Volume 34 October 31, 2014 Number 41
Scan this code for breaking Whey bioplastics, renewable news and the latest markets! packaging take hold in Europe
By Emily King Biobased/Non-Biodegradable ment and government affairs, business growth in response Packaging, Consumer Elec- Tetra Pak. “The difference is to secured long-term supply INSIDE MADISON, Wis. — Renewable tronics/Products, Catering, Ag- that the raw material — eth- resources, retailer preference packaging is swiftly gaining riculture & Pharmaceuticals.” ylene — is derived from sugar and consumer demand for ✦ Guest column: popularity in Europe due to This month, Tetra Pak an- cane rather than conventional packaging made with renew- ‘The importance of governmental mandates, and nounced the launch of what fossil sources. This means that able materials. industry relationships.’ packaging giant Tetra Pak has it calls the industry’s very it has all the functional benefi ts “Across industries, we see a For details, see page 4. responded by manufacturing first carton made entirely of conventional PE and can be growing demand for responsi- plant-based renewable prod- from plant-based, renewable recycled in the same recycling bly sourced packaging that ad- ✦ Synder Filtration offers ucts. Meanwhile, Clear Lam packaging materials. It is streams — yet the source mate- dresses the issues of resource array of membrane Packaging Inc. and Lactalis named the Tetra Rex carton rial is renewable.” scarcity,” Comere says. technology for dairy. American Group Inc. have and is manufactured using bio- The company’s Tetra Rex This is something Clear Lam For details, see page 9. strived for similar goals in the based low-density polyethylene package, developed in partner- took notice of a couple years ago United States with less success. (LDPE) fi lms and a bio-based ship with Braskem, a biopoly- when, as part of Clear Lam’s ✦ Texas elementary school The worldwide bioplastics high-density polyethylene mer producer headquartered in Project EarthClear initiative, shines as Fuel Up to Play 60 market will reach a market (HDPE) cap. São Paulo, Brazil, will be com- it designed new, plant-based grows across the nation. value of $3.94 billion in 2014, Tetra Pak’s HDPE cap mercially available in Europe in and renewable packaging for For details, see page 17. making the global bioplastics — TwistCap OSO 34 — was early 2015. Expansion to other Precious Sticksters cheese market a small but signifi cant released in March. The cap, regions outside Europe will be snacks produced by Lactalis. ✦ Winona Foods announces sub-sector of the plastics along with the company’s bio- prioritized based on demand, The package, which held in- facility expansion. industry, according to an inde- based cartons, have been used Comere says. dividually-sealed cheese sticks, For details, see page 28. pendent report, “Prospects for by dairy companies such as “From a technical stand- was made from a lamination of Finnish-based Valio. point, it was a fairly straightfor- plant-based, renewable plastic The cap was made so cus- ward swap,” Comere says. “The and an outer layer made from tomers using the standard main challenges were ensuring traditional petroleum-based DMI launches partnerships to TwistCap OSO 34 are able that the bio-based PE was up plastic. However, Lactalis has to transfer to the bio-based to our high quality standards discontinued use of Clear Lam’s reinvigorate fl uid milk category version without the need for and that it was available in the renewable packaging. any additional investment or volumes required.” “We no longer use Clear By Alyssa Mitchell modifi cation to existing fi lling This summer Tetra Pak Lam’s renewable packaging be- machines, Tetra Pak says. launched a campaign to raise cause of a cost issue,” says Gus GRAPEVINE, Texas — A new $500 million-plus partnership between Dairy “The advantage of working industry awareness of the pack- Castle, packaging development Management Inc. (DMI) and seven companies to reinvigorate the fl uid with bio-based polyethylene aging life cycle and the sourcing manager, Lactalis American milk category was announced this week during the joint annual meeting (PE) is that it is identical to of renewable materials. The Group. “We may get back into of the National Dairy Board (NDB), National Milk Producers Federation conventional PE once ready for campaign — Moving to the it in the future, but it is diffi cult (NMPF) and United Dairy Industry Association (UDIA). use as a packaging material in Front — outlines the benefi ts because of the premium on that “This announcement completes a 2-year journey that dairy farmers our packaging,” says Elisabeth for businesses that commit to kind of packaging. asked us to pursue after nearly 40 years of declining fl uid milk consump- Comere, director of environ- renewability practices, namely Turn to RENEW, page 14 D tion,” says Tom Gallagher, CEO, DMI. “I think dairy farmers are really excited about this because it’s a unique and large investment in a category that hasn’t seen growth in many years.” Igniting innovation in fl uid milk and milk-based beverages to meet the growing demands of both foreign and U.S. consumers is the objective Baker Cheese announces DFA’s Provolone of the seven wide-ranging partnerships announced by DMI Wednesday. wins Chairman’s These seven partners, supported by DMI — which represents America’s expansion, to add 40 jobs Plaque from NMPF dairy farm families and importers — are committing an unprecedented ST. CLOUD, Wis. — Baker Cheese Inc. is expanding and modern- investment to unlock innovation and put milk back in the center of the izing its operations in St. Cloud, Wis., with a project expected to GRAPEVINE, Texas — A rapidly-growing health and wellness beverage market, DMI says. create about 40 new jobs. Provolone made by Albert The seven partners from across the supply chain include Dairy Farmers Baker Cheese is investing $7 million in new equipment. The Designa of Dairy Farmers of America (DFA); Darigold/Northwest Dairy Association; The Kroger Co.; project has commenced and is expected to be completed by of America, Turlock, Calif., Maryland & Virginia Milk Producers Cooperative Association Inc.; Sham- October 2016. won the Chairman’s Plaque rock Farms; Southeast Milk Inc and The Coca-Cola Co. All partners are “Wisconsin is the No. 1 cheese-producing state in the country for “Best Overall Cheese” at working aggressively to pursue growth opportunities for fl uid milk through and in order to ensure the industry remains strong, it’s important