January 2017 FIRSTHAND MILKLINE E WKSNLOW E T TL E R GE M I L K I N D U SNT RY ED HIGHLIGHTS: Attend the YC Conference p 2 Milk Labeling Standards p 3 2017 Delegate Listing p 4 Producer Discovery Workshops p 2 Keeping Trade A Priority p 3 Thank You Reid Ribble p 5 Calling Out Dairy Imposters the endless list of questions they have, they’re left with absence claims, making them believe products previously were filled with poison, chemicals, sawdust and whatever else. I can’t blame them – fear marketing is effective, especially in this day and age where illnesses and diseases including cancer seem so prevalent. But science has proven that buying into these extravagant food labels is not buying better health for yourself. It’s not the first time that dairy organizations have tried to challenge plant-based beverages being labeled and sold as ‘milk’. And since the conversation was first had, it appears that more plants have joined the ‘wanna-be-milk’ club, including hemp, pistachio, macadamia nut and sunflower, beyond the original three of soy, almond and rice. However, when this recent wave of media attention caught my eye, it seemed different. Why? It’s old news. Of course dairy is fighting for its shelf space back. These beverages have been labeled ‘milk’ for a few years now. Why bother? Because consumers are tired of it. While colorful, gawdy labels might persuade and attract certain consumers, these same labels are also confusing them – and they’re aware of it. Consumers are truly curious, and for FDA has the opportunity to earn consumer confidence back by enforcing its definition of milk, as is its responsibility. This wouldn’t remove these plant-based beverages from the marketplace, but it would begin to clarify what milk really is. In a recent article shared by NPR, a representative from the Soyfoods Association argued, “If you break open a coconut, what’s inside? Coconut milk.” I was amused to see that NPR received so many calls from listeners, that they actually provided an update to the article, as listeners had pointed out “that what’s found inside a coconut is coconut water, not milk. Coconut milk is a product that is made from the meat of a coconut.” Consumers don’t want to be treated as if they’re uneducated. They do know better, and understand that soy, rice and almonds don’t secrete milk. Instead, its mashed, blended and fortified to be made as milklooking substance. And they would buy that beverage, still knowing the difference. Just don’t insult consumers’ intelligence and the hard work of dairy farmers by calling plant-based beverages ‘milk.’ Your call, FDA. Article by Julie Martin Sweney, FarmFirst Dairy Cooperative Official Notice: FarmFirst Dairy Cooperative 5th Annual Member Meeting Notice is hereby given, by the President and Secretary of FarmFirst Dairy Cooperative, a regional cooperative with headquarters in Madison, Wisconsin (the “Cooperative”), pursuant to the Cooperative’s Articles of Incorporation and Bylaws and proper actions of the Board of Directors of the Cooperative (the “Board”), that the regular Annual Delegate Member Meeting of the Cooperative will convene at 8:30 a.m. Saturday, February 11, 2017 at the Chula Vista Resort, 2501 N. River Road, Wisconsin Dells, Wis. for and in consideration of action upon any and all matters which may lawfully come before said meeting, including but not restricted to: 1. Report on the addition of an amendment by the Board to the Cooperative’s Bylaws, Article III, “Districts, Member District... Meetings and Delegate Member Meetings”, Section 6 “Elections”... Continued on Page 4... Dedicated to serving and representing you, our family farm members, FarmFirst Dairy Cooperative represents farms in Wisconsin, Minnesota, South Dakota, Michigan, Iowa, Illinois and Indiana through policy bargaining, dairy marketing services, laboratory testing opportunities and industry promotion. C O NTAC T I NFO R M ATI O N Cooperative Happenings BOARD OF DIRECTORS President: John Rettler Neosho, Wis. 920-625-3237 Vice President: Peter Kleiman Wilson, Mich. 906-497-5350 Secretary: Kathy Bauer Faribault, Minn. 507-332-2870 Treasurer: Ken Wunderlin Livingston, Wis. 608-943-6496 Young Cooperator Program Attend FarmFirst’s Young Cooperator Conference! Young farmers are encouraged to attend the first-ever Young Cooperator Conference taking place on Friday, February 10th! Hosted during the cooperative’s annual meeting, YC’s will have the chance to network with other young