Digest highlights

Natzke dave
Dave Natzke
Editor / Progressive Dairy

National Dairy Board nominees sought

The USDA is seeking candidates to serve on the National Dairy Promotion and Research Board (NDB). The deadline for nominations is April 28.

Twelve newly appointed members will serve three-year terms beginning Nov. 1, 2023, through Oct. 31, 2026. One individual will be appointed to fill a one-year vacancy, with the term ending Oct. 31, 2024. All must be dairy producers.

The geographic regions with vacancies are: Region 1 (Alaska, Oregon and Washington); Region 2 (one-year term for California and Hawaii); Region 3 (Arizona, Colorado, Montana, Nevada, Utah and Wyoming); Region 4 (two seats for Arkansas, Kansas, New Mexico, Oklahoma and Texas); Region 5 (Minnesota, North Dakota and South Dakota); Region 6 (two seats for Wisconsin); Region 7 (Illinois, Iowa, Missouri and Nebraska); Region 8 (Idaho); Region 9 (Indiana, Michigan, Ohio and West Virginia); Region 10 (Alabama, District of Columbia, Florida, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, Puerto Rico, South Carolina, Tennessee and Virginia); and Region 12 (Connecticut, Maine, Massachusetts, New Hampshire, New York, Rhode Island and Vermont).

In addition, one appointee representing dairy importers will be named to a three-year term.

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For nominating forms and information, visit the Agricultural Marketing Service (AMS) website or call (202) 720-1069. To nominate an individual, submit a copy of the nomination form and a signed background form for each nominee to Jill Hoover, deputy director with the USDA Ag Marketing Service Dairy Program. 

Southeast FMMO hearing transcripts available

Transcripts of hearing testimony to consider changes in three Southeast U.S. Federal Milk Marketing Orders (FMMO) are now available on the USDA AMS website. More than 600 pages of transcripts represent testimony presented at the hearing, held Feb. 28-March 2, in Franklin, Tennessee.

The hearing was held to consider requests from multiple dairy cooperatives and organizations calling for an increase in transportation credits and creation of new distributing plant and assembly performance credits, providing financial incentives for milk handlers moving milk within and into the region. According to proponents, those assessments are necessary in the three FMMO pools – Appalachian, Florida and Southeast – to address chronic milk deficit conditions and could be used by handlers to offset hauling expenses currently paid by dairy farmers.

After allowing time for transcript corrections, filing of post-hearing briefs is scheduled for April 19.

Proposal touted to expand meat packing capacity

Several U.S. agricultural organizations are asking leaders of congressional ag committees to support a proposal to allow livestock market owners and operators to own or invest in small or regional livestock packing facilities.

The bipartisan legislation is the “Expanding Local Meat Processing Act” (S. 813) in the Senate and the “Amplifying Processing of Livestock in the United States Act” (H.R. 530) in the House. If enacted, these bills would direct the USDA to update a regulatory prohibition under the Packers and Stockyards Act that bars livestock auction owners from owning or investing in packers.

Proponents, including the American Farm Bureau Federation, Livestock Marketing Association, National Cattlemen’s Beef Association and others, say the proposal would expand opportunities for the industry to invest in meat packing capacity.

Hiland Dairy appoints new leadership

Hiland Dairy, a processor and distributor of dairy foods and other beverages based on Springfield, Missouri, has appointed new leadership, effective April 1. Rick Beaman will serve as president of the farmer-owned company, succeeding Gary Aggus, who led Hiland for the past two decades. Filling Beaman’s prior role as senior vice president is Shawn Pinon. 

Hiland has almost 4,000 employees throughout Arkansas, Iowa, Kansas, Louisiana, Missouri, Nebraska, Oklahoma, Tennessee and Texas.

IDF World Dairy Summit registration period open

Registration is open for the International Dairy Federation (IDF) World Dairy Summit 2023 to be held Oct. 16-19 in Chicago, Illinois. Discounted registration rates are being offered until June 30.

Considered the world’s largest global dairy conference, the event is returning to the U.S. for the first time in 30 years. Hosted by the U.S. National Committee of the IDF (US-IDF), it is expected to attract more than 1,000 participants and expert speakers from around the world. Summit sessions will cover presentations on health and nutrition to sustainable production, consumer expectations, policy and innovation. The summit’s expo will showcase dairy companies, suppliers and dairy trade organizations.

Attendees will have the option to register for half-day, one and two-day farm and technical tours showcasing the diversity of U.S. dairy farms, research centers, processing facilities and retail in America’s heartland states of Michigan, Wisconsin, Illinois and Indiana.

DFA net sales hit $24.5 billion in 2022

Propelled by higher milk and dairy product prices, Dairy Farmers of America (DFA) reported net sales of $24.5 billion in 2022, up $5.2 billion or nearly 27% from 2021. New income for the year totaled $107.9 million. DFA, the nation’s largest dairy cooperative, held its annual meeting in Kansas City, Kansas, March 21-22.

“Like so many industries, this has been a challenging year for dairy with labor shortages, global supply chain disruptions, record-level energy costs and inflation. Yet through the challenges, we focused on driving performance and greater efficiencies across the enterprise to bring short- and long-term value to our farmer-owners,” said Dennis Rodenbaugh, president and chief executive officer. 

In 2022, DFA directed 65.4 billion pounds of milk for both its farmer-owners and others through the cooperative’s consolidated businesses, representing approximately 29% of total U.S. milk production last year. The average millk price paid to DFA farmer-owners was $25.53 per hundredweight (cwt) in 2022, compared to $18.37 per cwt in 2021.

Cash distributed to farmer-owners in 2022 totaled $52 million. Of the cash distributed to farmer-owners in 2022, $32 million was in capital retirements, and $20 million represented the cash portion of patronage dividends.

Among other 2022 highlights, DFA:

  • Acquired two extended shelf-life (ESL) beverage processing facilities located in Richmond, Indiana, and Pacific, Missouri, from SmithFoods
  • Invested in a joint venture with Mana Agro, based in Dubai, to lead sales and marketing in the Middle East and North African markets
  • Continued the “DFA Nerd Herd” consumer educational campaign around sustainable farming practices and inclusive cultures
  • Was selected to receive a USDA Climate-Smart Commodities grant to pilot projects to scale methane emissions reductions and increase soil carbon sequestration