January 15, 2016 - Cheese Reporter

Transcription

January 15, 2016 - Cheese Reporter
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CHEESE REPORTER
Vol. 140, No. 30 • Friday, January 15, 2016 • Madison, Wisconsin
US Dairy Industry Still Analyzing
Impacts Of TPP: USDEC, NMPF
TPP Doesn’t Provide Degree
Of Market Access US Had
Been Seeking, But Avoids
Disproportionate Opening Of
US Dairy Market
Washington—The US Dairy
Export Council (USDEC), working with the National Milk Producers Federation (NMPF) and
other dairy industry organizations,
“is still completing its overall
analysis” of the recently concluded
Trans-Pacific Partnership (TPP)
agreement, according to Tom
Suber, USDEC’s president.
Suber testified Thursday before
the US International Trade Commission (USITC) representing the
US dairy industry. The USITC last
fall launched an investigation to
assess the TPP’s impact, and held a
public hearing in connection with
its investigation this week.
At the hearing, Suber, following detailed written comments
submitted jointly to the USITC
last month by USDEC and NMPF,
outlined issues and concerns of the
US dairy industry.
“The deal falls short in providing the degree of market access we
Ireland’s Ornua Acquires
Its First Manufacturing
Location In China: Shanghai
Based Ambrosia Dairy
Dublin, Ireland—Ornua (formerly
the Irish Dairy Board) this week
announced that it has acquired
the Shanghai-based dairy manufacturer Ambrosia Dairy, which
supplies dairy products including
specialty cheeses, sour cream and
yogurt to high-end retail and foodservice markets in the Shanghai
region.
The acquisition provides Ornua
with its first manufacturing base in
China.
The acquisition will significantly increase Ornua’s access to
the high end retail market and will
provide an entry point into supplying dairy ingredients to the rapidly growing Chinese foodservice
industry, Ornua said.
The addition of domestically
• See Ornua In China, p. 5
had been seeking, but it also avoids
a disproportionate opening of the
US market to dairy exporters,”
Suber said.
The TPP dairy provisions “are
arguably the most complex” the
US has negotiated in a free trade
agreement (FTA) to date and
trade impacts for the dairy industry “require analysis of not simply
one-directional trade with one or
two trading partners but rather a
multi-faceted analysis of
how trade is likely to shift across
the region in light of the agreement’s complicated new provisions, both with respect to imports
and exports,” USDEC and NMPF
noted in their written comments.
Analysis on the dairy market access elements of the TPP
remains underway, the organizations noted. The dairy tariff lines
number several hundred across
numerous countries of interest in
the TPP region.
In their comments to the
USITC, USDEC and NMPF highlighted a number of factors that
are relevant to their assessment
of TPP’s impact on the US dairy
industry and that they urge the
USITC to take into account in
addition to the assessment of the
impact that new export access will
have for the US dairy sector:
Impacts on US sales in existing
FTA partner markets: A relevant
factor to consider is the degree of
erosion of preferential FTA-created access for US dairy exports
into Mexico and Peru due to TPP’s
expansion of access to those markets for two major competitors
to the US dairy industry, namely
New Zealand and Australia.
Although the US dominates
Mexican dairy imports, new dairy
product market access concessions
that Mexico has made to most of
its other TPP partners will cause
Mexican dairy imports of New
Zealand and Australian origin to
become more competitive with
US-sourced product in the Mexican internal market.
Degree of dairy exports to the
US expected from Canada: During the TPP negotiations, NMPF
and USDEC advocated for a significant expansion in bilateral trade
with Canada, indicating their preference for fully open access.
• See TPP Dairy Impacts, p. 7
USDA Lowers 2016 Milk Production Forecast,
Also Reduces Most Product Price Forecasts
Large Stocks, Weaker Early
2016 Prices Underlie Cut In
Cheese Price Forecast; Strong
Demand Leads To Higher
Butter Price Forecast
Washington—The US Department of Agriculture (USDA), in
its monthly supply-demand estimates released Tuesday, reduced
its 2016 milk production forecast and lowered most of its dairy
product and milk price forecasts.
Milk production for 2015 is
raised on slightly stronger growth
in milk per cow. USDA now
expects 2015 milk production
totaled a record high 208.4 billion
pounds, up 100 million pounds
from December’s forecast and up
2.4 billion pounds from 2014’s
record output.
Forecast 2016 milk production
is reduced by 600 million pounds
from last month, to 211.8 billion
pounds.
Cow numbers are reduced due
to lower expected milk prices and
the recent blizzard in Texas and
New Mexico, which killed an
estimated 30,000 or more dairy
cows. Growth in milk per cow is
reduced due to lower milk prices.
The dairy export forecast is
lowered on both a fat- and skimsolids basis as global supplies of
dairy products remain large and
demand remains relatively weak.
Continued strength in domestic
butter use will also limit the competitiveness of US butter in world
markets, USDA said.
Fat and skim solids-basis dairy
imports for 2015 are unchanged.
For 2016, both fat and skim-solids imports are raised largely on
higher cheese imports.
• See Most Prices Cut, p. 3
Licensed Cheese Imports
Fell 25.1% In December;
2015 Licensed Imports Up
12.3% Over 2014; High-Tier
Cheese Imports Also Up
Washington—Licensed US cheese
imports during December totaled
21.8 million pounds, down 25.1
percent, or 7.3 million pounds,
from December of 2014, according to figures recently released by
USDA’s Foreign Agricultural Service.
For all of 2015, licensed cheese
imports totaled 224.3 million
pounds, up 12.3 percent, or 24.5
million pounds, from 2014 and
the highest level since 2007, when
they totaled 245 million pounds.
Licensed cheese imports had
reached a record high of 275.9 million pounds in 2002, and reached
a 21st century low of 162.4 million
pounds in 2011.
The tariff-rate quota (TRQ) for
cheese is 298.3 million pounds.
Last year, that TRQ was 75.2 percent filled, compared with a TRQ
fill rate of 67 percent in 2014.
Licensed imports of other
cheese-nspf (not specifically
provided for) during December
totaled 8.2 million pounds, down
7.2 million pounds from December of 2014. Licensed imports of
other cheese-nspf during all of
2015 totaled 96.5 million pounds,
up 7.8 million pounds from 2014.
December licensed imports of
Swiss and Emmenthaler cheese
totaled 5.1 million pounds, down
321,539 pounds from December of
2014. During all of 2015, licensed
imports of Swiss and Emmenthaler
totaled 54 million pounds, up 3.9
million pounds from 2014.
• See Licensed Imports Up, p. 4
Licensed
ImportUS
Butter Imports
16
2005- 2015; millions of pounds
15
14
13
12
11
10
9
8
7
6
05 06 07 08 09 10 11 12 13 14 15
Page 2
January 15, 2016
CHEESE REPORTER
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Cheese Reporter Publishing Co. Inc. © 2015
2810 Crossroads Drive, Suite 3000
Madison, WI 53718-7972
(608) 246-8430 • Fax (608) 246-8431
http://www.cheesereporter.com
DICK GROVES
Publisher/Editor
e-mail: [email protected]
608-316-3791
MOIRA CROWLEY
Specialty Cheese Editor
e-mail: [email protected]
608-316-3793
KEVIN THOME
Advertising & Marketing Director
e-mail: [email protected]
608-316-3792
BETTY MERKES
Classifieds/Circulation Manager
e-mail: [email protected]
608-316-3790
REGULAR CONTRIBUTORS:
Bob Cropp, Neville McNaughton,
Kelton Greenway, Dan Strongin, John Umhoefer
You can e-mail our contributors at:
[email protected]
The Cheese Reporter is the official
publication of the following associations:
California Cheese & Butter Association
Lisa Waters,
1011 Pebble Beach Dr, Clayton, CA 94517
Central Wisconsin Cheesemakers’ and
Buttermakers’ Association
Jim Mildbrand, PO Box 160
Greenwood, WI 54437
Cheese Importers Association of America
204 E St. NE, Washington, DC 20002
Eastern Wisconsin Cheesemakers’ and
Buttermakers’ Association
Barb Henning, Henning’s Cheese
21812 Ucker Road, Kiel, WI 53042
International Dairy-Deli-Bakery Association
P.O. Box 5528,
Madison, WI 53705
Missouri Butter & Cheese Institute
Terry S. Long, 19107 Factory Creek Road,
Jamestown, MO 65046
Nebraska Cheese Association
Ed Price, Fremont, NE 68025
New York State Cheese Manufacturer’s Assn
Kathyrn Boor, 11 Stocking Hall,
Cornell University, Ithaca, NY 14853
North Central Cheese Industries Assn
Lloyd Metzger, SDSU, Box 2104,
Brookings, SD 57007
North Dakota Cheese Makers’ Assn
Chuck Knetter, Medina, ND 58467
Ohio Swiss Cheese Association
Darlene Miller, P.O. Box 445,
Sugar Creek, OH 44681
South Dakota State Dairy Association
Howard Bonnemann, SDSU, Box 2104,
Brookings, SD 57007
Southwestern Wisconsin
Cheese Makers’ Association
Myron Olson, Chalet Cheese Coop,
N4858 Cty Hwy N, Monroe, WI 53566
Wisconsin Association for Food Protection
Bob Wills
PO Box 620705, Middleton WI 53562
Wisconsin Cheese Makers’ Association
John Umhoefer, 8030 Excelsior Drive,
Suite 305, Madison, WI 53717
Wisconsin Dairy Products Association
Brad Legreid, 8383 Greenway Blvd.,
Middleton, WI 53562
EDITORIAL COMMENT
DICK GROVES
Publisher / Editor
Cheese Reporter
e: [email protected]
tw: @cheesereporter
apparently just reducing the fat content of cheese by a certain percentage isn’t adequate; the cheese has to
be low in fat or fat-free. No wonder
dairy intake is inadequate; the federal
government continues to recommend
low-flavor or flavor-free versions of
normally flavor-filled dairy products!
‘Dietary Guidelines’ Remains Decidedly Anti-Cheese
The US government last week
released the 2015-2020 Dietary
Guidelines for Americans, and the
good news for the dairy industry
is that this latest edition of the
guidelines is pretty positive when
it comes to dairy consumption.
Indeed, the new guidelines offer
three main points regarding dairy
products: first, that average intakes
of dairy for most age-sex groups
“are far below recommendations
of the Healthy US-Style Pattern”;
second, that the dairy group contributes many nutrients, including
calcium, protein, phosphorus, riboflavin, vitamin B12, potassium,
zinc, and magnesium; and third,
that most individuals in the US
“would benefit” by increasing dairy
intake.
In short, there’s plenty of room
to boost consumption of nutritious
dairy products in the US just by
getting consumers to raise their
dairy intake to adequate levels.
The bad news for the dairy
industry is that the latest edition
of the Dietary Guidelines, like the
previous seven editions, remains
anti-cheese. More bluntly, it’s
hard to find any positive mention
of good old, regular, full-fat, delicious cheese.
For example, in the aforementioned point about how most
individuals would benefit from
increasing dairy intake, the Dietary
Guidelines actually recommends
boosting dairy intake “in fat-free
or lowfat forms.”