dairy producers and attend the Producer Discovery Workshops in addition to a YC-focused program providing one-onone conversations about managing future challenges as a young dairy producer. Limited sponsorships are available so interested young farmers are encouraged to contact the office as soon as possible. Contact Julie at 608-286-1909 for more information and to get registered! Randy Geiger – Reedsville, Wis. 920-772-4184 Kelly King – Edgar, Wis. 715-581-3850 Richard Meyer Unity, Wis. 715-223-2058 Joe Schmitt – Holy Cross, Iowa 563-552-1135 Brian Wozniak – Stanley, Wis. 715-703-0361 Plan to Attend FarmFirst’s Producer Discovery Workshops on Friday, Feb. 10 ‘Connecting & Engaging on Common Ground’ is this year’s annual meeting theme, focusing on future challenges the industry faces when it comes to marketplace hurdles and consumer perception. From the workshop topics to the business meeting discussions, delegates can look forward to focusing on how the cooperative can continue to play an active role in protecting dairy farmers while promoting their wholesome products. All members are welcome and encouraged to attend this year’s Producer Discovery Workshops, taking place Friday afternoon, on February 10, 2017 at Chula Vista Resort in Wisconsin Dells, Wis. This year’s Producer Discovery Workshops will feature: Young Cooperators: Want to be in the know for future YC events? Submit your email to receive the YC e-newsletter! MAILING ADDRESS P.O. Box 14380 Madison, WI 53708-0380 MADISON OFFICE 4001 Nakoosa Trail, Suite 100 Madison, WI 53714 (608) 244-3373 visit us on FarmFirstDairyCooperative.com 1:15 p.m. What Impacts Trade & Its Value to Your Farm Jaime Castaneda, Senior VP of Strategic Initiatives & Trade Policy National Milk Producers Federation 2:45 p.m. Panel: Understanding the Consumer Connection Moderator: Mike Austin, TV & Radio Personality Panelists will include three consumer-facing industry professionals to share their first-hand experiences in dealing with these consumer concerns and the pressure they’ve witnessed in the marketplace. Be sure to take advantage of this great educational opportunity! To ensure seating space, please contact us at 608-286-1908 to reserve your spot. Director and D&R Election Results During our fall member elections, several districts were open for a seat as a Director on the Board and as a member of the Districting & Resolutions Committee. Below are those individuals that were elected in their districts: Board of Directors: District 6 - Joe Schmitt, District 7 - Rich Meyer, District 8 - Brian Wozniak. D&R Committee: District 1 - Scott Mellgren, District 2 - Jim Smidel, District 4 - Randy Wokatsch, District 6 - Jerry Hammerand, District 8 - Larry Buttke. View the 2017 Delegate listing on page 4. Like us on Facebook at www.facebook.com/FarmFirstDairyCooperative ··· 2 ··· Government & Legislative Update Milk Labeling Standards - Congress Now Steps In Congressional leaders recently sent a letter to the U.S. Food and Drug Administration (FDA), urging the Administration Commissioner Robert Califf to more aggressively police the improper use of dairy terms. As we’ve seen, many products on grocery store shelves have no resemblance to dairy but continue to use the word ‘milk’ to qualify the product on the store shelf. Currently, federal standards of identity stipulate that milk and related foods have to be made from animal sources to use these established dairy terms. Plantbased foods and beverages made of nuts and grains appear to be ‘misleading to consumers, harmful to the dairy industry, and a violation of milk’s standard of identity,’ as stated in their letter. issue, we just need FDA to enforce those that have been on the books for years.” While consumers are entitled to choose imitation products, “it is misleading for manufacturers to profit from the ‘milk’ name. These products should be allowed on the market, but only when accurately labeled,” as stated in the congressional letter. Welch and Simpson noted that the European Union offers an example of how product terminology can be altered to make it less misleading. Regulators in the EU allow the use of the term “soy drink,” but prohibit “soy milk.” FarmFirst Dairy Cooperative would like to thank the congressional leaders who have stepped up by signing onto this letter. These leaders in our membership area include: The letter was authored by Representative. Mike Simpson (R-ID) and Peter Welch (D-VT) in addition to being