DAIRY TRENDS
Organic | Locally Made | Delivered How Covid-19 Is Changing the Industry
MEMORIAL
Remembering Bruce Krupke
Second Quarter 2020
TRENDS
The Milkman Is Back
CONVENTION
Dairy Con 2020 Goes Virtual
BUSINESS
Advantages of Working Remotely
nedairyfoods.org
Bruce Krupke was a resilient leader and advocate for the dairy industry. His expertise and passion for his work, his family and his friends was truly honorable. Bruce will be missed by us all.
contents Second Quarter 2020 • Volume 3, No. 2
DAIRY TRENDS FEATURES 21 FRONT DESK 03
LETTER FROM THE EDITOR BY CAROLINE K. REFF
Trends Impacted By Current Events BY CAROLINE K. REFF
24
Now Trending in Dairy
28
The Milkman Is Back
29
What Happened to the Milkman?
30
Gerber Introduces A2 Infant Formula
31
Pandemic Sparks New Ways of Purchasing, Consuming
32
Farmers Work to Alleviate Animal Welfare Concerns BY CAROLINE K. REFF
35
Cows Need to Manage Their Time
ASSOCIATION UPDATES 36
04 10 11
Remembering Bruce Krupke NDFA Announces New Executive VP
COVID-19 UPDATES 38
Cornell Experts Answer COVID-19 Questions
42
Life After COVID-19 Could Be Drastically Different
LEGISLATIVE REPORT
BY JOHN PHIPPS
BY ALEX WALSH
15
ECONOMIC REPORT 2020’s Unexpected Shift BY GARY LATTA
19
Scholarship Deadline Extended
DAIRY CON 2020 Annual Convention Goes Virtual
43
Milk Giveaways Show Solidarity
45
Excess Milk Supplies Vermont Foodbank
46
MilkPEP Updates Marketing Efforts in Crisis
37
Golf Tourney, Clambake Rescheduled for Fall
MEMBER & INDUSTRY NEWS 48
MEMBER PROFILE Ace Sanitary Founded on Products, Service, Fast Turnaround
50
MEMBER PROFILE Nelson-Jameson Feels Moral Obligation to Keep Food Safe
52
Member & Industry News
52
IN MEMORIAM Bob Wellington
53
Welcome New Members
NED Magazine | Second Quarter 2020 • 1
contents Second Quarter 2020 • Volume 3, No. 2
NORTHEAST DAIRY FOODS ASSOCIATION, INC. EXECUTIVE VICE PRESIDENT
James “Ozzie” Orsillo
PRESIDENT
TREASURER
VICE PRESIDENT
SECRETARY
Mike Suever HP Hood, LLC
Michael P. Young Guida’s Dairy
EXECUTIVE ASSISTANT
Leanne Ziemba
DIRECTOR OF MEMBERSHIP AND COMMUNICATIONS
Alex Walsh
Daniel R. Lausch Lactalis America Groups, Inc.
Rick Sedotto Midland Farms
NORTHEAST DAIRY SUPPLIERS ASSOCIATION, INC. PRESIDENT
Bill Elliott Northeast Great Dane
VICE PRESIDENT
TREASURER
Melissa Fryer Alfa Laval
Ryan Osterhout KCO Resource Management
BEST PRACTICES 54
Working From Home May Have Advantages BY PAUL BANUSKI
56
Lean on Experts to Protect from Cyberattack BY LISA BOLDUC
58
Understanding Paid Family Leave in NYS BY PAUL BANUSKI
60
OSHA Updates on COVID-19 BY STEPHEN VALENTINE, CIH, AND DEREK HENDERSON, EIT
NORTHEAST DAIRY MAGAZINE TEAM EXECUTIVE EDITOR
SALES
PUBLISHER/DIRECTOR OF SALES
Anne DeSantis anned@nedairymedia.com
James “Ozzie” Orsillo oo@nedairyfoods.org. Bill Brod billbrod@nedairymedia.com EDITOR
Caroline K. Reff creff@nedairymedia.com CONTENT DIRECTOR
Steve Guglielmo GRAPHIC DESIGNER
Robin Barnes
STAY CONNECTED
www.nedairyfoods.org www.neastda.org 427 S. MAIN ST, NORTH SYRACUSE, N.Y. 13212 315-452-MILK (6455)
2 • Northeast Dairy Foods Association, Inc.
Tim Hudson thudson@nedairymedia.com
CONTRIBUTORS
Paul Banuski, Lisa Bolduc, Derek Henderson, Gary Latta, John Phipps, Stephen Valentine and Alex Walsh PRODUCED BY
Northeast Dairy Media
Editorial correspondence should be directed to editor@nedairymedia.com. Advertising correspondence and materials should be sent to billbrod@nedairymedia.com. POSTMASTER: Send address changes to lz@nedairyfoods.org.
An official magazine of the Northeast Dairy Foods Association, Inc., a nonprofit organization. This publication carries authoritative notices and articles in regard to the activities and interests of the associations. In all other respects, neither the association nor the producer of the publication, Northeast Dairy Media, is responsible for the contents thereof or the opinions of the contributors. The entire contents are © 2020 by Northeast Dairy Media. Nothing may be reproduced in whole or in part without written permission of the publisher. The association and Northeast Dairy Media reserve the right to print portions or all of any correspondence mailed to the editors without liability on its part and no such correspondence will be returned. Visit Northeast Dairy Foods Association online at nedairyfoods.org for current information on association programs and services, or call the association at 315-452-MILK (6455). Questions and comments may also be sent to the association at oo@nedairyfoods.org.
Editor’s Note
Northeast Dairy Pushes Through Challenging Times
CAROLINE K. REFF Editor Northeast Dairy magazine creff@nedairymedia.com
T
his is the third annual “trends” issue of Northeast Dairy magazine that I’ve had the privilege to work on with our publisher, outstanding team of editors, designers, sales team and so many valuable people and sources within the association. It’s admittedly my favorite each year, as I look forward to sharing with you so many interesting products, technologies, innovations and new ways of consumer thinking. However, this issue, like everything else going on in the world right now, is a bit different. When we began planning this magazine back in late February 2020, I suppose we were naïve in thinking that by the time it was published in late June, the COVID-19 crisis would be behind us. I know that when you read this, some of you will be starting to return to normalcy, while others may still be in the thick of it. Either way, few of us will have been unchanged by what has taken place. Unfortunately, we were dealt another terrible blow with the loss of our leader, Bruce W. Krupke. Just as the pandemic was beginning to rear its ugly head and people were preparing to self-isolate, we received word that Bruce had died after a brave battle with cancer. His passing left a hole in our hearts, as well as filled us with memories of a great man whose enthusiasm for the dairy industry was, without a doubt, unmatched. But we’ve persevered, just as Bruce
would have wanted us to do. Yes, we’ve been working from home, holding Zoom meetings and doing our best to track down the sources that we need. We’ve learned new ways to do things and new ways to communicate, but we miss seeing our co-workers in person and the daily patterns that not so long ago seemed commonplace. And, of course, we miss Bruce. With that in mind, we’ve done our best to honor Bruce in this issue, but we know there are so many others out there who have a story to tell or a word of kindness to express. Send them along; we’re happy to hear from you. We’ve also done our utmost to keep up with a constantly changing world in the midst of a pandemic. With this in mind, please note that the information related to COVID-19 contained in this magazine when we sent it off to the printer in late-May most certainly may have changed (hopefully for the better!) by the time it reaches your mailbox or computer screen in June. In the meantime, be assured that the association continues to work hard for you as it transitions its leadership and continues to inform and advocate for its members. Please watch for further information in this magazine, in our weekly online newsletter, on our websites and from other sources of communication coming out of the NDFA office in the weeks and months ahead. I wish you good health and thank you for your support. NED Magazine | Second Quarter 2020 • 3
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REMEMBERING
Bruce Krupke
A Crusader, Innovator and Friend
B
ruce Krupke was a crusader. He thrived on turmoil, calling it “crawling into the lion’s den,” as he stood up for the interests of dairy processors, manufacturers and producers from New Jersey to Maine. His knowledge of the dairy industry was arguably unmatched, and he won more often than he lost. “Bruce was never bored in his life,” said Gary Latta, a long-time friend and colleague who collaborated with Bruce for over 30 years. “There was never a dull moment. There were always things to be done, challenges, legislative battles, more to be learned. I can’t imagine how many thousands of miles we logged in the car going to various meetings around the Northeast. We had some good times!” As the members of the NDFA, NDSA and others in the dairy industry mourn the loss of Bruce, we also remember the great man he was, both professionally and personally. On March 15, 2020, after a brave fight with cancer, Bruce died at home surrounded by his family. He and his wife of 37 years, Patricia, had three children — Allison, Jessica and Matthew. And, he
was so proud of his grandsons, Leo and newborn Colin, who was born just in time to meet his grandfather. Bruce had an indisputable love of the dairy industry, but there was so much more to him than that. Born in Oswego, New York, he lived in Central New York his whole life. He was a Boy Scout, and he had a keen interest in wildlife and astronomy. He loved summer vacations along the beautiful shores of Lake Ontario. Bruce was a sailor and so enjoyed his time with Hobie Cat Fleet 204, a sailing club based on Oneida Lake. Last summer, he took “the trip of a lifetime,” sailing with his wife and a group of friends through the British Virgin Islands. He also played the piano and the trombone with The Celebration Band for over 20 years, and he wasn’t shy around a karaoke machine. There was always a camera with him at any event. And, he was a true Syracuse Orange basketball fan. Studying business and economics, Bruce graduated with an associate degree from SUNY Empire State College and a bachelor’s degree from SUNY Morrisville. His decades-long NED Magazine | Second Quarter 2020 • 5
Remembering Bruce Krupke Never before have I seen a man with greater ability, determination and drive to do the right thing for our industry. No issue was too big or too small for him, and often he had to juggle many issues at the same time and be diplomatic with all parties concerned. He had that knack and everyone loved and respected him for it. I will miss his greetings of ‘How are you and how is your family?’ — a man who really cared. Bruce, rest with the angels. We love you. -— Butch Miller, past president, board of directors, NDFA
career centered on dairy, starting as a salesman for Byrne Dairy and a regional marketing specialist for the American Dairy Association & Dairy Council, Inc. He learned the business step-by-step, becoming an encyclopedia of knowledge, advice, assistance and encouragement in his 26-year role as executive vice president for the Northeast Dairy Foods Association. It was a career that he loved — from the people to the businesses to fighting the good fight — and it all came from a desire to protect and represent the best interests of the entire dairy industry throughout the Northeast. Latta recalled many great times with Bruce, but some of his favorites include those during which the two of them put their heads together to help steer the industry in the right direction. One of the most memorable was sitting on a task force in the 1990s for then-New York state Gov. George Pataki that was looking at ways to enhance state prices during a period of economic hardship. “We were defending our side,” said Latta, who at the time worked for Crowley, while Bruce represented the New York State Dairy Association. “It was such a learning experience, and it threw us into the middle of things with some high powered people.” He also recalled a time when the Vermont Milk Commission wanted to charge a state premium for fluid milk. He and Bruce testified, presented papers and economic reports and showed Vermont officials that, in the end, this action would only give dairy farmers a few cents given the state’s huge milk supply 6 • Northeast Dairy Foods Association, Inc.
and could put Vermont at a disadvantage. Ultimately, the premium was never put into place. “Bruce always had a theory that you never allow something bad to happen in one state knowing that then there’s a good chance it could spread to another state,” said Latta. “He knew that once something got legs, you’d soon be battling the same issue on multiple fronts. He took a lot of issues to heart and was ready to fight for the good of the industry, as he believed in a free economy and maintaining a level playing field. Bruce didn’t believe anyone should upset the balance of trade. He knew that a big part of our duty was to help educate legislators and keep them informed. If legislators understood the mechanics of the industry better, they would be in a position to make more informed decisions.” He added, “Bruce and I had the type of relationship that fed positively on each other. We would often play devil’s advocate together and found it a great learning experience that helped both of us work through challenges facing the industry. I will always have a deep respect for Bruce and will never forget all that he has done for me and the dairy industry that he loved so much.” Leanne Ziemba, executive assistant at NDFA, worked with Bruce for the past 20 years. She considered him both her boss and a friend. “He was a wealth of knowledge,” she said. “There was not a topic that came through our association that he didn’t
Remembering Bruce Krupke
Bruce always had a smile on his face and a camera in his hand during the annual clambake and golf tournament. I admired him when I would see him during the clambake taking the extra time to greet everyone and spend time talking with them. I will miss that smiling face and his great personality. He will be sorely missed. – Steve Daniels, Evergreen Packaging
have at least an understanding of — and, if not, knew where to get more information about it. He was always so patient, and had the ability to break down information into ways that anyone could understand.” Ziemba admired his knack for making sure members stayed connected and understood what the important issues were, as well as his urge to always make things bigger and better. “No matter what the event, he always had some big idea to make it better,” she said with a laugh. “Sometimes we would have to rein him in, but he was intuitive about things. He really thought outside of the box.” “He was much more than my boss. He was my mentor and my friend. Working together all of those years, we were sounding boards for each other,” she said. “Not that we changed each other’s opinions necessarily, but we shared our thoughts, talked about our families and, over 20 years, became great friends. That’s what I really miss.” Ziemba added, “I just want people to know that he was beyond positive — about his health, about his family and friends, about the members — and always thinking about everybody else and how they would be impacted based on whatever the situation was.” According to Ziemba, Bruce had a unique way of looking at the world and the business. “He had a very defined vision for the association, and I want to see that continue even though he’s gone now. There were plenty of ideas and other things in
the works that he hoped to accomplish and was still working on when he died, and I hope we’ll get to see those things come to fruition moving forward.”
In Memory
So many people from the membership and the dairy industry sent in stories and shared memories about Bruce Krupke. Here are some of the kind words others had to share*:
What do you say when a great man passes? I will always remember Bruce — his kindness, caring and overwhelming dedication to the dairy industry and the Northeast. I reached out many times for advice or to see what other industry leaders were doing on a particular issue. He could always be counted on, and was an all-around good man. — Thomas Herbeck, Agri-Mark
NED Magazine | Second Quarter 2020 • 7
Remembering Bruce Krupke
Bruce Krupke was just a fun guy to hang out with. One memorable and fun time we had together was during an annual-conference golf tournament. Bruce and I were teamed up with Bill Fitchett and his wife Sharman, also a truly wonderful person who we lost in 2017. During this event, the four of us proceeded to play the best golf of our lives. Each one of us was making crazy long putts or chipping it in from off the green; everything was going right. This amazing round of golf by four ragtag golfers ended up with a score of 14 strokes under par. If you know golf, then you know that is one heck of a score. Anyway, Bruce was beside himself. He could not have been more worked up over this outcome. You see, Bruce always thought and maintained that this event, or any association event, was for the pleasure of members and member families, and the thought of Bruce winning a golf tournament could not have been any worse for him! Of course, Sharman, Bill and I had a blast, enjoying the fact that we came in first place and would forever be memorialized with our names engraved on the coveted “Milk Can” trophy. Well, albeit unwillingly, Bruce finally surrendered those silly thoughts and joined us in the glow of victory — a memorable time with true friends. — Ozzie Orsillo, former NDSA board president and current executive director, NDFA
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Remembering Bruce Krupke When I reflect on how Bruce affected me in my life, the word was “enthusiasm.” Bruce had a unique ability to represent the dairy industry in all venues for positive results. He truly loved the dairy industry and always tried to make a difference. May you rest in peace knowing you made a difference. You will be missed.
— John Pierce, former executive vice president, Pennsylvania Association of Milk Dealers
Bruce was an equal opportunity personality, as well as a good listener. He did not pass judgement on a dairy processor or dairy distributor based on the size of the operation. The clambake was his highest annual profile event for suppliers, and it is fitting that the first clambake after his passing will see the picnic tables silent on July 8, 2020.
— Daniel Lausch, Lactalis American Group
As past president of the NDFA, I was fortunate to serve with Bruce. He was always there to help in any way that he could and had the very best interest of the association in his mind. No matter what the issue we spoke about, Bruce was upbeat, forward looking and maintained his great sense of humor throughout the process. He made my responsibilities to the association much easier than they might have otherwise been. — Don Merrigan, past president, board of directors, NDFA
See more memories on page 62. NED Magazine | Second Quarter 2020 • 9
FrontDesk
JAMES “OZZIE” ORSILLO
NDFA Announces New Executive Vice President
T
he Northeast Dairy Foods Association, Inc., has announced the appointment of James “Ozzie” Orsillo as executive vice president. Orsillo took over the position on May 4, 2020, following the death of Bruce W. Krupke, who had served in the position for 26 years. Orsillo, of Woburn, Massachusetts, will serve as the fourth executive vice president in the association’s history and will oversee the day-to-day operations, as well as be responsible for governmental and industry relations. Prior to this position, Orsillo served the dairy industry for 35 years across 15 countries in a sales management capacity, most recently as the director of adjacent markets at Evergreen Packaging. Since 2000, he has served on the board of directors for the
10 • Northeast Dairy Foods Association, Inc.
