5 minute read
Global Dairy: US Cheesemakers on the march
GLOBAL DAIRY UNITED STATES/CANADA
Cheese please:
Words by: Anne Cote
Over the past decade the Canadian dairy industry has posted a significant trade imbalance, according to data from Agriculture Canada for 2020.
Despite this grim news, the data from Agriculture Canada also indicates Canada’s dairy exports went up by 16.8% between 2019 and 2020. But the imbalance persists as import values rose by 6.68% over the same period with the result that import values remain at a level almost double the value of exports.
The last two trade agreements signed by the Canadian government won’t help narrow this gap, especially in the cheese market.
The Canada-European Union Comprehensive Economic and Trade Agreement (CETA), signed on October 30, 2016, in Belgium, allows Europe to export an additional 18,500 tonnes of cheese into Canada tariff-free. This is an addition to the previously negotiated tariff free quantity of 13,471t which was already making its way into the Canadian market from the EU.
Most of this generous increase, 16,000t, falls into the “fine cheese” category causing Canadian fine cheese makers considerable concern as they vie for shelf space in supermarkets and boutique shops.
But Canadian cheesemakers have even more tariff-free competition to worry about.
On July 1, 2020 the Canada United-States, Mexico Agreement (CUSMA) came into effect and it gives United States cheesemakers the ability to ship 12,500 tonnes more by year six of the agreement and then grow by 1% for an additional 13 years.
In October 2021, US dairy producers reported strong growth in dairy export markets with an 18% increase in cheese exports into the global marketplace led by strong demand by Mexico and Latin America; but it’s important to note that the US is one of Canada’s major competitors for cheese on its supermarket shelves.
USDEC notes “cheese markets tend to decline seasonally in the back half of the year” but this year the 12% decline in cheese exports the US usually experiences during this period hasn’t happened. And, because global demand for cheese has risen by 6% this year compared to historic gains of only 3%, the organisation expects US cheese will remain in high demand in global markets.
There are two reasons for the optimistic outlook the USDEC is reporting. The first is that US pricing is highly competitive making cheese more attractive to buyers around the globe. The second is the availability of products.
For example, over the past several years the state of Wisconsin, a major cheese producing region, has been pushing for better trade deals to help them sell excess cheese produced there.
But at this year’s Dairy Expo in Madison, Wisconsin panelists were all smiles as they praised the ever-increasing demand for domestic dairy products as well as an expanding global market.
With world demand expanding, US cheesemakers are ready to meet the challenges of filling the global need for cheese whether it’s in Canada, the EU, New Zealand, Latin America or Mexico, countries where consumers are already familiar with their products.
US cheesemakers are ready to meet the challenges of filling the global need for cheese.
Pasture & Forage News
November 2021
Lead from the front, with 4front
One of New Zealand’s newest perennial ryegrasses is also unbeaten for total dry matter yield with strong year three data showing good persistence, latest industry data shows.
4front, our high performing new tetraploid, has shot straight to the top of the just released National Forage Variety Trial (NFVT) results for perennial ryegrass. This is a great result for our plant breeders, and a big thumbs up to their hard work. It’s independent validation that says our R&D team are at the top of their game. We’ve been excited about 4front for years as it has progressed through our programme. Farmers have given it a great welcome since we brought it to market in July; we knew we had a champion and now the independent NFVT data has reinforced its tremendous yield ability. 4front has been bred to help farmers stay ahead of fast-changing social and market expectations. Palatable, dense and high yielding, 4front grazes well; encourages cows to eat more for higher per head production, and equally important, can improve environmental outcomes. Tetraploid ryegrasses can grow more DM/ha than diploids because you can run higher covers before grazing, and they’re still very palatable. Higher pre-grazing covers mean a longer grazing round, more time for the plant to respond to N fertiliser, and a proportionately higher N response. Grazing management is easier, too! Grazing later also has the benefit of giving cows a better balanced diet with less N. As ryegrass regrows after grazing, the crude protein (CP) or N content of the plant drops. Lactating cows in spring need around 18% CP in their diet, so a pasture with 22% protein at that time supplies 4% too much. This excess protein, excreted as urine and dung, is what causes problems with N loading of soils. Grazing 0.5 leaf/tiller later may reduce CP by 1.5%, dropping excess protein by over 30%. To learn more about how 4front can help change the way you farm, either on its own or mixed with Maxsyn, download your free copy of The 4front System from our website today.
Get the best from the best
Top-class grass is a fantastic investment for your farm system.
So it’s worth sowing them as well as you possibly can. You wouldn’t invest in a high end tractor and let someone operate it with no experience; sowing quality pasture no different. It needs to be done right for the seed to perform to its full potential. Whether it’s 4front, Shogun, Maxsyn, Trojan, Forge, Governor AR37 or Tabu+, Barenbrug cultivars are among the very best in their class. One of the most important things is to make sure you know what caused your previous existing pasture to run out in the first place, and to rectify that issue before drilling new seed. Pasture renewal is like a chain made up of several links – soil fertility; pasture cultivar; sowing technique, depth and timing; soil compaction and drainage; drought, pests, weeds and management. If just one of those links is broken, you won’t get the results you hope for, even if the others are intact. We’ve made a handy checklist for best practice sowing so you don’t have to remember every step in the process. It’s on our website www.barenbrug.co.nz . Happy spring sowing!