2020 | October 30 GMP E Newsletter
Georgia Milk Producers Weekly Enews
NMPF to Examine Potential Changes to Class I Skim Price Mover
By Jim Dickrell, Dairy Herd Management

The extreme run-up in cheese prices, and thus the Class III price mover this past summer, has resulted in a $400 million loss on milk pooled on Federal Milk Marketing Orders between July and October. 

In the 2018 farm bill, the National Milk Producers Federation (NMPF) and the International Dairy Foods Association had agreed to change how the Class I skim price mover was calculated. Previously, the mover was the “higher of” the Class III or IV price. That was changed to taking the average of Class III and IV prices, and adding 74₵/cwt. The change was made effective May 2019.

The change was made to allow fluid processors and dairy farmers who sold into Class I markets to better hedge and forward contract milk. Read more here>>>
Join Us in Savannah this January!
Make plans to join us in-person this January for the 2021 GA Dairy Conference. Our staff is working hard to ensure that safety protocols are in place to minimize the spread of germs during our event. We look forward to seeing you in Savannah, Jan 18-20!! For hotel reservation information, visit our website: https://www.gadairyconference.com/accommodations
EPA approves registration for dicamba weed control products
From Georgia Farm Bureau

During an event at the Cromley Farm in Bulloch County on Oct. 27, U.S. Environmental Protection Agency (EPA) Administrator Andrew Wheeler announced that EPA is approving new five-year registrations for two dicamba products and extending the registration of an additional dicamba product.

“We thank Administrator Wheeler for visiting our great state to discuss the agency’s regulatory efforts and provide us the news regarding dicamba,” Georgia Farm Bureau President Gerald Long said. “As a cotton and soybean-producing state, access to this technology is invaluable for our farmers and the state’s economy. There was a great deal of uncertainty in farm country earlier this year following the Ninth Circuit Court’s ruling on dicamba. Georgia farmers have long been good stewards of the land, and I’m certain that will continue to be the case as producers begin using dicamba products in ways that are permissible under the new label. We appreciate all the hard work EPA has done, and continues to do, for farmers and ranchers across the country.”

 All three registrations include new control measures to ensure these products can be used effectively while protecting the environment, including non-target plants, animals, and other crops not tolerant to dicamba.

“Farmers now have the certainty they need to make plans for their 2021 growing season,” said Wheeler. “After reviewing substantial amounts of new information, conducting scientific assessments based on the best available science, and carefully considering input from stakeholders we have reached a resolution that is good for our farmers and our environment.”

EPA approved new registrations for two “over-the-top” (OTT) dicamba products—XtendiMax with VaporGrip Technology and Engenia Herbicide—and extended the registration for an additional OTT dicamba product, Tavium Plus VaporGrip Technology. These registrations are only for use on dicamba-tolerant (DT) cotton and soybeans and will expire in 2025, providing certainty to American agriculture for the upcoming growing season and beyond. Read more here>>>
Dairy Receives $790M in CFAP2 Payments--So Far
By Jim Dickrell, MilkBusiness.com

The United States Department of Agriculture (USDA) reports that dairy farmers received $790 million in Coronavirus Financial Assistance Program 2 benefit thus far.

Wisconsin dairy farmers received more than 20% of that assistance, coming in at $176 million. There were 4,025 approved applications for dairy assistance in Wisconsin, averaging $43,726 per farm. California had 441 dairy farmers with approved applications, totaling almost $92 million ($208,163 per farm). New York dairy farmers received $87.6 million, with 1,624 approved applicant receiving $53,940 per farm.

USDA reports it has shelled out more than $7.6 billion in CFAP 2 total payments. A total of 443,126 farm applicants were approved for these payments. The average payment for all farms was $17,151 per farm. Read more here>>>
GDYF Apparel Store Open Until Nov. 8th

Check out our Apparel Store!! We love the new logo and the products!!