Northeast Dairy Suppliers Association, a position he stepped down from to take over as executive vice president of NDFA. “For 26 years, my dear friend Bruce Krupke enjoyed and took great pride in his role with the association,” Orsillo said. “Bruce gave everything he had to the association, and I look forward to carrying on his good work and vision with the help of the board and staff.” “Ozzie will bring a wealth of industry knowledge and experience to this position,” said Mike Suever, president of the board of directors of the Northeast Dairy Foods Association. “We look forward to his leadership and continuing the outstanding work the association does on behalf of the members.” Orsillo can be contacted at oo@nedairyfoods.org.
LEGISLATIVE REPORT
We Continue to Be Your Voice BY ALEX WALSH
A
s if politics and government aren’t unpredictable enough at times, who would have ever expected the first half of 2020 to turn out like this? For months, COVID-19 has dictated the agendas in Washington, Albany and other capitals throughout the rest of the country. What started out as “a bug like the common cold,” quickly began hospitalizing people and taking the lives of thousands. It also simultaneously started shutting down economies with a mere flick of a switch, forcing businesses to shutter their doors, lay off millions of workers or forcing employees to work from home and keep people at home without the ability to socialize. In the dairy industry, as we all know, there is no “flick of a switch.” Cows don’t stop milking when the light goes off in the barn at night. Processors don’t say, “This load of milk can wait until this is all over.” And, there’s also no working from home. For some positions at a plant, sure, but for a majority, people have been on the lines and making sure our families, neighbors and community are fed with safe and healthy dairy products.
The federal government has been active in passing laws and funding bills in an attempt to keep Americans afloat amidst the pandemic, as well as keeping sectors of the economy, including agriculture, on life support to the best of its ability with federal programs. Meanwhile, at the state levels, legislators passed budgets and did what they could while they could, then got out of dodge, putting many non-funding items on hold until safe to reconvene. New York, historically the most active legislative state within the association’s footprint, passed a $177 billion budget, which cut $10 billion in operational costs and was still left with a $6 billion deficit, mostly due to Medicaid costs. Additional costs have been needed to be absorbed due to COVID-19 and added an additional $10 billion-plus to the deficit. Included in the state budget were items such as paid sick leave for workers and a ban on polystyrene. Starting in 2021, the Empire State will be requiring business to comply with the recently enacted paid sick leave for workers. Companies with five to 99 employees must provide NED Magazine | Second Quarter 2020 • 11
Legislative+RegulationsReport their employees with at least five days of job-protected, paid sick leave per year. If your company has 100 employees or more, you will be required to provide them with at least seven days of paid sick leave per year. For smaller operations with four employees or less, the company will guarantee five days of job-protected, unpaid sick leave. In addition, if your company is in New York and uses polystyrene (what you might know as Styrofoam), you need to start looking for an alternative. Effective January 1, 2022, the state will prohibit the distribution and use of polystyrene single-use food containers, including packing peanuts. Northeast Dairy Foods Association joined forces with the American Chemistry Council and other organizations to oppose this legislation, as this will particularly impact ice cream manufacturers using Styrofoam because of its insulation properties ideal for schools, hospitals and nursing homes. Additionally, Styrofoam is much less costly than other package alternatives. Despite our best efforts, the bill passed as part of the state budget. Also in New York, a bill currently sits in the Consumer Protection Committees of both the state senate and assembly that “provides that only products containing milk may use the term ‘milk product’ on labels and advertisements.” Northeast Dairy Foods Association has opposed this bill as it currently reads, due to the high level of interstate commerce that is conducted in the dairy industry, especially in the Northeast, and we are concerned with state-by-state labeling regulations and requirements. Other states do not have labeling requirements in regard to the term “milk.” A patchwork of labeling laws would create a significant disadvantage to New York State dairy product manufacturers, which would be required to change labels. This, in turn, would cost companies money, increasing the price of products that would ultimately be passed on to the consumer. Many NDFA members distribute packaged dairy and other food and beverage products across several states and rely on uniform labeling regulations at a national level. There is currently proposed legislation in Congress to do so. It is this national labeling effort that Northeast Dairy Foods Association supports. A little bit of good news is that the push to ban chocolate milk in New York City schools has been suppressed, for now anyway. A major issue that has been facing the industry throughout COVID-19 has been milk dumping, as schools and restaurants have cancelled orders, which have cost producers and processors exorbitant amounts of money. After lobbying efforts from Northeast Dairy Foods Association and producer groups, Gov. Andrew Cuomo announced the “Nourish New York” program to attempt to alleviate this issue. The state announced it will 12 • Northeast Dairy Foods Association, Inc.
For resources and information regarding COVID-19, visit www.nedairyfoods.org/covid-19-resources
or www.coronavirus.gov. purchase $25 million worth of fluid milk and other dairy products, such as cheese and yogurt, and send them to food pantries around the state. The New York state legislature will be looking to gavel back into session as the state reopens sectors of the economy. Look to see the senate and assembly passing bills related to and inspired by COVID-19 and pass new tax revenue measures to soften the blow of a double digit deficit. Over the past year, a group called Migrant Justice has been protesting at retail and grocery stores in Vermont, vocalizing its demands to pay migrant farm workers fair wages and provide additional accommodations. While most farms adhere to state and federal laws and requirements and treat their employees fairly and respectfully, the group gained regional attention. It seems, however, that its protests have subsided for the time being. The Green Mountain State continues to review the concept of supply management, but, other than an occasional hearing for the political spotlight, the issue has not seemed to gain much traction. Additionally, the state has been considering creating a new commission like the Interstate Dairy Compact. The former commissioner of the state’s agriculture department presented an outline of the idea to the state legislature in February, and early indicators show it may focus on cheese instead of just fluid milk. In 2019, New Hampshire state agriculture commissioner Shawn Jasper introduced his idea to create a program that would ask milk processors and retailers to voluntarily add 50 cents a gallon to milk and return it to dairy farmers. Additionally, processors would need to add to their labels that the milk came from a New Hampshire or New England producer. This program has not gained support from processors or retailers and seems to be stalled in its tracks. For close to a year, Maine has been looking at creating a recycling program that would force the producer of the package to be responsible for paying for the recycling, even if it doesn’t get recycled. The dairy processing and manufacturing industry is packaging reliant, and most of it is already being recycled.
Legislative+RegulationsReport businesses. Secondly, Congress passed a program designed to financially assist small businesses called the Paycheck Protection Program — or PPP. The $349 billion in funds directed to small businesses were to help keep employees on the payroll and help cover costs for items such as mortgage interest, rent and utilities. At the end of March, The United States Department of Agriculture Secretary Sonny Perdue implemented allowable flexibilities within the Federal Milk Marketing Order program. The USDA wanted to ensure that producers and processors could adjust and meet the changing demands by consumers during COVID-19, as well as allow for the efficient movement of milk. Another highlight out of Washington is that the United States-Mexico-Canada Agreement continues to move forward, and the trade pact should be implemented on July 1, 2020. The USMCA was originally anticipated to be in place in April, however, it was delayed due to economic impacts all three countries have encountered from COVID-19. Northeast Dairy Foods Association has been working very
This proposal would add costs to products and decrease profitability. While there has not seemed to be much movement on the issue, the Maine Department of Environmental Protection has been tasked to present a plan to the legislature this year, which would need to approve the final recommendations from the agency in order for the plan to be put in place. Northeast Dairy Foods Association will continually monitor Maine’s activity and provide members with updates on this. While state legislatures have been primarily working on constituent issues from their home districts during the pandemic, those in Washington, D.C., continue to convene and have passed various stimulus packages aimed at businesses and the American people, as well as industry-specific relief bills. After some partisan debating, Congress finally came to an agreement and passed the Coronavirus Aid, Relief, and Economic Security Act, often referred to as CARES. This was a federal economic stimulus package amounting to $2 trillion. The aid included direct payments to individuals, an expansion of unemployment insurance, funding for the healthcare industry to combat COVID-19 and billions of dollars in assistance to
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Legislative+RegulationsReport closely and cohesively with partners throughout the region and at the national level, including our counterparts at International Dairy Foods Association, on items to present to state leaders and Congress. NDFA understands the challenges the dairy industry has faced and will continue to push and support measures that benefit processors, manufacturers, distributors and suppliers to recover from any financial impact COVID-19 has had on our members. As restrictions surrounding COVID-19 continue to wind down, look to see state legislatures reconvene and make up for time lost by working into the summer months. It would be expected that much of the policy will be focused on COVID-19 review and recovery, with economic relief, if the states can afford it or find the money. Northeast Dairy Foods Association will be closely monitoring the legislative activities in all eight states and at the federal level and provide updates as they occur. This is also an election year, and legislators will need to hit the campaign trail at some point. “Business as usual” will not be usual for some time. Economies have been opening up in phases, and some government officials are more cautious
and hesitant than others regarding reopening. The government and private sector will have to continue to keep lines of communication open and work together for a full and safe economic recovery. Moving forward, we all need to be creative in order to operate and become more virtual than ever before. Nevertheless, we at Northeast Dairy Foods Association will remain here to assist you, stand up against damaging policies, protect your interests and keep you informed of available resources and any issues that may impact your business. It also cannot be said enough, but – THANK YOU – for being on the frontlines and keeping our neighbors fed during this time. As always, please contact the NDFA office if we can ever be of any assistance. Alex Walsh is the director of membership and communications for the Northeast Dairy Foods Association.
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Economic Outlook
ECONOMIC OUTLOOK
2020 Has Taken an Unexpected Shift as COVID-19 Impacts Dairy Industry BY GARY LATTA
B
y now, everyone is aware of the impact COVID-19 has had on agriculture and our daily lives. Earlier this year, everyone was expecting 2020 domestic dairy sales, exports and milk prices to exceed those of 2019. Then suddenly, COVID-19 reached the United States in February 2020. By mid-March, all 50 states, including the District of Columbia and four U.S. territories had reported cases of COVID-19, with New York City taking a particularly hard hit. Cities, then entire states, quickly mandated stay-at-home orders. Schools, restaurants, nightclubs, churches and public gathering events were closed. Only those eating establishments that provided take-out or drive-up service
remained open. Consumer demand suddenly shifted toward retail grocery stores and away from public institutional outside the home dining. All of U.S. agribusiness has experienced the sudden shock of COVID-19 in one way or another. For the dairy industry, the loss of restaurant sales and school shutdowns has been especially painful over the last few months. While dairy sales, especially fluid milk, have experienced an upswing at retail, this has not made up for the loss of volume on the non-retail side. Most agriculture, from farming to processing, cannot make sudden adjustments to ratchet production and output up or down in such a short period of time. For dairy, early spring is generally the flush months for milk
production, and reacting to this pandemic has forced milk dumping, strained processing capacity and swelled cold storage inventories. The combination of all this has resulted in the most precipitous drop of market prices in memory. Fortunately, President Donald J. Trump and Congress have empowered the U.S. Department of Agriculture with the financing and authority to create a multitude of assistance packages aimed to help relieve agriculture and provide food for the needy. One of the first USDA directives was announced in mid-April by the Risk Management Agency to deal with the dilemma of dumped milk supplies. In response to this crisis, the RMA is allowing dumped milk to be counted as marketings for the Dairy NED Magazine | Second Quarter 2020 • 15
Economic Outlook Revenue Protection Program or actual marketings under the Livestock Gross Margin for Dairy Program. Both programs are forms of dairy farm operation insurance policies. Early congressional reaction to the pandemic was the creation of a national stimulus package called Coronavirus Aid, Relief, and Economic Security Act, or CARES Act. It was signed into law by Trump on March 27, 2020. Originally the bill included $500 billion in direct payments to Americans, $208 billion in loans to major industry and $300 billion in Small Business Administration loans. Later, the bill grew to $2 trillion and is the largest economic stimulus package in U.S. history. The specifics of the CARES Act, and many other packages mentioned here, are much too broad in scope to cover in
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detail in this modest article. However, we will touch upon some the highlights and dairy-related agricultural stimulus actions that are taking place up to this point.
CURRENT DAIRY-RELATED STIMULUS The CARES Act is Phase 3 of the U.S. government’s response to the coronavirus outbreak. Phase 1 was $8.3 billion for coronavirus vaccine research and development and was signed into law on March 6, officially known as the Coronavirus Preparedness and Response Supplemental Appropriations Act. Phase 2 was the $104 billion package focused on paid sick leave and unemployment benefits for American workers and families, formally called the Families First Coronavirus Response Act, enacted March 18.
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On April 17, USDA Secretary Sonny Perdue announced the Coronavirus Food Assistance Program commonly called CFAP. Funding for CFAP will come from three places, the CARES Act, the Families First Coronavirus Response Act and the Credit Commodity Corporation. CFAP will provide $19 billion in relief packages to the agriculture industry, with payments expected to go out at the end of May. This $19 billion agricultural relief package splits into two programs: $16 billion in direct support for farmers, and $3 billion for a USDA food purchase and distribution program. Of the $16 billion in direct support for farmers, $2.9 billion is specifically targeted for dairy. The $3 billion food purchase and distribution program directs the USDA to purchase $100 million per month in produce,
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Economic Outlook $100 million per month for meats and $100 million per month in dairy products. These three key food groups will be combined by the USDA’s partnered distributors to make pre-approved boxes of produce, meat and dairy products for shipment to food banks, community and faith-based organizations, nonprofits and Americans in need across the country. These efforts have evolved into the Farmers to Families Food Box program in which the USDA ultimately plans to purchase $317 million in dairy products ranging from fluid milk, yogurt, cheese and butter by the end of June. In early May, the USDA’s Perdue revealed that, in addition to food purchases previously announced, another $470 million was to be added in the third quarter of 2020 under Section 32
regulations. Of this $470 million, $120 million is for dairy products. As an ongoing program, the USDA purchases a variety of domestic agricultural products as authorized by Section 32 of the Agriculture Act of 1935. These foods are then provided to government nutrition assistance programs, including food banks that operate The Emergency Food Assistance Program, and are an important piece the nation’s food safety net. On May 4, the U.S. Small Business Administration announced that agricultural businesses would now be eligible for SBA’s Economic Injury Disaster Loan and EIDL Advance programs. In the past, ag business assistance was issued through the USDA, and the SBA was prohibited by law from providing disaster assistance to agricultural
businesses. Trump changed that so that U.S. farmers’ agricultural businesses can now have access to emergency working capital through these SBA loan advances, which are very easy to apply for and have minimal restrictions. In addition, the Paycheck Protection Program is also available to most ag businesses and dairy through the SBA. Not all wishes asked for by dairy organizations have been granted. The USDA recently rejected a request that it implement a 10% supply reduction program. The USDA also rejected proposals that the Dairy Margin Coverage program be reopened to producers that did not sign up during open enrollment. The USDA rejected a request for a hearing to floor Class I fluid milk prices for three months. Now, another idea has surfaced
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Economic Outlook that would mandate the addition of dried milk solids to consumers’ packaged low fat fluid milk nationally. The outcome of this idea is yet to be determined. Dairy prices have taken a significant downturn in recent months. Earlier this year, practically everyone was expecting 2020 milk prices to be notably higher than 2019. Despite sharply lower market prices and concerns over this pandemic, U.S. milk production continues to increase. It is very difficult for dairy producers that were looking forward to another good year to suddenly put on the brakes and reverse course while in the spring flush. With some meatpacking plant shutdowns, sales of cull cows are likely not as brisk had all these plants been operating at capacity. The USDA’s latest milk production report showed
March milk output up +2.4% for the top 24 producing states. This increase in production was the result of both more cows and more output per cow for the top 24 state total.