Interestingly, soy beverages
(“soymilk”) are lumped into the
dairy group “because they are similar to milk based on nutrient composition and in their use in meals.”
It actually appears that the federal
government would prefer that consumers drink soy beverages to meet
their dairy intake requirements
rather than eat full-fat cheese.
Astonishingly, the new Dietary
Guidelines doesn’t even have
anything positive to say about
reduced-fat cheese (or reduced-fat
milk, for that matter); instead, one
“realistic option” to reduce intake
of saturated fats is to change ingre-
dients in mixed dishes to increase
the amounts of lowfat and fat-free
cheese, vegetables, whole grains
and lean meat in place of some
of the “fatty meat and/or regular
cheese in the dish.”
Additional strategies to lower
saturated fat intake include choosing lower-fat forms of foods and
beverages that contain solid fats
(for example, fat-free or lowfat
milk instead of 2 percent or whole
milk; and lowfat cheese instead of
regular cheese).
So apparently just reducing the
fat content of cheese by a certain
percentage (for example, USDA’s
Commercial Item Description for
reduced fat Cheddar cheese stipulates that the product contain
between 25 and 33.3 percent less
fat than regular Cheddar) isn’t
adequate; the cheese has to be low
in fat or fat-free. And reduced-fat
(2 percent) milk isn’t adequate,
either; it has to be either lowfat
(1 percent) or fat-free (skim) milk.
No wonder dairy intake is inadequate; the federal government
continues to recommend low-flavor or flavor-free versions of normally flavor-filled dairy products!
The document then goes on to
say that, because “most cheese contains more sodium and saturated
fats, and less potassium, vitamin A,
and vitamin D than milk or yogurt,
increased intake of dairy products
would be most beneficial if more
fat-free or low-fat milk and yogurt
were selected rather than cheese.”
This is rather puzzling advice in
light of some of the recent research
about saturated fats in general
and milkfat in particular. Indeed,
the press release announcing the
release of the new Dietary Guidelines used the phrase “sciencebased” at least a couple of times,
but it seems like at least some of
the science on which this new
advice is based is old, rather than
new or recent.
The press release also mentions
that this edition of the Dietary
Guidelines “recognizes the importance of focusing not on individual
nutrients or foods in isolation, but
on the variety of what people eat
and drink...” but certainly seems
to single out regular cheese as a
food that should be avoided, for
alleged ills including saturated fat
and sodium.
Speaking of sodium, and old
science, the new edition of the
Dietary Guidelines calls for limiting sodium to less than 2,300 milligrams per day for adults, but there
is some recent research suggesting
that such a level of sodium intake
is too low. For example, a study
published in the American Journal
of Hypertension in 2014 concluded
that a range of sodium intake of
2,645 to 4,945 milligrams per day
is associated with the “most favorable health outcomes.”
While the latest edition of the
Dietary Guidelines remains decidedly anti-cheese, it’s noteworthy
that the document isn’t necessarily
aimed at consumers; rather, it is
“developed for use by policymakers
and nutrition and health professionals.” So the impact on consumer perspectives of cheese and
other dairy products will likely be
minimal.
The bad news here is that the
information in the Dietary Guidelines is used in developing federal
food, nutrition, and health policies
and programs. It is also the basis for
federal nutrition education materials designed for the public and
for the nutrition education components of USDA and Department of
Health and Human Services food
programs.
So we can expect the federal
government’s anti-cheese crusade to continue for another five
years, in everything from how the
updated Nutrition Facts label looks
to what products are provided
to schools participating in the
National School Lunch Program.
Maybe by the time the ninth
edition of the Dietary Guidelines for
Americans is released, the evidence
supporting higher consumption of
saturated fats will be irrefutable.
Or maybe by 2020 Congress will
have repealed the 1990 law that
mandates the guidelines. DG
CHEESE REPORTER (Publication Number: ISSN 0009-2142). Published weekly by Cheese Reporter Publishing Co. Inc., 2810 Crossroads Drive, Suite 3000, Madison, WI 53718-7972; Phone: (608) 246-8430; Fax: (608) 246-8431. Subscriptions: $140.00 per year in
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any editorial material. POSTMASTER: If undeliverable, Form 35579 requested. Periodicals postage paid at Madison, WI. Address all correspondence to: Cheese Reporter, 2810 Crossroads Drive, Suite 3000, Madison, WI 53718-7972
January 15, 2016
Most Prices Cut
USDA’s Pesticide Data
Program Finds No Residues (Continued from p. 1)
In Dairy-Based Infant
Dairy product prices for 2015 are
adjusted for December data. For
Formula Samples
Washington—Over 99 percent of
the food products sampled through
the 2014 Pesticide Data Program
(PDP) had residues below the
Environmental Protection Agency
(EPA) tolerances, according to
the 2014 PDP Annual Summary,
which was posted this week by
USDA’s Agricultural Marketing
Service (AMS).
Pesticide residues exceeding the
tolerance were detected in 0.36
percent of the samples tested.
Each year, USDA and EPA
work together to identify foods to
be tested on a rotating basis. In
2014, surveys were conducted on
a variety of foods, including infant
formula, fresh and processed fruits
and vegetables, oats, rice, and
salmon.
In 2014, PDP tested two types
of infant formula: dairy-based
and soy-based. PDP collected and
tested 528 dairy-based samples and
527 soy-based samples. For the 528
dairy-based infant formula samples, 29 were concentrated liquid,
390 were powdered, and 109 were
ready-to-eat.
The New York and California
laboratories tested dairy-based and
soy-based infant formula samples,
respectively. There were no residue detections in the 528 dairybased formula samples.
MGK-264, a pesticide formulation ingredient used to enhance
the active ingredient, was detected
in seven (1.3 percent) of the 527
soy-based samples. All detections
of MGK-264 were much lower
than the established tolerance.
AMS initiated the Pesticide
Data Program in 1991 to collect
data on pesticide residues in food.
PDP data are used primarily by
the EPA to assess dietary exposure
during the review of the safety of
existing pesticide tolerances (Maximum Residue Limits).
PDP data also are used by the
US Food and Drug Administration (FDA) to assist in planning
commodity surveys for pesticide
residues from an enforcement/regulatory perspective.
Because PDP data are mainly
used for risk assessments, PDP
laboratory methods are geared to
detect the lowest possible levels
of pesticide residues, even when
those levels are well below the tolerances established by the EPA.
In 2014, over 41 percent of
the samples tested had no detectable pesticide residues, and over
99 percent of the samples tested
had residues below the tolerances
established by the EPA.
The findings of the Pesticide
Data Program Annual Summary
for calendar year 2014 can be
downloaded at www.ams.usda.gov/
pdp.
Page 3
CHEESE REPORTER
2016, the butter price forecast is
raised from last month on relatively strong demand and lower
expected production.
USDA now expects butter prices
to average $1.8900 to $2.0000
per pound this year, up one cent
on both ends from last month’s
forecast. Butter prices averaged
$2.0670 per pound in 2015 after
averaging a record $2.1361 per
pound in 2014.
Cheese, dry whey and nonfat dry milk price forecasts are all
reduced from last month. Relatively large beginning cheese
stocks and weaker beginning-year
prices underlie the reduction in
the cheese price forecast.
USDA now expects cheese
prices to average $1.5450 to
$1.6250 per pound this year,
down from last year’s average of
$1.6454 per pound and also down
from 2014’s record-high average of
$2.1551 per pound.
Both dry whey and nonfat dry
milk prices are expected to be
pressured this year by weakness in
exports. USDA now expects 2016
dry whey prices to average 24.0 to
27.0 cents per pound, after averaging 38.04 cents per pound in
2015 and 65.38 cents per pound
in 2014.
Nonfat dry milk prices are now
projected to average 86.5 to 92.5
cents per pound in 2016, after
averaging 90.16 cents per pound
in 2015 and $1.7682 per pound in
2014.
USDA’s Class III price for
2016 is reduced on lower cheese
and dry whey prices. USDA now
expects the Class III price to average $14.05 to $14.85 per hundredweight this year, after averaging
$15.80 per hundred last year and
a record-high $22.34 per hundred
in 2014.
The last time the federal order
Class III price averaged under
$15.00 per hundredweight was in
2010, when it averaged $14.41 per
hundred.
USDA’s Class IV price forecast
is also reduced, as the lower nonfat
dry milk price more than offsets
a higher butter price. The Class
IV price is now projected to average $13.35 to $14.25 per hundred,
down from last year’s average of
$14.35 per hundred and also down
from 2014’s record-high average of
$22.09 per hundred.
USDA’s all milk price forecast
is lowered to $15.35 to $16.15 per
hundred for 2016, after averaging
$17.08 per hundred last year and
a record-high $23.97 per hundred
in 2014.
In other USDA price forecasts,
the projected range for the 2015/16
season-average corn farm price is
lowered five cents on each end to
$3.30 to $3.90 per bushel, reflecting weakness in export demand
and recent declines in cash and
futures prices.
For more information, circle #5 on the Reader Response Card on p. 10
Page 4
CHEESE REPORTER
Licensed Imports Up
(Continued from p. 1)
Licensed Cheddar imports during December totaled 2.3 million pounds, down 74,769 pounds
from December of 2014. Licensed
Cheddar imports during all of 2015
totaled 22.8 million pounds, up 6.4
million pounds from 2014.
December licensed imports of
American-type cheeses including
Colby totaled 1.5 million pounds,
pounds from December of 2014.
Licensed Blue Mold imports during all of 2015 totaled 6.2 million
pounds, up 129,457 pounds.
December licensed imports of
Gruyere-processed totaled 609,550
pounds, down 294,985 pounds from
December of 2014. For all of 2015,
licensed imports of Gruyere-processed totaled 6.7 million pounds,
up 505,285 pounds from 2014.
Licensed imports of other
cheese-nspf-lowfat during December totaled 28,105 pounds, up from
Licensed US Cheese Imports
2000 – 2015 millions of pounds
290
270
250
230
210
190
170
150
2000
02
04
06
up from zero pounds in December
of 2014. For all of 2015, licensed
imports of these cheeses totaled
3.7 million pounds, up from just
20,940 pounds in 2014.
Licensed Italian-type cheese
imports during December totaled
1.7 million pounds, down 653,598
pounds from December of 2014.
Licensed Italian-type cheese
imports during all of 2015 totaled
19.8 million pounds, up 1.5 million
pounds from 2014.
December licensed Edam and
Gouda imports totaled 1.7 million
pounds, down 99,108 pounds from
December of 2014. For all of 2015,
licensed Edam and Gouda imports
totaled 14.5 million pounds, up
710,081 pounds from 2014.
Licensed Blue Mold cheese
imports during December totaled
663,300 pounds, down 120,281
08
10
12
14
zero pounds in December of 2014.
Licensed imports of these cheeses
during all of 2015 totaled 41,294
pounds, down 29,348 pounds.
High-Tier Imports Increase
December imports of high-tier
cheese totaled 5.1 million pounds,
up 2.3 million pounds from December of 2014.
