Ag Insider

Ground beef imports part of Trump affordability plan

Posted

President Donald Trump announced that 300,000 metric tons of ground beef will be imported tariff-free for 90 days. Trump said that beef would be sold 25% below current market prices, and he defended this decision when meeting with reporters at Andrews Air Force Base: “We want to get the beef prices down, so we’ll get them down a little bit, and that’s what people want, that’s what the voters want and that’s what I want.” Trump did say the beef coming from foreign sources would be of the highest quality.

 

Fewer dairy farms are producing more milk

The number of U.S. dairy farms is expected to fall below 20,000 by the end of the decade. Terrain Senior Dairy Analyst Ben Laine says the decline in farm numbers has not translated into lower milk production; “We’ve lost 100,000 farms since the ’90s, but we’re making more than 50% more milk in that time. We’re making much more milk with the cows that we have. It’s not a story of less milk. It’s fewer farms that are making more milk per cow.” Laine says consolidation has affected smaller and medium-sized dairy operations as producers pursue greater efficiency. He also sees economic benefits when a large dairy locates in a community; “There is a lot of additional business around that. It is a boon to the local economy in a lot of cases.”

 

Trade dispute could pressure milk prices

Canada remains a critical export market for U.S. dairy products, and an escalating trade dispute could create additional challenges for dairy farmers. Edge Dairy Farmer Cooperative Chief Policy Officer Karen Gefvert says Canada was the second-largest market for U.S. dairy products last year, with exports valued at $1.3 billion. “It’s really important from a dairy perspective that we continue to maintain a working relationship with Canada for an export market,” Gefvert said. She says losing access to Canada could leave more dairy products in the domestic market and put pressure on milk prices. The trade dispute could also increase costs for farmers. “As we see this escalation occur between the U.S. and Canada, we anticipate breakdowns in supply chains,” Gefvert said. “That’s going to raise costs yet again for farmers who are already seeing a high increased cost in a lot of their inputs because of instability, because of tariffs, because of availability of those products.”

 

NMPF, USDEC welcome trade action with Canada

U.S. dairy groups are backing the new trade pressure on Canada. The National Milk Producers Federation and U.S. Dairy Export Council say new 50% tariffs on some Canadian goods could push Canada back to the negotiating table. USDEC President Krysta Harden says Canada has had several chances to address U.S. dairy concerns. Under the United States-Mexico-Canada Agreement, Canada agreed to give U.S. dairy products more duty-free access through tariff-rate quotas. U.S. dairy groups say Canada has failed to fully fill those quotas. NMPF President Gregg Doud says the trade practices are hurting U.S. dairy farmers and exporters.

 

Putting up walls

Tariffs are adding another layer of uncertainty for agriculture, particularly in trade between the U.S. and Canada.
“Dairy has been such an irritant with the U.S. administration that they’re trying to upset everything that’s already been taking place,” said Kyle Peacock, Peacock Tariff Consulting. In his view, northern dairy farms will be put at a disadvantage. “We’re not just losing out because Canada’s putting walls up. We’re losing out because the southern states that are doing it more inexpensive, are taking some of this market.”

 

A structural change

In an address to the Kansas State University Risk and Profit Conference, NMPF President and CEO Gregg Doud said agriculture is going through a fundamental shift, and it’s all about protein; “Dairy is just one expression of a much bigger shift in how people are consuming nutrition.” International demand is moving to whey protein and other dairy ingredients. Domestically, the protein push has been tied to glucagon-like peptide-1 and weight loss drugs. “There’s a real question here about whether this is a fad or a structural shift in how people think about food,” Doud said. “If it’s structural, it changes the long-term demand curve for agriculture.” Doud cites the revitalization of traditional high-protein foods, like yogurt and cottage cheese, appears to be more than a short-term movement.

 

More cows, more milk

Milk production in the 24 major dairy states totaled 19.4 billion pounds in July, up 2.3% from a year earlier. In Wisconsin, milk production rose 2.6% with the addition of 27,000 cows.

 

Milk production increases

The latest Dairy Market Report from the NMPF and the dairy checkoff says U.S. milk production grew 3% in June. Rising butter production has limited gains, even with growing demand at home and abroad. Cheese demand at home and at quick-serve restaurants is down, pressuring Class III milk prices. The recent increase in feed prices and a lower all-milk price set the stage for potential Dairy Margin Coverage payments for August.

 

Dairy farm numbers continue to decline

As of Aug. 1, Wisconsin had 4,991 dairy operations. That’s down from 5,222 one year ago and 5,470 two years ago. This is the first time dairy farm numbers dropped below 5,000. This is a trend that has been happening for generations. In 2000, Wisconsin had more than 19,000 dairy operations, and there were 44,000 dairy farms in 1980.

 

New Holland highlights hay equipment at Farm Progress Show

Harvesting technology was at the center of New Holland’s Farm Progress Show display. The Speedrower 1 Series self-propelled windrower lineup was introduced. The new Roll-Belt 1 Series round balers with IntelliBale automation was highlighted.

 

Hands-free baling from Deere

John Deere has added hands-free baling technology to its forage equipment lineup. This system combines Deere’s AutoTrac guidance feature with its Weave Automation round baler feature. Together, these technologies will allow the tractor and baler to automatically follow windrows using guidance from the previous combine passes and get consistent bales with less effort.

 

Cheese maker award winners announced

The Wisconsin Cheese Makers Association has named four industry leaders as winners of the 2026 Member Impact Awards. WCMA named Kerry its Advocate of the Year for outstanding leadership and sustained commitment to public policy. Sigma Foods’ Darlington Plant earned the Employer of the Year Award and Nelson-Jameson Inc. secured the Sustainable Stewardship Award. The Culture of Excellence Award will go to Lifeway Foods. WCMA will honor these companies Sept. 23 in Madison.

 

Jersey association honors Wisconsin couple

The American Jersey Cattle Association has named Corey and Kristen Metcalf as a 2026 Young Jersey Breeder Award winner. The Metcalfs operated Glacier Edge Dairy in Milton. The couple has 800 registered Jersey cows in their herd.

 

Trivia challenge

France is the #1 per-capita cheese consuming country in the world, with average consumption topping 57 pounds per person. That answers our last trivia question. For this week’s trivia, H2O is the chemical compound for what common resource? We’ll have the answer in our next edition of the Dairy Star.

Don Wick is owner/broadcaster for the Red River Farm Network of 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 sons, Tony and Sam, and five grandchildren, Aiden, Piper, Adrienne, Aurora and Sterling.

Photo Caption Photo Caption Photo Caption Photo Caption

Share with others

Comments

No comments on this item Please log in to comment by clicking here

© Copyright 2024 Star Publications. All rights reserved. This material may not be broadcast, published, redistributed, or rewritten, in any way without consent.