THERE IS GOOD NEWS Despite the gloom, there are a few positive spots worth mentioning. Some university economists now believe that once the economy begins to reopen, sales of all food products, including dairy, will pick up. This may especially be true for restaurant and foodservice sales. Dairy futures prices have reacted positively to the plethora of support programs and mechanisms put in place for the overall economy and agribusiness. With summer upon us, there appears to be pressure for states to cautiously but
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18 • Northeast Dairy Foods Association, Inc.
completely reopen. With dairy prices lower, the U.S. is very competitive in the international market with exports. In fact, the U.S. Dairy Export Council revealed that, despite this pandemic, U.S. exports have been up for seven straight months. Southeast Asia, South America and the Middle East/North Africa have been lucrative regions for exports of U.S. dairy product, particularly powdered milk products. The future of the U.S.-China trade deal in the wake of the coronavirus is now up for speculation. The May World Agriculture Supply Demand Estimate report also hinted at some positive things on the dairy horizon. The forecast for U.S. dairy exports was raised based on the strength in demand from overseas. The 2020 Class III price was raised from the previous month’s estimate based upon higher forecasts for cheese and whey prices of $1.42 and $.380 per pound, respectively. This moved the new 2020 Class III estimate from $12.75 to $13.35 per hundredweight. The Class IV price was reduced because of lower estimates for both butter and nonfat dry milk prices of $1.410 and $0.380 per pound, respectively. This puts the new 2020 Class IV price estimate at $11.90 per hundredweight. The all-milk price forecast is raised from $14.35 to $14.55. It will be interesting to see how these forecasts and actual prices develop as the U.S. and world economy reopens. Gary Latta is a dairy product specialist consultant for the Northeast Dairy Foods Association, Inc. He has more than 30 years of experience in providing economic analysis, statistics and information to the dairy processing industry.
FrontDesk
College Scholarship Deadline Extended to Aug. 1 The Northeast Dairy Suppliers Association, Inc., has extended its deadline for scholarship applications to Saturday, Aug. 1, 2020. To be eligible, applicants must be an immediate family member of a current NDSA or NDFA member company or student member of NDSA, enrolled for the 2020-21 academic year as a full-time college student with a minimum of 12 credit hours and a GPA of 2.5 or greater. NDSA has increased the amount each recipient will receive, awarding 10 scholarships to college students for the 2020-21 academic year totaling $20,000, a $5,000 increase from last year, according to Tristan Zuber-Hrobuchak, scholarship committee chairperson. The scholarship committee will award five $2,500 scholarships to students whose majors are related to the dairy/food industry or an agriculture program related to the dairy/food industry. Five $1,500 scholarships for students studying any major also will be awarded. Scholarship information can be found on the associations’ respective websites at www,neastda.org or www. nedairyfoods.org. Applications must be postmarked by Saturday, Aug. 1. Funding for the scholarships comes directly from the association’s annual dairy industry clambake, members’ dues and sponsorships of annual dairy industry events.
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NED Magazine | Second Quarter 2020 • 19
DAIRY TRENDS
20 • Northeast Dairy Foods Association, Inc.
DAIRY TRENDS
Trends Can’t Help But be Impacted by Current Events BY CAROLINE K. REFF
W
hat will they think of next? While dairy is a staple in the American diet, favorites within the category come and go. From the Greek yogurt boom that began in 2007 to today’s demand for exotic kefir, tastes change from year-to-year. It’s exciting to see new ideas come to market, but it’s even more amazing to realize that there are so many interesting facets within the dairy space. When we talk about trends, there’s no one who’s more in-the-know than Chicago-based Donna Berry, a food scientist, editor, blogger (www.berryondairy.com) and consultant, who specializes in the dairy industry. Here are some of the dairy trends Berry thinks we’re sure to see in the year ahead:
REAL FOOD, REAL NUTRITION Even before COVID-19, people were trending towards “real food” — those without artificial ingredients, fillers and other things no one can pronounce. Now, more than ever, people want to know what they are putting into their bodies. “Whole, full-fat milk is a glass of nutrition,” said Berry, noting that the industry needs to leverage the opportunity to reboot the message that milk is healthy, delicious and nutritious. “We need to start with the positives and stop defending milk,” she said. “Most
milk comes from right near where you live. I think people are going to think a lot more about locally-sourced foods that they can find in their own communities, and milk and other dairy products are a great example of this.”
A GUT CHECK ON DAIRY 2020 was already set to be the year of gut health, but since COVID-19 struck, even more people have begun thinking about the importance of maintaining or improving their immune systems. “Dairy is the original carrier for probiotic cultures,” said Berry, adding that there is so much scientific data out there now that says these work, and they are easily incorporated into dairy products. Cultured dairy products, specifically those making probiotic claims, have been flying off the supermarket shelves, and, at one point, Amazon had a month-long delay in shipping probiotic supplements. According to Berry, nutrient dense dairy foods that deliver proven probiotics are “a very active space in dairy markets around the world.” Probiotics, particularly Bifidobacterium lactis BB-12 strain, which has been clinically documented to aid in immunity and intestinal health, are making an appearance in everything from yogurt drinks and smoothies to ice cream and other frozen desserts. A prime example of this trend, according to Berry, is kefir, a fermented beverage traditionally made from milk that tastes very similar to drinkable yogurt. Originating in Eastern Europe and Southwest Asia, kefir is now commonplace on retail shelves in the U.S., and some studies claim that it is an even NED Magazine | Second Quarter 2020 • 21
DAIRY TRENDS better source of probiotics than yogurt. While the product was already gaining in popularity, companies that produce kefir have seen skyrocketing sales since the COVID-19 outbreak. Prior to the crisis, the global probiotics market was predicted to reach nearly $80 billion by 2025, according to Grand View Research, Inc. Now, it seems the sky is the limit.
making the rounds on the internet right now, boosting cheese sales. And, those who suddenly found themselves working from home have brought back the sandwich, making various kinds of cheese popular between two slices of bread and some deli meat. Finally, as self-isolation limits people’s activities, snacking and pre-portioned cheeses have seen growth as people are doing their best to stay well fed but still count calories.
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As many families self-isolate, they have also started cooking at home much more. This has added to the demand for the always popular cheese, which is not only nutritious, versatile and tasty but has a long shelf life that has proven important in times of uncertainty. Cheese has made a somewhat surprising appearance at the dinner table as a main ingredient of the tried and true casserole. In fact, casseroles are some of the most popular recipes
While the Greek yogurt boom seems to have subsided, yogurt, in general, remains a staple in the American diet, and the options are endless. While many types of yogurt have long been known for their probiotics, the product has started attracting new customers seeking it out as a delicious source of protein. Consumers have been embracing the
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DAIRY TRENDS importance of protein for a while across many food categories, but those looking for something on-the-go simply don’t find the same satisfaction in protein bars and shakes. It’s pretty safe to say that yogurt will continue to remain a constant, although what makes it so — nutrition, convenience, etc. — may ebb and flow. It should be noted that there are a lot of plant-based yogurts on the shelves, often touting nutritional benefits. According to Berry, plant-based yogurts made from certain ingredients like soy or pea protein don’t usually taste great, while others that do typically lack the amount of protein found in yogurt made from milk. Consumers are trying these non-dairy alternatives, but they aren’t always coming back for more.
ICE CREAM: EXTRAS WITHOUT ADDITIVES By now, it’s obvious that people want nutrition, as well as taste. But, according to Berry, they’re still willing to splurge once in a while. Still, whether consumers want one scoop of ice cream or two, they are looking for mix-ins or extras made from real ingredients: whole pieces of fruit, nuts, and even
chunks of chocolate or cheesecake. They want to see them; they want the satisfaction of knowing there’s real, whole foods in their favorite treat. As ice cream remains a favorite, new to the market are second and third generation products that are avoiding some of the sugar alcohols that can cause digestive issues, as well as trying the addition of allulose, a sweetener that claims to contain few calories and carbohydrates without sacrificing taste and texture. The verdict is out on some of these products, and their success may hinge on the opinion of consumers. So, whether you are concerned with where your food comes from or that only natural ingredients go into it, there’s certainly many new and different products to try in the dairy space. Whether trendy of traditional, one thing remains a constant: dairy is a delicious and nutritious choice.
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DAIRY TRENDS NOW TRENDING IN DAIRY MILK DRINK IS SOCIAL MEDIA SENSATION From Instagram to YouTube to TikTok, dalgona coffee, also called whipped coffee, has become an internet sensation as people look to try new recipes on the internet during self-isolation. While the drink was popular in India, Pakistan and Macau before it appeared on social media, it rose to fame in January when South Korean actor Jung Il-Woo talked about it on a television program, nicknaming it “dalgona” after a traditional Korean candy. Soon, videos were appearing from all over the world, as people tried to recreate this multi-layered drink with the distinct coffee-toffee flavor. The ingredients are simple: water, sugar and instant coffee or espresso, which are whipped or whisked into a foam and then poured over a glass of milk (usually containing ice cubes). The result is a milkbased beverage that some say is the consistency of a dessert, while others think it more closely resembles a latte.
PERK UP!
IT’S A MYSTERY
La Colombe, a coffee roaster from Philadelphia, is offering a single serve self-heating can of coffee that can be consumed without the use of electricity or a coffee maker. With just a twist of the can, this on-the-go beverage will heat itself within 2 minutes. While coffee is not a dairy product, the company offers its Brazilian coffee product with or without milk and sugar.
A trend across many industries, including dairy, is a mystery! Mystery flavors are enticing consumers to try everything from ice cream and yogurt to cookies and chips. Brands use mystery flavors to pique consumer interest or as a marketing tool to roll out a new taste. And, social media is the perfect platform to promote these mystery flavors as people give them a try. Innova Market Insights called “new discoveries” one of the top flavor trends right now, as consumers not only love to try different flavors but also don’t want to miss out on something new and fun. Similar to limited edition or holiday flavors, these products may or may not return when the mystery is solved, depending on consumer reaction.
24 • Northeast Dairy Foods Association, Inc.
DAIRY TRENDS
POPULARITY OF FLOWERS AND SPICES ARE SPROUTING According to FONA International, a company that creates and produces flavors for the food and beverage industry, florals are a trend to watch, as products across the food and beverage space are popping up infused with flavors like hibiscus, elderflower and orange blossom. These flavors are another way that consumers can satisfy their taste for adventure by trying new flavors in familiar products. Spices are another flavor indulgence that’s up-and-coming, particularly black pepper, coriander, paprika, cardamom, cumin, as well as more comforting flavors like nutmeg, cinnamon and clove.
LACTOSE-FREE MILK TOWERS OVER PLANT-BASED BEVERAGES Plant-based beverages may still be in shopping carts, but statistics show that lactose-milk sales grew twice as fast and the trajectory seems to be going strong. According to data from research firm IRI, 2019 sales of lactose-free milk topped $1.4 million, a year-over-year growth of 11.9%. According to the research, lactose-free milk is expected to surpass the sales of almond beverage sales in 2020. This is significant, as almond “milk” makes up about three-quarters of plant-based beverage sales.
A
t Agri-Mark, we are continually investing in the Northeast Dairy industry because this is our home. We have finished the $21 million investment in a new dryer at our butter/powder/condensing plant in West Springfield, Mass., shown above, for the 950 dairy farm families that own the co-operative. This project boosts the plant’s capacity by roughly 33% and will allow us to better serve our customers. Please contact us at 978-552-5500 for more information on how we can serve you! NED Magazine | Second Quarter 2020 • 25
DAIRY TRENDS NOW TRENDING IN DAIRY TAKE A MILK SOAK Dating back to ancient Rome, the milk bath (yes, that’s right, a tub filled with milk and water) has been used throughout history for a variety of medicinal reasons. Today, many people look forward to a nice milk bath at the end of the day, and it’s not uncommon to see celebrities or beauty bloggers posting when they take a dip. While little research exists to support benefi ts of the milk bath, those who enjoy this activity swear it’s essential to healthy skin. Some take it one step further by bathing in buttermilk, due to its lactic acid content that can help with skin exfoliation. In addition, there is some evidence to suggest that the fat and proteins in milk make skin feel smooth. Just about any type of milk will do, including
cow’s milk, goat’s milk and even breast milk. And while nut and soy beverages aren’t actually milk, many are giving almond, coconut and soy products a try, too. The website verywellhealth. com suggests a simple recipe for a milk bath: pouring one to two cups of liquid milk or one-third to
two-thirds of a cup of powdered milk into warm bathwater. The site also suggests adding oats, lavender, rose petals, sea salt, essential oils or even honey for an even more luxurious experience. (One caution: If you have a milk allergy, do not take a milk bath, as it could cause a reaction!)
FETCH A DOG A YOGURT Most dogs are eager for a taste of whatever his owner is snacking on, but now you can tell Fido to go fetch his own, as a yogurt made specifically for dogs has reached the market. Called yogi-dog, this all natural yogurt is said to build dogs’ immune systems and aid in healthier digestion through a product that contains eight live active cultures and probiotics, while also being lactose and sugar free. It’s made in three all-natural flavors: original, peanut butter and cheddar. The company markets the yogurt as a topper for dry food during meals or a snack to be licked right off a spoon. The product is currently available in grocery stores throughout the Northeast.
26 • Northeast Dairy Foods Association, Inc.
DAIRY TRENDS FLAVOR OF THE YEAR: BLUEBERRY What goes better in yogurt or ice cream than the fresh taste of blueberries? According to Firmenich, a major fragrance and flavor company from Geneva, Switzerland, classic blueberry is the flavor of 2020 due to its popular taste and association with health and wellness. According to Eric Tang, a flavorist at Firmenich, “Blueberry has floral notes and a distinct tanginess with green and sweet elements” and can be paired with so many dairy and other food items. As a flavor used in new product development, blueberry has seen 101% growth over the past decade, not just in the U.S. but around the world. According to market research group Mintel, it has seen particularly strong growth in this time frame over a number of categories, including a 143% increase in dairy.
CONSUMERS WANT NATURAL COLORS You’ve all heard the saying that people eat first with their eyes. That ’s never been more true when it comes to color in dairy, as well as other food and beverage products. “In today’s visually centric world, color is equally, if not more, important than flavor,” according to Megan Longhi, dairy technical service manager at Sensient Food Colors of St. Louis. Today’s health conscious consumers prefer their colors be derived from natural ingredients, however, which poses challenges for the industry, as it balances appealing colors with appealing ingredients. Dairy products can be especially challenging, as extreme temperatures and ultraviolet light can impact colors depending on packaging and storage, and color migration can be unappealing to some, too. More manufacturers
are experimenting with natural products like beets, carrots, turmeric, coffee and matcha to create colors without artificial ingredients, but it’s not easy, as
sometimes traces of these flavors can remain in the product. Still, companies continue to experiment in order to serve today’s more health conscious consumer.
NED Magazine | Second Quarter 2020 • 27
DAIRY TRENDS
The Milkman Is Back to Help Those in Need
I
t may no longer be just grandma and grandpa who remember the days when the local milkman delivered fresh milk right to the doorstep. When some of us look back on the current pandemic, we, too, might remember how we relied on a modern version of the milkman to deliver dairy products right to our homes. Tom Rubino is the owner and CEO of The Hudson Milk Co. The business was started by his father, also named Tom, 26 years ago as a home delivery service. Located just 35 miles north of Manhattan, The Hudson Milk Co. saw business “explode” this March when COVID-19 descended on the New York City area. Since then, the company has seen three or four times its usual amount of orders from people who can’t or won’t leave their homes but need dairy products and other staples. The company doesn’t just deliver dairy products but also meat, produce, bread and other pantry staples like honeys, jams and sauces. Customers can place orders online, and contactless deliveries are made right to their doorsteps according to a set schedule, usually between 1 a.m. and 7 a.m. “It’s great for business, but, of course, we wish the circumstances were different. Still, we feel good about helping people out where we can,” said Rubino, who has had to hire additional help to keep up with demand. “We’re hoping we will win over some of our new customers with our superior 28 • Northeast Dairy Foods Association, Inc.
quality and keep them once this crisis is over.” In the midst of a pandemic, the idea of home deliveries has had a resurgence, as people have been asked to stay home and limit their trips to the grocery store. NDFA member Wade’s Dairy in Bridgeport, Connecticut, brought home delivery service back during the pandemic. “They say, ‘What goes around comes around,’ and it’s time for us to bring back home delivery of fresh Clover Farms milk and a whole lot more,” said Douglas H. Wade, Jr., president of Wade’s Dairy, who added that the response from customers has been overwhelming. “We did home deliveries for 100 years up until 1992, and my nostalgia for the days of the ‘milkman’ are long overdue for a return engagement.” A number of other NDFA members offer home delivery, too, including Battenkill Valley Creamery, which is delivering to those in the Saratoga Springs, New York, area; Hudson’s Dairy, Inc., in Fulton, New York; Swede Farms, Inc., in Teaneck, New Jersey; and Ronnybrook Farm Dairy in Ancramdale, New York. Some of these members already had delivery services in place, but the pandemic has helped to increase the demand, while also offsetting in-store losses. The demand for delivery has been so great in some areas that the modern milkman is working night and day to get customers the milk and other basics they need.
