but it was still coming out of the cows.

So farmers were forced to dump milk and lose thousands of dollars.

On the Clayholm Farm just outside Worthington in Armstrong County, they were having to dump milk a couple of times a week to the tune of about $10,000 lost each time.

Six months later Rebecca Claypoole says: “It didn’t get any worse for us but I think instead of dumping after that we just got the really really low prices and they are going on they are not ending.”

Her sister-in-law Margaret adding: “It’s not even enough to break even.”

Margaret goes on to say: “The government programs have helped a lot to offset these bad prices.”

More specifically Rebecca adds, “A lot of the COVID relief that President Trump gave really saved us. If we didn’t have that we’d probably be out of business by now.”

With the restaurants partially reopened and schools back in session, Margaret says: “Fluid consumption sales are up but it hasn’t helped with level everything else out.”

Rebecca says: “I think the bulk cheese and bulk stuff from the restaurants, even though the restaurants are going. It’s just not enough to move all that backed up product that we had and I think cheese plants aren’t making near what they used to take in.”

Meanwhile, costs on the farm are not easing up.

Rebecca says: “Feed actually came up since the pandemic so our big cost are up.”

Margaret points out: “A lot of that is we haven’t had the rain this year there’s not going to be the hay and crops there usually is that we can bank on that we’re going to have to buy.”

But so far, Margaret says the Claypooles and their neighbors are holding on.

“Everybody’s hunkering down and hanging on. I think those payments from President Trump really helped that was our saving grace.”

Source: pittsburgh.cbslocal.com

With the ongoing COVID-19 crisis teaching hard lessons on risk management throughout agriculture, and with dairy margins expected to be volatile during the next year, the National Milk Producers Federation is urging farmers to register for maximum 2021 coverage under the U.S. Department of Agriculture’s Dairy Margin Coverage program. Registration begins today.

The Dairy Margin Coverage emphatically proved its worth this year as payouts rapidly reacted to unprecedented price plunges and protected farmers exactly when they most needed help. Coronavirus-related volatility in dairy markets is expected to continue well into 2021, with Dairy Margin Coverage payments a possibility. That makes it essential that farmers include the coverage in the robust risk-management plans they will need to ensure financial stability.

Dairy Margin Coverage, the main risk-protection tool for dairy farmers enacted in the 2018 farm bill, is designed to promote stable revenues and protect against financial catastrophe on some or all of a farmer’s milk. Despite forecasts in late 2019 predicting that Dairy Margin Coverage assistance wouldn’t be needed by farmers in 2020, margins instead decreased to their worst levels in more than a decade in the first half of this year. That triggered payments that undoubtedly kept many participating dairies afloat. And unlike difficult-to-predict federal disaster assistance that’s provided via specific legislation or administrative action, Dairy Margin Coverage offers certainty in times of need, allowing for better financial planning and faster payment when necessary.

Dairy Margin Coverage offers extra options.

Affordable increased coverage levels permit all dairy producers to insure margins to as much as $9.50 per hundred on Tier 1 production history – first 5 million pounds. Recent margin trends in reference to that $9.50 threshold are included in the graphic.

Affordable $5 coverage offers meaningful catastrophic coverage for farms of all sizes.

Visit www.nmpf.org/policy_tags/dairy-margin-coverage for more information.

The U.S. Department of Agriculture has started accepting applications for the Dairy Margin Coverage (DMC) program as of Oct. 13 for 2021 enrollment.

“This year has been a market roller coaster for the dairy industry, and the Dairy Margin Coverage program is a valuable tool dairy producers can use to manage risk,” said Bill Northey, USDA’s under secretary for Farm Production and Conservation, during a roundtable at a dairy in Chippewa Falls. “We were excited to roll out this new and improved program through the 2018 Farm Bill, and if you haven’t enrolled in previous years, we highly encourage you to check it out.”

Signup runs through Dec. 11. DMC is a voluntary risk management program that offers protection to dairy producers when the difference between the all-milk price and the average feed price (the margin) falls below a certain dollar amount selected by the producer. DMC payments triggered for seven months in 2019 and three months so far in 2020. More than 23,000 operations enrolled in DMC in 2019, and more than 13,000 in 2020.

