NMPF responds to infant formula legislation

Congress passed the Bulk Infant Formula to Retail Shelves Act, temporarily lifting tariffs on imported milk powder. National Milk Producers Federation President and CEO Jim Mulhern said the organization is not opposed to ending these restrictions on a short-term basis to address the infant formula shortages. However, “NMPF emphatically opposes efforts that would create long-term dependence on foreign suppliers for a critical nutritional food,” Mulhern said. He said overseas milk production does not meet the same stringent regulations facing U.S. dairy producers.

Farm profits could see record highs in 2022
The U.S. Department of Agriculture Economic Research Service forecast U.S. net cash farm income to increase 8.7% from 2021-22. This is the highest-level forecast since 2012. Both cash receipts and expenses are forecast to increase. Cash receipts for farm commodities are projected to rise 14.4% from the previous year, their highest level on record. Production expenses are expected to see a 11.3% increase. Direct government payments to farmers are projected to fall by 14.3 billion from 2021 to 2022.

Ag economy depends on off-farm income
Of U.S. farm household income, 82% now comes from off the farm. A study conducted by the University of Missouri and commissioned by CoBank identified reliable income as the top reason for off-farm employment. Health and retirement benefits were also cited. The research said off-farm jobs are especially important for young and beginning farmers.

UN reacts to inflation threat
The Federal Reserve had an unscheduled closed-door meeting early this month. This session coincided with the release of a report from the United Nations that said the rapidly rising interest rates puts the global economy at risk for recession. The Fed raised interest rates five times in the past year, moving the benchmark rate to 3%-3.5%. The UN agency said the Fed’s action may be “too drastic.”

A port slowdown
A labor dispute between dockworkers and employers at third busiest port in the U.S. is slowing cargo shipments into and out of the port of Oakland, California. The International Longshore and Warehouse Union started limiting access to workers needed to maintain operations. The disruptions come as negotiations for a new contract enter their fourth month. The ILWU represents more than 22,000 dockworkers at 29 West Coast ports.

Biden addresses UN general assembly
The United States is investing nearly $3 billion to help address global food insecurity. President Joe Biden also spoke about the importance of providing relief to those in need. “We’re calling on all countries to refrain from banning food exports or hoarding grain while so many people are suffering,” Biden said. “Because in every country in the world, no matter what else divides us, if parents cannot feed their children, nothing, nothing else matters.” Biden praised the UN for its work in creating a humanitarian route for exports out of the Black Sea. The President also criticized Russia for its invasion of Ukraine. “Let me be perfectly clear about something; our sanctions explicitly allow Russia the ability to export food and fertilizer; no limitation,” Biden said. The president blamed the Russian war for worsening food insecurity worldwide.

White House hosts hunger conference
President Joe Biden wants to end hunger by 2030. That benchmark was announced during the White House Conference on Hunger, Nutrition and Health. The administration wants an additional 9 million school children to receive free school meals.

Dairy consumption rising
U.S. per capita dairy consumption this past year was at 667 pounds. That’s a dramatic uptick from 655 pounds per person in 2020. USDA indicates fluid milk consumption continues to decline, but American-style cheese consumption is at record levels. Butter consumption is also trending higher.

CBB passes beef checkoff budget
The Cattlemen’s Beef Board will invest $38.5 million in beef checkoff activities in the 2023 fiscal year. That’s down from nearly $39 million this past year. The budget, which is subject to USDA approval, includes $9.4 million for promotion. There’s $9 million for research and $7.5 million for consumer information.

Meatless no more
After two years in operation, JBS USA is shutting down its U.S. plant-based food business. The meatpacking company will put its focus on its plant-based business in Brazil and Europe.

Foremost Farms to shut down two plants
Foremost Farms USA will close its processing plants in Plover and Milan in December. A spokesperson for the Baraboo, Wisconsin-based co-op cited rising costs and aging infrastructure as reasons for the decision.

Hebrink successor named
Jase Wagner has been selected as Compeer Financial’s next president and CEO. Wagner will succeed Rod Hebrink when he retires in January. Wagner is the cooperative’s current chief financial officer.

National Dairy Shrine honorees
During the National Dairy Shrine banquet, John Schouten was honored as the guest of honor. Schouten spent his career with World Wide Sires, including time as CEO. The Distinguished Dairy Cattle Breeder Award was presented to Maryland Holstein and Jersey breeder Ernest Kueffner. The National Dairy Shrine also honored four dairy industry pioneers. They are veterinarian Scott Armbrust, purebred dairy sales manager Tom Morris and sire analyst Charlie Will. The family of Virginia dairy farmer Jack Hardesty accepted the award posthumously.
 
Trivia challenge
Irish physician Hans Sloane is credited with chocolate milk during his time in Jamaica in the late 1600s. That answers our last trivia question. For this week’s trivia, what country consumes the most chocolate? We will have the answer in the 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.