DAIRY TRENDS WHAT HAPPENED TO THE MILKMAN? The iconic milkman — called a “national treasure” by the Smithsonian — delivered dairy products to Americans from the 1800s through the 1970s. In fact, according to a USDA survey, this was the most common way for households to obtain fresh milk, as the product often spoiled quickly due to lack of in-home refrigeration. The early milkman came to call with a horse and buggy, which later turned into a motorized delivery truck. Milk was delivered to the front porch in glass bottles daily, and empties were picked up for cleaning and re-use. Several factors impacted the fate of the milkman, including modern
refrigeration in almost every American home, the growth and convenience of supermarkets and the spread of communities into the suburbs, which made home deliveries cost prohibitive. Today, there are still milkmen (and women) out there, but the service is few and far between. Even before the COVID-19 pandemic, the growing popularity of meal prep companies that deliver food directly to the front door and services like Instacart that do your grocery shopping for you have been a nostalgic reminder of the convenience of the American milkman.
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NED Magazine | Second Quarter 2020 • 29
DAIRY TRENDS
Gerber Introduces A2 Infant Formula and Toddler Drink
I
n April, Gerber announced the nationwide availability of two first-of-their-kind A2 milk innovations: Gerber Good Start A2 Infant Formula and Good Start A2 Toddler Drink. Each product contains an exclusive combination of easy-to-digest A2 β-casein protein — a high-quality protein found in A2 milk — probiotics and prebiotic human milk oligosaccharide designed to give little ones advanced digestive support for a great start. Emerging evidence suggests A2 milk supports good digestive tolerance in children. For this reason, Gerber is introducing Gerber Good Start A2 Infant Formula and Gerber Good Start A2 Toddler Drink to its portfolio of products designed to promote gut health, powered by personalized expert support to help parents. Both products are made with an exclusive combination of A2 milk, comforting probiotic L. reuteri and prebiotic 2’-FL HMO setting a new standard for advanced digestive support in tiny tummies. “At Gerber, we’re continuously evolving our product line to introduce new innovations, like our A2 infant formula and toddler drink, to meet the unique needs of your little one,” said Gao Dan, business executive, infant formula. “Until now, an A2 infant formula had not been available in the U.S. market. Given its popularity in places like Australia and China, we are thrilled to respond to the call from parents to bring an A2 infant formula to the U.S. and introduce a first-of-its-kind A2 toddler drink.” Gerber partnered with NDFA member Cayuga Milk Ingredients and its family-owned dairy farms, based in the Finger Lakes region of New York, to uniquely source the A2 milk used in the new formula and toddler drink. “These products were formulated with a unique combination of milk with A2 β-casein, HMO and probiotics to promote gut health in infants and children,” said Pediatric Gastroenterologist and Gerber Medical Director Dr. Joel Lim. “The infant formula contains a protein blend of whey and casein in a 70:30 ratio
30 • Northeast Dairy Foods Association, Inc.
Photo: Gerber®
“Until now, an A2 infant formula had not been available in the U.S. market.”
— Gao Dan
similar to breastmilk. The probiotic L. reuteri and the prebiotic 2’-FL HMO, which is structurally identical to the predominant HMO in breastmilk, found in both the formula and toddler drink together support gut barrier function, digestive health and the developing immune system.” Gerber Good Start A2 Infant Formula and Good Start A2 Toddler Drink are now available online at Amazon, as well as at most major grocery retailers.
DAIRY TRENDS
Pandemic Sparks New Ways of Purchasing and Consuming
T
rends in dairy aren’t just about the products we eat. They are also about the way we buy them and the way we eat them. According to dairy expert Donna Berry, the experiences from the COVID-19 pandemic will most certainly lead to new ways of purchasing and consuming dairy. These include:
NEW FLAVORS!
COST
ESSENTIAL FUNCTIONS
Consumers will seek out products that are affordable and meet taste, quality and functional expectations, especially for everyday items.
Expect greater demand for products that support immunity, sleep and stress relief.
DEMAND FOR DO-IT-YOURSELF Even after the crisis is over, there will likely be residual uncertainty about the safety of public places, particularly restaurants. But home cooks need ideas. Meal kits and combination concepts will help. Shake Shack, for example, is offering cook-at-home burger kits complete with cheese, buns and the company’s special sauce.
RELAX
A TASTE OF NOSTALGIA There’s something comforting in the familiar, from childhood favorite foods to something that reminds us of a recent good time.
RETHINKING ESCAPISM This is all about packaged retail brands creating experiences that mimic food service. Consumers have become more adventurous with their food and beverage choices in recent years to escape everyday stresses. Food service led this innovation by creating new eating experiences. This presents a huge opportunity for food manufacturers to get more creative with exotic flavors, enticing colors and novel textures. (Source: Berry on Dairy, “Dairy Foods Innovation: Product Development and Marketing for the New Norm,” April 17, 2020. Used with permission.)
NED Magazine | Second Quarter 2020 • 31
DAIRY TRENDS
Dairy Farmers Work to Alleviate Consumer Concern Over Animal Welfare BY CAROLINE K. REFF
W
hile public concern about animal welfare is not something new, it does seem to have been pushed to the forefront as of late, as more Americans want to understand where and how their food is sourced. Today’s savvy consumers have questions about the health and well-being of the cows that produce their milk and other dairy products. And, dairy farmers and producers know that the answers to these questions often impact the consumers’ choices at the dairy case. Kendra Lamb didn’t start out as an advocate for healthy dairy farm practices, but today that is an important focus of her work. Lamb grew up on a small dairy farm in the Catskills region
32 • Northeast Dairy Foods Association, Inc.
but later married into a 12th generation dairy farm family in Western New York that currently has 7,000 cows spread out across three milking operations in New York with another in Ohio. When her children, now 8 and 10, were younger, Lamb joined a group called Mothers of Preschoolers. One day, a speaker came in to talk to the parents about why people shouldn’t feed their children dairy. This lit a fire under Lamb, who knew the speaker was spreading misinformation. She invited the members of the pre-school group to Lamb Farms for a tour, so the parents and children could see the animals and, of course, have some ice cream. This eventually led to public tours and with it grew her passion for advocating for an accurate picture of responsible animal care.
“I just love it,” said Lamb, who, when she’s not giving tours, works with the operation’s calves. “It’s not hard to share because we’re doing great things here. People get to know our operation and see happy, healthy cows, which makes them feel more confident about their food supply.” Lamb typically gives about 50 tours a year, but due to the outbreak of COVID-19, she expects to give far fewer this year. Instead, she’ll rely more on the farms’ Facebook page and other forms of social media to give virtual tours and showcase the cows. Currently, Lamb is a board member of the Northeast Dairy Producers Association and chair of the organization’s Animal Well Being Work Group. She acknowledges that videos of alleged animal abuse can always be found online.
DAIRY TRENDS A few, she admits, are cases of abuse, but most are animal activists trying to further an agenda by editing routine, humane farm practices using music that pulls at the heart strings and videos that don’t give an accurate picture of what’s taking place. “For example, you’ll see videos of calves being separated from their mothers, which from the human perspective seems cruel,” she explained. “However, dairy cows don’t have the maternal instincts that some other animals do, and we know that this process is the healthiest thing for both the cow and the calf. A single calf can’t possibly consume all the milk its mother can produce. If you didn’t separate the calf and the cow, you are putting the mother at risk for dangerous health issues like
mastitis. The public needs to understand the whole picture.” According to Lamb, the care of animals is always front of mind for farmers, as healthy animals make for better operations. “That’s what our success depends on — a healthy herd, which results in larger quantities and higher quality milk,” she explained. Lamb does believe the dairy industry has been slow to respond to unfair accusations on welfare, but she is seeing an improvement, as consumer concerns about where food comes from has shown a direct connection on spending patterns. She hopes the industry will continue to promote The National Dairy FARM Program — Farmers Assuring Responsible Management — as 98% of dairy farms work with this initiative to
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DAIRY TRENDS ensure the highest quality milk product. Working with cooperatives, the Farm Program audits members at least every 18 months. Inspectors walk through the entire herd checking for cleanliness, body condition and cow comfort, as well as what health protocols are being used, that employees are properly trained in handling the animals and administering care, and ensuring that the farm works in conjunction with a qualified veterinarian. The Farm Program standards are based on continuous improvement, Lamb explained, so farmers must stay current with evolving criteria. Those farms that do not pass inspection are given mandated corrective actions and will not have their milk picked up, and “that’s your worst nightmare,” said Lamb, whose farm works with Upstate Farms Cooperative. While a few farms were initially reluctant to participate in the Farm Program, according to Lamb, most now see the value of proving to retailers and their consumers that the milk they sell is coming from healthy, well-cared for cows. She hopes that soon this distinction will gain further recognition with some kind of seal of approval placed on Farm Program dairy products. The Farm Program is only one initiative to keeping cows healthy and consumers happy, but Lamb is quick to say that farmers are always willing to take the necessary steps to keep their animals well and their operations running smoothly. She added, “No matter what size farm, famers always give the utmost care to their animals, have pride in producing high quality milk and look to take care of the overall environment, so one day they can pass the farm to the next generation.” All photos courtesy of Lamb Farms.
34 • Northeast Dairy Foods Association, Inc.
COWS NEED TO MANAGE THEIR TIME The term “cow comfort” has become increasingly important in keeping a dairy farm running smoothly. Science has shown that keeping a cow in an optimal environment results in less stress on the animal, and, in turn, the production of better quality milk. According to Dairy Herd Management, cows have a lot to do in just 24 hours. Optimally, a milking cow’s day should include:
•
5.5 hours eating
•
12 to 14 hours resting, including 6 hours of rumination
•
2 to 3 hours standing or walking
•
.5 hours drinking
That totals more than 20 hours and doesn’t include the time spend milking twice a day.
NED Magazine | Second Quarter 2020 • 35
DAIRY CON 2020
Annual Convention Goes Virtual, Free Due to Gathering Restrictions
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ach ye a r, N o r t h e a s t Dairy Foods Association, in conjunction with Northeast Dairy Suppliers Association and the Pennsylvania Association of Milk Dealers, hosts the Northeast Dairy Convention. Given the current circumstances surrounding COVID-19 and uncertainties regarding the ability to conduct large gatherings, the associations have jointly decided to transition this year’s convention from its traditional on-site event to a free half-day webinar-based presentation called Dairy Con 2020. We felt it is of the utmost importance to find a way to still offer a seminar to our members to remain informed and engaged with industry experts and improve your business operations.
This inaugural webinar-based forum for our associations is currently scheduled for Thursday, Aug. 13, 2020, via Zoom from 9:30 a.m. to 12:30 p.m. and be will be hosted and set up by our generous friends at Cornell University. Best of all, it will be FREE to members of NDFA, NDSA and PAMD. Mark your calendar now and save the date! While we are still in the planning stages, we have secured the following speakers for this event:
9:30 A.M. CHRISTOPHER WOLF, PH.D. Professor, Cornell University
Economics, Dairy Markets and Policy Learn how the latest policies and economics pertaining to dairy markets impact your operation from Christopher Wolf, Ph.D., a professor at the Charles H. Dyson School of Applied Economics and Management, Cornell University. From 19972019, Wolf was a professor with the Department of Agriculture, Food and Resource Economics at Michigan State University. His expertise includes farm and business management, diary markets and policy, economics of animal welfare, dairy farm risk management and structural changes in agriculture.
Additional information, registration details and sponsorship opportunities are available at www.nedairyfoods.org. 36 • Northeast Dairy Foods Association, Inc.
10:35 A.M. JEFF KNAUSS CEO and Co-founder, Digital Hyve Branding, Enhancing ROI and Digital Marketing
During this time of great change, it’s never been more important to leverage your branding and digital marketing know-how in order to keep your company at the forefront. Learn from the best, as Jeff Knauss shares his extensive background in public relations and marketing as CEO and co-founder of Digital Hyve, a full-serve digital marketing agency in Syracuse and Rochester, New York. In 2018, Digital Hyve was named the fifth fastest growing marketing and advertising firm in the nation.
11:35 A.M. MICHAEL DURAN President and CEO Food Industry Alliance of New York Challenges, Changes and the Future of Retail
Where is retail headed, and what do you need to know to help dairy stay ahead of the curve? Michael Durant will share his vast knowledge of retail as president and CEO of the Food Alliance of New York. Since 2018, Durant has been leading the organization as the premier voice for the grocery industry, while coordinating public policy, communications and trade relations efforts. Prior to joining FIA, Durant was state director for the National Federal of Independent Businesses, worked in the New York State Legislature and served in a variety of roles under former New York State Gov. George Pataki.
Golf Tournament, Clambake Reschedule for Fall 2020 We know you can’t wait to head out onto the golf course and then enjoy some great networking at our annual clambake and pig roast, but thanks to world events, we have decided to postpone the annual July event until Sept. 22, 2020. Don’t worry, there’s nothing as beautiful as an autumn day in Syracuse, New York, when it’s still warm and the trees are just beginning to change color. The NDFA Golf Tournament will be held at Rogue’s Roost Golf Course, 1092 NY-Rt. 31, Bridgeport, New York, at 8 a.m. Immediately following what promises to be a competitive round of golf, our NDSA Dairy Industry Clambake will be held at the Spinning Wheel Events Center, 7386 Thompson Rd., Syracuse, New York. It’s all you can eat, so bring your appetites!
Tickets for NDSA and NDFA members can be found on our websites, www.neastda.org and www.nedairyfoods.org.
NED Magazine | Second Quarter 2020 • 37
COVID-19Updates
Cornell Experts Answer COVID-19 Questions About Food Safety, Responsible Workplace Practices
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ecause COVID-19 has never before posed a threat to our communities, there are many questions related to how the disease is transmitted and whether or not it impacts the food we consume. The Institute for Food Safety at Cornell University has published the answers to many such questions on its website, instituteforfoodsafety.cornell.edu. Here are answers to some of the most commonly asked questions posed to the Cornell team: Q: Can COVID-19 be transmitted through food? A: Currently, there is no evidence to suggest that COVID-19 is transmitted through food consumption, according to the FDA, CDC and the European Food Safety Agency. Experiences with other coronaviruses suggest that these viruses survive poorly on surfaces, and therefore there is a very low risk of spread from food products or packaging that are shipped over a period of days or weeks at ambient, refrigerated or frozen temperatures. Q: Will pasteurization kill COVID-19? A: Scientific reports are indicating that standard pasteurization at 63 degrees C for 30 minutes is sufficient to inactivate SARSCoV and MERS-CoV, both similar to COVID-19. Q: Will freezing kill COVID-19? A: It is unlikely that freezing alone would be effective against
38 • Northeast Dairy Foods Association, Inc.
COVID-19, however as detailed by the CDC, there currently is no evidence to support transmission of COVID-19 associated with food products that are shipped over a period of days or weeks at frozen temperatures. Q: Is UV effective against COVID-19? A: Scientific reports are indicating that some dosages and wavelengths of UV can be effective against SARS-CoV and MERS-CoV, both similar to COVID-19, however the same studies are reporting that other wavelengths of UV and reduced dosages are completely ineffective. Use of UV in any application cannot be used as a standalone hurdle and cannot be used to replace any of the basic measure required to prevent the spread of COVID-19, including hand-washing, cleaning, chemical sanitizing, pasteurization, exclusion of ill workers from the work environment and social distancing. Q: How long can COVID-19 remain viable on different surfaces? A: COVID-19 is highly unstable outside of its host, and the number of infectious particles is reduced at a fast rate as soon as it exits the host. However, it all depends on what type of surface. COVID-19 survives the longest on plastic surfaces, followed by stainless steel. All in all, COVID-19 has a “relatively short widow after contamination in which viable particles are present on any surface.”
