Here is the dairy-related news as we move from September into October 2024:

Lee karen
Karen Lee
Managing Editor / Progressive Dairy

Congress passes short-term government spending package

The House and Senate passed a 12-week continuing resolution to keep the government running until Dec. 20.

With fiscal year 2024 funding set to expire on Sept. 30, this extension prevents a government shutdown and delays decisions on 2025 appropriations bills until well into the fiscal year.

Gregg Doud, president and CEO of the National Milk Producers Federation (NMPF), said farm state lawmakers asked Senate and House leaders to leave a farm bill extension out of the funding extension measure, in expectation that a lame duck congressional session in December will present a window of opportunity to finalize a new bill or pass another extension.

Vitaliano: U.S. dairy markets see strong exports and consumption growth

The U.S. average all-milk price stayed constant from June to July, even as futures markets and USDA estimates indicate rising prices in upcoming months, according to National Milk Producers Federation’s Peter Vitaliano. Summarizing dairy markets in the September 2024 Dairy Management Inc./National Milk Producers Federation Dairy Market Report, he said the cost of dairy feed dropped by $0.66 per hundredweight (cwt) during the month, boosting the July Dairy Margin Coverage margin to $12.33 per cwt.

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That is the fourth highest monthly margin since margin protection became the basic dairy safety net program in January 2015.

Total U.S. fluid milk consumption was higher than a year earlier during over half of the past 10 months, through July. Yogurt, butter and total cheese, especially other than American types, saw positive growth in use during May-July. July U.S. dairy exports were up substantially over their average levels during the first half of this year, at 17.4% of total U.S. milk solids production compared to an average of 16.4% during the first half.

July marked the 13th consecutive month with lower milk production than a year earlier, during which period milk production averaged -0.8% below a year ago, while milk solids production averaged -0.2% below a year ago.

For more information on commercial use, dairy trade, milk production, product inventories, prices and margins, view the September 2024 Dairy Market Report.

Applications now open for Dairy’s Foundation grants

The next application deadline for grants from Dairy’s Foundation is Dec. 1. Grants of up to $10,000 for new programs to build the skills of students or dairy producers or increase public trust in the people and products of dairy are available for organizations across the country.

“For more than two decades, Dairy’s Foundation has supported educational and outreach efforts in our industry,” said Brian Forrest, dairy producer from Stratford, Wisconsin, and chair of Dairy’s Foundation board of directors. “Grants are a great way to fund a new educational program or provide additional support to launch or promote efforts to share our story with consumers, communities and more.”

As the only public-held national foundation supporting dairy education and initiatives across the entire dairy industry food chain, Dairy’s Foundation strives to identify emerging educational needs and help fill gaps in funding for new or innovative programs. Since 2010, Dairy’s Foundation has awarded more than $335,000 in grants to support vital programs that equip the dairy community with the latest tools and resources to be effective managers, leaders and ambassadors of dairy to their neighbors in rural and urban settings.

Applications will be reviewed by an independent grant selection committee. Organizations with a tax status of 501(c)(3) or (5) may apply.

Complete grant information is available here. Inquiries about grants can be emailed to Dairy’s Foundation.

USDA offers $58 million in available assistance to help organic dairy producers

The USDA announced $58 million available for marketing assistance to eligible organic dairy producers through the Organic Dairy Marketing Assistance Program (ODMAP) 2024 to help expand the market for organic dairy and increase the consumption of organic dairy.  

“The Organic Dairy Marketing Assistance Program continues USDA’s commitment to keep the market for organic dairies sustainable as they weather challenges outside of their control,” said USDA’s Farm Service Agency (FSA) Administrator Zach Ducheneaux. “In preparation for the launch of ODMAP 2024, we met often with organic milk industry leaders and their constituents to ensure that the assistance we provide addresses their expressed needs. Through this proactive engagement, we identified the need for and are pleased to offer increased payment rates and an increased production level eligible for marketing cost-share assistance.”

ODMAP 2024 helps mitigate market volatility, higher input and transportation costs, and unstable feed supply and prices that have created unique hardships in the organic dairy industry. Specifically, through ODMAP 2024, the FSA is assisting organic dairy operations with projected marketing costs in 2024 calculated using their marketing costs in 2023. The FSA will begin accepting ODMAP 2024 applications on Sept. 30. Eligible producers include certified organic dairy operations that produce milk from cows, goats and sheep.  

Dairy producers who participate in ODMAP 2024 will benefit from improvements to provisions outlined in the program. Specifically, ODMAP 2024 provides for an increase in the payment rate to $1.68 per cwt compared to the previous $1.10 per cwt. Additionally, the production level eligible for marketing cost-share assistance has increased to 9 million pounds compared to the previous 5 million pounds.  

ODMAP 2024 provides a one-time cost-share payment based on marketing costs on pounds of organic milk marketed in the 2023 calendar year or estimated 2024 marketing costs for organic dairy operations that have increased milk production or entered the organic dairy market. The assistance provided by ODMAP 2024 and the original ODMAP 2023 is provided through previously unused Commodity Credit Corporation funds remaining from earlier pandemic assistance programs.

ODMAP 2024 provides financial assistance that immediately supports certified organic dairy marketing during 2024 keeping the organic dairy market sustainable until markets return to more normal conditions.

The FSA is accepting applications from Sept. 30 to Nov. 29. To apply, producers should contact the FSA at their local USDA Service Center. To complete the ODMAP 2024 application, producers must certify to pounds of 2023 milk production, show documentation of their organic certification and submit a completed application form.

Organic dairy operations are required to provide their USDA certification of organic status confirming operation as an organic dairy in 2024 and 2023 along with the certification of 2023 milk production or estimated 2024 milk production in hundredweight.

ODMAP 2024 complements other assistance available to dairy producers, including Dairy Margin Coverage (DMC), with more than $36 million in benefits paid for the 2024 program year to date. Learn more on the FSA Dairy Programs webpage.

Voice of Milk: A new umbrella brand for federal, state policy efforts

Edge Dairy Farmer Cooperative, Dairy Business Association (DBA) and Minnesota Milk Producers Association announced a new umbrella brand, the Voice of Milk, bringing together three dairy organizations working on federal policy as well as state policy throughout the Midwest.

“Although this is not a merger or acquisition, we’re able to align our strengths under this new umbrella brand,” Tim Trotter, Edge and DBA CEO, said. “Together, we have a stronger, more powerful voice advocating on behalf of our dairy farmer members across all three organizations.”

As a multistate collaboration of independent dairy organizations, the Voice of Milk is committed to amplifying the voice of dairy farmers throughout local communities, in Congress and within the dairy supply chain to ensure a prosperous future for dairy farm families and their allied businesses.

The new umbrella brand represents member farms located in Illinois, Indiana, Iowa, Kansas, Minnesota, Nebraska, Ohio, South Dakota and Wisconsin. For more information, visit the Voice of Milk website.