2021 | May 14 GMP E Newsletter
Georgia Milk Producers Weekly Enews
GA Dairy Managers Series on Dragline Fundamentals This Thursday, May 20

This workshop will cover team roles and responsibilities, along with safety considerations for manure application operators. These include how to safely operate equipment, handle the lay-flat hose, operate the dragline in the field and how to remain conscious of environmental concerns when pumping. Those attending will receive two continuing education hours for Animal Feeding Operator/Planner Certification. This meeting is open to dairymen, managers, and industry - free of charge and will be held from 10 a.m. until 2 p.m. Limited seats are available and please preregister for lunch by calling our office at 706-310-0020. Click here for more information>>>
Georgia Dept of Ag: Agriculture Commodity Commissions Seeking Nominations
From All On Georgia

Several Georgia Agriculture Commodity Commissions are seeking nominations for positions of individuals whose terms are set to expire. The deadline for receiving nominations is Thursday, May 30, 2021.

To serve on a Commodity Commission, a person must be a producer of the commodity of the commission, commit to attend meetings and represent the producers of the commodity. Term-expiring board members are also eligible for reappointment. 
By Progressive Dairy Editor Dave Natzke

With another month of negative producer price differentials (PPDs), high levels of Class III milk depooling and the outlook for a widening spread in Class III-Class IV milk prices continuing through summer, some southeast U.S. dairy producers say they can’t wait for a potential Federal Milk Marketing Order (FMMO) hearing to supply a fix.

In late April, the National Milk Producers Federation’s (NMPF) board of directors voted to request an expedited FMMO hearing limited to proposed changes to the “Class I mover.” At Progressive Dairy’s deadline, May 13, the formal request had not been submitted to the USDA’s Agricultural Marketing Service. (Read Weekly Digest: NMPF to request FMMO hearing on Class I mover and NMPF moving toward request for limited FMMO hearing.)
Southeast producers seeking direct aid

With heavy Class I milk utilization in the southeast U.S., dairy producers there have felt the biggest impact from the Class I formula change. In a letter circulating this week and directed to U.S. Ag Secretary Tom Vilsack, Southeastern producers asked for direct aid from federal COVID-19 stimulus funds to cover some of those losses, without waiting for a hearing.

According to the letter, FMMO revenue losses resulting from changes in the Class I mover formula totaled about $750 million in 2020. And, they charge, those losses have not been shared equitably among all dairy farmers. Through depooling, producers marketing milk through cheese plants were able to receive the full advantage of record Class III prices in 2020. In contrast, producers marketing milk production in Class I markets (fluid), incurred most of the revenue loss, the letter states.

Losses in the three FMMOs covering the southeast U.S. – Appalachian, Florida and Southeast – lost about $155 million (21%) of the $750 million total, even though the percentage of milk produced in the three marketing areas represents just 5.5% of FMMO total milk marketings. That $155 million equated to a reduction in the 2020 blend price of about $1.25 per cwt.

Those losses, the letter continues, are hurting the financial health and milk production capability of dairy producers in the region, with the long-term impact likely to reach consumers. Without adjusting for leap day in 2020, U.S. milk production during the first quarter of 2021 was 1% higher than the same period in 2020. However, in the Southeast, first quarter production was 5.7% lower (without the leap day adjustment). If this trend continues, more milk will need to be trucked in from a greater distances to meet the fluid milk needs of a growing Southeast population.

The letter states Southeast dairy producers cannot wait for a potentially lengthy FMMO hearing process and need monetary relief to assure an adequate supply of local milk to meet consumers’ fluid milk needs. Read more here>>>
By Progressive Dairy Editor Dave Natzke

The USDA’s latest World Ag Supply and Demand Estimates (WASDE) report, released May 12, raised the 2021 milk production forecast due to higher cow numbers, but the outlook for milk prices also brightened somewhat.

For 2021, the USDA forecasts milk production to reach 227.9 billion pounds, up 200 million pounds from last month’s estimate. If realized, 2021 production would be up about 2% from 2020.

Projected 2021 product prices were raised from a month ago for cheese, nonfat dry milk and dry whey but lowered slightly for butter. As a result, the forecast for the Class III milk price was raised to $17.70 per hundredweight (cwt), up 60 cents from last month, while the Class IV average price was raised 60 cents to $15.75 per cwt. Both are below current annual average futures prices on the Chicago Mercantile Exchange (CME). The projected 2021 all-milk price was raised to $18.95 per cwt, up 45 cents from last month’s forecast and slightly above annual averages seen in 2019 and 2020. Read more here>>>
What’s ahead for the dairy industry
By Christina Adams, Isabella Maluf, Ludovic Meilhac, and Roberto Uchoa, McKinsey and Company

COVID-19 has had an impact on nearly every aspect of day-to-day life, and the dairy industry is no exception. Where and how consumers shop, eat, work, and live has shifted amid an acceleration of technology adoption among companies and consumers. For example, a 2020 McKinsey survey found that, compared with prepandemic levels, there was a 163 percent increase in US dairy consumers who report shopping for dairy “mostly online.”