For 2015, imports of high-tier
cheese totaled 41.9 million pounds,
up 12.2 million pounds from 2014.
Combined licensed and hightier cheese imports in 2015 totaled
266.2 million pounds, up 36.8 million pounds from 2014.
Imports of high-tier cheese in
several key categories last year,
with comparisons to 2014, were
Italian-type cheese, 19.9 million
pounds, up 6.7 million pounds;
other cheese-nspf, 11.3 million
pounds, up 3.2 million; Cheddar,
7.8 million pounds, up 3 million;
Blue Mold cheese, 2.1 million
pounds, down 269,170 pounds.
Imports of high-tier butter during December totaled 788,432
pounds, down 762,357 pounds
from December of 2014. For all of
2015, imports of high-tier butter
totaled 21.6 million pounds, up
13.9 million pounds from 2014.
Butter TRQ 98.3% Filled
December licensed butter imports
totaled 611,607 pounds, down
539,660 pounds from 2014.
For all of 2015, licensed butter imports totaled 15.1 million
pounds, up 209,935 pounds.
Combined licensed and hightier butter imports in 2015 totaled
36.7 million pounds, up 14.1 million pounds from 2014.
The current tariff-rate quota
for butter is 15.3 million pounds.
Last year, the butter TRQ was 98.3
percent filled, compared with a fill
rate of 96.9 percent in 2014.
December licensed imports of
butter substitutes totaled 1.6 million pounds, down 4.3 million from
December of 2014. For all of 2015,
licensed imports of butter substitutes totaled 13 million pounds, up
58,588 pounds from 2014.
The current TRQ for butter substitutes is 13.4 million pounds. Last
year, that TRQ was 97.3 percent
filled, compared with a fill rate of
96.9 percent in 2014.
Licensed imports of dried whole
milk in December totaled 440,174
pounds, down 242,308 pounds
from December of 2014. Licensed
dried whole milk imports for all of
2015 totaled 7.2 million pounds,
up 1.8 million pounds from 2014.
The current TRQ for dried
whole milk is 7.3 million pounds.
In 2015, that TRQ was 98.9 percent filled, compared with a fill
rate of 74.7 percent in 2014.
January 15, 2016
from our
archives
50 YEARS AGO
Jan. 14, 1966: Chicago—President Johnson’s new commission
on food and fiber is scheduled to
meet here this month to open the
study of long-range national farm
policy. The 30-member group is
headed by Dean Sherwood Berg of
the University of Minnesota College of Agriculture.
Des Moines, IA—Improper storage of pesticides led to the unexplained contamination of milk from
13 dairy herds last fall. It is believed
that aldrin was stored near a dairy
food component and used instead
of normal component. There is zero
tolerance for insecticide residues in
milk.
25 YEARS AGO
Jan. 11, 1991: Washington—
The USDA this week announced
that since the beginning of the
year, five cents per hundredweight is being deducted from
farmers’ milk checks on all milk
produced within the 50 states,
the District of Columbia, Puerto
Rico and the US territories, and
marketed for commercial use in
the calendar year 1991, as part
of the 1990 budget agreement.
Madison—New findings on one
of today’s toughest cheesemaking
challenges – making lowfat cheeses
without sacrificing flavor, body or
shelf life – will be among the topics
covered at the CDR Research and
Technology Conference here next
month. CDR senior scientist Mark
Johnson will discuss new findings
in off-flavor development in lowfat
cheeses.
10 YEARS AGO
Jan. 13, 2006: Washington—
A petition proposing a number
of changes to the federal standards of identity for ice cream
and other frozen desserts has
drawn criticism from a number of dairy producer organization and individual consumers.
Areas of disagreement include
the use of filtered milk in frozen
desserts, use of any safe and suitable milk-derived ingredients in
frozen desserts, and the use of
“alternate make” procedures.
Central Point, OR—To keep
pace with increased demand for its
award-winning specialty cheeses,
the Rogue Creamery here recently
purchased a 22,000 square-foot
industrial cold storage facility
for $1.1 million, providing more
freezer, refrigerator, packing and
wrapping space.
January 15, 2016
Ornua In China
(Continued from p. 1)
produced premium cheeses to the
Ornua product range will complement the existing range of Kerrygold Irish milk products already
on sale in China. These products
occupy similar shelf space in retail
outlets and the newly expanded
product range will help Ornua
leverage sales opportunities for
Irish dairy produce in premium
Chinese markets, Ornua said.
The Ambrosia facility will also
include a new product development center that will focus on
developing cheese products that
meet specific tastes of Chinese
consumers, Ornua added.
“This acquisition is another
important milestone in Ornua’s
growth as a global supplier of quality products. We are buying an
excellent dairy enterprise which
allows us to significantly grow our
Chinese business in one step,”
commented Kevin Lane, Ornua’s
CEO.
“It provides us with a manufacturing base in China and brings on
board a team with local knowledge
and expertise, complementing our
own existing in-market operation,”
Lane added. “Ambrosia Dairy is
particularly well known for the
quality of its cheeses and it has
been at the forefront of the development of the domestic cheese
market in Shanghai.”
The Ambrosia acquisition is
the latest in a series of investments by Ornua, targeting new
routes to market for Irish dairy
products. The last 18 months has
seen Ornua invest in acquisitions
and significant capital expenditure
in the US, Africa, Germany, Ireland, Saudi Arabia, Spain and the
United Kingdom.
The acquisition comes just weeks
after the opening of a powdered
milk packaging factory in Nigeria. It also meets another objective of building Ornua’s capacity
to develop premium dairy products
for markets in milk-deficit regions.
Also this week, Ornua
announced that, following the
recent sale of DPI Specialty Foods,
its US specialty foods distribution
business, to Arbor Investments, it
will pay an additional cash bonus
of 15 million euros to its member
suppliers, Ireland’s dairy processors.
This additional cash bonus will
be paid in April and May and
will be in addition to the normal
annual cash bonus paid by Ornua.
In addition to returning additional funds to its member suppliers, the sale of DPI will enable
Ornua to continue to develop its
core business of building routes to
market for Irish dairy products.
As a cooperative, owned by Ireland’s dairy processors, and in turn
by Ireland’s dairy farmers, Ornua’s
core aim is to deliver a sustainable,
high return for Irish dairy farmers.
Page 5
CHEESE REPORTER
Canadian Dairy Co-ops Gay
Lea Foods, Amalgamated
Dairies Launch Cooperative
Dairy Alliance
Mississauga, Ontario—Amalgamated Dairies Limited (ADL)
and Gay Lea Foods Cooperative
Limited this week announced the
launch of the Cooperative Dairy
Alliance (CDA) to strengthen
cooperation between the two
Canadian dairy cooperatives.
The CDA seeks to strengthen
dairy cooperative leadership in
the Canadian dairy industry by
growing the market for Canadian
milk and building on the current
variety of value-added dairy products offered by the two cooperatives, who will work collectively
by sharing process excellence and
collaborating on market distribution, delegate and leadership train-
ing, research and development and
procurement.
The Cooperative Dairy Alliance
will promote the unique assets and
specialties of the two dairy co-ops
that serve the Canadian market
with local dairy products:
 ADL has dairy processing and
retail food distribution facilities
throughout Prince Edward Island,
processing over 100 million liters
of milk each year from the 180
PEI dairy farms. ADL’s products
include a range of cheeses including Cheddar, Mozzarella, Brick and
others, as well as butter, fluid milk,
ice cream and evaporated and
sweetened condensed milk. ADL’s
products are sold across Canada
and the co-op also provides products to markets in the US, Asia
and the Caribbean.
 Gay Lea Foods is owned and
operated by 1,200 dairy farmers
who produce 35 percent of Ontario’s milk, and more than 3,800
members. The co-op’s products
include Cheddar, Mozzarella and
other cheeses, as well as fluid milk,
butter, sour cream, cottage cheese
and whipped cream.
“The nature of this will allow
each respective cooperative to
maintain their independence
while at the same time leveraging
the strengths, assets, and resources
of the combined business to work
towards a collective goal to grow
and sustain a strong, dynamic and
innovative dairy industry for the
benefit of their members,” said
Garnet Schellen, ADL’s president.
The Alliance “is another way
we can strengthen both the Canadian dairy industry and the cooperative movement,” said Paul
Vickers, chair of the board for Gay
Lea Foods.
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Page 6
CHEESE REPORTER
January 15, 2016
George Cornell, Hans Epprecht To Receive
WCMA Cheese Industry Champion Awards
Madison—Two longtime cheese
industry visionaries, George Cornell and Hans Epprecht, will be
honored on April 14 with the
Cheese Industry Champion Award
by the Wisconsin Cheese Makers
Association (WCMA).
The award honors persons who
have devoted their careers to growing the US dairy industry.
Cornell, with Pacific Cheese
Company, and Epprecht, founder
of Great Lakes Cheese, will accept
the Cheese Industry Champion
Award at the Industry Achievement Awards Breakfast on
Thursday, April 14, 2016, at the
International Cheese Technology
Expo in Milwaukee, WI.
George Cornell is the vice
president of industry relations at
Pacific Cheese, a California-based
broadline cheese supplier. He is a
member of the company’s executive committee and is a futures
trader for Class III milk and Cheddar cheese.
Cornell’s more than 50 years
of previous dairy industry experience includes a 25-year history
with Schreiber Foods as senior
vice president of purchasing, a
vice presidency of cheese operations at Land O’Lakes and work as
executive vice president of Empire
Cheese at H.P. Hood LLC.
He is an active participant in
the International Dairy Foods
Association and in the National
Cheese Institute, where he is a
former chairman. He also participates in the Wisconsin Dairy Products Association, New York State
Cheese Manufacturers’ Association and the WCMA.
Cornell graduated from Michigan State University with a dairy
manufacturing degree in 1955, and
joined the United States Air Force
before he began his career in dairy,
serving in the Strategic Air Command, Squadron Adjutant and
Security Office.
Hans Epprecht was born in Switzerland in 1930 and immigrated to
Brewster, OH, in 1948 in pursuit
of the “American Dream.”
In the fall of 1958, he decided
to take a gamble, borrowing $5,000
on a life insurance policy to purchase an existing cheese company.
This was the beginning of Great
Greg Dryer, Longtime
Dairy Industry Leader,
To Retire From Saputo
Lincolnshire, IL—Greg Dryer, a
longtime Saputo executive who
has held leadership positions in a
number of dairy industry organizations, has announced his retirement, effective June 30, 2016.
Dryer has worked for Saputo and
its predecessors for more than 35
years, and was the former president
of Avonmore Cheese,.
During his career, Dryer served
on the board of directors and also
as president of the American Dairy
Products Institute. For many years,
he has also served on the boards of
organizations such as the National
Cheese Institute, Wisconsin
Cheese Makers Association, Dairy
Institute of California, US Dairy
Export Council, and the California
Creamery Operators Association.
Greg Dryer
Greg Dryer was also a member of
the Wisconsin Dairy 2020 Council.