this year’s National Milk Pro- infrastructure, capital, human resource and marketing investments. that state cheesemakers continue to aggressively upgrade their ducers Federation (NMPF) “These dairy partners are making an unprecedented investment operations,” says Wisconsin Gov. Scott Walker. “I commend Baker Championship Cheese Con- over the next few years — more than half a billion dollars in capital and Cheese Factory for making this signifi cant investment in its opera- test. Designa was given the other resources,” Gallagher says. “With our (dairy) checkoff resources tions as a way to modernize and reach new markets — which is Chairman’s award for his and dedication to fl uid milk innovation, we’re excited to see how unique good for Fond du Lac County and the entire region.” Regular Provolone during a partnerships will help us drive ingenuity and generate new offerings and Baker Cheese manufactures natural string cheese under the luncheon Wednesday at the D Turn to FLUID, page 15 Turn to BAKER, page 11 D Turn to CONTEST, page 15 D © 2014 CHEESE MARKET NEWS® — This is Cheese Market News’ E-subscription and may not be forwarded to anyone other than the intended paid subscriber without the express permission of Cheese Market News (For more information, contact [email protected]) 2 CHEESE MARKET NEWS® — October 31, 2014 MARKET INDICATORS
Chicago Mercantile Exchange CHEESE FUTURES for the week ending October 30, 2014 Cash prices for the week ended October 31, 2014 (Listings for each day by month, settling price and open interest) Monday Tuesday Wednesday Thursday Friday Oct. 27 Oct. 28 Oct. 29 Oct. 30 Oct. 31 Fri., Oct. 24 Mon., Oct. 27 Tues., Oct. 28 Wed., Oct. 29 Thurs., Oct. 30 OCT14 2.295 1,755 2.299 1,728 2.299 1,728 2.299 1,734 2.291 1,734 Cheese Barrels NOV14 2.025 2,231 2.060 2,197 2.074 2,187 2.089 2,188 2.084 2,186 Price $1.9225 $2.0100 $2.0650 $2.0650 $2.1100 DEC14 1.818 2,348 1.857 2,348 1.861 2,357 1.886 2,360 1.890 2,377 Change +8 3/4 +5 1/2 JAN15 1.780 1,985 1.790 1,997 1.790 2,005 1.810 2,009 1.820 2,022 NC NC +4 1/2 FEB15 1.725 2,016 1.732 2,036 1.740 2,043 1.762 2,037 1.765 2,044 Cheese 40-lb. block MAR15 1.749 2,005 1.749 2,020 1.747 2,024 1.758 2,029 1.752 2,043 APR15 1.737 1,622 1.729 1,639 1.730 1,649 1.731 1,663 1.729 1,702 Price $2.1400 $2.1000 $2.1150 $2.1350 $2.1400 MAY15 1.738 1,537 1.730 1,543 1.731 1,544 1.735 1,549 1.739 1,561 Change NC -4 +1 1/2 +2 +1/2 JUN15 1.748 1,573 1.742 1,581 1.740 1,590 1.742 1,594 1.742 1,608 JUL15 1.752 1,083 1.749 1,146 1.743 1,152 1.743 1,155 1.743 1,183 Weekly average (Oct. 27-31): Barrels: $2.0345(+.0095); 40-lb. Blocks: $2.1260(-.1375). AUG15 1.763 985 1.759 1,014 1.759 1,030 1.763 1,035 1.763 1,084 Weekly ave. one year ago (Oct. 28-Nov. 1, 2013): Barrels: $1.8360; 40-lb. Blocks: $1.8835. SEP15 1.771 943 1.770 971 1.768 977 1.765 983 1.768 1,018 OCT15 1.773 677 1.772 715 1.770 724 1.770 727 1.770 760 NOV15 1.767 628 1.764 661 1.760 669 1.760 673 1.760 697 Grade A NDM DEC15 1.757 643 1.754 672 1.754 675 1.755 697 1.755 714 Price $1.2400 $1.2400 $1.2400 $1.2425 $1.2425 JAN16 1.745 18 1.745 18 1.745 18 1.745 18 1.745 18 Change -1/2 NC NC +1/4 NC FEB16 1.750 13 1.750 13 1.750 13 1.750 13 1.750 13 Total Contracts Traded/ Weekly average (Oct. 27-31): Grade A: $1.2410(-.0545). Open Interest 524/22,062 381/22,299 144/22,385 192/22,464 393/22,764 Daily market prices are available by visiting CME’s online statistics sites at http://www.cmegroup.com. Grade AA Butter Price $1.8000 $1.7700 $1.8500 $1.8900 $1.8900 Change -1 -3 +8 +4 NC Weekly average (Oct. 27-31): Grade AA: $1.8400(-.1095). DRY WHEY FUTURES for the week ended October 30, 2014 (Listings for each day by month, settling price and open interest) Class II Cream (Major Northeast Cities): $2.1639(-.1381)–$2.4954(-.3130). Fri., Oct. 24 Mon., Oct. 27 Tues., Oct. 28 Wed., Oct. 29 Thurs., Oct. 30 Sign up for our daily fax or e-mail service for just $104 a year. Call us at 608-288-9090. OCT14 65.18 404 65.18 404 65.38 405 65.38 405 65.08 404 NOV14 61.50 350 63.00 347 63.35 347 63.50 347 61.00 346 DEC14 59.50 424 59.10 424 61.28 426 61.08 425 58.75 414 JAN15 53.00 453 55.00 457 56.25 463 56.08 467 54.75 477 FEB15 48.53 499 50.25 501 50.98 503 51.75 500 51.75 506 MAR15 45.53 468 47.00 481 48.00 482 48.00 482 48.00 483 APR15 45.50 369 46.25 382 46.80 382 47.20 386 48.00 400 Weekly Cold Storage Holdings October 27, 2014 MAY15 44.50 401 46.50 411 46.50 411 47.50 413 47.50 428 JUN15 45.00 386 47.00 396 47.25 398 47.50 398 47.50 415 On hand Week Change since Oct. 1 Last Year JUL15 45.00 285 47.50 314 47.50 315 47.50 315 47.50 319 Monday Change Pounds Percent Pounds Change AUG15 45.00 247 47.50 268 48.00 269 48.00 270 48.25 276 Butter 14,208 -264 -2,730 -16 12,714 +1,494 SEP15 45.00 217 47.25 232 48.00 232 48.00 239 48.25 239 OCT15 Cheese 94,354 +1,525 +1,396 +2 108,848 -14,494 45.00 169 47.85 180 48.00 180 48.00 182 48.25 183 NOV15 45.88 172 48.28 179 49.00 186 48.50 192 48.50 195 (These data, which include government stocks and are reported in thousands of pounds, are based on reports from DEC15 45.50 173 48.50 176 48.50 177 48.50 180 48.55 185 a limited sample of cold storage centers across the country. This chart is designed to help the dairy industry see the Total Contracts Traded/ trends in cold storage between the release of the National Agricultural Statistics Service’s monthly cold storage reports.) Open Interest 104/5,017 191/5,152 40/5,176 94/5,201 214/5,270 Daily market prices are available by visiting CME’s online statistics sites at http://www.cmegroup.com.
CLASS III PRICE October 31, 2014 (Dollars per hundredweight, 3.5% butterfat test) Dry Products* YEAR JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2008 19.32 17.03 18.00 16.76 18.18 20.25 18.24 17.32 16.28 17.06 15.51 15.28 NONFAT DRY MILK 2009 10.78 9.31 10.44 10.78 9.84 9.97 9.97 11.20 12.11 12.82 14.08 14.98 Central & East: low/medium heat $1.2000(-2)-$1.5850(+1/4); 2010 14.50 14.28 12.78 12.92 13.38 13.62 13.74 15.18 16.26 16.94 15.44 13.83 mostly $1.3200(-3)-$1.5050. 2011 13.48 17.00 19.40 16.87 16.52 19.11 21.39 21.67 19.07 18.03 19.07 18.77 high heat $1.4350-$1.6000(-2). 2012 17.05 16.06 15.72 15.72 15.23 15.63 16.68 17.73 19.00 21.02 20.83 18.66 West: low/medium heat $1.2000(-6)-$1.5350(-1/2); 2013 18.14 17.25 16.93 17.59 18.52 18.02 17.38 17.91 18.14 18.22 18.83 18.95 mostly $1.2800(-4)-$1.4700. 2014 21.15 23.35 23.33 24.31 22.57 21.36 21.60 22.25 24.60 high heat $1.4800-$1.5900(+1). Calif. manufacturing plants: extra grade/grade A weighted ave. $1.4939(-.0095) based on 9,290,632 lbs.
