INSIDE: September 2008 Editorial

INSIDE: September 2008 Editorial..........................................1 USDECNews U.S. Dairy Industry News Editorial______________________________________________________________ JAPANESE U.S. Dairy Industry Aims to Reduce Carbon Footprint ..........3 も終わりに近づいておりますが、まだ暑い日が続いております。 Milk Powder, Cheese, Butter 季節の変わり目には体調を崩しやすいので体調管理には充分お気 Lead U.S. Export Gains..............3 をつけ下さい。 In the News ................................4 国内では様々な商品の値上げが続き、ガソリンの価格は一時１８０ Cheese & Manufactured Products 円/リットルを超えました。車の利用を控える消費者が多くなり、 Cheese Inspires New Menu 観光業、外食産業、郊外のショッピングモールなどでは客足が遠 Options at U.S. Restaurants ......5 のいていると報じられています。また、原材料価格高騰のあおり Ingredients を受けた食品企業も、軒並み店頭価格への転嫁を始め、食品全体では昨年同月対比で３．６％ほど価格が上昇しており、消費は更 DMI Showcases New に冷えこむと予想されております。乳製品においての上昇幅は他 Applications for Dairy Ingredients at IFT 2008 ..............7 の食品に比べなお大きく、バターの価格は昨年度より１４％上昇、プロセスチーズに至っては２７％、輸入ナチュラルチーズは１０％ Nutrition も上昇しており、消費量も伸び悩んでいます。乳業関連企業では、 Dairy Proteins for この原料高騰が続けば店頭価格は更に上昇し、売り上げも下落す Optimal Health ..............................9 る事が懸念されており、早急にこれらの問題を打開する有効な政策が打ちされる事がされています。 Meet Our Members Gerber California, Inc. ............11 Editorial ______________________________________________________________ ENGLISH Hoogwegt U.S., Inc. ..................12 Although the summer is ending, hot days are still continuing so please take care MCT Dairies, Inc.......................13 of your health. The cost of goods is continuing to increase and the price for gasoline reached the highest level in history at 180 yen/L. This has resulted in more consumers staying at home and the news is reporting that leisure stores, foodservice estab- lishments and shopping malls in the suburbs are losing customers. In addition, many food companies are now starting to increase retail prices in response to the high commodity prices. Overall, the average price of food items increased this year by 3.6% compared to the same time last year and the price increas- (continued on page 2) USDEC – Japan Seibunkan Building 5F 5-9, Iidabashi 1-chome Chiyoda-ku, Tokyo 102-0072 Japan Telephone +81-3-3221-5852 Fax +81-3-3221-5960 E-mail: [email protected] Website: www.usdec.org/japan U.S. Dairy Industry News (continued from cover editorial) es for dairy products are much higher than for other foods. Since July 2007 the price for butter has increased by 14%, while the price for processed cheese grew 27% and the price of imported natural cheese price went up by more than 10%. As a result the overall consumption of dairy products is decreasing. Dairy manu- facturing companies may be facing an even more difficult situation in the future if their costs continue to rise. It may not be possible to pass these costs on to the consumer without further decreasing both sales and dairy product consumption. The people are hopeful that a government policy will be put in place to help combat stagflation, or the problem of inflation combined with flat consumer demand and higher unemployment. USDEC News is published by the U.S. Dairy Export Council (USDEC) and is designed to provide up to date information about the U.S. dairy industry for the benefits of our international partners. USDEC was formed by Dairy Management Inc. in 1995 to enhance the U.S. dairy industry’s ability to serve international markets. USDEC is an inde- pendent non-profit membership organization representing dairy processors, exporters, milk producers and industry suppliers. USDEC supports international buyers of dairy products by providing information about U.S. suppliers, their products and capabilities. We bring buyers and sellers together through conferences, trade missions and trade shows. USDEC furnishes application and usage ideas for U.S. dairy ingredients through seminars, one-on-one consultations and technical publications. We assist with foodservice promotions, menu development and education. We also work with local authorities to resolve market access issues that ensure reliable delivery for customers and importers. When you work with USDEC and its members, you are partnering with companies that manufacture and export more than 85% of all U.S. dairy products. Copyright © 2008 U.S. Dairy Export Council. 