Debt ceiling debate limits farm bill activity

  National Council of Farmer Cooperatives President and CEO Chuck Conner is optimistic about the upcoming farm bill debate but is concerned about the lack of activity. Conner said Congress is consumed with the debt ceiling issue. “It’s sort of taken all the oxygen out of the room,” Conner said. “By the time that’s resolved, I fear the clock may just be working too much against us to get the farm bill done this fall or even by the holidays.” Farm bill priorities for the farm cooperative organization include strong commodity and crop insurance titles. Climate-smart agriculture is also part of the discussion. “I’ve been working hard to really try and get agriculture out front of this climate debate in a way that is very, very pro-farmer,” Conner said. The NCFC annual meeting was held this past week. Labor shortages were a top issue at that meeting. Conner said labor is the reason many farm cooperatives have postponed plans for expansion.

Deficit continues to grow
  Without action to raise the debt ceiling, the nonpartisan Congressional Budget Office said the United States could default on its debt as soon as July. CBO Director Phillip Swagel also reported the U.S. deficit totals $1.4 trillion. “The federal debt held by the public is projected to rise from 98% of GDP in 2023 to 118% in 2033,” Swagel said. “Over that period, the growth of interest costs and mandatory spending outpaces the growth of revenue. Those factors persist beyond 2033 pushing federal debt higher still to 195% of GDP in 2053.”

Seeking change in federal orders
  New York Sen. Kirsten Gillibrand plans to reintroduce the Dairy Pricing Opportunity Act. This bill was first introduced in 2021. It calls for the Secretary of Agriculture to initiate the process of Federal Milk Marketing Order hearings within six months. American Dairy Coalition CEO Laurie Fischer praised this announcement, saying the Class I pricing formula needs to be modernized.

Dairy industry weighs in over school lunches
  The U.S. Department of Agriculture’s recent proposals for school nutrition and the Women, Infants and Children program addressed salt, added sugars and whole grains. International Dairy Foods Association Senior Vice President Matt Herrick said the proposal could potentially eliminate chocolate milk from elementary and middle school meals. “There’s a 60-day comment period the (USDA) opened up, and we’re working to make our voices heard,” Herrick said. Studies throughout the country have evaluated the use of low-fat flavored milk in schools. “They have low-fat flavored milk on the menu and then remove it, and they measure the reaction from those kids,” Herrick said. “What they end up seeing in those instances is there’s lower participation first (in school meals), and they see a lot of waste. When they add low-fat, flavored milk back, kids are actually participating more in the program and they’re eating more of their meals.” Herrick said this recent proposal conflicts with USDA’s own dietary guidelines.

Evers delivers budget proposal
  Wisconsin Gov. Tony Evers’ budget proposal includes nearly $16 million for the Dairy Innovation Hub, supporting the state’s dairy farmers and processors. There’s $2 million for the Wisconsin Initiative for Agricultural Exports and $1.6 million in biennial funding for the Dairy Processor Grant program through the Wisconsin Department of Agriculture, Trade and Consumer Protection. In his budget address, Evers emphasized the need to address climate change. At the same time, Evers said that doesn’t mean Wisconsin is abandoning “our farmers who’ve been the backbone of our state for generations.”

Supply, demand estimate updated
  According to the USDA World Agricultural Supply and Demand Estimates, the forecast for milk production totals 228.3 billion pounds. That’s down 900 million pounds from the previous estimate. A downturn in the milk price is also influencing the expected number of cows in the U.S. dairy herd.

Record dairy exports
  U.S. dairy export sales were record high in both value and production in 2022. According to USDA, dairy exports totaled $9.5 billion in value last year. That beats the 2021 record by 25%. Sales totaled 2.8 million metric tons in volume, up 52% in the past 10 years. The U.S. dairy industry now exports 18% of all milk production.

USTR renews Canadian dairy policy challenge
  The United States is challenging Canada’s use of dairy tariff-rate-quotas through the U.S.-Mexico-Canada dispute settlement panel. “We would expect to have a response and a finding from the panel in 2023,” said Doug McKalip, U.S. ag trade ambassador. “We think our dairy farmers are in a very solid position.

Torres Small nominated for deputy ag secretary post
  President Joe Biden has nominated Xochitl Torres Small to be the next Deputy Secretary of Agriculture. Torres Small is currently the USDA Undersecretary for Rural Development and previously represented New Mexico in Congress. Torres Small succeeds Deputy Secretary Jewell Bronaugh, who is stepping down. USDA Animal Plant Health Inspection Service Administrator Kevin Shea will serve as the acting deputy secretary in the interim.

From New Zealand to Wisconsin
  GEA Farm Technologies is moving the manufacturing of its rotary parlor platforms to Galesville, Wisconsin. Before this change, many of the GEA rotary parlor components were made in New Zealand. Supply chain challenges made the move to Wisconsin more feasible.

Romanski to serve MASDA
  Wisconsin Department of Agriculture, Trade and Consumer Protection Secretary Randy Romanski will serve as the secretary/treasurer of the Midwestern Association of State Departments of Agriculture. The election took place during the National Association of State Departments of Agriculture Winter Policy Meeting.

FarmFirst officers elected
  John Rettler of Neosho, Wisconsin, was reelected president of the FarmFirst Dairy Cooperative. Steve Brock of Daggett, Michigan, will serve another term as vice president. Stephanie Hughes of Pittsville, Wisconsin, was elected secretary, and Bob Dieztel of East Dubuque, Illinois, was reelected treasurer.

Ag in the Classroom honors
  The Wisconsin Agriculture in the Classroom Outstanding Educator of 2022 is Jessica Rettler. Rettler is a fourth grade teacher in Plainfield, Wisconsin, and will represent Wisconsin in USDA’s Excellence in Teaching About Agriculture Award Program.

Trivia challenge
  In 1963, John Deere started producing and selling lawn and garden tractors. That answers our last trivia. For this week’s trivia, what snowmobile brand introduced the Pantera, Puma and Kitty Cat models? We will have the answer in our next edition of Dairy Star.
    Don Wick is owner/broadcaster for the Red River Farm Network, based in Grand Forks, North Dakota. Wick has been recognized as the National Farm Broadcaster of the Year and served as president of the National Association of Farm Broadcasting. Don and his wife, Kolleen, have two adult sons, Tony and Sam, and five grandchildren, Aiden, Piper, Adrienne, Aurora and Sterling.