California Ag Network

Category: Dairy Industry

  • USDA Now Making Payments for New Dairy Margin Coverage Program

    The U.S. Department of Agriculture’s Farm Service Agency (FSA) opened enrollment for the Dairy Margin Coverage (DMC) program on June 17 and has started issuing payments to producers who purchased coverage. Producers can enroll through Sept. 20, 2019.

    “Times have been especially tough for dairy farmers, and while we hope producers’ margins will increase, the Dairy Margin Coverage program is providing support at a critical time for many in the industry,” said Bill Northey, USDA Under Secretary for Farm Production and Conservation. “With lower premiums and higher levels of assistance than previous programs, DMC is already proving to be a good option for a lot of dairy producers across the country.  USDA is committed to efficiently implementing the safety net programs in the 2018 Farm Bill and helping producers deal with the challenges of the ever-changing farm economy.”

    Authorized by the 2018 Farm Bill, DMC replaces the Margin Protection Program for Dairy (MPP-Dairy). The program offers protection to dairy producers when the difference between the all-milk price and the average feed cost (the margin) falls below a certain dollar amount selected by the producer. To date, nearly 10,000 operations have signed up for the new program, and FSA has begun paying approximately $100 million to producers for January through May. 

    May Margin Payment

    DMC provides coverage retroactive to January 1, 2019, with applicable payments following soon after enrollment.

    The May 2019 income over feed cost margin was $9.00 per hundredweight (cwt.), triggering the fifth payment for eligible dairy producers who purchase the $9.50 level of coverage under DMC. Payments for January, February, March and April also were triggered.

    With the 50 percent hay blend, FSA’s revised April 2019 income over feed cost margin is $8.82 per cwt. The revised margins for January, February and March are, respectively, $7.71, $7.91 and $8.66. 

    Coverage Levels and MPP Reimbursements

    Dairy producers can choose coverage levels from $4 up to $9.50 at the time of signup. More than 98 percent of the producers currently enrolled have elected $9.50 coverage on up to 95 percent of their production history.

    More Information

    On December 20, 2018, President Trump signed into law the 2018 Farm Bill, which provides support, certainty and stability to our nation’s farmers, ranchers and land stewards by enhancing farm support programs, improving crop insurance, maintaining disaster programs and promoting and supporting voluntary conservation. FSA is committed to implementing these changes as quickly and effectively as possible, and today’s updates are part of meeting that goal.

    For more information, visit farmers.gov DMC webpage or contact your local USDA service center. To locate your local FSA office, visit farmers.gov/service-locator

  • Three Ways the Farm Bill Can Assist Dairy Producers

    There are multiple ways the 2018 Farm Bill is assisting the dairy industry through some difficult times, but watch this brief interview with Dana Coale from the USDA Agricultural Marketing Service, as she explains three of the provisions dairy producers should know about. Read more in California Dairy Magazine.

  • Student Ambassadors Share California Dairy Message with International Audiences

    The California Milk Advisory Board (CMAB) has selected four students to serve as interns in the second year of the international dairy leadership program. Jessica Brown, Stefani Christieson, KayCee Hartwig-Dittman and Makayla Toste will serve as dairy representatives working with marketing teams representing CMAB during the summer in Mexico, South Korea and Taiwan.

    The interns, selected from students enrolled in agriculture-related programs at colleges and universities throughout the state, were chosen based on academic achievement, connection to the dairy industry and a willingness to travel abroad and learn more about international dairy sales and marketing as well as a plan to work in the California dairy industry in the future.

    Over the six-week period, each intern will spend time with in-country CMAB marketing organizations – Brown in Taiwan, Christieson and Hartwig-Dittman in South Korea and Toste in Mexico – to gain a better understanding of these markets, consumer buying habits and promotional efforts on behalf of California’s dairy industry.