Does SBA Understand Farming
By Paul Neiffer, AgWeb

It was very apparent from the beginning of the PPP loan process that SBA did not understand farming. I know I listened to a webinar where a SBA manager indicated farming did not qualify since they would get their stimulus from UDSA which was wrong.

It took SBA several weeks to finally provide guidance on PPP loans and farming. However, this guidance was very general and really did not address farm specific issues.

One of those issues that are appearing right now is loan forgiveness on commodity wages. Farming is about the only industry that uses commodity wages; but the reporting of those wages is different from cash wages. Whether paid in cash or commodities, these wages are compensation and qualifies as payroll costs for obtaining a PPP loan (at least based on the CARES Act). However, the guidance from SBA continues to refer to line 5 of Form 941 which is Medicare wages. Read more here>>>
By Dave Natzke, Progressive Dairy

The COVID-19 pandemic has weighed heavily on 2020 dairy markets, and that influence is likely to continue for the foreseeable future, according to Mark Stephenson, University of Wisconsin – Madison director of dairy policy analysis. Stephenson discussed factors impacting milk producers and markets during a northeastern Wisconsin farm management update meeting for agricultural professionals, held virtually on Oct. 22.

Stephenson said the pandemic is entering a third surge in the U.S. The first was the initial surge in March and April; the second was in July. Each was followed by a period of “entrenchment” when the coronavirus outbreak slowed. The third surge is underway and, at the time of the October webinar, had not yet peaked.

We’re not done with the pandemic, and it’s going to affect our dairy markets,” Stephenson said. Read more here>>>
Food-Stockpiling Is Back, With 3,400% Pantry Surge
By Nic Querolo and Leslie Patton

American consumers who’ve worked their way through the trove of shelf-stable meals they frantically bought back in March are at it again. This time, food makers are prepared.

General Mills Inc., the maker of Cheerios and Annie’s boxed mac and cheese, added 45 external production lines through contractors since the first round of pantry loading this spring. Campbell Soup Co. spent $40 million to expand production of Goldfish crackers and is building capacity for chip brands like Cape Cod. Conagra Brands Inc. boosted third-party manufacturing and warehousing, while Stonyfield Farm, a producer of organic dairy products, is buying more milk from its direct supply network of farms.
Removing dairy emissions would also hurt human nutrition
By Emma Penrod, Feed Strategy

Study finds eliminating dairy products decreases emissions, but also results in nutritional deficits

Eliminating the entire herd of U.S. dairy cows would have a minimal impact on greenhouse gas emissions, but it would result in a significant reduction of nutrients in the human diet, according to new research from Virginia Tech and the U.S. Department of Agriculture.

The study, published in the Journal of Dairy Science, attempted to model real-world outcomes in the event regulatory action or change in consumer behavior resulted in the elimination of U.S. dairy farming. It concludes that the removal of dairy cattle from agricultural systems would likely reduce national greenhouse gas emissions by just .7%, while significantly reducing the availability of key nutrients. Read more here>>>
Other Stories to Check Out This Week >>>
Upcoming Events >>>
GA Dairy Classifieds

UPDATED 10/23/20

Wanted: Small milk tank (1,000 or 2,000 gallon). Mark Rodgers (706) 829-3141.

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 - Productive 360 Cow Holstein Herd For Sale, Parlor/Freestall/AI Sired/Lots of Young Cows/2X 70# 4%F SCC-160K More information at www.kreegerdairy.com or call Chad at 517-294-3484

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 John Felder for more information at 803-682-3425:
  • Dairy Tech Bay Pasturizer - $4,000
  • Tidenberg Hydraulic Hoof Table (like new) - $5,000
  • Mench Sand Trailor - $14,000
  • Hall Stall Sand Leveler (new) - $1,000
  • Claas Silage Choppers - 960 1875 cutterhead hours, 4WD, 600 orbis, HD300 PU - $190,000
  • Fans Cool Aire
  • 18 54" $225.00
  • 20 48" $125.00
  • 20 35" 100.00
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