Here is what is happening in dairy-related news as we start the final month of the year:

Lee karen
Karen Lee
Managing Editor / Progressive Dairy

September fluid milk sales fall by 1.6%

Fluid milk sales for September 2024 are lower than the same month a year earlier, but year-to-date sales remain slightly higher than 2023. According to data from the USDA Agricultural Marketing Service:

  • Total sales: September sales of packaged fluid milk products were estimated at 3.5 billion pounds, down 1.6% from the same month a year earlier. At 31.8 billion pounds, year-to-date sales of all fluid products are up 0.9%.
  • Conventional products: Monthly sales totaled 3.24 billion pounds, down 2.3% from the same month a year earlier. Fat free (skim) milk was down 10.5% compared to September 2023, and reduced-fat (2%) milk was down 6.4%. Sales of flavored whole milk increased by 2.1%. Year-to-date 2024 sales were estimated at 29.55 billion pounds, up 0.4% from this time last year.
  • Organic products: September sales totaled 249 million pounds, up 9.1% from a year earlier. Whole milk and reduced-fat (2%) milk were up by 15.5% and 4.2%, respectively, compared to the same month last year, while flavored whole milk was down by 19.7%. Year-to-date organic fluid milk sales were estimated at 2.26 billion pounds, up 6.9% from this time last year. Organic represented about 7.1% total fluid product sales in September and 7.1% in total sales year to date.

The U.S. figures are based on consumption of fluid milk products in Federal Milk Marketing Order (FMMO) areas, which account for approximately 92% of total U.S. fluid milk sales, and adding the other 8% from outside FMMO-regulated areas. Sales outlets include food stores, convenience stores, warehouse stores/wholesale clubs, nonfood stores, schools, the food service industry and home delivery.

Vitaliano: Dairy exports rebound and production edges up in September

The monthly margin under the Dairy Margin Coverage (DMC) program in September set its second straight record high at $15.57 per hundredweight (cwt), according to National Milk Producers Federation’s (NMPF) Peter Vitaliano. Summarizing dairy markets in the November 2024 Dairy Management Inc./NMPF Dairy Market Report, he said it is the result of relatively high milk prices and falling feed costs.

Meanwhile, U.S. dairy export volumes are recovering from a midyear slump, achieving in September the second-highest percentage of domestic milk solids production for that month.

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Monthly milk production grew slightly in August and September, ending a consecutive 13-month stretch during which it remained below year-earlier levels, but increasing milk production remains difficult due to scarce dairy replacement heifers and high costs to build and equip facilities to accommodate bigger herds. Brisk increases in the component composition of producer milk continue to provide a relatively low cost means of increasing supplies to meet available demand that doesn’t require additional animals or facilities.

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

Trump taps Brooke Rollins for secretary of agriculture

Last week, President-elect Donald Trump announced he will nominate former White House aide Brooke Rollins to be his agriculture secretary.

Following confirmation by the Senate, Rollins would succeed Tom Vilsack in overseeing the USDA.

Rollins is an attorney who served as White House domestic policy chief during Trump’s first presidency.

She graduated from Texas A&M University with an undergraduate degree in agricultural development. After earning her law degree from the University of Texas, she worked as a litigation attorney in Dallas and also clerked for a federal judge in the Northern District of Texas.

Rollins also served as an aide to former Texas Gov. Rick Perry and ran the Texas Public Policy Foundation. She is currently the president and CEO of the America First Policy Institute.

Holstein pedigrees updated to include the slick gene

Holstein Association USA has recently updated Official Holstein Pedigrees to include designation for animals carrying the slick gene, when genetic test results are on file in the Holstein herdbook database. On a pedigree, it will be displayed in the row above an animal’s name.

“We are excited to make this enhancement to our Official Holstein Pedigrees,” said Lindsey Worden, chief operating officer of Holstein Association USA. “Breeders interested in these genetics have been asking for this for some time now.”

Slick cattle have a natural genetic mutation of the prolactin receptor gene which results in a shorter hair coat. The mutation is dominant so an animal with one copy of the gene will have improved ability to regulate body temperature during periods of heat stress when compared to nonslick cattle. This is a natural mutation originating in the Senepol, Carora, and Criollo cattle breeds from the Caribbean.

The slick mutation was introduced to the Holstein breed in the 1980s. Research from Florida and Puerto Rico has demonstrated that cows carrying the slick gene may produce more milk and conceive sooner during heat stress periods than nonslick cattle of similar genetic merit. The degree of potential benefits will vary depending on the length and magnitude of heat stress periods in an area. The impact of the slick gene on cold stress has not been quantified.

The following codes will be used to designate animals with official gene test results on file:

  • SLH= Homozygous for slick
  • SLC= Heterozygous for slick

Breeders who have previously tested animals and would like to have results added to pedigrees can forward lab reports to the Holstein lab.

Checkoff supports launch of yogurt-based snack

The dairy checkoff partnered with General Mills to create YoBark, a yogurt-based snack designed to give families a tasty option and expand yogurt’s presence in the snacking category.

YoBark is refrigerated and combines the creaminess of yogurt with the crunchy texture of Nature Valley Granola, offering a multisensory flavor experience. It is available at Albertson’s, Safeway and Walmart and will reach more retailers nationwide in the coming months.

Dairy Management Inc. (DMI) has been working with General Mills on this concept since 2021, providing consumer insights on why “tweens” (ages 12-13) have decreased their yogurt consumption. DMI also provided new product concept development, package design and research and development support.

Chris Urban, vice president of growth platforms and partnerships for DMI, said the product, which comes in a stand-up pouch in strawberry and honey vanilla flavors, delivers a nutritious snack that appeals to parents who are seeking options for their families beyond traditional snack foods.

Petit Pot takes grand prize at 2024 Real California Milk Excelerator competition

The California Milk Advisory Board (CMAB) and VentureFuel announced Petit Pot as the grand prize winner in the 2024 Real California Milk (RCM) Excelerator product innovation competition. The award was presented during the Future of Dairy Expo and Final Pitch Event Nov. 14 in San Ramon, California, where four new finalists also were selected to compete for the 2025 grand prize.

This competitive program is designed to drive value-added dairy innovation using California milk, ultimately strengthening the industry by providing startups with access to sustainably produced milk as well as resources, expertise and nondilutive funding to grow their businesses. As the winner of the 2024 RCM Excelerator, Petit Pot will receive $100,000 worth of marketing support from the CMAB.

Headquartered in Emeryville, California, Petit Pot was founded by French-born pastry chef Maximee Pouvreau and specializes in single-serve gourmet desserts crafted with dairy and other organic ingredients. The CMAB selected the company as the grand prize winner based on the company’s more than $2 million in retail sales over a one-year period and rapidly expanding presence through 6,000 stores across the country.

At the 2024 Future of Dairy Expo, attendees also experienced product tastings and exhibitions from more than 20 pioneering dairy startups and witnessed the selection of four new finalists chosen by the CMAB from this year’s incubator cohort during the live pitch event:

  • Pluff, a fluffy protein dessert with high nutritional value, represented by its founder, Dylan Paul
  • Projo*, an instant coffee blend infused with dairy and collagen, represented by Charbel Mawad, founder and CEO
  • Smearcase, a cottage cheese-based ice cream, represented by founder and CEO, Joe Rotondo
  • Todo, a meal replacement shake with a balanced nutritional content, represented by founder, Niket Soni