WHOLE MILK POWDER (National): $1.6000-$1.8200. STAFF SUBSCRIPTION INFORMATION Susan Quarne, Publisher Cheese Market News®, Publication #0598-030, (ISSN 0891- EDIBLE LACTOSE (PH 608/831-6002; FAX 608/831-1004) 1509), is published weekly by Quarne Publishing LLC, 4692 (FOB)Central and West: $.2525(-3/4)-$.6075(+3); mostly $.3500-$.4800. e-mail: [email protected] Signature Drive, Middleton, WI 53562; Phone 608/831-6002; Kate Sander, Editorial Director FAX 608/831-1004. Periodicals postage paid at Madison, WI. (PH 509/962-4026; FAX 509/962-4027) Circulation records are maintained by Quarne Publishing LLC, 4692 Signature Drive, Middleton, WI 53562. POSTMASTER: WHEY POWDER e-mail: [email protected] Send address changes to Cheese Market News®, Subscriber Central: nonhygroscopic $.4800-$.6925(-1 1/4); Alyssa Mitchell, Senior Editor Services, P. O. Box 628254, Middleton, WI 53562; Form mostly $.5500(-1)-$.6450(-1 1/2). (PH 608/288-9090; FAX 608/288-9093) 3579 requested; or call direct at 608/831-6002. All rights e-mail: [email protected] West: nonhygroscopic $.5000-$.6875; reserved under the United States International and Pan- mostly $.5500-$.6450. Rena Archwamety, News/Web Editor American Copyright Conventions. No part of this publication (PH 608/288-9090; FAX 608/288-9093) may be reproduced, stored in a retrieval system or transmitted (FOB) Northeast: extra grade/grade A $.6100-$.7025(-1 1/4). e-mail: [email protected] in any form or by any means, mechanical, photocopying, Emily King, Assistant Editor electronic recording or otherwise, without the prior written ANIMAL FEED WHEY (Central): Whey spray milk replacer $.3500-$.5900. (PH 608/288-9090; FAX 608/288-9093) permission of Quarne Publishing LLC. Opinions expressed e-mail: [email protected] in articles are those of the authors and do not necessarily UHÁHFWWKRVHRI4XDUQH3XEOLVKLQJ//&GED&KHHVH0DUNHW WHEY PROTEIN CONCENTRATE (34 percent): $1.2000-$1.5325(-1/4); REGULAR CONTRIBUTORS ® ® News . Cheese Market News does not endorse the products mostly $1.2300(-2)-$1.4025(-1 1/4). John Umhoefer, FCStone, International Dairy Foods of any advertiser and does not assume and hereby disclaims Association, National Milk Producers Federation, U.S. any liability to any person for any loss or damage caused by Dairy Export Council, Eric Meyer, Rice Dairy errors or omissions in the material contained herein, regard- DRY BUTTERMILK less of whether such errors result from negligence, accident (FOB)Central & East: $1.0800-$1.2700(-8). SUBSCRIPTIONS & BUSINESS STAFF or any other cause whatsoever. Copyright 2014 by Quarne Subscription/advertising rates available upon request Publishing LLC. (FOB) West: $1.1600-$1.4300; mostly $1.3000-$1.3800(-2). Contact: Susan Quarne - Publisher Subscriptions: $135 for U.S., second-class delivery; $190 P.O. Box 628254, Middleton, WI 53562 IRU86ÀUVWFODVVGHOLYHU\LQFOXGLQJ&DQDGDDQG,QWHU- 0(/.% s &!8 national rate to all others. Printed in U.S.A. CASEIN: Rennet $4.2000-$4.8000; Acid $4.4000-$5.0000. WEBSITE: www.cheesemarketnews.com *Source: USDA’s Dairy Market News
DISCLAIMER: Cheese Market News® has made every effort to provide accurate current as well as historical market information. However, we do not guarantee the accuracy of these data and do not assume liability for errors or omissions. © 2014 CHEESE MARKET NEWS® — This is Cheese Market News’ E-subscription and may not be forwarded to anyone other than the intended paid subscriber without the express permission of Cheese Market News (For more information, contact [email protected]) October 31, 2014 — CHEESE MARKET NEWS® 3 NEWS/BUSINESS
Vilsack says potential U.S. appeal to WTO on COOL ruling likely to come in early 2015 WASHINGTON — If the United States claiming it has a trade-distorting im- nual meeting of the National Dairy Board, there would have to be a review of the chooses to appeal a recent World Trade pact by reducing the value and number National Milk Producers Federation retaliation, and that would take some Organization (WTO) ruling on country- of cattle and hogs shipped to the U.S. and United Dairy Industry Association time,” Vilsack says. of-origin labeling (COOL), it likely will market. on Wednesday, Vilsack noted WTO has At this point, there’s no change or not be fi led until after the fi rst of the Backed by the finding, Canada a process for these situations in which impact, he adds. year, says U.S. Agriculture Secretary and Mexico may retaliate against a they accept appeals. “What I’m doing during this pe- Tom Vilsack. wide range of U.S products, including “We received indications from WTO riod of time is asking our team at The COOL rule requires most dairy products, with high, burdensome that they would be more willing to ac- USDA, does a way exist in which we retailers to provide country-of- tariffs, according to the International cept the appeal in January because they can comply with the congressional origin labeling for fresh fruits and Dairy Foods Association (IDFA). These have a queue of other appeals that they directive, which says “label,” and do vegetables, fish, shellfish, peanuts, countries represent two of the largest want to deal with,” Vilsack says. “So it’s it in a way that doesn’t require the pecans, macadamia nuts, ginseng, markets for U.S. agricultural goods, a timing issue, an issue of convenience segregation of livestock from Canada meat and poultry. IDFA notes. (See “WTO decision on for them.” and Mexico that the WTO has criti- WTO last week issued a compliance COOL puts dairy exports in jeopardy” There’s no implication at this point cized,” Vilsack says. “Is there a way panel report that found the U.S. COOL in last week’s issue of Cheese Market in time, he notes. that we can comply with Congress’ revised rule violates U.S. international News.) “The process is they’ve made a directive and not get ourselves in trade obligations. Canada and Mexico Speaking with Cheese Market News ruling that the U.S. could potentially trouble with WTO? We’ve tried it a had challenged the rule in the WTO, during a media briefi ng at the joint an- appeal ... That appeal process would couple of times, and the WTO has require at least 90-120 days. Assum- not signed off on what we’ve done. ing the U.S. was unsuccessful, there Is there another way? We’re in the CME FUTURES for the week ended October 30, 2014 would be the issue of retaliation and process of looking at that now.” CMN Class III Milk* Fri., Oct. 24 Mon., Oct. 27 Tues., Oct. 28 Wed., Oct. 29 Thurs., Oct. 30 OCT14 23.88 