    Jessica Brown

    Brown is currently enrolled at California State University, Fresno majoring in agriculture business. Jessica was raised on her family’s vineyard in Tracy and has always had a passion for agriculture. Her desire to learn about agriculture outside of the U.S. has provided her with opportunities to study abroad, most recently in Spain. Because of her love of travel and learning about other cultures, Jessica is focusing on international marketing at college with plans to work in this field of study upon graduation in 2020. Brown is a member of the agriculture marketing team at Fresno State and will be working with Steven Chu and Associates in Taipei, Taiwan.

     

    Stefani Christieson

    Christieson is a recent graduate of University of California, Davis where she received her B.S. in Political Science and minors in economics and French. She will be attending graduate school in the fall at Sciences Po in Paris, France for a year and then complete the program at Fudan University in Shanghai, China in year two. Christieson plans to complete her master’s degree in international economic policy and pursue a career as agriculture economic policy advisor for an agriculture export market organization to help California farmers continue to expand into emerging and established markets overseas. Christieson will be working with Sohn’s Market Makers, Ltd. in S. Korea.

     

    KayCee Hartwig-Dittman

    KayCee Hartwig-Dittman is currently enrolled at California State University, Fresno where she is majoring in dairy science and is employed at the dairy unit on campus. She has a culinary arts degree from Diablo Valley Community College and has experience working in the restaurant industry in California. Her love of travel and food has allowed her to travel outside of the U.S. where she has learned to use dairy products in new and creative ways with hopes to find innovative ways to introduce dairy to consumers around the world. Hartwig-Dittman will also be working with Sohn’s Market Makers, Ltd. in S. Korea.

     

    Makayla Toste

    Makayla Toste, a second-generation dairy farmer from Newman, received her B.S. degree in Animal Science with an emphasis in dairy science. During her last year at Fresno State, Toste served as the assistant herdsman for the Fresno State dairy unit where she was responsible for the day-to-day operations of the dairy and an officer for the Fresno State Dairy Club. After the internship, she plans to work in the California dairy industry in promotion and marketing to help keep the industry viable for the next generation of farmers. Toste will serve as an intern with the team at Imalinx in Cuernavaca, Mexico.

    “California accounts for more than 33 percent of all U.S. dairy exports so international trade is essential for our continued growth. Over the last decade, the CMAB has worked closely with partners in Asia and Mexico to develop markets for California dairy products. This program is focused on providing insight into international dairy marketing for future leaders like Jessica, Stefani, KayCee and Makayla, who will work in the dairy business and one day serve on dairy industry boards and lead industry groups,” said Glenn Millar, Director of International Business Development for the CMAB.

    The goal of the CMAB International Internship program is to provide agriculture/dairy college students an opportunity to learn about dairy foods and marketing in the international marketplace. The program looks to develop leaders who will serve on dairy industry boards, work in dairy foods production, processing or sales/marketing.

    About Real California Milk/California Milk Advisory Board

    The California Milk Advisory Board (CMAB), an instrumentality of the California Department of Food and Agriculture, is funded by the state’s dairy farm families and is one of the largest agricultural marketing boards in the United States. With a mission to increase demand for products made with Real California Milk, the CMAB is celebrating 50 years in 2019 promoting California’s sustainable dairy products in the state, across the U.S. and around the world through advertising, public relations, research, and retail and foodservice promotional programs. For more information and to connect with the CMAB, visitRealCaliforniaMilk.com, Facebook, YouTube, Twitter, Instagram and Pinterest.

  • California Dairies, Inc. and Dairy Farmers of America Create Agency to Ensure Market Stability

    CALIFORNIA DAIRIES, INC. AND DAIRY FARMERS OF AMERICA CREATE AGENCY TO ENSURE MARKET STABILITYCalifornia Dairies, Inc. (CDI) and Dairy Farmers of America (DFA) today announced the creation of a marketing agency in common to benefit and bring efficiency to both cooperatives’ customers and members.