“I will miss my dairy industry
friends and colleagues who are
among the best people this life
has to offer,” Dryer said, adding
“I will be forever grateful to the
Saputos for allowing me the privilege to be part of their wonderful
family.”
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ese
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For more information circle #9 on the Reader Response Card on p. 10
George Cornell
Hans Epprecht
Lakes Cheese, now one of the largest converters of natural cheese in
North America.
Under Epprecht’s leadership,
Great Lakes Cheese supported
retailers in standardizing the size
of shredded cheese packages,
including a top zipper when the
industry was using side zippers.
He also worked alongside equipment manufacturers to change the
flushing process of chunk cheese to
enhance shelf life.
Epprecht answered the needs of
his cheese customers by purchasing
a Cheddar cheese plant in Adams,
NY, in 1984. Eleven years later,
Great Lakes Cheese added a processed cheese plant in La Crosse,
WI, to support retailers’ processed
cheese needs.
Today, Great Lakes Cheese
services its retail and foodservice
customers with nine plants strate-
gically located in Ohio, New York,
Wisconsin, Utah and Tennessee.
In 1971, Epprecht gifted 20 percent of the company to the employees through stock options. This
moment defined a new culture for
employee owners. Empowered as
owners, Great Lakes employees
remain committed to the entrepreneurial spirit Hans Epprecht built
into the fabric of the company.
Hans Epprecht retired from
daily operations at Great Lakes
Cheese in 2002. Today, the second
and third generation of the Epprecht family are committed to the
success of this growing, privately
held enterprise.
Attendees at the International Cheese Technology Expo
are invited to join the Industry
Achievement Awards Breakfast
on April 14. For more information,
visit www.cheeseexpo.org.
ence working in Europe, Africa and the
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January 15, 2016
TPP Dairy Impacts
(Continued from p. 1)
In the end, TPP instead resulted
in more modest improvements
in the degree of new access to
Canada’s consumers (as opposed
to the existing level of imports by
Canadian processors destined only
for re-export outside of Canada).
However, as part of that process,
the US granted Canada a more
generous market access package
than the US secured from Canada.
Impact of US tariff elimination
on milk powders granted to New
Zealand and Australia: In TPP
the US agreed to eliminate tariffs
on milk powders exported by New
Zealand and Australia to the US.
Particularly if this access is coupled with a potential approval of
Grade A status for New Zealand’s
dairy sector, it will be important
for USITC to calculate the impact
this decision could have on the
US dairy market and the degree
to which imported milk powder
could in time displace domestic
milk usage as an ingredient in certain products.
Impact of US tariff elimination granted to Japan: Contrary
to past practice, in TPP the US
opted to ultimately eliminate US
dairy tariffs for all Japanese exports
despite not having reciprocity for
this approach from Japan.
Impact of US tariff elimination on specific cheeses granted
to Canada, New Zealand and
Australia. The US opted to eliminate tariffs on two cheese lines
currently subject to tariff-rate quotas (TRQs) and that annually see
considerable global imports. These
are 04069097 for “Miscellaneous
cheese” for New Zealand and
Canada and 04069048 for Swiss/
Emmental cheese for Australia.
Impacts on US exports given
TPP competition from New
Zealand and Australia: Unlike
most other recent US FTAs, TPP
includes significant dairy competitors. As a result, the US will not
win all the new access for dairy
that TPP creates.
Impact on TPP results given
likelihood of European Union
(EU) FTAs in TPP region:
Although the EU is not a party
to the TPP, it has been carefully
negotiating its own agreements
with many TPP partners. The EU
has completed negotiations with
Canada and Singapore, reached an
agreement in principle with Vietnam and has other talks underway
in the region with important markets such as Japan.
SPS And GI Provisions
The two most important non-tariff
achievements in the TPP, according to USDEC and NMPF, are its
sanitary and phytosanitary (SPS)
chapter and the intellectual property chapter’s geographical indication (GI) provisions.
Both areas establish “ground-
Page 7
CHEESE REPORTER
breaking new commitments” that
should help keep in check the
prospect for TPP countries to
erode existing and future market
access opportunities for US dairy
exporters through unjustified and
sudden regulatory determinations,
NMPF and USDEC said.
TPP is the first US trade agreement to include rules and disciplines on SPS measures that go
beyond those contained in the SPS
Agreement in the World Trade
Organization (WTO), USDEC
and NMPF noted. Nearly all of
the “WTO-plus” provisions are
fully enforceable through the TPP
dispute settlement mechanism.
The most significant provisions
in the SPS chapter, NMPF and
USDEC said, include science and
risk analysis, equivalence, import
checks, transparency, and cooperative technical consultations.
“The strengthened SPS commitments address the escalating
threat that unwarranted and sudden SPS measures are posing to
US agricultural exports around the
world,” Suber said.
At the time of the TPP’s launch,
the EU’s shift from a multilateral
effort to limit competition via
“inappropriate abuse” of GIs to a
primary bilateral approach to this
goal had already commenced,
USDEC and NMPF noted. As
such, the US dairy groups worked
jointly with the dairy industries in
Australia, New Zealand and Mexico to establish the importance of
addressing this emerging type of
trade barrier and formulating tools
to begin to tackle it more effectively.
The TPP’s reminder that GIs are
a type of intellectual property (IP)
and as such should be subject to
similar types of due process procedures required of other types of IP
is a “fundamentally important ele-
ment,” USDEC and NMPF said.
This will be relevant as the US
continues to build upon this text
to further tackle the EU’s aggressive agenda to limit competition
from other suppliers in common
food categories.
“We view the TPP GI text as
an important starting point for
future work on the issue of GIs
and common food names,” NMPF
and USDEC said. “It does not
resolve this matter since it does
not directly block the EU from
inappropriately restricting the use
of common food names important
to global trade, but it does charge
the course for addressing this topic
in a much stronger direction.”
Among the most significant
provisions in the TPP’s GI section,
NMPF and USDEC said, are:
Registration, opposition and
cancellation: A party to the
agreement is required to publish all applications for registration and to establish procedures
for opposition and cancellation.
Grounds for opposition include:
the GI is likely to cause confusion
with a trademark; or the GI is a
common name in the territory of
the party. Requirements are different regarding GIs protected
pursuant to future international
agreements.
Guidelines for determining
whether a term is a common
name. In determining whether a
term is a common name, a party
must “take into account how consumers understand the term in the
territory of that Party.” The agreement lists factors a party may consider in this context.
Multi-component terms: The
agreement requires that common
names that are components of
compound GIs not be protected;
i.e., parties must allow their continued unrestricted use.
Volunteers Sought For
World Championship
Cheese Contest
Madison—Volunteers are being
sought for the 2016 World Championship Cheese Contest, with
several opportunities to help both
before and during the contest.
Wisconsin Cheese Makers
Association (WCMA), the contest host, is seeking volunteers to
sign up for product check-in shifts.
Around 25 to 30 people are needed
to check in contest entries at the
WOW Logistics warehouse in Little Chute, WI.
The two-day check-in will offer
the following opportunities to
help: 12:30 to 4:00 p.m. on Thursday, March 3, and/or 8:00 a.m. to
1:00 p.m. on Friday, March 4. All
volunteers will receive lunch at
a local restaurant and an official
B-Team Volunteer hat.
Assistance is also requested at
the 2016 World Championship
Cheese Contest site, the Monona
Terrace Convention Center in
Madison. Fifty people are needed
each day to assist the judges. Days
and times are as follows: Monday,
March 7, and Tuesday, March 8,
8:00 a.m. to 5:00 p.m. Lunch and
an official B-Team Volunteer hat
are provided.
Also, 20 people are needed on
Thursday, March 8, from 1:00 to
6:00 p.m. to prepare the cheeses
for the final round charity event
Thursday evening. Volunteers are
welcome to stay for the evening
event, which begins at 6:30 p.m.
The World Championship
Cheese Contest is an event that
succeeds only with the assistance
of its volunteers.
Volunteer sign-up information
and forms can be found at www.
worldchampioncheese.org.
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Page 8
CHEESE REPORTER
Second Consecutive Win For Farm At Doe
Run In PA Farm Show Cheese Contest
Harrisburg, PA—Samuel Kennedy and Matt Hettlinger of the
Farm at Doe Run, Coatesville, PA,
won Best of Show for the second
consecutive year at the second
annual Pennsylvania Farm Show
Cheese Competition here.
Their winning entry, Seven
Sisters, is similar to Comté, aged
for one year and made from grassfed Jersey raw milk. Seven Sisters
also took Best of Show at last year’s
competition.
Amos Miller of Misty Creek
Goat Dairy, Leola, earned second
Best in Show for his goat’s milk
Kid Chego entry.
Farm at Doe Run’s Kennedy and
Hettlinger also won third Best in
Show for St. Malachi, a raw cow’s
milk cheese with elements of both
Gouda and Gruyere.
Judges evaluated each of the 70
cheese entries from 25 Pennsylvania cheese makers on aroma, body,
texture, and taste.
Dr. Kerry Kaylegian, dairy foods
research and extension associate
from Penn State, served as coordinator of the Farm Show cheese
competition.
“This year we had an excellent
representation of Pennsylvania
cheese makers, including artisan,
farmstead, and commercial producers,” Kaylegian said.
The technical judging team
included international judges
from the cheese industry, and the
aesthetic judging team included
cheese professionals who have
completed the Certified Cheese
Professional Exam, certifying them
as official cheese mongers.
Top winners are:
Cow’s Milk Cheeses
Cheddar, Colby, & Monterey
Jack: David and Ester Esh of
Lykens Valley Creamery, Millersburg, Cheddar Cow
Flavored Cheddar, Colby, &
Monterey Jack: Vernon Brubaker
of September Farm Cheese, Honey
Brook, Chili Pepper Cheddar
Swiss and Alpine Style: Samuel
Kennedy and Matthew Hettlinger
of The Farm at Doe Run, Coatesville, St. Malachi
Soft Cheese: Wade T. Smith of
Caputo Brothers Creamery, Honesdale, Ricotta
Surface-Ripened Cheese: Emily
Montgomery of Calkins Creamery,
Coatesville, with Noblette
Semi-Soft, Semi-Hard and
Hard Cheese: Samuel Kennedy
and Matthew Hettlinger of The
Farm at Doe Run, Seven Sisters
Goat’s Milk Cheeses
Soft Goat Milk Cheese: Jennifer Bradbury of Camelot Valley,
Dover, Chevre
Mold-ripened Goat Milk
Cheese: Al Renzi of Yellow
Springs Farm, Chester Springs,
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January 15, 2016
Open Class Cheese From Goat
Milk: Amos Miller of Misty Creek
Goat Dairy, Leola, with Kid Chego
All Milks/Mixed Milk Cheeses
Blue-Veined: Sue Miller of
Birchrun Hills Farm, Chester
Springs, Birchrun Blue
Washed Rind and Smear Ripened: Sue Miller of Birchrun Hills
farm, Red Cat
Smoked Cheese: David and
Esther Esh of Lykens Valley
Creamery, Millersburg, Cheddar
Open Class Cheese From Sheep
Milk or Mixed Milk: Thomas
Shaer of Meadowset Farm, Landenberg, The Last Straw
Open Class Flavored Soft
Cheese From Cow or Goat Milk:
Jennifer Bradbury of Camelot Valley, Dover, Holiday Chevre
Open Class Flavored SemiSoft, Semi-Hard, and Hard
Cheese from Cow or Goat Milk:
Sue Miller of Birchrun Hills Farm,
Tommy Mole
Cottage Cheese: Dave Jones,
Titusville Dairy,Titusville
European Food Safety
Authority Says Milk Treated
With Ultraviolet Radiation
After Pasteurization Is Safe
opinion, the manufacturing process
involves the incorporation of a UV
source (i.e. SurePure turbulator) in
a post-pasteurization section of the
processing line. Pasteurized milk is
pumped or gravity fed through a
specified number of SurePure turbulators which irradiate the pasteurized milk with UV-C.