COVID-19Updates Still, it is critical that: • Social distancing is maintained to prevent not only person-to-person contact but also to prevent someone from touching recently contaminated surfaces around other individuals. • Proper hand hygiene takes place at all time. Ideally, this means washing hands with soap and water for at least 20 seconds (or use an alcohol-based hand sanitizer if that is not an option). • People don’t touch their faces. Keeping your hands away from your mouth, nose and eyes will help stop the potential route of infection if someone has touched a recently contaminated surface. • Maintain proper respiratory hygiene practices by wearing a mask or other face covering when social distancing is not possible in order to reduce the risk of transmission from person-to-person, as well as contamination of surfaces. Q: Can COVID-19 survive on cardboard packaging? A: A recent study from The New England Journal of Medicine showed that the number of viable virus particles on cardboard
are reduced by half every three hours. Because of this fast rate of inactivation, there is likely a very low risk of spread from food products or packaging, especially when these products are shipped over a period of days or weeks. As of April 21, 2020, there were no known cases of transmission through cardboard, and there is no recommendation for specific interventions to address transmission through cardboard. However, it is still important to reinforce handwashing, proper respiratory hygiene and not touching your face when handling these types of items. If you’re an employer, you may have other questions pertaining to safe practices in the workplace. Again, the experts at Cornell have provided the following information: Q: Should my employees wear masks or cloth face coverings to reduce the spread of COVID-19? A: Cloth face coverings or facial coverings are any fabric that covers both the mouth and nose. These can be made using household items like scarves, bandanas and T-shirts and can be hand sewn or factory made. (Note: With few exceptions, surgical masks, face shields and N95 respirators are consid-
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COVID-19Updates ered critical supplies that must continue to be reserved for healthcare workers and other medical first responders, as recommended by current CDC guidance.) In New York State, by executive order, all public and private employees are required to wear face coverings when in direct contact with customers or members of the public, and employers are required to provide these masks at the company’s expense. This does not, however, apply to those in the food production and processing environment, but employees may choose to use cloth face coverings as they often work close to others. (Editor’s note: Directives may vary from state-to-state, so please check your own state’s regulations.) Q: If workers on farms and in food production or processing choose to wear cloth face coverings while at work, what precautionary measures are recommended? A: According to the FDA and CDC: • Cloth face coverings should fit snugly but comfortably against the side of the face and secured with ties or ear loops. • Cloth face coverings should include multiple layers of fabric but should allow for breathing without restriction. • Those wearing masks should avoid touching eyes, nose and mouth when removing the cloth face coverings, and wash hands immediately after removing. • Cloth face covering should be able to be laundered and machine dried without damage or change to shape. • Keep cloth face coverings clear of food residue and any other soils. • Launder the cloth face coverings in a washing machine and machine dry before each daily use or whenever they become wet, sticky or visibly soiled. • Employees who are required to wear beard-nets should wear them over the cloth face covering. • If cloth face coverings are re-used before washing, store them in a paper bag to allow them to dry until the next use. Q: Should employees use gloves or wash their hands? A: Employees in food processing facilities should continue to follow good manufacturing practices such as frequent hand washing and good personal hygiene. If disposable gloves are worn as part of the routine procedures in an individual facility, employees must wash their hands before using the gloves. Gloves must be changed anytime they become contaminated, including anytime the gloves touch a person’s face, hair or any filth. Hands should be washed before and after preparing food, and gloves should be changed. It is important to recognize that gloves do 40 • Northeast Dairy Foods Association, Inc.
not prevent cross-contamination, and therefore by themselves do not prevent the spread of illness from one employee to another. Q: Should I check employees’ temperatures to screen for COVID-19? A: If your employee has visible symptoms, you do not need to take his or her temperature. Immediately segregate the employee, send him/her home and have the person reach out to a primary care provider for evaluation. Taking employees’ temperatures as a condition of entering the facility is currently permissible due to the risk presented by COVID-19 to food production. Employers are encouraged to review the U.S. Equal Employment Opportunity laws, as well as consolidated information at eeoc.gov that was recently updated in response to COVID-19. According to these laws, employee temperature screening must be done on a nondiscriminatory basis. The information collected during the screening should be kept confidential and be available only to key members of management. Employees with a normal body temperature (below 100.4 degrees) still need to follow all rules that are in place to reduce the transmission of COVID-19 inside and outside of the workplace, as a person can still be infectious without exhibiting a fever or other common symptoms. Communication with employees about symptoms to watch for, who they should notify if they show symptoms or what to do if they come in contact with someone who has or may have COVID-19 is vital, as is the assurance that they will still be paid if they must leave work due to COVID-19. Q: What if I offer an essential service that requires my employees or me to go to other businesses? How can I protect myself and my employees from COVID-19? A: COVID-19 is spread mainly from person-to-person and through respiratory droplets produced when an infected person coughs or sneezes. The best way to avoid the spread is to clean your hands often, avoid close contact with others by maintaining 6 feet of distance, and clean and disinfect frequently touched surfaces. Clean your hands often with soap and water for at least 20 seconds, especially after you have been in a public space, or use hand sanitizer that contains at least 60% alcohol. Be sure to wash your hands and avoid touching your face, especially after touching frequently handled surfaces like tables, doorknobs, light switches, countertops, handles, phones, keyboards, faucets, etc. You might even consider bringing your own cleaner and disinfectant with you when traveling to different sites. This
COVID-19Updates way, you can disinfect frequently touched surfaces you come in contact with on the job. Q: How do I encourage social distancing even though my employees work together every day and are very familiar with each other? A: The exposure to COVID-19 can be greatly minimized by social distancing (maintaining 6 feet or greater distance). The key here is thinking that even though you work with the same people every day, you don’t know who they’ve been unintentionally exposed to when they are not at work. Social distancing can present a problem among employees because familiarity of workers tends to result in them dropping their
guard. A conscious effort needs to be instituted, and supervisors should be ensuring that these practices are always happening. A training session for all employees should be initiated to encourage social distancing and provide the benefits of it. While the term is “social distancing,” it should be emphasized that social interaction between workers is allowed as long as it is done from a recommended safe distance of 6 feet. For more information and answers to your questions, go to Cornell University’s Food Safety Institute website at https:// instituteforfoodsafety.cornell.edu/coronavirus-covid-19 . Excerpts were used with permission from Rob Ralyea, senior extension association, Department of Food Science, Cornell University.
PRACTICE SAFE
SOCIAL DISTANCING KEEP 1 COW
OR 2 CALVES
AWAY FROM OTHERS
Source: American Dairy Association North East; Design by Robin Barnes
NED Magazine | Second Quarter 2020 • 41
COVID-19Updates
Life After COVID-19 Could Be Drastically Different BY JOHN PHIPPS
T
he radical changes in everyday life forced upon us by the COVID-19 pandemic have been vigorously debated as too much or too little. Whether new behaviors carry over to life after this immediate health threat is also unknown. I think the return to previous daily habits will be slower than we think and uneven across the country and world, depending on when people decided COVID-19 was a local threat. This event has been so universal and life-altering, it seems logical to assume daily activity months from now will be different, as lessons from this trial become internalized. For example, I think mask-wearing when away from home will become a sign of courtesy, as we now know it slows infection emanating from the wearer, more than the reverse. The virus could reappear later, and more and closer examples of illness will overcome skepticism about their use. I could imagine new travel screening, similar to what happened after 9/11. For example, once a vaccine has been developed, a document similar to what I had to carry years ago when I was in Africa showing my immunization record could be as routine as your passport — even domestically. Body temperature screening could be standard practice, particularly at transportation centers or
42 • Northeast Dairy Foods Association, Inc.
large gatherings. Survivors may carry immunity certificates, which could earn them social privileges. And who knows what will happen to hand shaking? There may be a more widely shared sense of urgency for better broadband, especially for rural America. Those who only recently learned to order food and merchandise online, conduct financial matters like banking and acquired new skills on YouTube because a repairman could not visit, will not unlearn those abilities or forget the surprising advantages. COVID-19 is keeping us apart. When we can, we will probably connect as fast as possible in person with our family, friends and business partners, but the frequency of face-to-face contact for all of these relationships may not rebound to pre-COVID levels. More unsettling, many of us may be OK with more isolation in whatever normal times look like in the future. John Phipps is a farmer from Chrisman, Illinois, who writes humor and commentary pieces. He is the TV host of U.S. Farm Report. This article was used with permission of the author and reprinted from the website, agweb.com.
COVID-19Updates
Milk Giveaways Show Community Solidarity
H
elping others never goes out of style. And there’s no better feel-good story in the dairy industry than that of milk giveaways that have been happening across the Northeast since the outbreak of COVID-19. From members of the dairy industry to private citizens, milk giveaways have become common in so many communities in an effort to help those who are food insecure during such a troubling time. Dairy farmers across the U.S. have had no choice but to dump millions of gallons of milk each day since the pandemic struck, as stay-at-home restrictions forced the closing of schools and restaurants, which are a primary source of business for the industry. At the same time, many Americans struggle to put food on the table or are too frightened to go shop for food. Innovative members of the dairy community, volunteer organizations, local governments, area businesses and even private citizens put their heads together to create a simple gesture that has helped so many — and the idea has quickly caught on across the nation. The Dairy Farmers of America has been working with industry leaders and milk processors to come up with solutions and uses for this surplus milk. Just a few examples of success stories from this initiative (which was also aided by the American Dairy Association North East) include a donation of 9,500 half gallons of milk to the Connecticut Food Bank in conjunction with NDFA member Guida’s Dairy; and more than 36,000 half gallon jugs given to organizations like City Harvest in Brooklyn, New York, and Share Programs in
Philadelphia. Well over 100,000 gallons of milk had been given away by mid-April across the Northeast, according to Jennifer Huson, senior director, marketing, council affairs and industry relations, DFA, with more events being planned every day. In Central New York, the DFA and the American Dairy Association North East teamed up on a number of drive-thru milk giveaways. In late April, for example, one event distributed nearly 8,000 gallons of milk as cars lined up at Destiny USA, one of the largest malls in the country. Volunteers distributed 2 gallons of milk per car to anyone in need.
To ensure the safety of both volunteers and recipients, drivers and passengers typically remain in their cars during drive-thru distribution. SUNY Morrisville also held the first of several drive-thru dairy giveaways it sponsored that not only included milk but also dairy products like cheese and yogurt donated by NDFA members HP Hood and Chobani. On May 1, its Norwich (NY) campus announced plans for three more dairy/agricultural give-aways throughout May and June in conjunction with Cornell Cooperative Extension. Local businesses and foundations donated funds to help this cause, and SUNY Morrisville received donations from the community, as well. NED Magazine | Second Quarter 2020 • 43
COVID-19Updates
Items distributed included butter, cheese, milk, eggs, fresh fruit and vegetables and non-perishable items. “We wanted to do something to help those in the community during these difficult times,” said Ashley Adams Marshall, assistant professor of dairy science at SUNY Morrisville, who spearheaded the effort along with area dairy farmers. “Not only does this help those in need in our community, but it also helps the struggling dairy industry since the demand for dairy products has dropped dramatically due to the COVID-19 pandemic.” Even private businesses have jumped in to help, as stories surfaced of companies — large and small — purchasing milk with their own funds to give away to struggling members in communities across the Northeast. To ensure the safety of both volunteers and recipients, drivers and passengers typically remain in their cars during drive-thru distribution, simply opening their trunks to receive
44 • Northeast Dairy Foods Association, Inc.
milk and other supplies. Cars without trunks are asked to open their passenger-side windows to receive the milk from volunteers wearing gloves and masks. Walk-ups are usually not permitted per social distancing guidelines. “Milk is an essential item for nutritional well-being and meal preparation, especially for households with children,” said Rick Naczi, CEO, American Dairy Association Northeast in a statement. “We’re doing everything we can to make sure families have access to milk.” (Editor’s Note: If any of our members not mentioned in this article have participated in similar milk and dairy giveaways or assisted their communities during the pandemic, please send an update to creff@nedairymedia.com.)
COVID-19Updates
Excess Milk Creates Supply for Vermont Foodbank
T
he Vermont Agency of Agriculture, Food and Markets has coordinated an effort to recover raw milk from being disposed while creating a new, temporary food supply for the Vermont Foodbank. In collaboration with the Vermont Community Foundation, $60,000 was made available to purchase this milk for the benefit of Vermonters. These efforts are particularly important, as Vermont’s dairy industry, like all sectors, has been challenged by COVID-19 but remain essential to Vermonters’ food supply. “This collaboration highlights the integral role of Vermont dairy farms in our state’s food system,” said Gov. Phil Scott. “I applaud these groups for supporting our farmers and Vermonters in need, feeding our most vulnerable and not wasting a valuable and healthy agricultural product.” Joining in this effort are Dairy Farmers of America, Commonwealth Dairy, LLC; and HP Hood. DFA family farms are providing the milk to Green Mountain Creamery and HP Hood. The milk is being processed by these Vermont dairy producers for a donation of 42,000 cups of yogurt and over 11,500 gallons of 2% milk to the Vermont Foodbank. The donation will serve hundreds of food bank clients, providing nutritious dairy products to the Vermont communities in need while preventing valuable food waste. New England Dairy also provided support to bring these businesses together.
Products will be produced weekly and donated to the Vermont Foodbank through mid-July. In May alone, this effort produced 1,152 gallons of milk and 3,500 cases of yogurt, which helped the foodbank to serve thousands of people. Requests for assistance from The Vermont Foodbank have, at times, doubled due to the COVID-19 pandemic.
“We are pleased to be a part of this initiative to get nutritious dairy products to Vermont families during these difficult times,” said Kiersten Bourgeois, manager, communications and industry affairs, DFA. “Dairy farmers are also being challenged by disruptions as a result of COVID-19, and this initiative is a step in the right direction to supporting many parts of our society.”
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NED Magazine | Second Quarter 2020 • 45
COVID-19Updates
MilkPEP Updates Critical Marketing Efforts in Times of Crisis (Editor’s note: In the last issue of Northeast Dairy magazine, we ran an article about how the Milk Processor Education Program, commonly referred to as MilkPEP, works to assist the greater dairy industry in marketing the consumption of fluid milk to consumers. That article highlighted some of MilkPEP’s upcoming campaigns, including one surrounding the now-postponed Summer Olympics and another in support of Feeding America. Things have changed since the outbreak of COVID-19, so we asked MilkPEP to provide our readers with an update.)
T
he work MilkPEP is doing since the start of the COVID-19 pandemic is as important as ever, and the organization has certainly not backed down in the face of this crisis. In fact, plans are stronger than ever, as the organization continues to promote fluid milk, as well as adapt some of its planned campaigns for 2020. According to Melissa Malcolm-Cullison, director of national sales and field marketing, MilkPEP has worked quickly to help the industry navigate this unprecedented time in the short term, while assessing long term implications. Immediate actions include: • launching a new effort, called “From All of Us,” to highlight and thank all the people behind the gallon — from farmers to brands to retailers • extending an ongoing partnership with Feeding America to help ensure essential nutrients, like milk, get to those in need • ensuring brands have the information they need to take advantage of USDA stimulus programs to get commodity foods, like milk, into the hands of food insecure Americans • creating new resource guides with news, analyses, marketing guidance and resources for milk brands, which are updated on an ongoing basis to provide relevant and current information during this evolving period in our history. “At this difficult time, the biggest areas of concern for the industry continue to be sustaining category growth and positive consumer sentiment towards milk,” said Malcolm-Cullison.
46 • Northeast Dairy Foods Association, Inc.
She added that MilkPEP has been analyzing trends, mapping insights and developing competitive strategies to help dairy organizations navigate during the pandemic. “We are lucky that our industry is benefitting in many ways from the extreme retail demand,” she added, “and we are focused on providing the industry with opportunities to help cement and sustain emerging consumer behaviors and growth. Our job is to help support and grow the milk category through good times and bad — and that continues to be MilkPEP’s priority.”
At this difficult time, the biggest areas of concern for the industry continue to be sustaining category growth and positive consumer sentiment towards milk. Malcolm-Cullison noted how remarkable it is that Americans are currently embracing milk to such a high degree, as it was already a staple in 94% of homes even before the pandemic. Milk is essential now more than ever. Seventy-two percent of moms said milk is their No. 1 must-have food or beverage right now, according to a Radius survey. This is represented by dramatic increases in milk dollar sales and volume at retail since early March 2020. During the last two weeks of March, for example, fluid milk volume at retail was up 34%, as Americans participated in a wave of “stocking up” due to stay-at-home orders across the nation.
SUPPORTING TEAM USA! The 2020 Summer Olympic Games have been postponed until 2021, but that isn’t stopping MilkPEP’s support of the global event. As an official sponsor of Team USA, MilkPEP
COVID-19Updates
Want to make a
SPLASH in the dairy Industry?
Photo credit: Scott Draper
continues to back the athletes and the work that they are doing to get ready for the rescheduled event. MilkPEP is working with the United States Olympic Committee right now on long-term implications for its planned work and will release regular updates moving forward.
Do you sell products or services to companies that process, manufacture and distribute dairy products?
Let us help you make a splash.