5,588 23.90 5,510 23.90 5,472 23.90 5,427 23.79 5,430 National Dairy Products Sales Report NOV14 20.79 4,517 21.22 4,495 21.31 4,517 21.37 4,508 21.25 4,544 DEC14 18.63 3,927 19.05 3,906 19.12 3,908 19.36 3,920 19.28 3,960 For the week ended: 10/25/14 10/18/14 10/11/14 10/4/14 JAN15 17.83 3,450 18.04 3,452 18.07 3,471 18.34 3,500 18.24 3,514 FEB15 17.00 3,343 17.22 3,383 17.33 3,396 17.66 3,443 17.57 3,453 Cheese 40-lb. Blocks: 1 MAR15 17.06 3,001 17.07 3,016 17.10 3,016 17.26 3,064 17.21 3,102 Average price $2.2243 *$2.2637 $2.3429 $2.3839 APR15 16.92 2,523 16.88 2,545 16.89 2,550 17.00 2,538 17.02 2,552 Sales volume2 13,335,658 *13,601,073 11,618,127 12,988,244 MAY15 16.85 2,407 16.83 2,430 16.90 2,460 17.04 2,494 17.02 2,536 Cheese 500-lb. Barrels: JUN15 16.95 2,199 16.98 2,227 17.04 2,253 17.11 2,281 17.10 2,303 Average price1 $2.2754 $2.3171 $2.4402 $2.5981 JUL15 17.02 17.08 1,656 1,594 17.00 1,644 17.13 1,673 17.15 1,708 $2.1701 $2.2149 $2.3300 $2.4762 AUG15 17.15 1,538 17.22 1,572 17.27 1,586 17.30 1,590 17.34 1,625 Adj. price to 38% moisture SEP15 17.22 1,456 17.35 1,479 17.38 1,489 17.38 1,505 17.41 1,528 Sales volume2 9,883,909 9,378,425 8,367,413 9,634,610 OCT15 17.25 1,147 17.40 1,183 17.40 1,192 17.40 1,195 17.42 1,212 Moisture content 34.99 35.14 35.07 34.95 NOV15 17.20 1,039 17.30 1,054 17.35 1,060 17.31 1,065 17.31 1,076 Butter: DEC15 17.10 972 17.20 992 17.24 998 17.24 1,007 17.20 1,017 Average price1 $2.1995 *$2.6983 $2.9215 $3.0130 Total Contracts Traded/ Sales volume2 3,498,298 *3,090,820 3,234,534 2,889,766 Open Interest 1,014/39,360 1,349/39,035 1,297/39,224 1,370/39,546 1,098/39,890 Nonfat Dry Milk: Class IV Milk* Average price1 $1.4915 *$1.5118 *$1.4950 $1.4931 Sales volume2 17,053,007 *17,949,447 *16,550,593 17,542,219 Fri., Oct. 24 Mon., Oct. 27 Tues., Oct. 28 Wed., Oct. 29 Thurs., Oct. 30 Dry Whey: OCT14 21.76 1,017 21.80 1,016 21.80 1,016 21.84 1,013 21.50 1,013 Average price1 $0.6392 $0.6523 *$0.6664 $0.6662 NOV14 18.15 974 18.02 975 17.75 992 17.72 1,002 17.46 1,030 2 7,683,060 7,784,703 *6,937,929 6,773,416 DEC14 17.07 967 16.93 971 17.00 970 16.98 974 16.98 974 Sales volume JAN15 17.06 345 17.04 345 16.85 345 16.85 350 16.85 350 * 1 2 FEB15 16.66 281 16.66 281 16.66 281 16.42 287 16.42 287 /Revised. /Prices weighted by volumes reported. /Sales as reported by participating manufacturers. MAR15 16.52 281 16.52 281 16.47 281 16.32 286 16.32 286 Reported in pounds. More information is available by calling AMS at 202-720-4392. APR15 16.70 185 16.70 185 16.38 186 16.32 191 16.32 191 MAY15 16.72 155 16.72 155 16.45 156 16.44 163 16.44 163 JUN15 16.73 156 16.73 158 16.55 159 16.46 169 16.46 169 JUL15 17.02 76 17.05 78 17.05 78 17.05 78 17.05 78 AUG15 17.10 77 17.10 78 16.97 83 16.97 83 16.97 88 Total Contracts Traded/ Selling YOUR Dairy Business Open Interest 21/4,819 28/4,829 35/4,853 81/4,907 50/4,944 Creative Business Services was Cash-Settled NDM* Is OUR Business formidable in their national search of a plant for our yogurt operation. Fri., Oct. 24 Mon., Oct. 27 Tues., Oct. 28 Wed., Oct. 29 Thurs., Oct. 30 “ Once they found a suitable plant, OCT14 151.23 537 151.23 537 151.20 537 151.00 536 150.70 535 Bob and Michael were invaluable NOV14 145.00 624 145.00 624 144.55 626 144.30 630 142.75 626 in their expertise negotiating with DEC14 137.75 721 137.00 724 137.00 725 137.00 724 136.50 724 the seller, Arla Foods. With their JAN15 136.00 508 135.50 513 135.50 513 134.50 510 133.50 511 knowledge of the industry, they were FEB15 133.00 478 133.00 478 133.00 484 132.00 484 131.00 483 keenly instrumental guiding us through MAR15 131.75 476 131.75 475 131.00 475 130.00 475 130.00 475 the process; and we were always APR15 131.75 356 131.75 355 131.00 355 130.00 359 129.00 364 confident of their professionalism. MAY15 132.50 266 132.25 274 131.75 283 130.80 307 129.25 310 Even though Buyer and Seller had JUN15 134.00 240 134.00 247 133.00 263 132.00 277 131.00 293 to make adjustments, we were Total Contracts Traded/ able to strike a deal that was Open Interest 66/4,549 40/4,573 68/4,614 99/4,655 88/4,684 acceptable to both parties. Bob and Michael were there every step of the Cash-Settled Butter* way to make this an exciting, Since 1979, Creative Business Services successful acquisition for us. Fri., Oct. 24 Mon., Oct. 27 Tues., Oct. 28 Wed., Oct. 29 Thurs., Oct. 30 has sold hundreds of businesses. We — Besnik Fetoski and Mustafa Dogan, OCT14 260.93 1,155 260.93 1,154 260.93 1,154 261.98 1,141 253.00 1,142 are actively assisting individuals and Founders of Philos Foods and Buyers of the 185.00 1,189 183.00 1,184 1,192 1,191 ” NOV14 178.00 177.25 175.88 1,198 national/international companies Arla Foods Cheese Plant in Norton Shores, MI DEC14 172.75 970 174.00 976 170.75 982 172.75 985 174.50 990 to acquire businesses in the dairy JAN15 173.50 461 173.00 472 171.75 484 173.50 493 174.00 492 industry — especially cheese and FEB15 173.30 419 172.00 430 172.00 450 173.00 464 173.75 463 dairy-oriented distribution and MAR15 174.00 370 173.00 378 172.00 388 173.50 402 173.75 403 manufacturing companies. APR15 174.50 322 173.50 343 172.00 336 173.50 349 174.00 355 ______MAY15 175.00 238 174.50 239 173.00 253 173.50 255 173.50 256 SOLD 224 250 Ron’s Cheese — Producer and distributor of JUN 15 174.00 215 174.48 173.03 242 174.00 175.00 251 www.CBS-Global.com JUL15 175.00 94 176.48 114 174.78 127 175.50 127 177.00 133 specialty cheeses in the Midwest Muskegon Cheese Manufacturing Plant — Total Contracts Traded/ Creative Business Services 38,000 sq. ft. purchased by national distributor 920.432.1166 800.366.5169 Open Interest 93/5,786 144/5,854 334/6,022 238/6,073 139/6,105 for yogurt and other dairy products Daily market prices are available by visiting CME’s online statistics sites at http://www.cmegroup.com. *Total Contracts Traded/Open Interest reflect additional months not included in this chart. For more information please visit www.CBS-Global.com
DISCLAIMER: Cheese Market News® has made every effort to provide accurate current as well as historical market information. However, we do not guarantee the accuracy of these data and do not assume liability for errors or omissions. © 2014 CHEESE MARKET NEWS® — This is Cheese Market News’ E-subscription and may not be forwarded to anyone other than the intended paid subscriber without the express permission of Cheese Market News (For more information, contact [email protected]) 4 CHEESE MARKET NEWS® — October 31, 2014 GUEST COLUMNIST CMN Exclusive!
