Calendar of Events

MIELKE, from pg. 11

higher than January 2021. The five-state weighted average price for premium alfalfa hay in January was $262 per short ton, $9 higher than December 2021 and $56 higher than January 2021, the Outlook stated.

“The Russian invasion of Ukraine has added uncertainty to the global dairy outlook,” the Outlook says. However, “the effects for the U.S. dairy industry are mostly indirect. U.S. dairy trade with both countries has been very small. Neither Russia nor Ukraine are major global dairy exporters. Russia imports substantial quantities of dairy products — mostly from Belarus. In 2021, Argentina and New Zealand were distant second and third suppliers of dairy products to Russia. Fonterra, the leading dairy supplier from New Zealand, has suspended shipments of dairy products (mostly butter) to Russia.”

Ukraine is a major exporter of corn and wheat. Russia is a major exporter of oil, natural gas, wheat, and fertilizer. Disruptions in exports from these countries could contribute to higher costs of these commodities, with both supply and demand implications for the U.S. dairy industry, the Outlook warned.

“On the supply side, higher feed, fuel, energy, 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 product prices, smaller quantities of dairy products may be consumed. Also, demand for dairy products could be reduced as inflation reduces consumer purchasing power. The gravity of these effects will depend upon the severity and duration of the crisis, global response to it, and many other factors that impact global dairy markets,” the Outlook concluded.

n

The February consumer price index for all food is 292.8, up 7.9 percent from 2021, according to Dairy Market News. The dairy products index is 242.4, up 5.2 percent, with fresh whole milk up 12.4 percent; cheese, up 1.9 percent; and butter, up 5.5 percent.

The March 11 Dairy and Food Market Analyst says, “Retailers have been slow to raise dairy product prices, and the Bureau of Labor Statistics data shows prices were up just 1.2 percent vs. two years ago. Broader grocery store prices were up 8.6 percent.”

Fluid milk sales started 2022 with continued slippage. The USDA’s latest data shows January sales of packaged fluid products at 3.8 billion pounds, down 1.7 percent from January 2021.

Conventional product sales totaled 3.6 billion pounds, down 1.5 percent from a year ago. Organic products, at 246 million pounds, were down 3.3 percent, and represented 6.5 percent of total sales for the month.

Whole milk sales totaled 1.3 billion pounds, off 0.9 percent from a year ago and represented 33.6 percent of total milk sales for the month.

Skim milk sales, at 206 million pounds were down 8.5 percent from a year ago.

The figures represent consumption in Federal milk marketing order areas, which account for approximately 92 percent of total fluid milk sales in the United States.

With school summer break not too far away, there will be additional milk moving into manufacturing. Farm level milk output is generally trending higher, according to Dairy Market News, although reports vary somewhat.

“Some educational institutions are cycling through spring recesses, but retail orders are keeping bottlers active. Some dairy processors are unable to handle additional milk loads at this time as labor pool issues and delivery delays continue to curtail operating capacity at some plants.” n

In politics, The National Milk Producers 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

Visit www.TheLandOnline.com to view our complete calendar & enter your own events, or send an e-mail with your event’s details to editor@thelandonline.com.

March 30 — Strategic Farming: Let’s Talk Crops

— Online — Taming fertility and soil amendment input costs: Extension nutrient management specialists and researchers will provide information based on up-to-date research to help optimize crop management strategies for 2022. Register at z.umn.edu/ strategic-farming.

March 30 — Minnesota Irrigation Program — St.

Cloud, Minn. — Event is centered on improving irrigation management and how to integrate new tools while reducing water costs. Course is required to attain water quality certification irrigation endorsement. Contact Nathan Drewitz at ndrewitz@umn.edu or (608) 515-4414.

March 31 — Gardening Knowledge for Free —

Online — Topics include planting different crops of different families in the same place over time; planting two or more crops that benefit each other together; planting multiple crops in the same space over the course of the season; maximizing productivity and minimizing potential pests, diseases and weeds. Sign up at z.umn.edu/GK4FGarden

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.