Considering that there are no
relevant changes in nutrient composition in the milks following the
proposed UV treatment, the EFSA
considers the specified parameters
as acceptable, and concludes that
the data provided on the production process are sufficient and do
not give rise to safety concerns.
“UV-treated milk is comparable
to non-UV-treated milk, except for
the vitamin D3 content,” the EFSA
stated. No adverse effects regarding
the contribution of milk to nutrient intakes are expected from the
consumption of UV-treated milk
in substitution of non-UV-treated
milk.
Information was provided on
the microbiological status of the
UV-treated milk, and the EFSA
said it considers that the data provided do not give rise to concerns
with regard to the microbiological
quality of the novel food. With
regard to allergenicity, the EFSA
considers that the risk of allergic
reactions to the novel food is not
dissimilar to that associated with
conventional milk.
The EFSA’s opinion follows an
announcement last November by
SurePure of the decision by South
Africa’s Department of Health to
endorse ongoing studies of SurePure’s technology as an alternative
to pasteurization for the treatment
of raw milk to make it safe for
human consumption. If successful, the program will allow South
Africa’s farmers to use the SurePure purification technology as an
alternative processing method for
raw milk, SurePure said.
“We are very pleased at the progress we are making with our regulatory partners. The EFSA opinion
completely validates the position
we have taken for 10 years, that
both the product that results from
the application of our technology
and the production process that
utilizes our technology, are safe and
enhance the economic value of the
foods and beverages we treat,” said
Guy Kebble, SurePure’s CEO.
Brussels, Belgium—Cow’s milk
to which a treatment with ultraviolet (UV) radiation is applied
after pasteurization in order to
extend the shelf life of the milk
“is safe,” according to a scientific
opinion published this week by the
European Food Safety Authority
(EFSA).
The opinion resulted from a
novel foods application submitted
to EFSA by SurePure’s licensee for
the United Kingdom and Ireland,
which was originally filed in September of 2012 and supplemented
in February of 2015.
The applicant provided compositional data on macro- and micronutrients in milk subjected to UV
treatment. The UV-treated milk
contained significant amounts of
vitamin D3, whereas the contents
in the control milk were below the
limit of detection.
Apart from vitamin D3, there
were no significant differences
in the nutrient content of milks
treated with UV as compared to
control milk, the EFSA said. From
the data provided, the EFSA considers that the formation of lipid or
protein oxidation products is not of
safety concern. The EFSA, therefore, considers that the provided
compositional data, the specifications and the data from batch
testing do not give rise to safety
concerns.
As explained in the EFSA’s
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January 15, 2016
Page 9
CHEESE REPORTER
MARKET PLACE
CLASSIFIED ADVERTISING
phone: (608) 246-8430 fax: (608) 246-8431
e-mail: [email protected]
The “Industry’s” Market Place for Products, Services, Equipment and Supplies, Real Estate and Recruitment
Classified ads should be placed
by Thursday for the Friday issue.
Classified ads charged $.75 per
word. Classified ads payable in
advance. Display Classifieds
charged per column inch.
3. Products, Services
7. Help Wanted
10. Cheese & Dairy Products
LOOKING FOR HARD TO FIND
PRODUCTS, equipment or services?
For more details, call 608-246-8430 or
email [email protected]
HELP WANTED: Full-time Assistant Cheese Maker at the CHALET
CHEESE CO-OP, Monroe, WI. Must
be a Wisconsin licensed cheese maker
with pasteurizer certification. Contact
Myron Olson at 608-558-0604 or email:
[email protected]
KEYS MANUFACTURING:
Dehydrators of scrap cheese for the
animal feed industry. Contact us for
your scrap at (217) 465-4001; email
[email protected].
4. Walls, Flooring
1. Equipment for Sale
FOR SALE: Westfalia Separator discs:
MSA 200, MSA 160, SAMM 20006.
Call Great Lakes Separators at 920863-3306; or email Dave at drlambert@
dialez.net.
EPOXY OR FIBERGLASS floors, walls,
tank-linings, and tile grouting. Installed by
M&W Protective Coating Co. LLC. Call
(715) 234-2251
WANTED: Milk plant Production Manager working directly with owners and
management to maintain an efficient
production schedule, give performance
reviews and motivate staff to meet production goals. Ideal candidate will have
excellent leadership, problem-solving
and organizational skills with a proven
ability to manage multiple priorities
with minimal direction. Must be a selfmotivate and results-oriented leader
who has exceptional interpersonal and
communication skills. We require that
our Production Supervisors have at
least 3-5 years of strong mechanical
and operations leadership experience.
Expertise in a dairy plant is preferred.
Call: 941-893-9181 or email: scott.
[email protected]
EXTRUTECH
EG I S T ER BY FE B RUA RY
2 ND PLASTICS
ANDSanitary
SAVE 2 0%
POLY BOARD panels provide bright
SEPARATOR NEEDS - Before you buy
a separator, give Great Lakes a call.
TOP QUALITY, reconditioned machines
at the lowest prices. Call Dave Lambert, Great Lakes Separators at (920)
863-3306 or e-mail drlambert@dialez.
net.
HIGH CAPACITY SEPARATOR:
Alfa-Laval hmrpx 718 HGV hermetic
separator. 77,000 pounds per hour
separation/110,000 pounds per hour
standardization. Call Great Lakes
Separator at 920-863-3306 or email
[email protected].
©
white, non-porous, easily cleanable
surfaces, perfect for non-food contact
applications. CFIA and USDA accepted
and Class A for smoke and flame. Call
888-818-0118 or epiplastics.com.
5. Real Estate
FOR SALE: Specialty powder products
company. Small but rapidly growing.
Midwest location. Owner’s health is
forcing this sale. Reply to Box J-1085,
c/o Cheese Reporter, 2810 Crossroads
Dr., Madison WI 53718
DAIRY PLANTS FOR SALE: http://
dairyassets.webs.com/dairy-plants.
Call Jim at 608-835-7705
Wisconsin Cheese
6. Promotion & Placement
Industry Conference
PROMOTE YOURSELF - By
2015
FOR SALE: Car load of 300-400-500
contacting Tom Sloan & Associates.
FOR SALE: 1500 and 1250 cream
tanks. Like New. (800) 558-0112. (262)
473-3530.
late model open top milk tanks. Like
new. (262) 473-3530
CHEESE MAKER WANTED: Start-up
Cheesemaker. Duties include start-up
and production supervising. Benefits
are available. Please apply within
DECATUR DAIRY, INC., W1668 Highway F, Brodhead, WI 53520; or apply
by calling 608-897-8661 or emailing
qualifications to [email protected]
Job enhancement thru results
oriented professionals. We place
3001EW TU-WAY
cheese makers, production, technical,
Exact
Weight
Cheese
Cutter Products
maintenance,
engineering
and
sales
2. Equipment Wanted 3010 TU-Way
10.
Cheese
& Dairy
Designed to cut cheese blocks into portions
management
people.
Contact
Dairy
Simultaneously cuts either two 40-lb blocks
for FOR
packaging
or further
processing. 10 month
ULLMER’S DAIRY EQUIPMENT
SALE:
Wisconsin
or up to four 20-poundSpecialist
Mozz loaves. David Sloan, Tom Sloan
aged StarK Kosher Parmesan and 3
is looking to buy used daisy hoops,
Terri Sherman. TOM SLOAN & General
Machinery Corporation
General MachineryorCorporation
month aged Asiago. Shreds, blocks,
midget hoops, A-frame presses, 20 lb
ASSOCIATES, INC. PO Box 50,
Call
NOW
at 1-888-243-6622
Call NOW at 1-888-243-6622
chunks,
loaves. For more information
block molds, water/milk silos,
[email protected]
Watertown, WI 53094. Call: (920) 261- Email:
Email:
[email protected]
www.genmac.com
[email protected]
enizers, and separators. Pleasewww.genmac.com
contact
8890 or FAX: (920) 261-6357; or email: email:
APRIL 22–23, 20157. Help Wanted
us at (920) 822-8266 or e-mail us at
[email protected].
WANTED TO BUY: Westfalia or AlfaliantLaval
energy
center
separators.
Large or small. Old or
Top dollar paid. Call Great Lakes
adisonnew.wisconsin
Separators at (920) 863-3306 or email
[email protected]
,
n the nation’s top seminar for the
3. Products, Services
eese, butter and whey industry.
[email protected]
TABLETOP MINI-EXPO
11. Milk
SHEEP MILK: ISO buyer to pick up
excellent quality bulk raw Grade A
milk for the 2016 season. Reference
on quality available. We are located
in Central NY. Call 607-638-5794 or
email: [email protected]
12. Miscellaneous
14. Testing Services
Promote your microbiological, nutritional
or food sample testing services here.
Call Cheese Reporter at 608-246-8430
for information or email [email protected] to advertise here and at
www.cheesereporter.com
Hydrauflake Chunker
Frozen Block Flaker
Designed to chunk frozen cheese and butter
blocks in preparation for further processing.
General Machinery Corporation
Call NOW at 1-888-243-6622
Email: [email protected]
www.genmac.com
Dairy Procurement Manager
The largest WCIC Tabletop Mini-Expo ever
features 230 supplier partners exhibiting their
ideas and
And, don’t
missCheese
the USA LLC has an exciting opportunity for a Dairy Procurement Manager. Alouette is
WANTED: Plantlatest
manager
for technology.
newly
Alouette
of the popular Ideas Showcase;
concise
a premier
producer of specialty cheeses and maker of the Alouette brand.
acquired, yet wellreturn
established,
Cheddar
presentations right on the Mini-Expo floor.
cheese plant located in the Mohawk
This key position will be responsible for all dairy and non-dairy ingredients for cheese
Valley region of New York. Great potenmanufacturing plants of Alouette Cheese USA (Fleur de Lait East, Fleur de Lait West and
SCHEDULE HIGHLIGHTS
tial for expansion. Must be fully qualified
Kolb Lena) while assuring optimum cost and adequate supply. This position is based in
opening address from:
New Holland, PA, and reports to the Director of Materials Management.
and committed to making quality prodRobert Coallier CEO, Agropur Cooperative
ucts. Call George at 617-448-4292.