rent Congressman from my home state and corporate executives, a meeting Perspective: of Ohio who was fi rst elected in 1990: on Capitol Hill, a trip to visit members John Boehner. When Congressman and a lunch or dinner to celebrate the Industry Issues Boehner joined the House Agriculture achievements of others in my commu- Committee, I went to introduce myself nity. It takes time — face time — to Connie Tipton is president and and explained our members’ interests develop these relationships, which have CEO of the International Dairy in getting the federal government to provided such rich opportunities for my Foods Association. She contributes adopt a more market-oriented dairy personal and professional growth. this column exclusively for Cheese policy. He took an interest in our efforts, Market News®. understood our goals and got involved. Over the years, John Boehner rose through many leadership positions in “It’s not just about the House, including chairman of the House Republican Conference in 1995, your endeavors and chairman of the House Committee on achievements; it’s Education and Workforce in 2001, House Majority Leader for a year in 2006 and about the people, House Minority Leader beginning in friendships and The importance of industry relationships 2007. Then on January 5, 2011, my friend, John Boehner, swore in the 112th relationships that you Having worked with the dairy foods immediately it became obvious to all Congress as the 53rd Speaker of the form and that form you industry for more than 30 years, I’ve of us that Dave would no longer be at House and was re-elected for a second been fortunate to know and work with industry meetings, nor would his fun term as Speaker in January 2013. over time.” an intriguing and interesting array of wife, Sandy, be there for the receptions, While the Speaker leads the actions leaders from companies across North dinners and occasional Green Bay Pack- of the House, he also is just behind the Connie Tipton America and ally with people in orga- ers games in the hotel sports bars. So Vice President of the United States INTERNATIONAL DAIRY nizations around the world. Through much is tied to our work relationships in succession to the presidency. That FOODS ASSOCIATION the years, several of my friends in that it goes unnoticed until we realize means he’s a pretty big deal with a lot Washington, D.C., have grown into lead- these relationships can end abruptly on his plate. But, fortunately for the ers in other associations, in Congress as people move on to other endeavors. dairy industry, he wasn’t too busy to and in government agencies. It’s not This isn’t a maudlin refl ection on remember our issues when the farm The dairy industry has many extraor- something I think about very often; in what is past, but rather a valuable les- bill came up for votes in the House. He dinary people who give of themselves ev- fact, I pretty much take these relation- son for those who are in the process of got involved and helped us win a fl oor ery day to make their organizations, the ships for granted. But at our recent building careers as well as ending them. amendment in the House of Representa- people who work with them, and their board meetings, I was reminded of It’s not just about your endeavors and tives during the 113th Congress. Thanks, products and services better than ever just how important these relationships achievements; it’s about the people, Mr. Speaker. before. Working together, we can do awe- and friendships are and how they have friendships and relationships that you Not all relationships can yield that some things to encourage innovation become an integral part of my life. form and that form you over time. You kind of result, but it’s a valuable lesson and growth for the U.S. dairy industry, When Dave Fuhrmann, CEO of never know how those relationships to remember, so you’ll be sure to nurture but equally important are the contribu- Foremost Farms, announced that the might change your life or have an impact each and every relationship. They are all tions we make to each other through our October board meeting would be his on your pursuits, but surely many of important, and you never know where relationships. There aren’t many things last because he’s beginning a well- them will make a difference or a lasting you and your friends may end up. in life more important than that. CMN earned retirement, we all refl ected on impression. In today’s era of social media, I cer- the happy, sad, diffi cult and triumphant An important example from my tainly value my Facebook friends and The views expressed by CMN’s guest times we had shared together through career in Washington, D.C., which LinkedIn relationships, but I didn’t fi nd columnists are their own opinions industry challenges and through our en- has involved quite a bit of dabbling in them online. On any given day, I may and do not necessarily refl ect those of counters at industry meetings. Almost politics, is my relationship with a cur- have breakfast with association CEOs Cheese Market News®.
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DuPont marks 50 years of innovation at Brabrand, Denmark, R&D facility for food ingredients BRABRAND, Denmark — As it cel- of our global food research activities,” healthier life.” Biosciences — are working together ebrates 50 years of innovation this week says Craig F. Binetti, president, DuPont DuPont says that overcoming threats and are committed to making food more at the company’s largest R&D facility for Nutrition & Health. “It is here where we to the global food supply will require nutritious, safer and available to people food ingredients in Brabrand, Denmark, consolidate our knowledge to anticipate taking scientifi c innovation well beyond everywhere, the company says. DuPont’s Nutrition & Health business is and address human needs around the the lab into fi elds and local communi- “We know it will take continued co- hosting food industry, government and world. As we look to the next 50 years, ties, especially in developing economies operation, innovation and investment in academic leaders in discussions on how we continue to work in close collabora- such as Sub-Saharan Africa and South agriculture, food and nutrition to over- food and nutrition will evolve to meet tion with our customers, governments, and Southeast Asia where the majority come the vast challenges to feeding the growing global population needs in the academia, NGOs and others to fi nd new of chronically-malnourished people live. world’s growing population,” Binetti says. next 50 years. and better ways to solve food and nutri- DuPont businesses — Pioneer, Crop “At DuPont, collaboration and innovation “Today we are celebrating 50 years tion challenges, and to create sustainable Protection, Nutrition & Health, Packag- are tools for success here and around the of science and innovation at the core solutions essential to a better, safer and ing & Industrial Polymers and Industrial world; it is where we come together.” CMN National average price of conventional Ultura intends to sell membrane business butter decreases 38 cents from last period after fi ling Chapter 11 bankruptcy petitions WASHINGTON — The weighted had a weighted average advertised OCEANSIDE, Calif. — On Oct. 20, Ul- ties as debtors-in-possession. average advertised price of national price of $5.30, up from $4.34 two weeks tura (LA) Inc. and Ultura (Oceanside) The Rochem and Sepro brands conventional butter in 1-pound packs earlier and $3.27 one year earlier, while Inc. filed voluntary petitions in the will be purchased by UAC Finance this week is $3.82, down from $4.20 two 2-pound blocks had a weighted average United States Bankruptcy Court for Inc., who also is expected to buy out weeks earlier but up from $2.74 one advertised price of $8.45, up from $7.83 the District of Delaware seeking relief Ultura (Oceanside) Inc., along with year earlier, says USDA’s Agricultural two weeks earlier and $6.29 one year under the provisions of Chapter 11 of its nearly $25 million worth of debt, Marketing Service (AMS) in its latest earlier, AMS says. the United States Bankruptcy Code. if there is not a higher bid submitted. biweekly National Dairy Retail Report Meanwhile, 8-ounce cheese shreds Ultura (Oceanside and LA divi- The court approved a bid deadline released this week. this week had a weighted average adver- sions) was the new name for the com- for Nov. 25, an auction for Dec. 3 and AMS says this week national con- tised price of $2.46, down from $2.69 two bined Rochem, Sepro Membranes and an approval hearing for Dec. 4 from ventional varieties of natural cheese in weeks earlier but up from $2.28 one year APTwater businesses consolidated in motions filed by Ultura (Oceanside) 8-ounce blocks had a weighted average earlier, AMS says, while 1-pound shreds February. The two affiliates of parent Inc. on Oct. 21. advertised price of $2.41, down from $2.63 had a weighted average advertised company Ultura (which is not filing Ultura (LA) Inc. will be di- two weeks earlier and $2.43 one year ago. price of $4.98, up from $4.35 two weeks bankruptcy) continue to operate their vested or sold, although de- This week 1-pound cheese blocks earlier and $3.05 one year earlier. CMN businesses and manage their proper- tails are not yet clear. CMN