    “Given the significant marketing and regulatory challenges that we’ve seen in California over the last few years, there was a mutual desire to reduce supply chain costs and create additional value and stability for our customers,” said Andrei Mikhalevsky, President and CEO California Dairies, Inc.  “We would also like to help preserve the existing processing asset base in the State.”

    With the establishment of a marketing agency in common, DFA and CDI will combine the raw milk marketing and transportation efforts for both cooperatives in California. The marketing agency in common also will allow both cooperatives to create market stability, milk balancing and enhanced customer service as part of short- and long-term strategies.

    “Our organizations have worked closely over the past decade as the dairy industry in California, the U.S. and the world has become increasingly dynamic,” said Dennis Rodenbaugh, executive vice president of DFA and president of Council Operations. “We have similar goals and see tremendous opportunities with our two cooperatives working together in an increasingly close partnership.”

    About California Dairies, Inc:

    California Dairies, Inc. is the largest member-owned milk marketing and processing cooperative in California producing 40 percent of California’s milk. Co-owned by nearly 400 dairy producers who ship 16 billion pounds of Real California Milk annually, California Dairies, Inc. is a manufacturer of quality butter, fluid milk products and milk powders. In addition, California Dairies, Inc. is the home of two leading and well-respected brands of butter – Challenge and Danish Creamery. California Dairies’ quality dairy products are available in all 50 United States and in more than 50 foreign countries.

    About Dairy Farmers of America:

    Dairy Farmers of America is a national, farmer-owned dairy cooperative focusing on quality, innovation and the future of family dairies. While supporting and serving 14,000 family farmers, DFA works with some of the world’s largest food companies to develop ingredients that satisfy their customers’ cravings while staying committed to social responsibility and ethical farming. For more information, please visit dfamilk.com.

  • Ryan Junio Receives 2019 Young Jersey Breeder Award

    Ryan Junio, Pixley, Calif., received one of six Young Jersey Breeder Awards given by the American Jersey Cattle Association in ceremonies June 28, 2019, during the association’s 151st Annual Meeting in Canton, Ohio.

    The Young Jersey Breeder Award is presented to individuals or couples who are at least 28 years old and under the age of 40 on January 1 of the year nominated, who merit recognition for their expertise in dairy farming, breeding Jersey cattle, participation in programs of the American Jersey Cattle Association and National All-Jersey Inc., and leadership in Jersey and other dairy and agriculture organizations.

    Junio has been involved with Jerseys since he was 13 years old. Today he manages Four J Jerseys with his family. They own over 6,000 Registered Jersey cows and heifers and have an actual 2018 rolling herd average of 18,819 lbs. milk, 919 lbs. fat and 700 lbs. protein.

    Genomic testing has been a key tool in helping Junio reach his goals as a breeder. In 2018, a homebred Four J heifer was the high seller at the Arethusa Avonlea Summer Splash II sale at $92,000. Other accomplishments include having had 135 Hall of Fame lactations and over 124 of the animals currently ranked among the top 1.5% for GJPI. Over 1,900 cows in the herd are scored Excellent or Very Good.

    In 2017 Junio received the California Young Jersey Breeder Award. He also served as a delegate for Select Sires last year.

     

  • Brent Wickstrom Receives 2019 Young Jersey Breeder Award

    Brent Wickstrom, Hilmar, California, received one of six Young Jersey Breeder Awards given by the American Jersey Cattle Association in ceremonies June 28, 2019, during the association’s 151st Annual Meeting in Canton, Ohio.

    The Young Jersey Breeder Award is presented to individuals or couples who are at least 28 years old and under the age of 40 on January 1 of the year nominated, who merit recognition for their expertise in dairy farming, breeding Jersey cattle, participation in programs of the American Jersey Cattle Association and National All-Jersey Inc., and leadership in Jersey and other dairy and agriculture organizations.