THE GREAT AMERICAN MILK DRIVE The Great American Milk Drive is now more important than ever, as the economic impact of COVID-19 is tightening consumers’ budgets. According to Malcolm-Cullison, MilkPEP is committed to ensuring all Americans have continued access to nutrient-rich milk and is accepting ongoing, year-round donations for milk. In April, MilkPEP extended its current partnership with Feeding America by matching every dollar, up to $100,000, donated to provide additional financial support to the organization’s network of food banks. For more information on donations of milk and/or funds, go to milklife.com/give. In addition, MilkPEP has continued to be a constant source of information on various issues impacting the dairy industry, including insightful webinars and other vital materials emailed almost daily, during this outbreak. Information can be found on the organization’s website at www.MilkPEP.org. “MilkPEP has always focused on providing the industry with competitive and powerful strategies and campaigns to drive the category and businesses forward — something we continue to do both now and after the pandemic is over,” Malcolm-Cullison said.
Boost your bottom line and brand awareness within the industry. Contact us today to learn about the opportunities. Anne DeSantis Relationship Manager anned@nedairymedia.com 315-445-2347
NED Magazine | Second Quarter 2020 • 47
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Ace Sanitary Founded on Products, Service and the Fastest Turnaround
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e are committed to maintaining the fastest turnaround times in the industry. We believe friendly and helpful customer care is the first step towards customer satisfaction. We believe in providing products that allow end users to maintain the highest levels of product and process quality. We are committed to approaching every customer request with excellent communication, unparalleled speed and problem solving. These are not simply platitudes on Ace Sanitary’s website. Instead, they are a firm commitment to its customers that has helped the West Chester, Ohio-based company grow into a leader in the manufacturing and supply of sanitary hoses used in a variety of industries, including dairy. Ace Sanitary was founded in 2004, as a division of Ace Manufacturing Company, to meet the needs of distributors looking not only for a reliable product and outstanding customer service, but also short lead times — something that existing 48 • Northeast Dairy Foods Association, Inc.
competitors just weren’t able to provide, according to Greg Evans, sales manager. The company grew quickly around its initial offerings, the Flex-Rite Sanitary Hose Line and Seal-Rite Sanitary Hose Fittings. In 2017, Ace Sanitary became an independent operation serving the dairy, food and beverage, cosmetic, pharmaceutical and bio-tech manufacturing markets with FDA-compliant products. The core of the business continues to revolve around its original Flex-Rite and Seal-Rite products, but the company has expanded its product line in order to fully understand customer processes and provide proven-engineered solutions to meet those applications. Much of its customer loyalty has come from Ace Sanitary’s reputation for a robust quality program that it has worked to formalize over the past five years. The company is ISO registered and meets 3-A sanitary standards for hose assemblies – essentially assuring its customers safe products without risk
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of contamination. According to Evans, the company holds a proprietary patented fitting design that “simply takes our product to another level and is superior in design to similar products on the market.” Yet, it’s not only the products but the quick and responsive attention to its customers that Ace Sanitary stakes its reputation on. “We have grown because of our agility and ability to respond to customer requirements and are committed to maintaining the fastest turnaround in the industry,” said Evans, explaining that most customers still “run to failure” and use hoses until they simply fall apart. “Most don’t have the cash flow to have every kind of spare hose on hand, so when a customer needs a hose, they need it now! We’ve been able to consistently deliver on this in a way that some of our larger competitors simply can’t make happen.” Currently, the company is in the process of moving into a larger space to keep up with its growing demand in the dairy industry, as well as its expanding markets in the pharma and bio-tech industries. Today, the company employs approximately 30 people, including five managers who cover regions throughout North America, as well as an international market that includes the Pacific Rim, Europe, South America, India and Australia. Ace Sanitary has made a concerted effort to maintain the same level of commitment to its international clients by aligning itself with first-rate distributors that share the company’s same commitment to service, speed to market and quality standards.
“The true difference Ace provides is the personal attention we give every customers — either by phone, in person or with one of our industry’s best distribution partners.”
– Mark Hess
As for the recent challenges surrounding the COVID-19 pandemic, Evans explained that the company has had to change the way it does some things, including restricting travel and more web-based contact with customers. However, since it is considered an essential business, Ace Sanitary continues to see consistent activity. Even in an uncertain world, Ace Sanitary continues to fill the needs that the company was founded upon. “What separates us from all others is knowing how to apply solutions to individual situations,” said President Mark Hess. “Every facility has unique challenges, and the unparalleled industry knowledge our team possesses makes it extremely likely we’ve seen and solved a similar issue elsewhere.” “The true difference Ace provides is the personal attention we give every customer — either by phone, in person or with one of our industry’s best distribution partners,” Hess added. “Our goal is to get them up and running. That’s where we really help our customers.” NED Magazine | Second Quarter 2020 • 49
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Nelson-Jameson Feels a Moral Obligation to Keep Food Safe
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elson-Jameson’s tagline: “Your Safe, Quality Food Is Our Business” goes straight to the heart of this fourth generation food safety solution provider.
In 1947, the company was established in a vacant cheese factory in Toluca, Illinois, by Earl Nelson and his father, Ted, along with Herb Jameson and Bob Dougherty, as a dairy equipment and supply business. The founders intended to serve as a comprehensive resource for dairy plants, but they soon determined that Illinois was not the best location. So, Ted Nelson and Jameson studied dairy production maps and made the decision to move the business to Marshfield, Wisconsin, the heart of dairy. Soon after, Jameson and Dougherty left to pursue other business opportunities, leaving the company in the hands of Earl and Ted Nelson. Now, Earl’s son, John, is the chairman emeritus, and his grandchildren, Adam and Amanda, are senior executives within 50 • Northeast Dairy Foods Association, Inc.
the company, which has expanded into an actively involved dairy partner supplying a broad spectrum of products to help food processors create safe, quality food in all 50 states and 50 countries around the globe. While the company has always been committed to safe, quality food, today’s customers and consumers are more concerned than ever with food safety. Nelson-Jameson works closely with each customer to understand individual needs and provide quality, consistent products “that keep a laser focus” on safety practices. From building a color-coded program to prevent cross-contamination to establishing a strong environmental monitoring program, the 200-plus employees at Nelson-Jameson are committed
to continuous improvement by engaging with researchers, regulators, professional organizations, suppliers and other experts in the industries they serve. Not only does the company incorporate those insights into the plant, but it also provides a number of outlets for customers to access that wealth of information through workshops, learning resources and trials. “We are committed to providing a bridge of communication and understanding between our customers and suppliers that brings a firm grasp of the challenges and best practices that contribute to ensuring a safe food supply and helping our customers navigate and exceed the regulatory expectations that are out there,” said Adam Nelson, chairman of the board of directors. “Food safety is a concern in all areas of the plant, from the breakroom to the production floor, and Nelson-Jameson will keep working with our customers and suppliers to find the most effective and powerful tools available, while also anticipating future needs, as well.” Nelson-Jameson has seen an increased focus on environmental and microbiological testing, sampling supplies, sanitation products and supplies, processing items, material handling products and cleaning chemical. It has more than 110,000 items from over 1,200 vendors that are specifically selected to service these needs — and more — of dairy, food and sanitary processors, as well as farmers and growers. “We consider ourselves a one-stopshop for the food industry,” said Adam
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Left to Right: Jerry Lippert, president; Amanda Sasse, manager of web marketing and strategic relationships; John Nelson; chairman; Adam Nelson, chairman, board of directors.
Nelson. “We strive to provide everything a customer needs in one delivery because we understand their need to keep their plants up and running safely and efficiently.” Keeping the food supply safe has never been more important than during the COVID-19 pandemic, and NelsonJameson is committed to continuously monitoring this unprecedented situation for updates, recommendations and evolving regulations. To that end, the company has taken proactive measures based on guidance from the CDC, FDA, the USDA and OSHA to increase risk assessment of its products and continually communicate with its vendors in case of a supply chain disruption or product shortages. “We feel a moral obligation to maintain the integrity, continuity and safety of our nation’s food supply to the very best of our abilities and resources,” said Adam Nelson. Nelson-Jameson is proud to be a family-owned company that has continued through four generations to foster solid relationships with people who know the industry. “From our inception, we’ve operated under the ‘Golden Rule’ as a company, bringing a deep sense of connection within our family, our employees and our customers,” Adam Nelson explained. “Even though growth sometimes poses very real challenges, our human connection is what sets us apart. We care and want to do right by others by utilizing sound, ethical business practices.” NED Magazine | Second Quarter 2020 • 51
Member News
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elGioioso Cheese won seven medals — two gold, four silver and one bronze — at the World Championship Cheese Contest in Madison, Wisconsin, including gold in Prepared Foods and the Aged Provolone Class. First place went to the company’s provolone mandarini and its fresh mozzarella, prosciutto & fresh basil roll. A family-owned company, BelGioioso is known for its master cheesemakers who handcraft products using natural ingredients and locally-sourced milk. The Herbein + Company, Inc., announced that it won the ClearlyRated 2020 Best of Accounting Award for providing superior service to its clients. The award recognizes accounting firms for exceptional service quality based exclusively on client ratings. Herbein was noted for satisfaction scores of 9 or 10 out of 10 from 87% of its clients, which is significantly higher than the industry average of 45% in 2019. “Our firm creates impact for our people, our clients and our communities – and we are proud to be recognized by our dedication to client success,” said Managing Partner David W. Stonesifer, CPA. “We’re committed to exceptional quality standards and making the future happen for our valued clients – and believe this award reflects their trust in our ability to deliver.” In an effort to tackle the lack of rural broadband access, an issue dramatically exacerbated by COVID-19 and the need to conduct daily tasks virtually, Land O’Lakes and many of its rurally located retail-owners offered free and open Wi-Fi access from outside many of their company locations, manufacturing facilities and satellite businesses in 11 states.
52 • Northeast Dairy Foods Association, Inc.
In honor of Earth Week, Perry’s Ice Cream Co., Inc., shared its sustainability progress from its 2019 Good Stuff Report, a summary of the work done by the company that prides itself on a sustainability culture based on People, Planet and Performance. To read the full report and related blog posts, go to bit.ly/2xyt50t. Tremcar U.S.A. Inc., Piper Systems and Agri-Mark have teamed up to bring customers a real time solution for bulk milk transfers. Piper Systems has developed an automated metering and sampling devices to validate milk quality and calculate milk weights for each farm. This technology has the ability to save drivers hours per day, while also improving milk quality and traceability. Working with Agri-Mark and DFA, Piper conducted extensive studies to secure U.S. approval for the metering and sampling technologies demonstrating excellent performance across a range of tests. Adding to this innovation, Tremcar, which specializes in custom-built tank trailers, has engineered a “future-proofed” farm pick-up tanker adapted to the installation of this equipment, giving haulers the opportunity to access huge improvements in efficiency and quality of life. Stewart’s Shops has a history of giving back to nonprofits in its community even in times of prosperity. However, during this difficult time, the company has made a special commitment to nonprofits working in the areas of the arts, education, recreation, health, civic and social. To this end, Stewart’s is accepting grant applications to nonprofits impacted by COVID-19. There is no deadline, and grants will be given on a case-by-case basis. For information, go to stewartshops. com or call 518-581-1201 x2190.
IN MEMORIAM
Bob Wellington Senior Vice President of Economics and Legislative Affairs at Agri-Mark Robert “Bob” Wellington passed away on March 20 at the age of 65. Wellington began at Agri-Mark in 1989 and was a nationally-recognized expert on Federal Milk Marketing Orders and milk pricing. He held bachelor’s and master’s degrees from Rutgers University, where he also taught. After completing his education, Wellington worked for the Milk Market Administrators Office in New York City for 11 years as the chief of research and senior economist. In 1989, he and his family moved to New Hampshire, where Wellington began a 30-year career with Agri-Mark. There he worked as an advocate for local dairy farmers and was a national leader on dairy issues and milk pricing. According to Gary Latta, NDFA consultant, in recent years, Wellington was a great ally to the association with bills in New York, Vermont and New Hampshire. He also was a guest speaker at several NDFA conventions.
Member News
NEW MEMBERS The following new members recently joined Northeast Dairy Foods Association Inc., or the Northeast Dairy Suppliers Association, Inc. For more information about the benefits and services available in both the Northeast Dairy Suppliers Association, Inc., and the Northeast Dairy Foods Association, Inc., contact Alex Walsh, director of membership and communication, at 315-452-MILK (6455) or aw@nedairyfoods.org.
CAMAIRCO EQUIPMENT 101 Edson St. Amsterdam, NY 13365 (518) 866-2850 www.comairco.com Joseph Bonfardeci Technical Representative jbonfardeci@comairco.com
HANSEN RICE, INC. 1717 East Chisholm Dr. Nampa, ID 83687 (208) 899-9396 www.hansen-rice.com Christopher Jocham Program Director, Dairy Programs cjocham@hansen-rice.com
buyersguide.neastda.org
REACH MEMBERS BY ADVERTISING IN THE NORTHEAST DAIRY CONNECTION • The official membership e-newsletter of the Northeast Dairy Foods Association, Inc. and Northeast Dairy Suppliers Association, Inc. • Recently redesigned and moved to Wednesdays. • Strong open rate of 26% and a click-through rate of 24%.
TWO ADVERTISING OPTIONS AVAILABLE FOR THE E-NEWSLETTER • A Spotlight Ad allows your company to have a 50 word description at the very top of the newsletter, as well as a logo, plus a 600x300 spotlight ad in the body of the text. • A banner ad is a 600x150 ad that is placed in the body of the newsletter.
Contact Bill Brod by emailing billbrod@Nedairymedia.com or calling 315-445-2347, ext. 138. NED Magazine | Second Quarter 2020 • 53
BestPractices
Working From Home May Have Advantages for Employers BY PAUL BANUSKI
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s we all find ourselves in an unprecedented and rapidly evolving situation regarding COVID-19, we know many employers are asking their employees to work remotely whenever possible, whether as a best practice to maintain social distancing or to comply with a state order regarding essential businesses. Working from home was already a growing trend prior to the pandemic, and many organizations are finding that there are some roles that may not require a physical presence at an office or jobsite at all. So, whether it’s a short term accommodation due to circumstances or part of a broader effort to modernize the workforce and reduce physical overhead, what do employers and employees need to know about working remotely?
SETTING EXPECTATIONS For employees who are able to work remotely, employers should develop a specific work-from-home policy to set appropriate expectations both for what is expected of the team and what the team can expect, too. There are many routines that can be shed once one is no longer in an office environment that many managers worry may result in a loss of either professionalism, productivity or both. First, an organization should identify which functions within the organization could function remotely — in other words, really think about who needs to be on site. If a majority of your 54 • Northeast Dairy Foods Association, Inc.
communication is via phone or email, does it matter if someone is down the hall, across town or even across the country? You may decide that there are certain activities that must be done on site or critical in-person meetings. That’s fine — remote working can mean flexibility from both parties. Maybe someone can work three days per week from home but needs to be on-site for meetings or certain activities for two other days during the week. When it comes to remote working there is no one-size-fits-all solution.
QUESTIONS TO CONSIDER Once you identify the positions that might be suited to remote work, you’ll need to take into consideration the following factors: • How will you track time for non-exempt employees (including mandatory meal periods)? • How will you communicate both one-on-one and as a team? • How should an employee procure office supplies? Will the company provide them, or is the employee responsible to obtain them and then track and submit expenses? • How can you and the employee work to protect the security of company and customer data? • How can you and the employee protect and maintain company property, including computers, printers and mobile devices? Any work from home policy should also clarify that the
BestPractices employee is expected to maintain a work area that is largely free of distraction and offers some privacy to discuss proprietary or confidential information if required. It’s also important to work out what the employer will and will not be responsible for regarding home office furnishings, internet and phone services. Many of these factors may vary from company to company. What’s most important is that you find out what will and will not work for you.
BENEFITS OF THE “NEW NORMAL” It’s important to keep in mind that, along with the potential costs of remote working, there are definite advantages, as well. If an organization can shift to a remote or partially remote workforce, it can reduce its physical office space, energy costs and other expenses related to maintaining a larger location. It also allows the organization to expand its network of potential employees. If most work can be done remotely, you are no longer limited to filling positions with job candidates in your immediate area. And, because so much of the success of remote work is supported by technology, your organization’s
embrace of this technology will be seen as a major advantage for forward thinking candidates. Not every organization or employee is going to be a good fit for remote working long term, but those who are comfortable and productive under this model will gain a competitive advantage over other organizations in their field, will be more efficient with reduced overhead costs and attract the best potential hires on the market. Many employers have been forced into experimenting with remote working due to the COVID-19 pandemic and in the process are learning a great deal about how the “new normal” might have its advantages. Paul Banuski is a human resource consultant for HR One, a full-service payroll and human resource consulting firm. For more information, call the company’s helpline at 1-800-457-8829.