The past year has challenged the dairy industry in several ways, including the rapid switch in demand from food service to retail. But the industry has proven its resilience and ability to meet consumer needs. Nonetheless, to succeed in the next three to five years, dairy executives must revisit their approaches to critical, evolving trends in consumer behavior, digital and analytics, and supply-chain management.

In this article, we will look more closely at these trends as well as what steps companies can take to prepare for the next three to five years at the industry and enterprise levels. We base our insights and recommendations on an October 2020 proprietary survey of US dairy consumers, market observations, and findings from a 2020 McKinsey dairy executive survey of more than 50 industry leaders, augmented by in-depth interviews.
Hydration is the best weapon
By Caitlin Rodgers, Georgia dairy farmer, Hoard's Dairyman

For a calf with scours, the most effective treatment is often more fluids.

I was once told by a vet, “The scours didn't kill your calf, you did.” I was completely appalled at the fact that he had just accused me of letting my calf die. But after some digging and thinking about what he said, I came to the realization that it was absolutely true.

He wasn't necessarily saying that I went out and deliberately killed my calf, but I was looking in so many directions that I completely missed the point as to why my calf died. Yes, she had scours. Yes, she was extremely sick. Yes, I was trying to find the best drug out there that would cure her immediately because I was having issues with several of the calves at the time. However, the pure fact was that I was missing a very vital point.

The point is that calves do occasionally get scours, and there is nothing you can do once they come down with it except nourishment. That is what they are seeking, not a magical drug. Read more here>>>
EPA revokes Trump-era policy that loosened clean-air rules
By Matthew Daly, Associated Press

WASHINGTON (AP) — The Environmental Protection Agency is revoking a Trump-era rule that overhauled how the agency evaluates air pollutants, a move the Biden administration says will make it easier to enact limits on dangerous and climate-changing emissions.

EPA said Thursday it reviewed a rule issued by the Trump administration last year and found that it imposed procedural restrictions and other requirements that would have limited EPA’s ability to use the best available science in developing regulations under the Clean Air Act.

“EPA has critical authority under the Clean Air Act to protect the public from harmful air pollution, among other threats to our health. Revoking this unnecessary and misguided rule” by the Trump administration is “proof positive” of the Biden administration’s commitment to science, EPA Administrator Michael Regan said in a statement.
Officials “will continue to fix the wrongs of the past and move forward aggressively” to deliver on President Joe Biden’s commitment to protect public health and the environment, Regan said. Read more here>>>
Sustainability Markets, Part 5: Good Business Practices for Farmers Participating in Agriculture Ecosystem Credit Markets
By Shelby Myers, AFBF Market Intel

AFBF’s Market Intel is publishing a five-part series to highlight the opportunities, challenges, policy levers and overall operation of agriculture ecosystem credit markets.

This Market Intel article, the last in the series, looks at the development of good business practices for agriculture ecosystem credit markets and assesses the markets’ long-term impacts.

This Market Intel article should not be taken as legal advice.

Soil Carbon Contracts
Enrollment in any ecosystem credit market is a contractual agreement between the farmer or rancher and other market participants. These contracts generally commit the farm or ranch to conservation practices in exchange for payments or credits for ecosystem services or “natural climate solutions.” This article focuses on renewed interest in rewarding farm practices that increase carbon stock in soils, although various other markets are paying farmers and landowners for ecosystem benefits such as capturing methane from manure digesters or sustainable forest management.
America's vanishing workforce
By Megan Cassella and Rebecca Rainey, Politico

Federal and state officials, who spent the last year trying to keep Americans safe in their homes during the pandemic, are suddenly grappling with the opposite problem: how to lure them back to work.

At least 14 states, including North Dakota, Alabama and South Carolina, have moved to cut off enhanced federal jobless benefits that were supposed to last until September. Florida is among roughly 30 states reinstating a requirement that the unemployed prove they are looking for work to receive state benefits. Montana is offering return-to-work bonuses to unemployment recipients who accept a job offer. Amazon, McDonald's and Chipotle are hiking wages, as is Tyson Foods, which will also start allowing more flexible work schedules.

