Dairy Stakeholders Praise FDA Ruling on UF Milk Use in Cheese
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Volume 37 August 18, 2017 Number 31 Dairy stakeholders praise FDA Like us on Facebook and follow us on Twitter! ruling on UF milk use in cheese A WASHINGTON — Dairy stake- dairy ingredients specifi ed in enforcement discretion until it use this natural, concentrated holders are commending the the standards of identity. has completed its rulemaking form of milk in cheesemaking INSIDE leadership of FDA for granting UF milk is milk that has process or has decided not to with fl exible labeling restric- enforcement discretion for the been fi ltered to remove some proceed with the rulemaking. tions, and the decision will ✦ Half-year cheese use and labeling of ultrafi ltered of the water and lactose, which FDA also notes it is taking open the door for Wisconsin exports up 24 percent. (UF) milk in all standardized increases the protein content this action now due to issues re- and other states to produce For details, see page 3. cheeses and related cheese while reducing total fluid garding domestically-produced and market more fresh, UF products covered by the federal volume. The use of UF milk UF milk in the international milk to cheesemakers across ✦ WCMA launches internship standards of identity. increases effi ciency in cheese- marketplace that have resulted the nation. exchange to enhance FDA in Monday’s Federal making, enhances cheese yield in oversupply and pricing chal- “There’s been an oversupply industry workforce. Register announced the avail- for cheesemakers and allows lenges. of milk in the U.S. for over a year, For details, see page 5. ability of a guidance to advise for fewer trucks on the roads, Additionally, FDA has re- causing real fi nancial stress for manufacturers who wish to use which reduces transportation ceived requests to exercise dairy farm families,” he says. ✦ 10-year outlook shows UF milk or UF nonfat milk in costs. It is also responsive to enforcement discretion while “This decision can lead to more cheese prices rising the production of standardized many dairy consumers’ desire its rulemaking is pending, in production of fl uid ultrafi ltered over butter by 2026. cheeses and related cheese for environmentally-friendly part to mitigate the impact milk and fi nd new markets for For details, see page 7. products. In the guidance, FDA and sustainable production on U.S. companies producing our abundant milk supplies.” ✦ Cornell University, IBM says it intends to exercise en- practices, stakeholders say. UF milk. The dairy industry has been partner on next-generation forcement discretion regarding While FDA is encouraging FDA invites electronic or working with FDA for nearly sequencing for milk. the use and labeling of UF milk cheese manufacturers to iden- written comments on the guid- two decades to allow the use and UF nonfat milk in cheeses tify fl uid UF milk and fl uid UF ance at any time. Comments of UF milk in cheeses with a For details, see page 12. when used in addition to the nonfat milk on product labels may be submitted at www. federal standard of identity — when feasible and appropriate, regulations.gov. such as Cheddar, Mozzarella, FDA makes clear in its guidance The Wisconsin Cheese Colby and Brick, Umhoefer OF THE that it does not intend to take Makers Association (WCMA) notes. CHEESE action against companies that praised the announcement, “It’s more practical and MONTH do not declare these items noting the dairy industry has economical to ship this liquid, Photo courtesy on ingredient statements. been seeking approval for this fi ltered milk to cheesemakers, of WMMB Curds However, milk or nonfat milk natural dairy ingredient in other dairy manufacturers and still must be declared in the cheesemaking for nearly 20 even food processors in this Curds serve as signature ingredient statement. years. concentrated form,” he says. This guidance stems from a “FDA’s announcement is an FDA has allowed the use squeaky snack, ingredient proposed rule on the use of fl uid important win for Wisconsin of fl uid UF milk in standard- UF milk in cheese manufactur- and other great cheesemaking ized cheeses if the fi ltration ing that fi rst was issued in 2005 states,” says John Umhoefer, took place at the cheese fac- Editor’s Note: “Cheese of the Month” is Cheese Market News’ ex- but has not been completed executive director, WCMA. tory where natural cheese clusive profi le series exploring various cheese types. Each month, due to competing priorities. Umhoefer notes FDA’s