Digest highlights
- 2022 U.S. dairy export outlook surges over $9 billion
- EPA moving forward on PFAS ‘Superfund’ proposal
- DMI publishes 2021 annual report
- USDA launching 2022 Census of Agriculture
2022 U.S. dairy export outlook surges over $9 billion
The USDA has substantially boosted forecasts for U.S. dairy product exports in fiscal years 2022-23.
The latest USDA quarterly Outlook for U.S. Agricultural Trade report, released on Aug. 30, projected the value of U.S. dairy exports at a record-high $9.5 billion in fiscal year (FY) 2022 (Oct. 1, 2021-Sept. 30, 2022). That’s up from the $8.4 billion forecast in May and up $2.2 billion from total dairy exports in FY 2021. The increase is based on robust shipments of a number of products to top markets in Mexico, South Korea and Japan.
In its initial forecast for FY 2023, the USDA estimated dairy product exports at $9 billion.
The value of FY 2021 dairy exports had topped $7.31 billion, continuing a three-year growth trend, up from $6.46 billion in FY 2020 and about $5.6 billion in both FY 2018 and 2019.
The forecast for FY 2022 dairy imports increased $500 million from last May’s outlook report to $4.6 billion, due to stronger shipments from the European Union. Cheese imports were forecast at $1.6 billion, down $100 million from May. Looking ahead to FY 2023, dairy imports were projected at $4.3 billion, largely on weaker values, with cheese imports steady at $1.6 billion. In comparison, FY 2021 U.S. dairy imports totaled $3.71 billion, with cheese imports valued at $1.43 billion.
While dairy maintains a positive trade balance in FY 2023, the same can’t be said for all of agriculture. The USDA forecast estimated FY 2023 exports at $193.5 billion and imports at $197 billion, a deficit of $3.5 billion. The U.S. last had a negative agricultural trade balance in 2019 (-$1.3 billion) and 2020 (-$3.7 billion).
EPA moving forward on PFAS ‘Superfund’ proposal
The EPA is proposing to designate two of the most widely used per- and polyfluoroalkyl substances (PFAS) as hazardous substances under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA), also known as “Superfund.” If finalized, the rule would require reporting of PFOA and PFOS releases, providing EPA data and the option to require cleanups and recover cleanup costs.
The proposal applies to perfluorooctanoic acid (PFOA) and perfluorooctanesulfonic acid (PFOS). PFOA and PFOS can accumulate and persist in the human body for long periods of time and evidence from laboratory animal and human epidemiology studies indicates that exposure to PFOA and/or PFOS may lead to cancer, reproductive, developmental, cardiovascular, liver and immunological effects, according to the EPA.
For previous coverage of the PFAS issue as it relates to dairy farms, read:
Should farmers be concerned about PFAS?
Current environmental issues and a look into 2022
The EPA will publish a “notice of proposed rulemaking” in the Federal Register in the next several weeks. A copy of the prepublication notice is available here. Upon publication, the EPA will open a 60-day comment period. According to the press release, the EPA will also do further outreach to hear from impacted communities, wastewater utilities, businesses and farmers during consideration of the proposed rule.
DMI publishes 2021 annual report
Dairy Management Inc. (DMI) has published its 2021 annual report, providing a summary of dairy checkoff-funded programs designed to increase domestic and export market milk sales.
DMI manages the national dairy checkoff program on behalf of America’s nearly 30,000 dairy farm families and those that import dairy to the U.S. According to a financial summary, the dairy checkoff generated $231.1 million in revenue in 2021.
Expenditures included $87.8 million on programs targeting youth and next-generation consumers; $75.7 million on “partnerships” to boost incremental dairy sales; $36.8 million on “dairy positioning in a global food system;” $15.3 million on farmer and community relations; $11.5 million on “strategic intelligence”; and $4 million on general and administrative costs.
USDA launching 2022 Census of Agriculture
The USDA will distribute the 2022 Census of Agriculture questionnaire to millions of agriculture producers this fall.
The 2022 Census of Agriculture will be mailed in phases, starting with an invitation to respond online in November, followed by paper questionnaires in December. Farm operations of all sizes, urban and rural, which produced and sold, or normally would have sold, $1,000 or more of agricultural product in 2022 are included in the ag census.
Census data is widely used by federal and local governments, agribusinesses, trade associations, extension educators and others to form policy and farm programs and services.
Census of Ag data is conducted every five years by USDA’s National Agricultural Statistics Service (NASS). It highlights land use and ownership, producer characteristics, production practices and income and expenditures, among other topics. Changes to the 2022 questionnaire include new questions about the use of precision agriculture and updates to internet access questions.