Position ResPonsibilities:
educational seminars
n Manages milk and cream procurement for 3 manufacturing sites
n Supervises MRP & Milk Accounting Clerk and Field Sanitarians
Finding Solutions With Your CDR
University of Wisconsin-Madison
n Recommends and implements the dairy risk management strategies
Cheese Doctors On Call
1820markets
Single Direction
Wisconsin Center for Dairy Research
n Determines least cost formulas based upon current
World Markets Knocking At Your DoorCheese
Cutter
sted by
&
n Manages milk sales assuring optimum return while meeting FMMO
qualifications
CDR
What Are You Going To Do?
Reduces wire cutable product into uniform
n Develops and implements patron programs
portions for dicing, shredding,melting, or blending.
cdr workshops
Call NOW
1-888-243-6622
The UW-Madison, College
of Ag at
and
Life Sciences, Wisc.
Center
for& Texture
Dairy Defects n Manages the dairy accounting function – including Market Administrator audits
Cheese
Flavor
n Recommends and implements dairy budgets and forecasts for all dairy ingredients
[email protected]
Research is looking for a Email:
cheesemaker
who would like Whey
to work
in a team
Flavor Defects
n Sources and purchases all non-dairy ingredients for 3 manufacturing sites.
edule and information available at www.genmac.com
E ARCH
ES
CENTER F
Animal Care & Dairy Marketing
DAIRY R
OR
Cheesemaker
General Machinery Corporation
General Machinery Corporation
environment on new and innovative research activities involving all cheese
Call NOW at 1-888-243-6622
events highlighting the 2015 united
Email: [email protected]
types and varieties.
education, skills and exPeRience
ww . cheeseconference
.org
www.genmac.com
states championship cheese contest
Bachelor’s
degree,
business
administration
or
related
field
n
This position is responsible for the manufacture of natural/processed/cold
n
4-6
years
dairy
industry
related
procurement
pack cheeses in the dairy plant setting. This includes carrying out and docun Leadership: a demonstrated ability to lead people and achieve results through others
menting all activities relating to the set-up, carrying out, and sanitation
n Negotiation skills applied to vendor management
involved in the cheesemaking process. Applicants must have the ability to
n Planning: an ability to think ahead and plan over a two-year time span
work on their feet for extended periods of time, be able to bend and stoop,
n Problem analysis and problem resolution at both a strategic and functional level
as well as lift up to 75 pounds or more. Proficiency in operation and mainn Competitive salary & benefits package. Benefits start on 1st day of employment.
tenance of a wide variety of dairy processing equipment is highly desirable.
Send resume to:
Excellent state benefit package with wage commensurate to experience.
Rachel Bull
Complete position can be found at: http://www.ohr.wisc.edu/Weblisting/
External/PDSummaryApply.aspx?vacid=97483&title=84600
Alouette Cheese USA LLC
How to Apply: Applications must be submitted online at https://uwjobapply.wisc.edu/Apply.aspx?chris=97483
Equal Opportunity Employer
3990 N. Sunnyside Rd, Lena, IL 61048
[email protected]
Page 10
January 15, 2016
CHEESE REPORTER
California Class 1 Minimum Prices &
Other Advanced Prices - February 2016
Class 1:
Lb. Fat
$2.2909
$2.2909
Northern CA
Southern CA
Equivalent
LB. Fluid
$0.0167
$0.0198
Lb. SNF
$0.6315
$0.6315
Statewide Average CWT Price
Based Upon Production
Based Upon Utilization
Per CWT
$14.98
$15.25
$14.99
$15.13
DAIRY PRODUCT SALES
$1.80
January 13, 2016—AMS’ National Dairy
Products Sales Report. Prices included are
provided each week by manufacturers. Prices
collected are for the (wholesale) point of sale
for natural, unaged Cheddar; boxes of butter
meeting USDA standards; Extra Grade edible
dry whey; and Extra Grade and USPH Grade
A nonfortified NFDM. • Revised
$1.70
Style and Region
Jan. 9
CME vs AMS
$1.60
40-Pound
Block Avg
$1.50
$1.40
J
F
WEEK ENDING
Jan. 2
M
A
M
J
J
A
S
O
Dec. 26
N
D J
Dec. 19
40-Pound Block Cheddar Cheese Prices and Sales
Commodity Market Prices
Product
Cheese, US 40-block, CME
AA Butter, CME
CA Extra Grade & Grade A NFDM
Western Dry Whey (Mostly)
$ Per LB.
$1.4678
$2.0406
$0.7815
$0.2400
Commodity Reference Price for February Class 1 - $15.4504
CME Butter Tracker- 2015 vs. 2014 vs 2016
Weighted Price
US
Sales Volume
US
1.4635
13,511,049
Dollars/Pound
1.4709•
Pounds
12,097,704•
1.5076
1.5570•
10,139,837•
12,941,073•
500-Pound Barrel Cheddar Cheese Prices, Sales & Moisture Contest
Weighted Price
Dollars/Pound
US
1.5873
1.5586•
Weighted Price Adjusted to 38% Moisture
US
1.5160
1.4857•
Sales Volume
Pounds
US
11,141,233
8,839,183•
Weighted Moisture Content
Percent
US
35.08
34.96•
1.5744•
1.6124
1.4973•
1.5362
8,629,095•
10,400,022
34.81•
34.93
Butter
$3.00
Weighted Price
US
Sales Volume
US
$2.80
$2.60
2.0459
4,723,918
Dollars/Pound
2.0411
Pounds
3,595,507
2.0664
2.4649•
3,699,323
2,990,807•
Dry Whey Prices
$2.40
Weighted Price
US
Sales Volume
US
$2.20
$2.00
0.2339
6,422,788
Dollars/Pounds
0.2351•
0.2296
4,448,240•
6,267,195
0.2313
8,437,087
Nonfat Dry Milk
$1.80
Average Price
US
Sales Volume
US
$1.60
$1.40
$1.20
J
F
M
A
M
J
J
A
Lactose Prices
S
O
N
$1.02
$0.92
$0.82
$0.72
$0.62
$0.52
$0.42
$0.32
$0.22
$0.12
Name _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
For information about the advertisements or new product information, circle the number below
which corresponds to the ad or
article in which you are interested.
Issue Date: 1/15/16
1
Title _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 7
Company _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 14
20
Address _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 26
32
City/St/Zip _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 38
E-Mail _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 44
TYPE OF BUSINESS:
___Cheese Manufacturer
___Cheese Processor
___Cheese Packager
___Cheese Marketer(broker,
distributor, retailer
___Other dairy processor
(butter, cultured products)
___Whey processor
___Food processing/Foodservice
___Supplier to dairy processor
___Other________________
JOB FUNCTION:
___Company Management
___Plant Management
___Plant Personnel
___Laboratory (QC, R&D, Tech)
___Packaging
___Purchasing
___Warehouse/Distribution
___Sales/Marketing
___Other_______________
PLEASE SEND ME MORE INFORMATION ON:
___Subscribing to Cheese Reporter
___Cheese Reporter’s Reference Books
50
56
62
69
75
81
87
93
99
105
111
117
123
2
8
15
21
27
33
39
45
51
57
63
70
76
82
88
94
100
106
112
118
124
3
10
16
22
28
34
40
46
52
58
64
71
77
83
89
95
101
107
113
119
125
4
11
17
23
29
35
41
47
53
59
65
72
78
84
90
96
102
108
114
120
126
5
12
18
24
30
36
42
48
54
60
67
73
79
85
91
97
103
109
115
121
127
0.7748
0.7904
12,265,158
SETTLING PRICE
High/Low Range (Central and West: Mostly)
(Print Your Name and Address Clearly Below)
13,315,418
Dollars/Pound
0.7882•
Pounds
15,197,183•
20,308,267•
DAIRY FUTURES PRICES
D
Since 2010
CHEESE REPORTER
READER RESPONSE CARD
0.7807
6
13
19
25
31
37
43
49
55
61
68
74
80
86
92
98
104
110
116
122
128
___Material to advertise in Cheese Reporter
___Other____________________________
*Cash Settled
Date
1-8
1-11
1-12
1-13
1-14
Month
January 16
January 16
January 16
January 16
January 16
NDM*
77.575
77.675
77.950
78.000
78.100
Butter*
204.500
204.500
204.500
207.500
209.000
Cheese*
1.5090
1.5130
1.5150
1.5150
1.5180
1-8
1-11
1-12
1-13
1-14
February 16
February 16
February 16
February 16
February 16
13.55
13.45
13.56
13.68
13.98
13.48
13.48
13.43
13.59
14.16
23.000
22.825
22.750
22.750
22.975
78.875
78.925
78.750
79.600
80.500
207.000
207.000
208.200
213.200
223.200
1.5010
1.4910
1.5020
1.5120
1.5410
1-8
1-11
1-12
1-13
1-14
March 16
March 16
March 16
March 16
March 16
13.86
13.75
13.74
13.90
13.99
13.71
13.71
13.71
13.90
14.36
23.250
23.050
23.100
23.025
23.025
82.450
82.000
81.475
82.325
83.000
206.775
206.775
207.175
212.175
222.175
1.5300
1.5250
1.5220
1.5390
1.5470
1-8
1-11
1-12
1-13
1-14
April 16
April 16
April 16
April 16
April 16
14.30
14.13
14.05
14.11
14.21
14.08
14.08
14.08
14.08
14.83
24.000
23.075
23.275
23.325
23.325
86.975
86.450
84.750
86.150
86.425
207.650
207.800
208.575
213.575
223.575
1.5730
1.5650
1.5550
1.5620
1.5600
1-8
1-11
1-12
1-13
1-14
May 16
May 16
May 16
May 16
May 16
14.66
14.50
14.42
14.50
14.60
14.51
14.51
14.30
14.35
15.10
24.500
23.425
23.525
23.525
23.525
90.875
90.925
88.950
90.600
91.000
208.500
208.500
208.500
213.500
222.250
1.6060
1.5970
1.5920
1.5990
1.6030
1-8
1-11
1-12
1-13
1-14
June 16
June 16
June 16
June 16
June 16
14.90
14.83
14.78
14.85
14.95
14.84
14.84
14.84
14.84
15.59
24.525
24.500
23.875
24.000
24.025
94.350
95.000
93.625
95.500
96.000
208.525
208.750
208.775
213.775
223.775
1.6330
1.6270
1.6260
1.6300
1.6320
1-8
1-11
1-12
1-13
1-14
July 16
July 16
July 16
July 16
July 16
15.15
15.12
15.12
15.20
15.28
15.17
15.17
15.17
15.17
15.92
25.250
23.950
23.400
23.825
24.125
97.500
97.975
96.825
98.000
98.550
209.000
209.000
211.000
216.000
223.5000
1.6600
1.6600
1.6560
1.6650
1.6660
1-8
1-11
1-12
1-13
1-14
August 16
August 16
August 16
August 16
August 16
15.54
15.50
15.52
15.61
15.65
15.45
15.45
15.45
15.54
15.93
25.975
25.000
24.450
24.450
24.950
100.400
100.400
99.700
101.000
101.125
209.200
209.275
211.000
213.025
222.000
1.6970
1.6970
1.6970
1.7030
1.7030
1-8
1-11
1-12
1-13
1-14
September 16
September 16
September 16
September 16
September 16
15.82
15.81
15.85
15.88
15.94
15.65
15.63
15.63
15.63
15.85
26.250
26.250
26.250
26.025
26.025
101.750
101.750
101.775
103.225
103.225
209.250
209.500
211.500
213.025
218.400
1.7250
1.7250
1.7200
1.7300
1.7280
1-8
1-11
1-12
1-13
1-14
October 16
October 16
October 16
October 16
October 16
15.93
15.93
15.90
16.02
16.05
15.70
15.70
15.70
15.70
15.76
27.250
27.250
27.225
26.025
26.025
104.050
104.000
103.800
103.800
103.800
207.050
207.050
208.525
210.025
215.025
1.7340
1.7300
1.7300
1.7420
1.7410
15.86
15.86
15.86
15.92
15.93
32,358
15.70
15.70
15.70
15.71
15.72
2,499
27.500
27.500
27.250
27.250
27.250
5,196
104.625
104.625
104.625
104.625
104.650
7,458
205.025
205.025
206.525
206.975
207.775
4,252
1.7190
1.7190
1.7200
1.7300
1.7300
31,131
1-8
November 16
1-11
November 16
1-12
November 16
1-13
November 16
1-14
November 16
Interest - Jan. 7
Class III* Class IV* Dry Whey*
13.68
13.14
24.075
13.72
13.25
23.900
13.72
13.20
23.825
13.74
13.33
23.875
13.76
13.42
23.750
January 15, 2016
DAIRY PRODUCT MARKETS
AS REPORTED BY THE US DEPARTMENT OF AGRICULTURE
WHOLESALE CHEESE MARKETS
NATIONAL - JAN. 8:
Many manufacturers are resuming regular schedules following the
holidays. Although some additional milk is being diverted back into bottling with school sessions restarting after winter break, there is plenty of milk available for processing. Some plants
are increasing production, while taking advance of ample milk supplies and associated price
discounts. Demand for Cheddar is steady to higher, while Swiss demand is steady to lower.