Catch up on the previous issues of Northeast Dairy Magazine.
Visit issuu.com⁄nedmagazine NED Magazine | Second Quarter 2020 • 55
BestPractices
Lean on the Experts to Protect Your Company From a Cyberattack BY LISA BOLDUC
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ric Schmidt, executive chairman at Google, stated, “The internet is the first thing humanity has built that humanity doesn’t understand, the largest experiment in anarchy that we ever had.” The anarchy Schmidt speaks of has the potential to damage a business’s intangible, tangible and financial assets through cyberattacks. The following is meant to help untangle common misconceptions and share resources available to companies to hedge their exposure. Advancements in technology have created susceptibilities to malicious cyberattacks for all types of industry. The dairy industry is one of the oldest in the United States built on manual labor and traditional techniques. Yet, it has significantly evolved to meet demand and increase productivity in order to provide products to consumers. We see this with IoT — internet of things — and agriculture. The demand for increased productivity and lower commodity pricing has driven some farms to start adopting “smart” agricultural systems. Some farmers utilize IoT devices to monitor cows’ health and provide other datapoints to increase production and ultimately increase profitability. “Investment in precision AgTech systems reached $3.2 billion globally in 2016,” according to coalitioninc.com. This exemplifies the growing exposure to the farmers for cyber criminals to attack AgTech systems. 56 • Northeast Dairy Foods Association, Inc.
Notably, utilizing a cloud-based platform does not create immunity from a cyberattack. An industry-wide ransomware attack on herds with IoT devices would equate to $46 million, according to Irmi.com. Technology evolves rapidly and will continue to change the global economy. Furthermore, as 5G becomes more accessible, it creates a new opportunity for cyber criminals to expand reach exponentially with a single point of access. Cyber insurance is a vehicle to effectively transfer risk and cover costs associated with a breach.
COVERAGE OVERVIEW Keep in mind that coverage definitions will vary depending on the policy (as cyber is such a young coverage, the policies are changing rapidly). It is very important for the broker to pay close attention to the following terms and conditions and exclusions within the policy and communicate them appropriately. • Third Party Coverage typically include coverages for defense costs and damages resulting from liability to a third party for regulatory fines and penalties, PCI fines and
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assessments, multi-media content liability. Social Engineering is defined as “the art of manipulating people in an online environment, encouraging them to divulge in good faith, sensitive, personal information, such as account numbers, passwords or banking information” by International Risk Management Institute, Inc. This is a very common coverage to be overlooked or governed by a sub-limit that is too low. Bodily Injury and Property Damage covers losses resulting in damage and impairment to tangible property. It is important here to confirm this item includes first and third party coverage. Funds Transfer Fraud covers financial losses incurred from failure in security. Pay close attention to if this coverage includes social engineering. Business Interruption would cover financial losses resulting from failure in security, data breach or systems failure, in addition to expenses to bring the company to full functionality.
LIMITS AND PREMIUM The cost associated with cyber insurance will vary depending on the type of operation, revenue and cyber claims history, among other factors. What makes cyber insurance underwriting unique is it is based on payment card industry, or PCI; protected health information, or PHI; and personally indentifiable information, or PII, which the company possesses. Obtaining the correct limits for your company should be strategic and knowledge based. Benchmarking against similar companies in size and scope is a useful tool in procuring the appropriate limits. There are different
metrics for comparison purposes. For example, 66% of “consumer staple” companies with revenues less than $1 million carry $1 million to $2 million in cyber insurance coverage. Furthermore, we see claim settlements for consumer staples (of all sizes) up to $10 million. Lastly, the broker can provide coverage comparisons from competing quotes. With that being said, trying to choose the “correct” limit is an imperfect science, as we cannot predict the size of the loss you may face.
LOOKOUT FOR DUPLICATE COVERAGE Some policies have cyber insurance limits built into the coverage forms on general liability or property policy. Typically those coverages are basic, inexpensive and are subject to policy sub-limits. For example, there may not be coverage for third party damage and/ or a sub-limit of $10,000 for fraudulent electronic funds transfer. The average funds transfer fraud is $500,000, according to the Computer Security Institute. If your company purchases both a coverage enhancement and a stand-alone cyber policy, it is best practice to remove the coverage enhancements and have the comprehensive cyber insurance policy remain in place. More importantly, when there is a claim, it is advantageous to have clearly defined roles and expectations on which policy will respond and indemnify the company adequately. This ensures efficiency, clarity and quicker disbursements of the claim settlement.
MAXIMIZE INSURANCE POLICY Target, Equifax and other Fortune 100 companies have been subject to cyber incidents, and each of these companies most likely had a team of IT experts. A misconception is cyber attackers only target large companies in expectation of higher remuneration. However, 58%
of cyberattacks target small businesses, and an average loss is $160,000 for a ransomware attack, according to securityboulevard.com. The leading cyber insurance companies offer pre-claims services to diagnose the current state of the systems and work in conjunction with internal IT and management personnel. If your company has a cyber insurance policy, it is highly recommended to take full advantage of services offered because the cost is included in the premium. One of our preferred cyber insurance partners, offers a free cyber risk assessment that evaluates vulnerabilities in security and systems for businesses. The proprietary scanning technology looks for open ports, security flaws, exposed data and passwords, as well as other vulnerabilities a hacker might exploit. The leading cyber insurers also offer ongoing monitoring, security alerts, security applications, employee training and access to security experts. Leaning on the experts is a methodical, proactive solution to reduce the likelihood of a claim occurring. A pillar of risk management is to identify an exposure and mitigate the contributing factors. Avoiding a claim all together protects reputation, private information, and financial and internal systems. Cyberattacks can materialize in many forms and threaten a business’s security. At the same time, the complexities of the cyber world will continue to evolve and affect how we do business. The most prudent choice is to lean on the experts to provide sound advice and guidance to protect against cyber threats. Lisa Bolduc, MBA, is an account executive, commercial lines, at Brown & Brown Empire State.
NED Magazine | Second Quarter 2020 • 57
BestPractices
Understanding Paid Family Leave in NYS BY PAUL BANUSKI
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nce upon a Monday morning... Walking into work a supervisor sees an employee with a big, beaming smile. “Good weekend?” the supervisor asks. “Yes! I couldn’t wait to come in and share the news. My wife is pregnant, and we’re expecting a baby this summer!” The supervisor smiles and extends her hand. “Congratulations. You’ve got so much to look forward to!” Over the course of the next few days, the employee is happy to share sonogram pictures, talk about baby names and more. His supervisor asks if they need any furniture, baby clothes, etc. But there’s one question they haven’t thought about. What happens when this father-to-be takes 10 weeks off under New York’s Paid Family Leave Insurance Act? In 2016, New York State passed a Paid Family Leave law that provides partial income replacement and job protection while workers are on leave for covered reasons. There are many factors at play with this law and the regulations associated with it, which will impact almost every employer in the state. Paid Family Leave is intended to provide workers in New York with job-protected paid leave to bond with a new child, care for a relative with a serious health condition or to relieve the pressure of having a loved one called to active duty in the military. Just as employers are required to provide workers’ compensation insurance and disability insurance, they are required to provide Paid Family Leave coverage, though they
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may deduct the premium contributions from their employees. Paid Family Leave is an insurance policy an employer procures from its state disability carrier (or a company can self-insure). The income replacement will be fully funded by mandatory employee payroll deductions, so the benefit is paid for by the employee. The benefit to the employee in 2020 will be for up to 10 weeks of paid leave at up to 60% of his or her average weekly wage, or 60% the statewide average weekly wage, whichever is smaller. With the statewide average wage — often referred to as SAWW — at $1401.17 in New York, an employee may earn up to $840.70. The benefits of Paid Family Leave to the employee are paid by the employer’s disability insurance carrier. If an employee needs the time off, he or she will need to submit a claim form to the insurer before receiving benefits. The insurance company also has responsibility for determining the validity of the claim and either approving or denying it. Paid Family Leave is different from other benefit programs like disability or workers’ compensation, which cover an employee’s own medical condition due to accident or injury. Though there are a few situations where they would run consecutively. A female employee who is going to have a baby would be allowed to take the period of incapacitation defined by her physician, followed by 10 weeks of Paid Family Leave. An employee who opts to take Paid Family Leave first may do so, but since he or she will no longer be disabled after the leave, would not be eligible for paid disability benefits at the conclusion of the Paid Family Leave.
BestPractices Here are three case studies of how Paid Family leave works in terms of an employee’s earnings and deductions: Douglas is an employee in New York who makes a salary of $52,000 per year with no bonuses or fluctuations in his average weekly wage. His employer should deduct .270% from his entire paycheck (since it is smaller than the SAWW), which equals $2.70 per week, or $140.40 per year. If Douglas is eligible for Paid Family Leave benefits in 2020, he will receive $600 per week — which is 60% of his own average wage — since that is less than 60% of the SAWW and proportionate to what he paid into the plan. Anna is an employee in New York who makes $78,000 per year with no fluctuations in her weekly wage. Her employer should deduct .270% from her weekly wage of $1,500, which equals $4.05 per week. She will hit the annualized contribution cap of $196.72 after 48 weeks (give or take) and will not need to make additional contributions. If Anna is eligible for Paid Family Leave benefits in 2020, she will receive $840.70 per week — which is 60% of the SAWW — since that is smaller than 60% of her own average wage and proportionate to what she paid into the plan. Liam is an employee in New York who makes a base salary of $50,000 per year but is also paid bonuses for achieving certain sales goals. His weekly wage for the first four weeks of the year is $961.54 until he earns a bonus, and so in the fifth week of the year his wage is $2,500.00. He will be contributing .270% of each week’s wage, so some weeks it could be higher than other weeks. Because he makes larger contributions during weeks when his wage is higher, he may hit the annual threshold of $196.72 earlier than other employees, like Anna, whose weekly wage is more steady (or he could take longer than other employees to reach the threshold if
he doesn’t make as much bonus money). If Liam is eligible for Paid Family Leave benefits in 2020 and hits the $196.72 threshold, he will receive $840.70 per week — which is 60% of the SAWW — since that is smaller than 60% of his own average wage and proportionate to what he paid into the plan. If he doesn’t hit the threshold, he will receive an amount equal to 60% of his average weekly wage. Even with a basic knowledge of what an employee is entitled to under Paid Family Leave, having someone out for 10 weeks can be a major business interruption, but a leave of absence that is mishandled could actually result in penalties on the employer by state or federal regulators or be the basis of a workplace discrimination claim. If you have employees preparing to take a leave of absence under New York’s Paid Family Leave provisions and you have questions, it’s important to direct them towards trusted business partners, including your payroll provider and insurance broker. (Editor’s note: New York has some of the most robust family leave laws presently in place. The federal Family Medical Leave Act allows unpaid time off and job protection to allow employees to balance work and family. Some of our other member states have similar family leave laws on the books, although criteria may vary. Check your individual state guidelines for more information.) Paul Banuski is a human resource consultant for HR One, a full-service payroll and human resource consulting firm. For more information, call the company’s helpline at 1-800-457-8829.
GIVE US SOMETHING TO CHEW ON. Are you introducing an interesting product? Have you instituted cutting-edge processes? Are you welcoming a new hire? Is your business expanding, moving or changing? Do you have other news to share? Northeast Dairy magazine is always looking for Member and Industry News. Email your information, news releases and/or captioned photographs to us at editor@nedairymedia.com.
NED Magazine | Second Quarter 2020 • 59
OSHA UPDATES
COVID-19: Regulatory Environmental, Health and Safety Impacts BY STEPHEN VALENTINE, CIH, AND DEREK HENDERSON, EIT
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OVID-19 has thrown a curve ball into the environmental, health and safety world for many of us. For EHS professionals and those with EHS responsibilities in the dairy industry, we’ve had to balance the EHS regulatory requirements for the day-to-day management of our operations with new safety obligations to meet everchanging COVID-19 guidelines and keep our employees safe. Many, if not all, of those with EHS responsibilities at your company are leading or are an integral part of your organization’s pandemic/COVID-19 management team. This has likely, and rightly so, led to another focus of your time, attendance at more meetings, education on COVID-19 safety and precautions, development or update of pandemic/COVID-19 plans, policies and procedures, etc. And all of this is mixed in with other non-EHS stresses on the business, as well as everyone’s personal stresses, too. So how has this affected your companies EHS responsibilities and what are the regulatory agencies (e.g., OSHA, EPA) saying regarding COVID-19 and the impacts on EHS regulatory compliance?
OSHA/SAFETY GUIDELINES The Occupational Safety and Health Administration requires employers to provide a workplace that is free of recognized hazards that could cause death or serious harm. Amidst the COVID-19 pandemic, this has not changed for any of the OSHA standards and now includes COVID-19 safety guidelines that will be regulated through the General Duty Clause (OSHA (5)(a)(1)). Essentially, employers are required to do the right thing for their employees by making sure the workplace is free of recognized hazards, including COVID-19. OSHA has provided significant guidance to assist employers with the implementation of COVID-19 programs, policies and procedures. 60 • Northeast Dairy Foods Association, Inc.
GUIDANCE ON PREPARING WORKPLACES FOR COVID-19 Your company should have a written pandemic/COVID-19 program and/or policies and procedures in place for your facility. Like any other OSHA program (e.g., HAZCOM, LOTO, noise, etc.), this program needs to define the safety procedures you have in place to anticipate, recognize, evaluate and control the hazards associated with COVID-19 and the potential for employees to contract this OSHA-recognized illness. OSHA’s guidance, as well as the guidance from other agencies, organizations and companies, on COVID-19 provides the information you will need to develop a pandemic/COVID-19 safety program. OSHA’s guidance is available on www.OSHA.gov/SLTC/covid-19. OSHA also has a one-page safety alert on COVID-19 called “COVID-19 Guidance for the Manufacturing Industry Workforce” for workplace posting and training of employees. OSHA guidance, in addition to the guidance from the CDC and federal, state and local government and health agencies, is appropriate to keep up with the safety guidelines necessary to manage COVID-19 in your workplace.
INJURY AND ILLNESS RECORDKEEPING Unlike the flu, OSHA has classified COVID-19 as an OSHArecognized illness. Therefore, “confirmed” COVID-19 cases, per CDC guidelines, within your workforce that are determined to be “work related” and meeting at least one of the OSHA recordability criteria (i.e., days away, restricted or transfer, medical treatment beyond first aid, etc.) would be considered an OSHA recordable. Current OSHA interpretation notes that the case, at least in the manufacturing/dairy industry, must be objective and reasonable for the employer to be aware of (e.g., a cluster of cases within a group of employees working closely together) and without alternative explanation. Cases meeting these requirements would warrant entry onto your OSHA 300 log and, in the event of a fatality, reportable to OSHA.
OSHAUpdates GOOD FAITH EFFORTS DURING COVID-19 OSHA has issued interpretations regarding employers taking good faith efforts during this pandemic/COVID-19 in light of issues created by the current situation. Examples include availability of personal protective equipment — often called PPE — access to medical services, availability of external or third party services, added COVID-19 risk for certain activities, travel restrictions, etc. Where these considerations are affecting OSHA compliance and/or risk to employees, companies must make good faith effort to evaluate/implement alternate compliance options (e.g., remote training, table-top audits, etc.) and feasible interim alternative protection (e.g., engineering, administrative and/or work practice controls) to protect employees. That stated, this is not a “free-pass” on OSHA compliance, as OSHA will investigate your thought process and documentation behind any failure to comply with regulations in its consideration for a citation. Where compliance cannot be met, companies should have documentation for when these regulations will be met with routine updates on any changes.