2 USDECNews | September 2008 U.S. Dairy Industry News U.S. Dairy Industry Aims to Reduce Carbon Footprint The U.S. dairy industry is thinking tions. This will ensure an economically, green, proactively addressing a major environmentally and socially sustain- concern of buyers, consumers and able industry.” policy-makers worldwide. Summit attendees recommended a More than 250 dairy farmers, proces- number of actions, including: sors, academics, government and • Reducing energy use in the milk association officials came together in supply chain by developing new Rogers, Arkansas, this summer for a milk handling and processing Sustainability Summit. It marked the technologies and procedures U.S. dairy business’ first major step in a comprehensive industry-wide initiative • Emphasizing carbon credit trading In the U.S. a new square, self-stacking milk to identify and address sustainability • Supplying green power to bottle design offers cost savings and issues. During the meeting, attendees communities by expanding the increased transport efficiencies. developed an action plan of concrete use of methane digesters steps designed to reduce the industry’s real-world viability as ways to reduce carbon footprint, focusing on opera- • Stimulating the development greenhouse gas emissions. tional efficiencies and innovations to of low-cost, low-carbon, reduce greenhouse gas emissions consumer-acceptable packaging “Now is the time to harness our com- while ensuring financial viability and bined talents to address these issues,” • Reducing cooling costs and emis- industry growth. says Gallagher. “Through the sions associated with refrigeration Sustainability Summit, we were able “Sustainability is a challenge that The innovative ideas and initiatives to identify common interests and estab- requires industry-wide solutions,” says advanced by the Summit participants lish a realistic action plan that has the Tom Gallagher, chief executive officer will be further refined for possible test- potential to transform the industry.” of Dairy Management Inc.™ (DMI). ing and evaluation. The goal, according “Decision-makers from across the dairy to Gallagher, will be to field-test several value chain are working together to prototype projects to determine their commit to concrete, innovative solu- Milk Powder, Cheese, Butter Lead U.S. Export Gains United States (U.S.) dairy exports this year. Sales reached 70,977 MT, up and Japan. However, demand for U.S. topped $2.1 billion in the first half of 48% from 2007. Mexico, Korea, Japan whey protein concentrate (WPC) 2008, up 74% from a year ago, and Canada remain the largest mar- remained solid, with volumes increasing according to U.S. Department of kets for U.S. cheese, accounting for half 22% over the 2007 figure to 67,279 MT. Agriculture data. Gains were led by the volume. More than half of the shipments went large increases in exports of milk to Mexico and China. Butterfat exports were nearly 50,388 powder, cheese and butter. MT in the first six months of 2008, up Among other products, in the first half Shipments of nonfat dry milk/skimmed seven-fold from last year (when exports of the year, lactose exports were 97,012 milk powder (NDM/SMP) topped were just 7,100 MT). Major customers MT, down 1%; fluid milk and cream 234,254 metric tons (MT) in the first were Russia, Egypt, Saudi Arabia and exports were 24.5 million liters, double half, a gain of 83% from last year. This Morocco, which combined took more year-ago levels; ice cream exports made the U.S. the world’s number one than half of the U.S. butterfat exports. were 13,522 MT, down 8%; whole milk supplier of NDM/SMP. Major markets powder shipments were 19,995 MT, U.S. exports of dry whey declined sharply were Mexico, the Philippines and up 247%; and exports of food prepara- in the first half compared with a year Indonesia, which accounted for more tions were 38,354 MT, up 11%. ago. At 88,444 MT, exports were off than half of the U.S. export sales. 34% from the pace of 2007. Volumes U.S. exporters posted record volumes were down in most major markets, of cheese shipments in the first half of including China, Canada, Mexico 3 USDECNews | September 2008 U.S. Dairy Industry News In the News… New USDEC Members • Leprino Foods selected Greeley, scheduled to open in March 2009, • USDEC welcomes six new compa- Colorado, as the site for its tenth will handle the whey for Wisconsin’s nies to the membership: Agri-Dairy United States (U.S.) plant. The large growing contingent of organic Products, Inc., a Purchase, New (80,000 square-meters) new moz- cheese makers. The company will York-based processor and trader; zarella facility, due to open in 2011, produce WPC for organic nutritional California Dairies, Inc., a dairy will be able to handle 3 million liters supplements, and also plans to cooperative based in Artesia, of milk per day. Leprino is investing launch its own brand of organic California; Erie Foods International, $270 million in the project. whey supplements for women, an Inc., a manufacturer and marketer of • Michigan Milk Producers under-served demographic in the dairy ingredients from Erie, Illinois; Association will expand its whey protein boom. Ovid, Michigan, condensed milk/ Globex International, Inc., a New Moves and Consolidations York-based trading and exporting butter/powder plant, boosting capaci- • Prairie Farms Dairy will

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