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every consumer need from infancy to June, making these connections was the golden years, to options that can a key strategy, creating opportunities Perspective: be both healthy and indulgent, dairy for consumers to not only meet but also Dairy Marketing offers clean label, natural foods from interact with the people, cows, farms real people who are concerned about the and food that come from the “Land of land and the animals that make their Milk & Sunny.” As director of communications for origin. And the way we communicate On the social side where content the California Milk Advisory Board, that to our target audience has become is king, it’s no longer good enough to Jennifer Giambroni oversees as diverse as the category itself. throw everything up on all channels consumer, trade and industry out- How consumers look for information just to feed the beast, it’s about being reach to build awareness and demand and incorporate brands into their lives strategic about the type of information for Real California Milk and dairy as well as the media tools they use refl ect that gets shared, where and how often. products. She contributes this column our changing lifestyles: grab-and-go, Earlier this year we audited our social exclusively for Cheese Market News®. multiple platforms and multiple func- media channels to update our approach tions. Just as the old model of sitting and increase opportunities for engage- down with a bowl of cereal and milk ment. For some platforms, that meant in the morning has morphed into a reducing the amount of information that smoothie in the car on the way to the was put out, for others it meant taking offi ce, gathering on the sofa in front of a more visual approach to telling the Ready, set, engage for dairy demand the TV has become catching a favorite California dairy story. show on a mobile device between meet- Beyond these tools, we’ve put The arrival of fall and the holiday consumer packaged goods company, ings. As demand-builders, we have to dairy — a category often taken for season is an exciting time for dairy the entire focus of our activities is on bring dairy into that same world and granted — into the same places where marketers. When it comes to seasonal building demand for dairy, for us spe- be as nimble as consumers when com- consumers spend their time. In an age cooking and baking, dairy rules the cifi cally California dairy, and tying into munications tools change. where coffee shops are programming day. It is also a time where checkoff the elements that infl uence consumer One example is the classic website, their own digital music channels and organizations like the California Milk purchase decisions from awareness to which used to be a company’s primary moms are catching a game of Candy Advisory Board are out in the community interest, trust, usage and, ultimately, online presence. The old, fl ash-heavy Crush between soccer matches, if you’re connecting with the dairy producers who advocacy. encyclopedic style website of even three not mobile, you’re out of consideration. fund the activities we conduct and mak- We have an advantage in a product years ago has now become an “infotain- And it’s not about advertising to this ing program plans for the coming year. as diverse and nutritious as dairy, which ment” hub with spokes pointing and consumer but engaging with her. The program planning exercise al- has never been more relevant to how connecting to social media platforms Over the past several years, casual lows us to revisit our role in the dairy consumers live and eat today. From to like, share, pin and Tweet. When we gaming has become an important tool marketing chain. Because we’re not a the sheer variety of products that fi t launched our new Califarmia site in Turn to GIAMBRONI, page 7 D DairySpec FT Next Generation of Dairy Product Analysis
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For more information please visit www.bentleyinstruments.com For more information please visit www.abprocess.com © 2014 CHEESE MARKET NEWS® — This is Cheese Market News’ E-subscription and may not be forwarded to anyone other than the intended paid subscriber without the express permission of Cheese Market News (For more information, contact [email protected]) October 31, 2014 — CHEESE MARKET NEWS® 7 NEWS/BUSINESS Bob Constantino’s Diversifi ed Management Group to offer affordable menu of services By Emily King of Anco Fine Cheese. He has served on profi ts and utilize my national contacts and packaging, develop reasonable and numerous boards and was inducted into has resulted in a very successful career.” affordable go-to market strategies, all BOSTON — Bob Constantino has set out the California Cheese & Butter Associa- Constantino’s networking has given at an affordable cost,” Constantino says. to create his own business venture that tion’s Hall of Fame in 2009. Constantino him unique access to decision makers in Constantino offers a menu of services offers more than 30 years of experience says he has successfully introduced and the retail, club and food service channels, custom-designed to fi t a client’s specifi c in the cheese industry to companies who sustained some of the largest iconic he adds. needs. cannot afford certain services on a full- brands in the United States (e.g., Jarls- DMG was started based on the needs “In today’s environment, companies time basis. berg, Boursin, Pub Cheese, Sonoma Jack, of companies that have communicated a need to realize their capabilities, under- Aptly named Diversifi ed Management Rondele, Roth Käse and Old Croc) and desire to engage a seasoned professional stand the market conditions and costs Group (DMG), Constantino’s repertoire has developed some of the best sales and that understands the market. He is seek- associated with growing their businesses will include, but is not limited to: man- marketing organizations in the specialty ing clients in the dairy, deli, bakery and and engage a knowledgeable and trusted agement, business planning, budget de- cheese business. deli snack categories. professional who has achieved a high level velopment, sales, marketing, product and “I have spent more than 30 years “Clients should choose DMG based of success,” Constantino says. packaging development, team building, owning and running companies whose on their specifi c needs to improve their For more information contact DMG mentoring, public relations, advertising, annual volume is $20 million to $250 market presence and share, require some- at 781-956-8603 or rac.diversifi edma- website design, and trade show develop- million,” Constantino says. “My ability to one that can train and mentor their staff, [email protected], or visit ment and management. lead and mentor people, develop go-to establish and manage their direct sales www.racdiversifiedmanagementgroup. “My mission is to offer my 30-plus years market strategies, sustain volume and and broker network, create new products com. CMN of national experience and expertise to companies that could utilize my services at a very affordable cost,” Constantino says. “I can custom-tailor a program that addresses their specifi c requirements that can be executed in a reasonable amount of time.” Constantino’s experience includes serving as president, partner and CEO of Rondele Specialty Foods. During his time there his responsibilities covered all aspects of the business, and he increased sales by 35 percent, he says. Constantino’s career also has included serving as president at Cappiello Cheese Co., vice president of retail sales at Emmi Roth Käse and executive vice president