cosponsored by a bipartisan coalition of 32 other members of the House. The lawmakers endorsing the letter also received support from other dairy organizations, including the International Dairy Foods Association (IDFA) and the National Milk Producers Federation (NMPF). “You haven’t ‘got milk’ if it comes from a seed, nut or bean,” said Jim Mulhern, President and CEO of NMPF. “In the many years since we first raised concerns about the misbranding of these products, we’ve seen an explosion of imitators attaching the word ‘milk’ to everything from hemp to peas to algae. We don’t need new regulations on this Collin Peterson – MN Sean Duffy – WI Ron Kind – WI Mark Pocan – WI Tom Emmer – MN Reid Ribble – WI Jim Sensenbrenner, Jr. – WI FarmFirst Dairy Cooperative has long urged FDA to exercise its responsibility in regulating these dairy terms and providing the much needed clarification within the consumer marketplace. Let’s hope this effort brings greater clarity to the marketplace via FDA taking action. We won’t stop our pursuit until the right thing is done. Keeping Trade A Top Priority As president-elect Trump takes office in January, the dairy industry will be looking at how trade factors into future policy initiatives, so building a strong relationship with him and his advisors is vital. The U.S. dairy industry has a proven track record how wellnegotiated trade provisions can provide benefit to both farmers and businesses. Additionally, those same agreements have illustrated where trading partners can be held more accountable, to ensure that trade benefits are fully redeemed. Over the last two decades, the dairy industry has seen exports grow from less than a billion dollars a year to over $5 billion in 2015, which has generated more than 120,000 jobs in dairy farming, manufacturing and other related sectors. In an effort to build a strong relationship, our industry partners identified several key factors that share how dairy trade can have a positive impact on the U.S. economy. These are highlighted here: 1. U.S. dairy exports create tens of thousands of American jobs. USDA estimates that at the farm level each $1 billion of U.S. dairy exports generates over 20,000 jobs and almost $3 billion of economic output. At the manufacturing level, USDA calculates that U.S. dairy exports support around 3,200 jobs per $1 billion of exports and generate nearly $4 in additional economic activity per $1 of exports. 2. Losing the equivalent of one day a week’s worth of milk production would have dire impacts on American farmers and manufacturing jobs at U.S. food companies. In 2015, exports were equivalent to 14% of U.S. milk production on a total milk solids basis. Twenty years ago, that percentage was essentially zero. Economically speaking, this positive trade balance has generated an additional $8.3 billion for the industry between 2004 and 2014. Continued on Page 5... ··· 3 ··· Industry Happenings Delegates & Alternates Selected for 4th Annual Meeting New Proposed Resolution Considerations for 2017 Cooperative members were encouraged to submit any resolutions they would like considered and brought before the delegates during the annual meeting. FarmFirst Dairy Cooperative values your input as a member. By sharing these resolutions, we encourage you to provide feedback in advance of the annual meeting as our delegates will be making considerations on these proposals. Consumer Awareness We urge that all food labels should be simple to understand and any claims should be supported by science. Dairy Product Utilization We urge the inclusion of full fat dairy products (milk, cheese and yogurt) as part of a healthy and balanced diet due to the scientific link of full fat dairy products reducing the risk of diabetes and in helping people control bodyweight. Dairy Inspection Policy We support the scientific community and the Food and Drug Administration to adopt as a priority, creation of a drug screening test program which establishes uniformity at an acceptable cost. Environmental Quality We support requiring Congressional approval of any new federal regulation before final implementation. Animal Health We support a farmer’s right, in consultation with their veterinarians, to set appropriate protocol for common animal husbandry practices to be administered by the farmer or trained employee that are appropriate for their farm. We support further education of consumers on the merits of common animal husbandry practices. Official