Mozzarella demand is picking up as pizza companies resume production and push a little more
in advantage of the football playoffs and Super Bowl.
NORTHEAST- JAN. 13: Overall, production in the Northeast is steady to increasing seasonally. Demand is improving, as retailers return to the market following post-holiday inventory
appraisals. However, manufacturers of Swiss cheese eased production in an effort to control
stock levels as sales have dipped behind lackluster demand. Foodservice accounts are active
with orders being placed by some larger cheese buyers in anticipation of Super Bowl events.
Wholesale prices, delivered, dollars per/lb:
Cheddar 40-lb blocks: $1.8950 - $2.1800 Process 5-lb sliced: $1.7000 - $2.1800
Muenster:
$1.9150 - $2.2650 Swiss Cuts 10-14 lbs: $3.1700 - $3.4925
MIDWEST AREA - JAN. 13:
This week, Mozzarella production has notched up to
sustain post-holiday frozen pizza production demand. Cheese manufacturing is back closer
to normal schedules, with less spot milk now available. The arrival of the coldest weather of
this winter in the Upper Midwest has brought disruptions to cheese manufacturing. Broken
water mains have temporarily affected some cheese production, sending milk out to find other
manufacturers. A few incidents of milk trucks not starting have affected the flow of milk from
some producers to cheese plants. The year opens with uncertainty hanging over cheese markets. The retrospective on last year is surprise, but relief, that the unanticipated higher cheese
production was successfully absorbed. However, global milk supplies for 2016 are looking like
they will also be strong, at least in the US and the EU. Higher milk volumes domestically and
in the EU will likely keep cheese volumes strong and global export competition active. Thus,
the significant question hovering over early 2016 is whether markets will continue to absorb
volumes of cheese without prices being adversely affected.
Wholesale prices delivered, dollars per/lb:
Brick/Muens 5# Loaf: $1.8575 - $2.2825
Monterey Jack 10#:
$1.8325 - $2.0375
Mozzarella 5-6# (LMPS): $1.6575 - $2.5975
Process 5# Loaf:
Cheddar 40# Block:
Blue 5# Loaf:
Grade A Swiss 6-9#:
$1.6000 - $1.9600
$1.5850 - $1.9800
$2.1250 - $3.1125
$2.6875 - $2.8050
WEST - JAN. 13:
Cheese production is mostly steady and active. Readily available milk
supplies are keeping manufacturers busy. Cut and wrap operators continue to see good
retail demand. Requests for Mozzarella and other cheese for pizzas is steady in advance of
the Super Bowl and football playoffs. Inventories are long for cheese barrels, and to a lesser
extent blocks. Storage availability is becoming an issue in some locations. Cheese production in New Mexico is returning to normal after winter storm Goliath. The impact on area milk
production will take a long time to assess. New Mexico cheese plants in the epicenter of the
storm are receiving milk from across the region to make up for any shortfalls.
Wholesale prices delivered, dollars per/lb: Process 5# Loaf:
Cheddar 40# Block:
$1.5900 - $2.0350 Cheddar 10# Cuts:
Monterey Jack 10#:
$1.7800 - $1.9400 Grade A Swiss 6-9#:
$1.6150 - $1.8725
$1.7700 - $1.9900
$2.7475 - $3.1775
FOREIGN -TYPE CHEESE - JAN. 13: In the EU, cheese stocks were drawn down to
meet end of year 2015 demand. Rebuilding of cheese in aging programs is underway and
is nearly complete. Domestic orders within the EU for cheese produced in the EU are near
expected levels, but prices are weaker for semi hard cheese. A factor is EU milk production, which is higher than year ago levels. Some of the additional milk has gone to cheese
manufacturing and that pattern is expected to continue. Cheese available for export is at
levels manufacturers find to be comfortable.
Selling prices, delivered, dollars per/lb:
Blue:
Gorgonzola:
Parmesan (Italy):
Provolone (Italy):
Romano (Cows Milk):
Sardo Romano (Argentine):
Reggianito (Argentine):
Jarlsberg (Brand):
Swiss Cuts Switzerland:
Swiss Cuts Finnish:
Imported
$2.6400 - 5.3800
$3.6900 - 5.8900
0
0
0
$2.8500 - 4.9300
$3.2900 - 4.9300
$2.9500 - 6.4500
0
$2.6700- 2.9300
Domestic
$2.0525 - 3.5400
$2.5600 - 3.2575
$3.4425 - 5.5325
$2.0950 - 2.3475
$3.2425 - 5.3925
0
0
0
$3.2075- 3.5300
0
WHOLESALE BUTTER MARKETS
NATIONAL - JAN. 8:
After the New
Year’s holiday, butter production is still
strong throughout the country. Bottling processing is making cream more available
for churning. Butter demand from retailers
is seasonally light. In the Central region,
there is some concern that Q1 needs
were prefilled when prices were lower in
December. As a result, new butter sales
may lag in early 2016. In the Northeast,
moderate shipments of unsalted butter are
clearing into international markets. Salted
butter loads are clearing into cold storage.
NORTHEAST - JAN. 13: Output rates
are steady to somewhat higher. For most
manufacturers, current production surpasses demand, thus surplus stocks are
clearing to inventory. Balancing plant managers note a preference for buying and
churning surplus cream instead of selling
cream at the current multiples.
CENTRAL - JAN. 13: Churn operators report spot cream loads are clearing
into the Central region from the east and
west coasts, and points in between. Cream
Page 11
CHEESE REPORTER
sellers report limited interest from Class
II end users. Many Central region butter
making plants are running full. Current
interest from the retail sector is light, while
foodservice orders are steady. Orders
from bakery operations are light. Despite
the mixed interest for current production,
churn operators are comfortable with starting to build inventories for Q2 - Q3 needs.
WEST - JAN. 13: Western butter production is active, but processors are carefully managing their inventories. Butter
stocks are slowly rebuilding following the
peak seasonal demand last month. Manufacturers are using internal cream supplies rather than buying additional loads
of cream. Furthermore, a few butter makers that had been selling cream are now
diverting the cream back into their churns.
Although most of the current butter production is focused on bulk, a few manufacturers report an increase of orders for retail
print butter. The demand for butter destined
for store shelves through the spring holidays is providing some price support within
the market.
NATIONAL - CONENTIONAL DAIRY PRODUCTS
The volume of conventional dairy ads increased 1%, while organic dairy ads decreased by
33% this week. Conventional Greek yogurt in 4- to 6-ounce containers had the largest volume
of ads, followed by 48- to 64-ounce containers of ice cream and 8-ounce blocks of cheese.
Advertisements for 1-pound butter had the largest percentage increase for both conventional
and organic ads, 118% and 71% respectively. The US advertised price for 8-ounce conventional cheese blocks averaged $2.35, up 16 cents from last week, and up 2 cents from a year
ago; 8-ounce shred cheese averaged $2.51, up 34 cents from last week, but 3 cents below one
year ago. Organic 8-ounce blocks averaged $3.99, while 8-ounce shred cheese averaged
$3.55. Advertisements for conventional cheese were unchanged, but organic cheese ads
dropped 58% from last week. The price spread between organic and conventional half gallon
milk is $1.36. The price spread is the difference between national weighted average prices
for organic, $3.57, and conventional, $2.21. Conventional milk ads increased by 1% from last
week, while organic ads decreased by 30%.