    Wickstrom is the third generation to operate Wickstrom Dairy Farm alongside his father and grandfather. He manages the reproductive and mating decisions with an emphasis on high production and components with a long productive life and high reproductive efficiency. They have a current actual rolling herd average of 19,043 lbs. milk, 939 lbs. fat and 729 lbs. protein on 2,403 milking cows.

    Under Wickstrom’s guidance, the herd began an IVF program in 2014 with the goal to improve GJPI using embryos from the highest genetic value animals based on genomic merit. Since then they’ve done about 1,000 embryo transfers each year. They have also established an IVF collection center on-site at the dairy and hold oocyte collections every other week. The animals created via IVF average +250PTAM, +12PTAF and +10PTAP higher than their natural conception herdmates.

    A graduate of Cal Poly San Luis Obispo, Wickstrom earned his degree in dairy science with a minor in ag business and crop science. During his college career, he was active with Los Lecheros Dairy Club and Dairy Challenge. He is a sire committee member of Jerseyland Sires and in 2018 received the California Jersey Association Young Jersey Breeder Award.

    The American Jersey Cattle Association was organized in 1868 to improve and promote the Jersey breed. Since 1957, National All-Jersey Inc. has served Jersey owners by promoting the increased production and sale of Jersey milk and milk products.

     

  • Pizza Hut Now using 25% More Cheese in Support of the Dairy Industry

    Pizza Hut has been a great partner of our National dairy checkoff through DMI, and is now serving 25% more cheese on their pizzas — some great news to hear during national Dairy Month.  Watch this brief interview with DMI’s Vice President of Product Development, Nitin Joshi for more details.

  • More than 960 Food & Ag Groups Urge Congressional Ratification of USMCA

    Today, organizations representing U.S. food and agriculture including the International Dairy Foods Association (IDFA) called on members of Congress to swiftly ratify the U.S.-Mexico-Canada Agreement (USMCA).

    In a letter sent to Congress, more than 960 groups representing the U.S. food and agriculture value chain at the national, state and local levels called on Congress to support ratification of USMCA. The letter reiterates that USMCA will benefit the U.S. economy by boosting agricultural export markets and creating a more level playing field for American businesses with customers in Mexico and Canada.

    “USMCA meets the U.S. dairy industry’s top priorities to ensure a more level playing field, including preserving duty-free market access to Mexico, eliminating the unfair Canadian Class 7 pricing program and increasing market access to the Canadian market,” said Michael Dykes, D.V.M., president and CEO of IDFA. “The U.S. dairy industry, which supports more than 3 million jobs in the United States and pumps $620 billion into the U.S. economy, is making a strong appeal to Congress to vote to ratify this important trade deal. USMCA will ensure that our dairy industry grows valuable market share and continues to be viewed by our North American customers as a reliable supplier.”

    Over the last 25 years, U.S. food and agricultural exports to Canada and Mexico have more than quadrupled under the former North American Free Trade Agreement, or NAFTA, growing from $9 billion in 1993 to nearly $40 billion in 2018 and helping support more than 900,000 American jobs in food and agriculture and related sectors of the economy. USMCA builds on the success of the NAFTA agreement, makes improvements to further enhance U.S. food and agricultural exports to our neighbors, and would deliver an additional $2.2 billion in U.S. economic activity.

    The International Trade Commission’s recent report on USMCA confirmed that the agreement will improve market access for U.S. farmers, ranchers and food producers, as well as positively impact both the U.S. agriculture sector and the broader national economy.

    One in four American manufacturing jobs are related to agriculture, and USMCA, once implemented, will strengthen the U.S. farm and agriculture economy and further support and secure vital market access for U.S. farmers, ranchers, and agri-businesses.

     

  • What’s New in Silage Science?

    What’s new in silage production science from seed to feed-out? How can every efficient step forward benefit your bottom line? Find out at the California Silage Conference, July 24, 2017, 8 a.m. to 2 p.m. at the Legacy Ranch, Tipton, California.