Notice: FarmFirst Dairy Cooperative 5th Annual Member Meeting Continued from page 1. All members had an opportunity to nominate, and then vote for fellow members to serve as delegates or alternates to the upcoming 5th Annual Meeting of FarmFirst Dairy Cooperative being held on February 10-11. These individuals will participate in several educational sessions, review resolutions and any proposed bylaws, and provide feedback and direction during the meeting. For a full listing of district areas, please visit www. FarmFirstDairyCooperative.com and click on Member Meetings under the Member Services tab. The following members were elected in their respective districts: District 1: Chuck Bergdahl, Jr., Bob Hanchek, Kevin Hoewisch, Dave Johnson, Carl McBroom, Scott Mellgren, Terry Perttula, James Revall District 2: Paul Braun, Russell Braun, T.J. Haelfrisch, Eugene Hansen, Tiffany Kohlmann, Andy Meyer, Brent Sinkula, Jim Smidel Brian Staudinger, Dan Vandertie District 3: Janet Clark, Ronald Griebenow, Ray Halbur, Wayne Hansen, Tim Kelley, Lee Klumpers, Michael Leahy, Peter Martin, Dave Schmitz, Leroy Schmitz, Earl Van Ruiswijk District 4: Wayne Gajewski, David Hannemann, James Juedes, Steve Roets, Julie Stowe, Brandon Urmanski, Randel Wokatsch District 5:Will Beitlich, Lawrence Durst, Liz Hasburgh, Jackie Hoffman, Stephanie Hughes, Sharon Laubscher, Donald Ley, Peter Mallek, Dean Putz, Jean Reisinger District 6: John Busser, Mark Decker, Bob Dietzel, Brian Dinderman, Doug Droessler, Jerry Hammerand, Brian Hoefler, Mike Kempfer, Terry Kieler, Jim Kintzle The amendment adds a provision to establish a “Delegate Pool” which is made up of those eligible Members or Member designees (as provided in Article II, Section a(a)) who ran for election in a District as a Delegate or alternate but was not elected. The amendment would allow positions to be filled if any given district failed to elect a sufficient number of delegates and alternates to fill required positions within that district, then those positions could be filled through the “Delegate Pool”. This will ensure we have adequate representation by members should a district be unable to fill their allowable positions. District 7: Donald Bangart, Dean Hoesly, Holly Lindner, Mitch Malm, Allen Mayer, Randy Meyer, Walter Piskow, Michelle Popp, Richard Rohde, Dean Schmelzer, Pam Selz-Pralle, Tom Shafto Said meeting will continue until the disposition of all proper business. Dated this 13th day of January, 2017, by: John Rettler, President. District 9: Allen Blommel, Anne Borgschatz, Philip Maher, Bernard Manderfeld, Joe Ritter, Richard Rosen, Kevin Schweer, Keith Welgraven ··· 4 ··· District 8 Larry Buttke, Frank Czahor, Gary Kohn, Daniel Kowalczyk, Brian Lueck, Betty Lund, George Polzin, Donald Schesel Keeping Trade A Top Priority MPP Tracker (continued from Page 3...) All-Milk Price MPP Feed Cost MPP Margin July 2016 $16.10 $8.5105 $7.5894 Aug 2016 $17.80 $7.8391 $9.2608 Sept 2016 $17.30 $7.8152 $9.4847 Oct 2016 $16.60 $7.7550 $8.8449 Nov 2016 $17.60 $7.6158 $9.9841 Month 3. U.S. dairy farmers and processors need a level international playing field to compete and preserve the U.S. jobs that create their made-in-America products. European and Oceania companies dominated global dairy markets for the last half of the 20th century, while the U.S. has been seizing market share from them over the last 15 years. 4. Rampant foreign nontariff barriers require a ramp-up in trade enforcement. Trade agreements have been for the most part boons to American agriculture by removing tariff barriers to our exports, but nontariff barriers to U.S. agricultural exports are posing an ever-growing challenge. From protectionist Canadian dairy policies to European abuse of geographical indications to India’s long-standing blockage of U.S. dairy imports, nontariff barriers to U.S. agricultural exports are a real threat. Strong enforcement must be the cornerstone of U.S. trade policy efforts so that the benefits of a trade agreement do not vanish. 