GIAMBRONI Continued from page 6 for this type of engagement with our pri- mary dairy buyers, women 25-54. Earlier this year, we extended our partnership with social gaming company Zynga to make Real California Milk and the seal Good seal. Perfect seal. the fi rst in-game integration during the launch of FarmVille2 for mobile. This launch generated more than 123 million impressions with more than 1 million players interacting with California’s cows in the game and talking about it on Facebook and other social platforms. We’re also using digital banner ads to drive traffi c to the new website and tap- Repak horizontal form-fill-seal packaging ping into partners like Hulu to bring our machines from Reiser offer the best sealing commercials into the digital and mobile integrity in the industry. Only Repak machines space with pre-roll and in-program spots. Just as modern farming practices are constructed with two 4-point lifting stations, are making dairy more effi cient, sus- generating up to five metric tons of closing tainable and safer than ever before, pressure for uniform forming and reliable sealing. these modern communications tools No matter how complicated your package, Repak are not only building awareness but will produce it perfectly. For more information, integrating dairy into consumers’ lives contact Reiser today. in new and exciting ways. And moving forward, they will be opening up new opportunities to engage the consum- ers who want to know where their food www.reiser.com comes more closely with the people Reiser responsible for food production. CMN Canton, MA • (781) 821-1290 Reiser Canada The views expressed by CMN’s guest Burlington, ON • (905) 631-6611 columnists are their own opinions 2014 and do not necessarily refl ect those of Cheese Market News®. For more information please visit www.reiser.com © 2014 CHEESE MARKET NEWS® — This is Cheese Market News’ E-subscription and may not be forwarded to anyone other than the intended paid subscriber without the express permission of Cheese Market News (For more information, contact [email protected]) 8 CHEESE MARKET NEWS® — October 31, 2014 NEWS/BUSINESS
Licensed cheese imports total 17.1 million pounds in September, up 10 percent from last year
WASHINGTON — September imports date licensed imports of these cheeses of this year, up 1 percent from the same 486,209 pounds in September, down of cheese subject to licensing require- totaled 35.0 million pounds through period last year. 43 percent from a year ago. January- ments totaled 17.1 million pounds, up September, up 7 percent from the same September licensed Cheddar imports September licensed imports of processed 10 percent from September last year, nine months last year. totaled 842,622 pounds, up 1 percent Gruyere totaled 3.9 million pounds, down according to the latest data released Imports of Italian-type cheeses sub- from September 2013. January-Septem- 7 percent from the same period last year. by USDA’s Foreign Agricultural Service. ject to licensing requirements totaled ber licensed Cheddar imports totaled 8.4 Licensed imports of other cheese January-September licensed U.S. cheese 2.5 million pounds in September, up 92 million pounds, up 25 percent from the not-specifically-provided-for totaled imports totaled 121.7 million pounds, up percent from a year earlier. January- fi rst three quarters of 2013. 7.1 million pounds in September, up 1 3 percent from the fi rst three quarters September licensed imports of these September licensed imports of Blue percent from September 2013. January- of 2013. (The fi gures released by USDA cheeses totaled 9.7 million pounds, up mold cheeses totaled 623,492 pounds, up September licensed imports of these are in kilograms; Cheese Market News 13 percent from the same period in 2013. 8 percent from September 2013. Year- cheeses totaled 51.5 million pounds, has converted the data to pounds by Edam and Gouda imports subject to to-date licensed imports of Blue mold down 2 percent from the same nine multiplying by 2.2046.) licensing requirements totaled 1.1 mil- cheeses totaled 3.9 million pounds, down months in 2013. Licensed imports of Swiss and Em- lion pounds in September, down 3 per- 11 percent from January-September September licensed butter imports menthaler with eye formation totaled cent from September last year. Licensed last year. totaled 702,948 pounds, up 8 percent 4.4 million pounds in September, up 19 Edam and Gouda imports totaled 9.1 Imports of processed Gruyere sub- from September last year. Licensed percent from September 2013. Year-to- million pounds in the fi rst three quarters ject to licensing requirements totaled butter imports during the fi rst three quarters of this year totaled 12.1 million pounds, up 63 percent from the fi rst three quarters of 2013. Licensed imports of butter substi- tutes totaled 572,310 pounds in Septem- ber, up 85 percent from September 2013. January-September licensed imports of Asset butter substitutes totaled 4.5 million pounds, up 15 percent from the same 2013 period. Imports of high-tier cheese and Solutions other dairy products totaled 25.0 million pounds from January-September, up 23 percent from the fi rst three quarters Experts! of 2013. Leading high-tier imports are Italian-type cheeses at 9.7 million pounds AUCTION: Obtaining year-to-date, down 7 percent from the TURN-KEY FACILITY SALES Maximum Value same nine months of last year. Following Harry Davis & Company’s recent brokered is other cheese not-specifi cally-provided- turnkey sales include complete Cheese Harry Davis & Company has for at 5.5 million pounds imported from Manufacturing, Fluid Milk and Ice Cream delivered powerful solutions to January-September, up 31 percent production facilities across North America. the Cheese, Dairy, Food and from the same 2013 period. CMN Beverage industries for 60 YEARS! &HUWLÀHG$335$,6$/6 UK consumer group Harry Davis & Company is the leader in RECENT AUCTION the valuation of equipment and operating CAMPAIGNS INCLUDE: uncovers fake facilities in the cheese, dairy and beverage • Former Borden Facilities – industries. goat’s milk cheese New Jersey, Kentucky, Tennessee Our clients include leading banks and • Land O’ Lakes – LONDON — Which?, a London-based con- ÀQDQFLDOLQVWLWXWLRQVDVZHOODV)RUWXQH Cheese & Whey – Denmark, WI sumer watchdog group, recently conducted companies and major players in the an investigation that uncovered sheep’s • Nestle Nutritional Products – cheese, dairy, food processing and milk cheese being sold as goat’s milk cheese beverage industries. St. Louis Park, MN in locations across the United Kingdom. • Nestle/Dreyers Ice Cream – Which? says it became suspicious over %DNHUVÀHOG&$ +RXVWRQ7; the large amount of goat’s milk cheese on • Foster Farms – Fluid Milk – sale, despite a goat’s milk shortage in the Fresno, CA UK, so it teamed up with the author of the British government’s independent review • Unilever – Milwaukee and into food crime, Chris Elliot, to investigate Atlanta facilities the cheeses. • Many Additional Dairy, Food Which? and Elliot tested 76 samples and Beverage facilities! of goat’s milk cheese from supermarkets, delis and markets from eight locations around the UK. A total of nine samples were adulterated, Which? says. Three contained more than 80-percent sheep’s milk, another three contained more than 50 percent and the fi nal three around 5 percent. Which? says these results reinforce the need for better oversight and has started a petition to stop food fraud. www.HarryDavis.com In other investigations, Which? found 412.765.1170 | [email protected] takeout meat sold as “lamb” contained other meats such as chicken or beef, and several samples of fi sh sold in fi sh and For more information please visit www.harrydavis.com chips shops also were mislabeled. CMN © 2014 CHEESE MARKET NEWS® — This is Cheese Market News’ E-subscription and may not be forwarded to anyone other than the intended paid subscriber without the express permission of Cheese Market News (For more information, contact [email protected]) October 31, 2014 — CHEESE MARKET NEWS® 9 NEWS/BUSINESS
Synder Filtration offers array of membrane technology, superior customer service for dairy
By Alyssa Mitchell membrane development.” customers. able in both spiral-wound and fl at-sheet Synder Filtration is an ISO-9001:2008 “Sometimes this results in the need formats, Synder’s NF membranes are VACAVILLE, Calif. — A Bay Area fi l- certifi ed manufacturer of membrane to develop new membranes, and we can capable of rejecting multivalent salts, tration technology company is making products, including systems designed for develop membranes specifi cally for cus- lactose and larger molecules, while increased inroads into the dairy sector industrial process applications. tomers’ applications,” Yeh says. selectively rejecting varying amounts with its wide array of membrane technol- ISO-9001 is the manufacturing stan- In fact, 20 percent of Synder Filtra- of monovalent salts. ogy offerings and services. dard for total quality management, Yeh tion’s current membranes are from “If required, we can even develop new Synder Filtration, Vacaville, Calif., notes. The company is audited twice a custom developments, he adds. nanofi ltration membrane materials to has a unique understanding of the year by an independent fi rm, and it has to The company offers nanofi ltration meet specifi c process goals, in partner- membrane industry from its history as show continuous improvement in order (NF), ultrafi ltration (UF) and microfi l- ship with our customers,” Yeh adds. both a buyer and a supplier of membrane to maintain its certifi cation. tration (MF) technologies. The company also