THE LAND — MARCH 18/MARCH 25, 2022
MILKER’S MESSAGE www.thelandonline.com — “Where Farm and Family Meet”
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Inflation can reduce dairy product consumption MIELKE, from pg. 11
Conventional product sales totaled 3.6 billion pounds, down 1.5 percent from a year ago. Organic higher than January 2021. The five-state weighted products, at 246 million pounds, were down 3.3 peraverage price for premium alfalfa hay in January cent, and represented 6.5 percent of total sales for was $262 per short ton, $9 higher than December the month. 2021 and $56 higher than January 2021, the Whole milk sales totaled 1.3 billion pounds, off 0.9 Outlook stated. percent from a year ago and represented 33.6 per“The Russian invasion of Ukraine has added cent of total milk sales for the month. uncertainty to the global dairy outlook,” the Outlook Skim milk sales, at 206 million pounds were down says. However, “the effects for the U.S. dairy indus8.5 percent from a year ago. try are mostly indirect. U.S. dairy trade with both countries has been very small. Neither Russia nor The figures represent consumption in Federal Ukraine are major global dairy exporters. Russia milk marketing order areas, which account for imports substantial quantities of dairy products — approximately 92 percent of total fluid milk sales in mostly from Belarus. In 2021, Argentina and New the United States. Zealand were distant second and third suppliers of With school summer break not too far away, there dairy products to Russia. Fonterra, the leading will be additional milk moving into manufacturing. dairy supplier from New Zealand, has suspended Farm level milk output is generally trending higher, shipments of dairy products (mostly butter) to according to Dairy Market News, although reports Russia.” vary somewhat. Ukraine is a major exporter of corn and wheat. “Some educational institutions are cycling through Russia is a major exporter of oil, natural gas, wheat, spring recesses, but retail orders are keeping botand fertilizer. Disruptions in exports from these tlers active. Some dairy processors are unable to countries could contribute to higher costs of these handle additional milk loads at this time as labor commodities, with both supply and demand implicapool issues and delivery delays continue to curtail tions for the U.S. dairy industry, the Outlook operating capacity at some plants.” warned. n “On the supply side, higher feed, fuel, energy, In politics, The National Milk Producers and fertilizer prices obviously increase costs of dairy production. Other input costs could also rise since virtually all sectors supplying the industry are affected by costs of fuel and energy. On the demand side (both domestic and foreign), to the extent that costs of dairy production are passed on to consumers in the form of higher dairy prodVisit www.TheLandOnline.com to view our complete uct prices, smaller quantities of dairy products calendar & enter your own events, or send an e-mail may be consumed. Also, demand for dairy prodwith your event’s details to editor@thelandonline.com. ucts could be reduced as inflation reduces consumer purchasing power. The gravity of these March 30 — Strategic Farming: Let’s Talk Crops effects will depend upon the severity and duration — Online — Taming fertility and soil amendment of the crisis, global response to it, and many other input costs: Extension nutrient management specialfactors that impact global dairy markets,” the ists and researchers will provide information based Outlook concluded. on up-to-date research to help optimize crop management strategies for 2022. Register at z.umn.edu/ n strategic-farming. The February consumer price index for all food is March 30 — Minnesota Irrigation Program — St. 292.8, up 7.9 percent from 2021, according to Dairy Cloud, Minn. — Event is centered on improving irriMarket News. The dairy products index is 242.4, up gation management and how to integrate new tools 5.2 percent, with fresh whole milk up 12.4 percent; while reducing water costs. Course is required to cheese, up 1.9 percent; and butter, up 5.5 percent. attain water quality certification irrigation endorseThe March 11 Dairy and Food Market Analyst ment. Contact Nathan Drewitz at ndrewitz@umn.edu says, “Retailers have been slow to raise dairy prodor (608) 515-4414. uct prices, and the Bureau of Labor Statistics data March 31 — Gardening Knowledge for Free — shows prices were up just 1.2 percent vs. two years Online — Topics include planting different crops of ago. Broader grocery store prices were up 8.6 perdifferent families in the same place over time; planting cent.” two or more crops that benefit each other together; Fluid milk sales started 2022 with continued slipplanting multiple crops in the same space over the page. The USDA’s latest data shows January sales course of the season; maximizing productivity and of packaged fluid products at 3.8 billion pounds, minimizing potential pests, diseases and weeds. Sign down 1.7 percent from January 2021. up at z.umn.edu/GK4FGarden
Federation and the U.S. Dairy Export Council joined the U.S. House of Representatives’ bipartisan Problem Solvers Caucus in a roundtable this week to “discuss additional steps Congress could take to address the ongoing export supply chain crisis facing American exports — including dairy,” according to a joint press release. Jaime Castaneda, executive vice president for policy development and strategy for USDEC and NMPF, spoke during a panel discussion moderated by Reps. Jim Costa (D-Calif.) and Dusty Johnson (R-S.D.) to “identify the challenges exporters are facing in securing container and vessel space, unprecedented congestion, and record fees to ship products to international customers.” “A conservative estimate of the supply chain challenges for dairy exporters in 2021 is over $1.5 billion in higher direct costs, reduced value, and lost sales,” Castaneda noted. “If this continues, we risk losing ground to our competitors in highly competitive foreign markets, which has ripple effects on the paychecks of American dairy farmers and the thousands of workers who support the export supply chain.” Lee Mielke is a syndicated columnist who resides in Everson, Wash. His weekly column is featured in newspapers across the country and he may be reached at lkmielke@juno.com. v
Calendar of Events April 8 — Produce Safety Rule grower training — Maple Grove, Minn. — Learn about produce safety, good agricultural practices and the FSMA Produce Safety Rule. Contact U of M Extension at (651) 539-3648. April 9 — Virtual Gardening Education Day — Online — Speakers will highlight the beauty of lilies and hostas in the garden: species available; purchasing tips; when and how to divide. Sign up at z.umn. edu/GardenEd22 April 12-14 — Dairy Calf and Heifer Association Conference — Bloomington, Minn. — April 12 starts with three tours followed by seminars. April 13 and 14 features break-out sessions. Trade show open April 13 and 14. Contact JoDee Sattler at jodee@ calfandheifer.org or (414) 587-5839. April 21 — Benton County Master Gardener Spring Seminar — Sauk Rapids, Minn. — Topics include spring wildflowers, botanical tales from central Minnesota, and a question and answer session with Master Gardener volunteers. Contact Benton County Master Gardeners at (320) 255-6169.