And President Joe Biden is emphasizing the need for workers to accept new job offers even as the factors that have been keeping them on the sidelines — scarce childcare options, elevated health concerns and generous federal unemployment aid — remain in place.

“It’s time to get back to work,” Idaho Republican Gov. Brad Little said Tuesday while announcing that his state would be ending federal unemployment benefits. “We do not want people on unemployment. We want people working. A strong economy cannot exist without workers returning to a job.” Read more here>>>
Georgia voters to weigh in on farmer tax exemption
By Nyamekye Daniel | The Center Square

(The Center Square) – Georgia voters will decide whether to exempt certain farmers from taxes under a bill signed into law Friday by Gov. Brian Kemp.

House Bill 498 will let Georgia voters decide in the November 2022 election whether family farms that form partnerships may have the same ad valorem tax exemption on farm equipment they qualified for before merging.

"There's no more generational business than a family farm. Marty and I know how important small business is to Georgia's economy, and that's what Georgia Farm Bureau and the Georgia Agribusiness Council are fighting for in the Capitol every day," Kemp said during a bill signing at the Georgia Farm Bureau in Macon.

Voters also would have to approve adding dairy products and unfertilized eggs of poultry to the list of farm products that qualify for tax exemption. HB 498 also exempts sales and use tax for out-of-state transactions involving mechanically propelled watercraft by Georgia dealers.

The bill is one of eight agriculture bills Kemp signed Friday at the Georgia Farm Bureau. Read more here>>>


Georgia dairy family entertains on Family Feud
Other Stories to Check Out This Week >>>
GA Dairy Classifieds

TO ADVERTISE: EMAIL AD AND CONTACT INFORMATION TO FARRAH NEWBERRY at gamilkproducers
@gmail.com

Expanding or looking for top quality herd replacement?
Available at all times: 
Fresh two and three year old's and total herds; Also springing heifers and heifers of all ages.  Service age bulls with top genetics available all year round. All different breeds and crossbreds also available. Last two loads of fresh two and three year olds Holsteins went on the trucks averaging 115 lbs and 112 lbs! One load to TN and the other to Wisconsin.
Contact:
Les McCracken 
608-214-6484. Cell
608-879-2653. Fax

Seeking fulltime farm worker at heifer replacement farm in Eatonton, GA. If interested, please contact Mike Rainey at 706-473-0730.

Seeking Beef and dairy crossed bullcalves/heifers bottled or weaned. Please contact Victoria Rowland at 404-922-0938 or 423-946-5869

Will Raise Heifers for GA Dairy Farms: Hello we are located in Southern Illinois and have an abundance of pasture and cheap feed available looking to contract with a dairy to grow heifers for them, out location offers mild climate and we are just 558 miles from Montezuma Ga. Please contact 817-528-6645 very reasonable daily rates.

For Sale- DeLaval 84 Vacuum Pump on Stand, Oil Reclaimer, 10 HP- 3 Phase Electric Motor. New Bearings, New Oil Seal, New Belts. $2000
For more Information Call Tony Strickland , 229-254-6871; deepsouthai@gmail.com

For sale - Please contact Archie Felder for more information at 803-682-3426:
  • Dairy Tech Bay Pasturizer - $4,000
  • Tidenberg Hydraulic Hoof Table (like new) - $5,000
  • Claas Silage Choppers - 960 1875 cutterhead hours, 4WD, 600 orbis, HD300 PU - $180,000
  • Koomin John Deere Corn Header adapter for Claus Silage Chopper Used - $6,000
WANTED: Peter's Cattle Co. will buy any dairy, beef, and cross, bottle or weaned, bulls, heifers or free martins. Pick up weekly 7 days a week. Chris- 470-255-8515
 
Bull Calves WANTED:  Competitive pricing with 6 day a week pickup. Brandon Mason Cattle Company 912-632-4490

FOR SALE :  We have a continuous selection of fresh and springing heifers.   Call William at   (706) 768-2857  or visit our website at   crumpdairyreplacements.org  
Farmer to Farmer Support Program Available for SE dairy farmers
Farmers across the Southeast are experiencing uncertain times like never before. All aspects of agriculture have been hit by market losses due to COVID-19, but dairy has reached a level of uncertainty that many have never experienced.

As we navigate through these next few months, dairy producers across the Southeast have come together to introduce the "Farmer to Farmer Support Program." If you find that you need support or would like to talk to a fellow farmer or industry friend, they have several volunteers that are willing and able to help. Georgia Milk Producers has also put together a packet on the program that you can access by clicking here. 

For more information on the program, please reach out to Farrah Newberry at gamilkproducers@gmail.com