RETAIL PRICES - CONVENTIONAL DAIRY - JANUARY 15
Commodity
US
NE
SE
MID
SC
SW
NW
Butter 1#
3.57
3.65
3.74
3.00
3.07
2.99
NA
Cheese 8 oz block
2.35
2.33
2.43
2.24
2.15
2.30
2.38
Cheese 1# block
3.53
3.95
3.24
3.10
3.51
3.60
NA
Cheese 2# block
5.35
NA
NA
4.49
NA
5.99
5.26
Cheese 8 oz shred
2.51
2.68
2.54
2.22
2.38
2.39
2.46
Cheese 1# shred
3.13
3.99
2.99
3.10
2.86
20.95
NA
Cottage Cheese
1.77
2.13
1.59
1.19
1.65
1.73
2.19
Cream Cheese
1.83
1.71
1.83
1.90
2.12
1.78
1.98
Ice Cream 48-64 oz
3.26
3.08
2.87
3.31
3.80
3.72
3.21
NA
Flavored Milk ½ gallon 1.63
Flavored Milk gallon
2.89
NA
NA
1.63
NA
NA
NA
NA
NA
1.99
NA
NA
Milk ½ gallon
2.21
2.36
NA
1.60
1.00
NA
2.69
Milk gallon
2.62
2.99
2.50
NA
2.22
2.83
2.50
Sour Cream 16 oz
1.65
1.68
1.56
1.16
1.15
1.85
1.90
Yogurt (Greek) 4-6 oz
.93
.98
.98
.84
.97
.84
.91
Yogurt (Greek) 32 oz
4.13
4.11
4.77
4.11
NA
4.99
NA
Yogurt 4-6 oz
.49
.49
51
.49
.42
.50
.50
Yogurt 32 oz
2.05
2.28
1.99
2.28
2.14
NA
2.50
US: National
Northeast (NE): CT, DE, MA, MD, ME, NH, NJ, NY, PA, RI, VT;
Southeast (SE): AL, FL, GA, MD, NC, SC, TN, VA, WV; Midwest (MID): IA, IL, IN,
KY, MI, MN, ND, NE, OH, SD, WI; South Central (SC): AK, CO, KS, LA, MO, NM,
OK, TX; Southwest (SW): AZ, CA, NV, UT; Northwest (NW): ID, MT, OR, WA, WY
ORGANIC DAIRY - RETAIL OVERVIEW
National Weighted Retail Avg Price:
Cheese 8 oz shred:
$3.55
Cheese 8 oz block:
$3.99
Cheese 1 lb shred:
NA
Butter 1 lb:
$5.16
Sour Cream 16 oz:
NA
Milk 8 oz UHT:
Milk ½ gal:
Milk 1 gal:
Greek Yogurt 4-6 oz:
Yogurt 4-6 oz:
Yogurt 32 oz:
$0.96
$3.57
$6.99
$1.33
$1.50
$2.49
DRY DAIRY PRODUCTS - JANUARY 14
NDM - CENTRAL:
The Central region
low/medium heat NDM range price series
widened as prices adjusted to various indices and current buyer interest. The mostly
series is unchanged to lower. Buyer interest
is light. Sellers indicate buyers are focusing
on price more strongly than date of manufacture or packaging in some instances. The
market has yet to supply a need for buyers to get ahead of a steady upward price
trend, thus buyers are content to shop from
week to week. Production of low/medium
heat NDM is active throughout the region.
With seasonally light interest in condensed
skim from the Class II market sector, this is
leaving condensed skim volumes in balancing plants that must clear through the dryers.
Low/medium heat NDM production is active.
Manufacturers’ inventories are growing as
demand is lighter than weekly production.
High heat NDM prices are steady on light
trading. Bakery accounts have yet to pull
on high heat NDM inventories for the spring
baking season. Even pallet-size demand is
light. High heat NDM production is limited to
occasional runs, as contract needs demand.
NDM - EAST:
Low/medium heat nonfat
dry milk prices are mixed. NDM production
continues to be active. Producers’ low/
medium NDM stocks are growing, as moderate trading takes place. Contracts are satisfied on time, with spot purchases being
made primarily on a hand-to-mouth basis
and/or less than truck load basis. In gen-
eral, buyer transactions are limited as the
NDM settles. Prices for high heat nonfat dry
milk in the East are unchanged. A decrease
in manufacturing milk supplies generated
an opportunity for production of high heat
NDM at several regional balancing plants
this week. Supplies are tight. Buyer interest
from bakeries has declined.
WEST - NDM:
Prices for low/medium
heat NDM are mixed. The strong demand
for bottled milk is pulling away moderate
manufacturing milk volumes from dryers. As
a result, NDM production is slightly lower,
compared to the previous week. Inventories
are mixed. Some processors note a little
tightness of NDM inventories. On the other
hand, some industry participants note adequate to heavy supplies levels. Spot sales
for cheese fortification are active. The market undertone is unsettled. Prices for high
heat nonfat dry prices are unchanged. Spot
sales to the bakery sector are less active.
Some manufacturers are producing more
actively to replenish inventories ahead of
filling orders for contract based customers.
DRY WHOLE MILK - NATIONAL:
The price range for dry whole milk is wider
this week. Some producers are clearing inventories at lower f.o.b. spot prices,
reflected on the bottom of the range. On the
other hand, some manufacturers are selling
at higher prices, pushing up the top price of
the range.
WEEKLY COLD STORAGE HOLDINGS
SELECTED STORAGE CENTERS IN 1,000 POUNDS - INCLUDING GOVERNMENT
DATE
......................................
BUTTER
1/11/16
1/01/16
Change
......................................
......................................
......................................
9,648
7,658
1,990
CHEESE
92,896
94,970
-1,074
Page 12
January 15, 2016
CHEESE REPORTER
CME CASH PRICES - JANUARY 11 - 15, 2016
Visit www.cheesereporter.com for daily prices
CHEDDAR
500-LB. BARRELS
CHEDDAR
40-LB. BLOCKS
AA
BUTTER
GRADE A
NFDM
MONDAY
January 11
$1.5350
(-½)
$1.4600
(NC)
$2.0350
(NC)
$0.7325
(NC)
TUESDAY
January 12
WEDNESDAY
January 13
$1.5225
(-1¼)
$1.5200
(-¼)
$1.4900
(+3)
$1.4950
(+½)
$2.0350
(NC)
$2.1000
(+6½)
$0.7350
(+¼)
$0.7425
(+¾)
THURSDAY
January 14
$1.5200
(NC)
$1.4950
(NC)
$2.1525
(+5¼)
$0.7425
(NC)
FRIDAY
January 15
$1.5250
(+½)
$1.4950
(NC)
$2.2500
(+9¾)
$0.7500
(+¾)
Week’s AVG
Change
$1.5245
(+0.0215)
$1.4870
(+0.0085)
$2.1145
(+0.0775)
$0.7405
(-0.0035)
Last Week’s
AVG
$1.5030
$1.4785
$2.0370
$0.7440
2014 AVG
Same Week
$1.5085
$1.5180
$1.5450
$0.9615
MARKET OPINION - CHEESE REPORTER
Cheese Comment: Monday’s block market activity was limited to an unfilled bid
for 1 car at $1.4600, which left the price unchanged. On Tuesday, the only block
market activity was an unfilled bid for 1 car at $1.4900, which raised the price. Two
cars of blocks were sold Wednesday, both on bids, the first at $1.4925 and the last
at $1.4950, which raised the price. On Thursday, 1 car of blocks was sold on an offer
at $1.4950, which left the price unchanged. Friday’s block market activity was limited
to an uncovered offer of 1 car at $1.5000, which left the price unchanged. The barrel
price decreased Monday on an offer-based sale of 1 car at $1.5350, fell Tuesday on
an uncovered offer of 1 car at $1.5225, declined Wednesday on an uncovered offer
of 1 car at $1.5200, and rose Friday on an unfilled bid for 1 car at $1.5250.
Butter Comment: The butter price jumped Wednesday on offer-based sales of 4
cars at $2.1000, rose Thursday on an unfilled bid for 1 car at $2.1525, and jumped
Friday on an offer-based sale of 1 car at $2.2500.
NDM Comment: The nonfat dry milk price increased Tuesday on an unfilled bid for 1
car at 73.5 cents, rose Wednesday on a bid-based sale of 1 car at 74.25 cents, and
increased Friday on sales of 2 cars at 75.0 cents.
WHEY MARKETS - JANUARY 11 - 15, 2016
RELEASE DATE - JANUARY 14, 2016
Animal Feed Whey—Central: Milk Replacer: .1425(+2¼) – .1900 (+1)
Buttermilk Powder:
Central & East:
.7800 (NC) – .8725 (-1¼)
Mostly:
.8200 (-1) – .8400 (-2)
Casein: Rennet:
Kraft Receives Patent For
Processed Cheese-Type
Products Prepared Without
Emulsifying Salts
Washington—The US Patent
and Trademark Office (USPTO)
this week awarded a patent for
an invention directed to process
cheese-type products prepared
without significant levels of emulsifying salts.
Inventors are Gary Francis
Smith and Edwin Gerardo Rivera.
The patent was assigned to Kraft
Foods Group Brands LLC.
The invention summary
describes a process cheese-type
product comprising natural cheese
and a calcium reduced casein
source, wherein the process cheesetype product does not contain significant levels of emulsifying salts.
For purposes of this invention,
“significant levels” of emulsifying
salts are generally above about 0.5
percent.
Generally, the process cheesetype product contains natural
cheese with about 2.5 to 25 percent (solid basis) calcium reduced
casein source. Generally, the process cheese-type products of this
invention will have an overall
moisture level of about 35 to 60
percent.
Preferably, the cheese product
comprises natural cheese in the
range of about 20 to about 87 percent, a source of whey protein in
the range of about 0 to about 20
percent (solid basis), and a calcium
reduced casein source in the range
of about 0.8 to about 25 percent
(solid basis).
The relative amounts of natural
cheese and water will vary depending on the type of cheese product
desired. For example, cheese slicetype products will generally have
higher levels of natural cheese
and lower moisture contents as
compared to cheese spread-type
products (generally, lower levels of
natural cheese and higher levels of
moisture).
There are numerous advantages to this invention, according
to a detailed description of the
invention. For example, the process described in the patent yields
cheese products having desirable
organoleptic properties such as
good meltability, smooth texture,
and a wide spectrum of possible
cheese flavors, including natural
cheese flavors, which has been
unattainable by prior methods of
making process cheese without
the addition of emulsifying sales or
only with excessive costs.
Also this week, the USPTO
awarded a patent for an invention
that provides a dairy-based food
component that includes high levels of lactose in moisture, but still
retains a smooth and creamy consistency.
Inventors are Gary Francis
Smith, Andrew Thomas Mackey
and Amanda Jane Criezis. The
patent was awarded to Kraft Foods
Group Brands LLC.
West: .8000 (-2) – .8700 (-½)
Engineer, Design, Automate, Create & Serve
$2.7800 (NC) – $3.3500 (NC) Acid: $2.7300 (NC) - $3.5000 (NC)
Dry Whey Powder—Central (Edible):
Nonhygroscopic:
.1900 (+1) – .2800(NC) Mostly: .2000 (+1) – .2500(NC)
Dry Whey–West (Edible):
Nonhygroscopic:
.2200 (+1) – .3100 (NC) Mostly: .2200 (NC) – .2600 (NC)
Dry Whey—NE:
.2300 (+1) — .2775 (NC)
CA
LL
TO
DA
Y
Quality
Custom
1.8
0
[email protected]
kossindustrial.com
Lactose—Central and West:
Edible:
.1400 (-1) –.2650(NC)
Mostly: .1800 (NC) – .2300 (+1)
0.8
4
4.6
26
1
Nonfat Dry Milk —Central & East:
Low/Medium Heat: .7700(-1½) – .8775(+¾) Mostly: .8100(-1) – .8500 (NC)
High Heat:
.9000 (NC) - 1.1500(NC)
Nonfat Dry Milk —Western:
Low/Medium Heat: .6775(-1) – .8300 (+2)
Mostly: .7200 (-1¼) –.7625(+1)
High Heat:
.8400(NC) – 1.1000(NC)
California Weighted Average NFDM:
January 8
January 1
$0.8041
$0.7872
5,443,499
7,228,110
Whey Protein Concentrate—Central and West:
Edible 34% Protein: .4900 (NC) – .6800 (NC) Mostly: .4900 (NC) – .5800(+1)
Whole Milk—National: .9500 (-29) – 1.4700 (+2)
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