Find more signup details.

Signaling bold climate change action, the Innovation Center for U.S. Dairy today unveiled the Net Zero Initiative, an industry-wide effort that will help U.S. dairy farms of all sizes and geographies implement new technologies and adopt economically viable practices. The initiative is a critical component of U.S. dairy’s environmental stewardship goals, endorsed by dairy industry leaders and farmers, to achieve carbon neutrality, optimized water usage and improved water quality by 2050.

Experience the interactive Multichannel News Release here:

https://www.multivu.com/players/English/8794951-us-dairy-nestle-net-zero-carbon-emissions-by-2050/

“The U.S. dairy community has been working together to provide the world with responsibly-produced, nutritious dairy foods,” said Mike Haddad, chairman, Innovation Center for U.S. Dairy. “With the entire dairy community at the table – from farmers and cooperatives to processors, household brands and retailers – we’re leveraging U.S. dairy’s innovation, diversity and scale to drive continued environmental progress and create a more sustainable planet for future generations.”

The Innovation Center for U.S. Dairy also announced a key milestone on its journey toward carbon neutrality – an up to $10MM commitment and multi-year partnership with Nestlé to support the Net Zero Initiative and scale access to environmental practices and resources on farms across the country.

“Supporting and enabling farmers through the Net Zero Initiative has the potential to transform the dairy industry,” said Jim Wells, chief supply chain officer for Nestlé USA. “Scaling up climate-smart agricultural initiatives is key to Nestlé’s ambition to achieve net zero greenhouse gas emissions by 2050 and will help reduce the carbon footprint of many of our brands. We are excited to collaborate with U.S. dairy and our suppliers to contribute to an even more sustainable dairy supply chain.”

2050 Environmental Stewardship Goals

The Innovation Center for U.S. Dairy – a forum that convenes dairy farmers and industry stakeholders across the value chain to align on shared social responsibility priorities – built on a decades-long commitment to responsible dairy production in developing the 2050 Environmental Stewardship Goals. Leveraging a rigorous, third-party reviewed materiality assessment, the industry prioritized the most pressing areas of environmental sustainability as the foundation for its goals:

1. Become carbon neutral or better;
2. Optimize water use while maximizing recycling;
3. Improve water quality by optimizing utilization of manure and nutrients.

In 2008, U.S. dairy was the first agricultural sector to commission a life cycle assessment on fluid milk, which showed that dairy accounts for 2% of total GHG emissions in the U.S.

In fact, due to innovative practices in cow health, improved feed and genetics, and modern management practices, the environmental impact of producing a gallon of milk in 2017 has shrunk significantly from 2007, requiring 30% less water, 21% less land and a 19% smaller carbon footprint¹.

Bringing Net Zero to Life

The Net Zero Initiative is a collaboration of dairy organizations and represents a critical pathway on U.S. dairy’s sustainability journey. Many of the practices and technologies needed to reach the industry’s goals largely exist but require further research and development and overall greater accessibility across farms of all sizes and geographies. Through foundational science, on-farm pilots and development of new product markets, the Net Zero Initiative aims to knock down barriers and create incentives for farmers that will lead to economic viability and positive environmental impact.

“As part of a 5th-generation dairy farming family, we pride ourselves on sustaining our land, caring for our animals and preserving our business for the next generation,” said Tara Vander Dussen, a New Mexico dairy farmer. “We want to be at the table, testing new practices and accessing innovative technology to go further, faster. Because in the end, we all want the same thing – a healthy planet for our families and our children.”

Nestlé is the first of what the U.S. dairy community hopes will be many partners joining the Net Zero Initiative, contributing funding and expertise to help propel the entire industry’s progress toward a more sustainable future. With brands like Carnation®, Stouffer’s® and DiGiorno®, Nestlé brings a wealth of knowledge and industry leadership to the table, and an earnest commitment to supporting U.S. dairy farmers in environmental advancements and technology adoption.