offers a wide range technology, notes Jeff Yeh, president, At Synder Filtration, membrane prod- Synder Filtration offers a suite of of ultrafi ltration membranes to provide Synder Filtration. ucts can be fully customized to achieve nanofiltration membranes that are maximum fl exibility in solving process Established in 1989, Synder Inc. the specifi c process separation goals of engineered to provide optimal fl ux and challenges, Yeh says. Available in both originally specialized in manufactur- the company’s customers, Yeh says. rejection and can be customized to meet spiral and fl at-sheet confi gurations, ing industrial enzymes, in which spiral He adds that the company does a the unique requirements of specifi c Synder can customize ultrafi ltration membrane technology was a vital part lot of feasibility and pilot testing for its process applications, Yeh says. Avail- Turn to SYNDER, page 10 D of the overall process. Jeff Yeh’s father, Edward Yeh, founded the company with two partners. The dairy industry wasn’t the company’s main focus at fi rst as it focused on bioprocess applications. Over time, the founders became frustrated with the inconsistent product quality and lack of support from their existing membrane supplier, Jeff Yeh says. After a search for suitable alterna- tives ended in futility, the founders saw an opportunity to fi ll a void in process separations. As a result, Synder Filtration was established in 1994, a U.S. wholly- owned membrane manufacturer in the San Francisco Bay Area. The founders had a vision to provide customers with the outstanding membranes, special- ized process knowledge, flexibility and service demanded by the founders Our mission is to work closely with themselves. our customers to provide timely, “The company was built from scratch with our own money,” Jeff Yeh says, knowledgeable and friendly service noting this fi nancial independence has in support of their unique process allowed the company to do some unique separation goals in these areas: things. “It’s one of the things that sets us • Nanofiltration apart and is a foundation for how we do • Ultrafiltration business,” he says. For example, the fi nancial indepen- • Microfiltration dence has allowed the company the • Custom Membrane Development ability to quickly make decisions on • Membrane Accessories & Spare Parts ways to invest in its infrastructure and • Process & Application Development technology, Yeh says. • Case Studies In 2012, Synder Filtration pur- chased the building next door to the • Pilot Study Program 66,000-square-foot facility it has oc- • Global Distribution & cupied since 2004 to make room for an Service Network expansion of its R&D and application • Flexibility & Responsiveness development labs to push its capabilities even further, he notes as one example. “We now have four full-time R&D and We are rooted in doing business application development staff,” Yeh says. the right way, and this is what you Sixty-three people work at Synder should expect from Synder Filtration Filtration, with 55 working out of the company’s headquarters, Yeh says. every single day. The company’s new 53,000-square- foot building is now completely reno- 4941 Allison Parkway | Vacaville, CA 95688, USA vated and supporting the R&D team in developing new products and applica- Phone: (707) 451-6060 | Fax: (707) 451-6060 tions, he adds. Email: [email protected] “The most exciting part of this ex- www.synderfiltration.com pansion is that we were able to design a lab for development,” Yeh says. “We All inquiries will be responded to by a Synder employee can now synthesize our own polymers as personally within 24 hours. well to use in membrane development. This opens a lot of doors for us in quick For more information please visit www.synderfi ltration.com © 2014 CHEESE MARKET NEWS® — This is Cheese Market News’ E-subscription and may not be forwarded to anyone other than the intended paid subscriber without the express permission of Cheese Market News (For more information, contact [email protected]) 10 CHEESE MARKET NEWS® — October 31, 2014 NEWS/BUSINESS
SYNDER Yeh says. They also are commonly used as has not lost sight of its roots in quality, years, serving as president of Synder a pretreatment step for other membrane fl exibility and service, he adds. Filtration for six years,” Yeh says. “I have Continued from page 9 separation processes. “The company is very near and dear to every intention to continue growing the membranes and membrane systems to The company keeps an extensive me; I’ve worked here since I was 14 years company, not just in the dairy industry, meet the specifi c application goals of its inventory of its most common membrane old, and I’ve been in the industry for 20 but in other industries as well.” CMN customers. models, allowing it to have some of the Yeh adds that as opposed to conven- fastest lead times in the industry, Yeh adds. USDA’s KCCO to buy natural American cheese tional fi ltration which causes a quick “Invariably, every plant will have an build-up of solids onto the membrane upset at some time,” he says. “We answer KANSAS CITY, Mo. — USDA’s Kansas Minn., will supply up to 14.2 million surface, cross-fl ow fi ltration increases the phone when people call us and are City Commodity Offi ce (KCCO) this week pounds of natural American cheese in the passage of permeate through the able to deliver quickly. announced it is purchasing up to 76.2 mil- 500-pound barrels, $0.2374-$0.2874, and membrane. Also known as tangential fl ow “We can ship products quickly, some- lion pounds of natural American cheese up to 1.1 million pounds of reduced-fat ultrafi ltration, this is a separation process times overnight,” he adds. in 2015 from six U.S. companies. natural American cheese in 500-pound where the feed stream is in parallel to the The company has been featured on the The purchase price for each delivery barrels, $0.2874-$0.3374. membrane surface, which helps to control Science Channel’s “How It’s Made,” Yeh period is the accepted differential price Land O’Lakes Inc., Arden Hills, Minn., the formation of the gel layer, greatly notes. An episode featuring “Membrane per pound indicated below plus the will supply up to 40.4 million pounds of improving fl ux stability and membrane Filtration” on April 24, 2014, was shot applicable previous month’s average of natural American cheese in 500-pound life vs. perpendicular fl ow systems. at Synder Filtration’s headquarters in the Chicago Mercantile Exchange’s cash barrels, $0.3046-$0.3046. In addition, Synder Filtration of- Vacaville. market price for block or barrel cheese Masters Gallery Foods Inc., Plymouth, fers a wide selection of microfi ltration Synder Filtration also recently re- trading as reported in USDA’s Dairy Wis., will supply up to 10.3 million pounds membranes developed specifi cally to vamped its website at www.synderfi ltra- Market News. of generic reduced-fat, shredded Ched- solve complex process challenges such as tion.com. Up to 53 percent was awarded under dar in 6/5-pound bags, $0.2054-$0.3044, microbial removal, protein fractionation “We really wanted to highlight some small business set-aside programs to fi rms and up to 3.5 million pounds of generic and pretreatment to other membrane of our new capabilities and wanted to eligible to compete for these set-aside shredded Cheddar in 6/5-pound bags, processes, Yeh says. Available in both make the site more of a learning tool for quantities. A maximum of 3.0 million $0.2191-$0.2985. spiral-wound and fl at-sheet confi gura- membrane technology,” Yeh says. pounds of cheese was not awarded due to Pacifi c Cheese Inc., Hayward, Calif., tions, microfi ltration membranes and The new website features education no offers. KCCO says it reserves the right will supply up to 38,400 pounds of ge- membrane systems can be customized videos on membrane technology as well to solicit for this cheese at a later date. neric reduced-fat, shredded Cheddar in to meet specifi c application goals with as an extensive collection of technical Associated Milk Producers Inc., New 6/5-pound bags, $0.2594-0.2594, and up to effi ciency. articles that R&D staff wrote, he notes. Ulm, Minn., will supply up to 5.8 million 230,400 pounds of generic shredded Ched- Synder Filtration currently offers three “It really showcases what we can of- pounds of natural American cheese in dar in 6/5-pound bags, $0.2345-$0.2594. types of polymeric microfi ltration fi lters, fer,” he says. 500-pound barrels for a differential of Robert H. Barrios, San Diego, will supply all of which maintain good resistance to Despite expansion into many new $0.0000-$0.6050. up to 799,000 pounds of generic Cheddar pH, temperature and fouling tendencies, industries throughout the world, Synder Bongards’ Creameries, Norwood, in 4/10-pound cuts, $0.3820-$0.4270. CMN
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