5. Ensuring that U.S. regulatory agencies support exports will unleash greater U.S. dairy exports. When regulatory issues arise in countries the U.S. is exporting to, there needs to be prompt attention to resolve these issues to ensure trade continues to move forward. Trade has been, and will continue to be, a success story for America’s agriculture, especially if we are able to keep these ideals in mind. Reminder: FarmFirst Dairy Cooperative Scholarship Applications Now Available Applicants must be a son/daughter of a cooperative member. Applications are available online at www.FarmFirstDairyCooperative.com or by calling 608-286-1909. New Extended Deadline! The new deadline for scholarship applications is March 31st. The Insurance Center is also making their agribusiness scholarship available once again! As in the past, the application is also available on FarmFirst’s website. Applications are due to The Insurance Center by March 31st. Two-Month Average $8.4251 $9.1648 N/A Numbers referenced are USDA’s Farm Service Agency national average prices and calculations used to determine indemnity payments under the Margin Protection Program for Dairy. Thank You, Congressman Reid Ribble Congressman Ribble kept his promise that he would serve no more than four terms when he announced in early 2016 that he would not be seeking reelection for a fourth term last fall. He was an advocate for term limits and felt that one should serve with a sense of urgency to get things done and when elected in 2010, he put those values to work. From the roofing business and with limited knowledge of intricacies of Agriculture, he dove in and became a true leader for the industry. We would like to recognize his efforts by sharing a few of the key achievements during this short time in Congress. Farm Bill Advocacy. He became very involved in the House Agriculture Committee as it began to shape the Margin Protection Program, including a strong push for the reduced premium rates for a farmer’s first four million pounds of milk. Trade. The impact that trade has on our nation’s dairy farmers was not lost, and he dedicated a lot of efforts to secure and balance dairy market access in such trade agreements such as TPP. Also, he led the charge as the original author for the bipartisan House letter on geographical indicators, as it first arose in TTIP. Environment. He led bipartisan legislation as an author to withdraw from the Waters of the U.S. ‘Interpretive Rule’ for agriculture that would have disincentivized farmers from using certain conservation practices. That year’s bipartisan omnibus spending bill included Ribble’s bill, which was signed into law. Transportation. He led the charge to get Interstate 41 grandfathered in with weight limits not normally allowed on Interstates, which assists agriculture shipments. Also, he played a significant role in 2015 by enacting a provision to treat fluid milk as a non-divisible load, thus giving states the authority to issue permits for trucks carrying bulk milk to travel on interstates at heavier weights than would otherwise be permitted. This provision later became law as part of the FAST Act Transportation Law, making it possible for fluid milk to travel greater distances than it had before. FarmFirst Dairy Cooperative will be honoring Mr. Ribble for his service and dedication to the dairy industry during our 2017 Annual meeting. ··· 5 ··· Federal Milk Order Market Information NOVEMBER 2016 Order Name and Number Producer Milk (lbs.) Producer Price Differential @ base zone Statistical Uniform Price/cwt @ 3.5% BF* Class I Price/cwt Class II Price/cwt Class III Price/cwt Class IV Price/cwt Component Prices & Test Avg. % aves Butterfat/lb. $2.1044 Protein/lb. $2.8085 Other Solids/lb. $0.17500 SCC Adjust Rate/1000 $0.00088 Producer Milk Classified % Class I Class II Class III Class IV CENTRAL Order 32 954,770,438 $-1.36 $15.40 $16.78 $14.60 $16.76 $13.76 MIDEAST Order 33 1,444,379,745 $-1.38 $15.38 $16.78 $14.60 $16.76 $13.76 3.88% 3.18% 5.72% 3.82% 3.32% 5.74% 3.83% 3.20% 5.76% 15.70% 8.90% 68.20% 7.20% 100.00% 43.76% 15.04% 23.92% 17.28% 100.00% 38.90% 21.20% 20.80% 19.10% 100.00% UPPER MIDWEST Order 30 2,862,068,306 $-0.52 $16.24 $16.58 $14.60 $16.76 $13.76 PRESORTED STD US POSTAGE PAID MADISON, WI PERMIT NO. 1 Wishing you a safe and prosperous 2017! Welcome New Members We would like to welcome these individuals and farms that have joined FarmFirst Dairy Cooperative recently. We look forward to your participation and involvement in the programs and services of your cooperative where we put members first. Brian Staehler Stephen Schumacher Selz Farm Inc. Trinity Holsteins LLC Joseph & Patti Andersen Eric Zimmerman Ryan & Amanda Miller Kerncrest LLC Autumn Kemnitz Craig Manson Daniel Martin Todd Rahmlow Randy Raddatz William Specht Thank you to these Early-Bird Sponsors for the 2017 Annual Meeting!
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