deci- was made, and the agency has CMN highlights a different cheese in this feature, giving our readers FDA says it intends to exercise sion will allow cheesemakers to a comprehensive look at production, marketing, sales and in-depth Turn to UF, page 11 a aspects of each profi led cheese type. Please read on to learn about this month’s featured cheese: Curds. By Stephanie Awe NAFTA renegotiation begins; Ballard Cheese named Champion MADISON, Wis. — Cheese curds are a beloved snack among many industry spotlights priorities consumers and are growing in popularity in some U.S. regions. Whether at IMPA contest fresh or fried, they serve a variety of snackable applications. WASHINGTON — Trade representatives from the United States, Typically, cheese curds are made from Cheddar cheese, although Canada and Mexico met this week to begin an offi cial renegotia- SUN VALLEY, Idaho — A they can be made from other cheeses such as Muenster and Brick, tion of the North American Free Trade Agreement (NAFTA). The Farmstead 8-month-old according to Mark Johnson, Ph.D., assistant director at the Wisconsin renegotiation provides the Trump administration with an oppor- Gouda made by Travis Bal- Center for Dairy Research (CDR). Curds made of Cheddar are created tunity to fulfi ll one of the president’s top campaign promises — a lard of Ballard Cheese LLC, through the same process used to make Cheddar cheese, but instead reset of the U.S. trade agenda. Gooding, Idaho, received of being formed and pressed into a cheese block, the curds are kept The talks, which will conclude Sunday, are taking place between Grand Champion honors at separate. In addition, all curds — no matter what cheese variety they chief negotiators John Melle, assistant U.S. trade representative the 2017 Idaho Milk Proces- are made from — must be produced using milled curd. for the western hemisphere; Ken Smith Ramos, director of the sors Association (IMPA) Cheddar curds typically are higher in moisture than Cheddar, and Trade and NAFTA Offi ce at the Embassy of Mexico in Washington; Dairy Product Contest. they are salted right away, Johnson says. While curds do not have a and Steve Verheul, chief trade negotiator for Canada. Mozzarella Fresca, soft standard of identity, curds with “Cheddar” on their labels must abide “We all agree that NAFTA needs updating,” U.S. Trade Rep- pouch, made by Marion by FDA’s federal regulations for Cheddar cheese, he adds. resentative Robert Lighthizer said in opening remarks this Bidron of Sorrento Lactalis Inc., Nampa, Idaho, was the Turn to CURDS, page 6 a week. “This is a 23-year-old agreement, and our economies are Turn to NAFTA, page 10 a Turn to IMPA, page 8 a © 2017 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® — August 18, 2017 MARKET INDICATORS Chicago Mercantile Exchange Cash prices for the week ended August 18, 2017 CHEESE FUTURES for the week ending August 17, 2017 (Listings for each day by month, settling price and open interest) Monday Tuesday Wednesday Thursday Friday Aug. 14 Aug. 15 Aug. 16 Aug. 17 Aug. 18 Fri., Aug. 11 Mon., Aug. 14 Tues., Aug. 15 Wed., Aug. 16 Thurs., Aug. 17 AUG17 1.660 3,577 1.665 3,554 1.662 3,552 1.663 3,529 1.663 3,513 Cheese Barrels SEP17 1.739 2,991 1.753 3,020 1.715 3,034 1.733 2,987 1.741 2,990 Price $1.6575 $1.6400 $1.6700 $1.6850 $1.7500 OCT17 1.764 2,458 1.770 2,461 1.733 2,482 1.740 2,485 1.752 2,490 Change +7 -1 3/4 +3 +1 1/2 +6 1/2 NOV17 1.758 2,608 1.758 2,614 1.736 2,620 1.741 2,646 1.745 2,632 DEC17 1.733 2,450 1.738 2,449 1.720 2,448 1.733 2,449 1.732 2,448 Cheese 40-lb. Blocks JAN18 1.711 948 1.718 981 1.710 989 1.710 989 1.714 991 Price $1.7550 $1.7250 $1.7350 $1.7350 $1.7550 FEB18 1.707 830 1.714 853 1.710 863 1.710 843 1.710 851 MAR18 1.710 782 1.712 834 1.703 845 1.706 845 1.705 845 Change +1 1/4 -3 +1 NC +2 APR18 1.702 699 1.703 697 1.694 709 1.696 709 1.700 713 MAY18 1.703 630 1.703 630 1.702 649 1.704 650 1.705 665 Weekly average (Aug. 14-18): Barrels: $1.6805(+.1255); 40-lb. Blocks: $1.7410(+.0475). JUN18 1.713 594 1.714 594 1.713 607 1.713 607 1.715 609 Weekly ave. one year ago (Aug. 15-19, 2016): Barrels: $1.8650; 40-lb. Blocks: $1.8220. JUL18 1.725 207 1.725 208 1.725 212 1.720 217 1.720 222 AUG18 1.728 139 1.729 151 1.729 151 1.729 161 1.730 166 Grade A NDM SEP18 1.734 110 1.734 120 1.734 130 1.730 135 1.732 140 $0.8500 $0.8475 $0.8475 $0.8375 $0.8325 OCT18 1.731 56 1.732 67 1.732 67 1.732 72 1.733 77 Price NOV18 1.732 57 1.732 58 1.732 58 1.732 63 1.732 68 Change NC -1/4 NC -1 -1/2 DEC18 1.730 57 1.730 58 1.730 58 1.730 63 1.730 68 Weekly average (Aug.