    You’ll leave with more confidence in your silage making abilities. Learn about the latest in seed genetics and selection strategy, precision planting, fertilizing and crop care. Renew your on-point, controlled harvest methods plan. Get all the science in a comfortable, understandable, and friendly format.

    Interactive sessions will bring into focus what you’re doing right and clarify areas in your program that need improvement. And there’s (a really delicious) lunch planned!

    • Walk with Dekalb’s local agronomist and representative through the corn hybrid planting. You’ll see leading silage genetics in the field and discuss how Dekalb’s breeding program is maximizing the potential in every seed. Find out what they’re doing to further germ-plasm and traits and be ready to discuss agronomic topics and challenges that your fields are facing.
    • See firsthand how you can produce more milk per acre by driving up yield, starch, and digestibility. Hear from farmers like you who have put the science to work. California Ag Solutions will present information on this and how soil health can be improved, and tillage costs reduced.
    • Who will win the first ever “Connor Corn Silage Jeopardy?” It’s time for your favorite quiz show: featuring answers to harvest, sealing, feed-out, and safety methods that will make the most of your crop investment. Buzz in – who’s got the questions?

    The California Silage Conference is sponsored by California Ag Solutions, Dekalb, and Connor Agri-science. All three are committed to bringing a no-sales-pitch approach to the day. Their mission is to help farmers stay farming and profits grow with scientific tools. We’re all in this dairy industry together!

    The Conference is a pre-registration-only event. Go to www.californiasilageconference.com today to request your reservation and get more details. Registration is open now. Admission by pre-registration only.

     

  • United Dairy Families of California Forms to Resolve Quota Dispute

    On March 29, 2019 the Department received a petition to terminate the Quota Implementation Plan (QIP). Per the procedures for handling petitions, the Department has performed a review of the petition signatures and has determined that the twenty five percent (25%) threshold has not been achieved. Therefore, the petition will not be referred to the Producer Review Board.

    In calculating the qualified signatures, the Department utilized producer data from February 2019 as it was the most current producer information available. The review identified 1,197 dairy farms with various producer ownership status. When farms with common ownership were combined and counted as one producer, the Department identified 992 producers eligible for participation in the petition process.

    June Dairy Story

    The Department performed a review of the 283 signatures submitted as part of the petition. Of those, 243 signatures were validated. During its review, the Department utilized a variety of source documents to determine if the signatures submitted were valid under the requirements of the QIP and various Food and Agriculture Code sections (62716, 62717, 61834, 61836) pertaining to referendums. Signatures disqualified included Grade B shippers, dairy farms that had gone out of business, signatures that did not have the petition text included, signatures that did not match Department producer files, and signatures from individuals that were not listed as an owner per Department ownership files. When the 243 signatures were merged for common ownership, this resulted in signatures from 197 producers.

    The result of the petition review process revealed that nearly twenty percent (20%), or 197 of the 992 market milk producers submitted valid signatures.

    Regarding the announcement, Western United Dairymen shared, “Where does that leave us? Well for one, there is no restriction on when another petition can be submitted. So the same group or another can submit a petition to CDFA. With the petition in the rearview mirror, we can only hope this will give an incentive for the Stop QIP, United Dairy Families of California, or any other group that desires to take a leadership role on this challenging issue to get involved in effecting quota change, to sit down and discuss how to deal with the future of the QIP.”

    Geoff Vanden Heuvel from Milk Producers Council added, “A process is needed that will enable the California producer community to evaluate its options for the future with regards to quota. The existence of the STOP QIP movement has spawned the creation of another group of producers who organized specifically to focus on the quota issue.  That group is named the “United Dairy Families of California.” This group is committed to a process that seeks to find an equitable resolution to the quota issue. The existing cooperatives and trade associations have been understandably reluctant to get involved in this debate because its splits their membership. It would be in the best interest of the industry if a process emerged that would facilitate a long-term resolution of this issue. Ultimately this is a producer issue and for many producers a very personal one.”