EPA/ENVIRONMENTAL GUIDELINES On March 26, 2020, the EPA issued guidance essentially providing for “enforcement discretion” in cases of environmental non-compliance associated with COVID-19. The policy is retroactive to March 13. The mission of the EPA is to protect human health and the environment, and during this time of unprecedented public health concerns, that mission is even more critical. The EPA has been inundated with questions from both state and tribal regulators and the regulated community about how to handle the current extraordinary situation where employees and contractors are not available because they cannot travel; state, tribal, and local governments are imposing stay at home orders; and, the number of people who have contracted COVID-19 and are in quarantine has risen. As such, the EPA developed the Temporary COVID-19 Enforcement Policy to allow the EPA to prioritize its resources to respond to acute risks and imminent threats, rather than making up front case-by-case determinations regarding routine monitoring and reporting. Environmental advocacy groups have labelled this a “get out of jail free” card for industry to ignore compliance requirements (e.g., monitoring, inspections, etc.). It is, of course, no such thing! Regulated entities are expected to make every effort to comply with all applicable requirements. The temporary policy states that the EPA will not seek penalties for noncompliance with routine monitoring and reporting requirements, if, on a case-by-case basis, the EPA agrees that such noncompliance was caused by the COVID-19 public health emergency. Therefore, regulated parties must document the basis for any
claim that the COVID-19 public health emergency prevented them from conducting their routine monitoring and reporting and present it to the EPA upon request. That being said, the ability of a business to maintain continuity with certain routine compliance activities may be legitimately impacted by orders currently in place. For example, you may be unable to comply with state directives on operation and/or social distancing while also maintaining 100% compliance with permits. In these cases, it makes sense to document these conditions thoroughly, and carefully consider whether there may be some enforcement relief available. In plain and basic terms, entities are expected to act responsibly under the circumstances in order to minimize the effects and duration of any noncompliance caused by COVID-19 and retain sufficient documentation that describes the noncompliance, how COVID-19 was the cause of the noncompliance, and actions taken in response to the noncompliance, including best efforts to comply and to return to full compliance. As a kind of analogous situation, consider a permit that allows for an “affirmative defense” to enforcement for process upsets or malfunctions, if the permittee can demonstrate that the facility was being properly operated and maintained at the time of the noncompliance and the upset causing the noncompliance was unforeseeable. Successful assertion of an affirmative defense therefore requires an up-front plan and a paper trail. Applying the same logic to the current enforcement policy, we can see that facilities will have the best chance of avoiding liability if they have a clear plan for how to use the EPA guidance (e.g., what circumstances, what criteria have to be met, what kind of supporting documentation they need to have, etc.). In addition to the federal guidelines, we are also seeing states establishing their own guidance. This guidance may place further restrictions on the degree to which enforcement relief is available in your jurisdiction. Before proceeding, it will also be good practice to look at whether your state has its own guidance and ensure your decision making includes those factors as well. Be safe and healthy during this COVID-19 pandemic, and thanks to all the essential workers in the dairy industry who are putting themselves at risk to provide essential dairy products to the country. Stephen Valentine, CIH, is the executive director for EHS Services with NDFA member Partners Environmental Consulting in Syracuse, New York. Derek Henderson, EIT, is a senior environmental compliance project manager with Partners Environmental Consulting. Valentine can be contacted at svalentine@partnersenv.com or 315-263-3183, and Henderson can be contacted at dhenderson@partnersenv.com or 315-657-3056. NED Magazine | Second Quarter 2020 • 61
REMEMBERING
Bruce Krupke
A Crusader, Innovator and Friend
I have Bruce to thank for bringing me into the dairy industry. Over the past several years, he and I made many road trips throughout the Northeast and shared many meals together. I always got a kick out of how he would order a big glass of ice cold chocolate milk or the occasional milkshake with his lunch or dinner. If we happened to drive by an ice cream stand, you’d better believe he would stop for a cone or dish. Also, he would always take time to ask about my family and ask to see pictures of my son. He would show me pictures, too. He was so proud of his family. I know he is watching over all of us…from his sailboat…with a bottomless glass of chocolate milk. — Alex Walsh, director of membership and communications, NDFA
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Remembering Bruce Krupke
Bruce’s energy around the annual clambake and convention was always boundless and never so evident as last year when he was undergoing treatment. Other than the baseball cap, you would not have known, as he was his normal, energetic, everywhere at once, just being Bruce, Bruce! We may have taken for granted that he would always be there, always prepared, and now we will have to let his spirit guide us through all future events. He will be there in many ways. — Steve Funk, Nelson-Jameson
NED Magazine | Second Quarter 2020 • 63
Remembering Bruce Krupke Bruce and I were both sailors, and we always dreamed about having the annual convention in the British Virgin Islands where Moorings Sailboat Charter has a facility. It was a dream neither of us thought would happen, but it was our dream. I will miss our dream.
— Richard Longo, RAL Services, Inc.
Bruce’s passion to serve the members and embrace the supplier services was a quality that very few people possess. He strived to please everyone and did it with a big smile. Over the years, Bruce and I traveled to visit members. Some were short trips, others were longer. You might think that after being in the car for 10 hours there would be some downtime, but there never was. We talked so much that we never put the radio on. Bruce became a very close friend. — Dave Wallace, Gilroy Kernan & Gilroy
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Bruce and I started our dairy careers in the late ‘70s around the same time. He was a salesman for Byrne Dairy, and I was working sales at Skan-Ellus Distributors (which later became Dairy Concepts). We used to run into each other on a regular basis at mutual ice cream stand accounts. Bruce sold the mix, and I sold the cones and toppings. We always had a solid business friendship. We shared new accounts with each other, and we shared information in regard to new establishments opening up. We worked well as a team to help people start their new ice cream business ventures. When Bruce moved on from Byrne Dairy, our friendship always remained. I’m going to miss you, my friend. Rest in peace. — Bob Furnia Jr., Dairy Concepts Inc.
Remembering Bruce Krupke Bruce was a great champion and advocate for safety. I had many conversations with Bruce, and he never hesitated to put the spotlight on worker safety or OSHA compliance issues in my dealings with him. He will be missed. — David Crowley, HP Hood
When I first met Bruce, I remember thinking, “This guy is like a bolt of lightning with energy that is infectious!” As it turned out, Bruce was able to direct his gift to energize and support an entire industry in the Northeast. He recognized that increasing the level of collaboration between suppliers and customers would bring about the true partnerships that are essential. He always made a point to talk about family and understood that business was important but should not be the most critical thing in our lives. It is just the type of person he was, and he will be truly missed by all. — Mike Suever, president, NDFA board of directors
I first met Bruce in 2011 when my company joined the Northeast Dairy Association. We are a recruiting firm in the dairy industry, and we had heard about the organization through one of our contacts. We decided to join and it turned out to be a great decision not just for my business but for the people who I would meet over the next nine-plus years. One particular memory that stands out was in the fall of 2014, after our association’s plant tour of Cabot in Middlebury, Vermont. That night, after our cocktail hour and dinner, our group all went out to a local bar. It happened to be karaoke night, and as soon as things got started, Bruce jumped up on stage and ended up leading a Northeast Dairy Association hijacking of the karaoke stage. It was a super fun night, and Bruce was right there, as always, front and center, leading the group and encouraging us to get up on stage. Bruce was the type of guy that you always wanted at your gathering, whether it was a dinner table with two or three people, or a clambake of 1,000, because he was the one who brought the whole group together and made things much more fun. To steal a phrase from Reggie Jackson, Bruce was truly “the straw that stirred the drink.” -— Ryan Osterhout, board member, NDSA NED Magazine | Second Quarter 2020 • 65
Remembering Bruce Krupke
Bruce’s leadership helped spark and continue the New York State Dairy Day in the state capital — one of my favorite times of the Albany season. Raising the profile and collegiality between farm groups and dairy processors in Albany was, of course, helpful, and Bruce could always be counted on to lend support. My favorite memories of Bruce remain his gracious smile, his collaborative spirit and his recognition that even if sometimes the processors and farm community didn’t always agree, the shared overall goal was a mutual one — the continued success and health of the dairy processing industry and the family farmer in New York State. — Julie Suarez, Cornell University
A few years back, I was eager to become more actively involved in the dairy industry. I spoke with Bruce about joining the board of NDSA, and he welcomed me with open arms. As a young woman, I know there aren’t many people in our industry that are so welcoming, but Bruce was. He had a great personality and always brought light to hard topics. — Tristan Hrobuchak, Chr. Hansen
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Remembering Bruce Krupke
I can’t believe he’s gone — a man so full of life and boundless energy, taken much too soon — a great man, great father and husband, friend, business executive and all around good person. I met Bruce back in the late ‘80s when he ran the Celebration Band, and Bruce and his band brought much fun to weddings and parties. Bruce could sing and dance! The shows were energetic with Bruce always “yukking it up” and making sure all had fun. We liked Bruce so much that my wife and I hired him to play at our wedding, a memory I will always be able to share with him. As the years progressed, Bruce asked me to represent the New York State Dairy Foods while I was just
a brand new attorney. Bruce took a chance on me and at the time the dairy association was one of my biggest clients. We ended up working together for almost 25 years! Bruce was easy to work with and for. It was a pleasure to get a call from him on an issue, but his passion for the dairy industry was unmatched. He cared deeply about the industry and gave all he could to make sure the industry was properly represented in Albany. The dairy industry has lost and icon, his family has lost a wonderful father and husband, and he will be missed dearly. — Robert Antonacci, New York State Supreme Court Justice, 5th Judicial District
NED Magazine | Second Quarter 2020 • 67
Remembering Bruce Krupke
The first time I ever spoke with Bruce was about 25 years ago. I was working for National Farmers Organization, and he called me regarding the proposal to create a Class IV price within the Federal Order system. He apparently had heard me speak on the issue and wanted to better understand what I was saying. The first thing that struck me was he was not very knowledgeable on the subject. The second thing was that he truly wanted to understand how it would affect all aspects of the industry — from the farmer to the cooperative to the plants. Before we hung up he asked if NFO would like to join the Northeast Dairy Foods Association. Then about 22 years ago, I 68 • Northeast Dairy Foods Association, Inc.
went to work for Elmhurst Dairy and their sister companies. One of the first things I was asked to do was represent my new employer on the Northeast Dairy Foods Association board of directors. At my first meeting, Bruce came right over and welcomed me. Over the next few years I learned how passionate he was about all things, especially the dairy industry. The most important was remembering who he represented but trying to be fair to all. I will always remember Bruce as the most caring, passionate man I was ever to have had the opportunity to know and work with. — Jim Buelow, past president, NDFA
When I think of Bruce I think of a willow tree. The branches have many meanings and represent the years of his life. Some are stronger than others. Each branch has its own distinctive journey that he encountered throughout his life. The last 10 years that I have known Bruce I would say that his branch I recall the most was his love to capture a moment. His infectious nature made all events and gatherings become a reunion for most people that helped make memories and friendships that will last forever. Not a lot of people can say that . — Wendy Martin, Energy Partner Consultants
At Swede Farms, we always had a good relationship with Bruce. However, I knew him from my earlier days at Meadowbrook Farms. When things got rough in the early 1990s, there were people reporting that milk companies were overcharging for milk, when, in fact, Meadowbrook Farms was selling our milk below cost to stay in business. Always thinking outside of the box, Bruce helped to get the word out by scheduling news reporters to visit our plant in the Bronx and interview us directly. What a difference that made in the public eye. — Marc Weiss, Swede Farms, Inc.
I was on the NYSDFI board of directors when we hired Bruce to replace Ed Towle. Bruce was a young man coming out of promotion with the ADA. We had a former deputy commissioner of the Department of Agriculture and Markets also interviewing, but we thought Bruce might be the fresh perspective we needed. The association was transitioning, as was the industry. In Ed’s years, county licensing was the primary activity, and that was going by the wayside. Bruce took the organization and led it into new ground, bringing in other parts of the industry and forging alliances with other geographic regions. While I have personally shifted my time away from the dairy end of our business, I always looked forward to connecting with Bruce and never once regretted our decision to hire him. — Gary Dake, Stewart’s Shops
NED Magazine | Second Quarter 2020 • 69
Remembering Bruce Krupke I have known Bruce since the beginning of my dairy career, back when I was at Borden’s and he worked for the American Dairy Association. I consider him part of my dairy family and a good friend. I was always impressed by his knowledge and professionalism. He was an advocate for “what was right” for the dairy industry and always strived to make it better. I will miss him and his “can do” attitude! — Kimberly Bukowski, board member, NDFA
Bruce was always very welcoming. Even though our company didn’t produce dairy products, he made us feel part of the family and recognized the value we brought to the dairy supply chain. Bruce afforded us the opportunity to tap into his knowledge of the industry, setting aside time for anyone that needed it.
— Jason Adams, Lineage Logistics Inc.
What I remember most about Bruce is his energy and the excitement he brought to the dairy industry. He was always so welcoming, and I’m happy he encouraged me to get more involved with NDSA and to join the board. It was a pleasure getting to know Bruce and to witness his efforts to keep both NDFA and NDSA moving forward. Both have lost a tireless advocate for our industry, and a good friend. He will be missed, and his passing leaves a void in both organizations that will be hard to fill.
— Melissa Fryer, board member, NDSA
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Remembering Bruce Krupke Bruce was a vocal member of the New York Organic Dairy Task Force, offering his view of the industry and what actions could make us stronger. At our last meeting at the end of January, we could tell Bruce was dealing with health problems much more serious than the oversupply of organic milk. His input at that meeting was passionate on how to position the task force to make it more impactful in the future. After the meeting, we asked about his health, and he shared that he had Stage 4 lung cancer. He said he was enjoying the time he had left. When he passed shortly afterwards, I realized what a champion of the dairy industry he was by guiding the future of the industry even though his future was short. — Fay Benson, Cornell University
As a past president of NDFA, I had a real opportunity to work closely with Bruce. Never before have I seen a man with great ability, determination and drive to do the right thing for our industry. No issue was too big or too small for him and often he had to juggle many issues at the same time and be diplomatic with all parties concerned. He had the knack, and everyone loved and respected him for it. His knowledge of dairy in general will be sorely missed. I will miss his greetings of “How are you, and how is your family?” — a man who really cared. — Lewis “Butch” Miller, Queensboro Farm Products
Bruce was a visionary and showed great persistence in helping his organization to grow and improve. He led a committed staff to continually up their game in the service they gave to their members. It is a shame that he won’t see how his vision helped multiple organizations come together and work for their common benefit. It is rare indeed to see someone so committed to the industry he loved and served so admirably. He will be truly missed.
We apologize to those who submitted comments that weren’t shared in the magazine. Please visit our website for additional tributes and memories of Bruce Krupke. *Some comments have been edited for space.
— Bill Brod, publisher, Northeast Dairy Media
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ADVERTISERS INDEX Ace Sanitary .....................................................................35
HP Hood ...................................................................IFC, 29
Afgritech ..........................................................................23
Krohne, Inc ......................................................................14
Agri-Mark Cooperative.....................................................25
Mountainside Farms ...................................................... 16
Atlas Automation .............................................................22
Nelson-Jameson, Inc. ......................................................18
Byrne Dairy ......................................................................55
Schenck Process ..............................................................17
Dairy Farmers of America.................................................23
Stewart’s Shops ...............................................................39
Dopkins & Company ........................................................33
The Probst Group .............................................................22
Evergreen Packaging .......................................................19
Tremcar USA Inc. .............................................................33
Farm Credit East ..............................................................45
Tri Tank Corp. ...................................................................39
Guida’s Dairy....................................................................16
Upstate Niagara Cooperative...........................................29
H.S. Crocker Co., Inc ........................................................10
Westrock ...................................................................... IBC
Herbein & Company, Inc ..................................................13
NORTHEAST DAIRY SUPPLIERS ASSOCIATION BUYERS GUIDE IS NOW LIVE!
buyersguide.neastda.org
Showcasing all NDSA member companies by category, description and SEO-friendly search terms. This guide assists and encourages members doing business with members. Find new products and services, industry events, deals and more! Check it out today and share it with specifiers and purchasing agents at your company. For more information about the NDSA Buyers Guide, contact Northeast Dairy Media 315-445-2347.
72 • Northeast Dairy Foods Association, Inc.
BENEFITS OF ASSOCIATION MEMBERSHIP EXECUTIVE DIRECTOR AND INDUSTRY CONSULTANT SUPPORT
NDFA
NDSA
Legislative Representation Through Executive Lobbying and Networking Safety and Environmental Information Economic Analysis and Forecasting Continuing Education and Certification Opportunities Industry Spokesperson Emergency Preparedness
PROFESSIONAL COST-SAVING PROGRAMS Dedicated Industry-Specialized Insurance Programs Employee Benefits, Including 401(k) Retirement Program Energy Supply and Consulting Services
NETWORKING AND MEETING EVENTS Annual Northeast Dairy Convention Contact Booth at the Annual Convention Annual Dairy Industry Clambake Hospitality and Sponsorship Opportunities Industry Plant Tours Annual Charity Golf Outing Fundraiser
COMMUNICATIONS AND PUBLIC RELATIONS Quarterly copy of Northeast Dairy Magazine Direct Customer Advertising Opportunities Industry Scholarship Program Membership Directory with Key Contacts in the Dairy Industry Digital Buyers Guide (launching in 2019)
ADVOCACY An association represents your interests before your government leaders, industry and business community. If your business/industry faces major threats or needs support, our association is right there on the front line fighting for you.
NETWORKING Association events, meetings and member directories make networking a reality for you and your peers. Thisis the one advantage many view as the most important reason to join!
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