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Farm Bill Conference Committee Meets, but Challenges Lie Ahead

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Farm Bill Conference Committee Meets, but Challenges Lie Ahead Volume 33 November 1, 2013 Number 41 Scan this code for breaking Farm bill conference committee news and the latest markets! meets, but challenges lie ahead A WASHINGTON — The farm bill passed earlier this year. with my House colleagues, like its provisions in the fi nal bill. bill conference committee (For a complete list of farm we did in the Senate, to develop “The conference should INSIDE held a public meeting Wednes- bill conferees, see “Shutdown a fi nal bipartisan farm bill that follow the lead of the House day to begin discussing the ends, Congress poised to move reforms agriculture programs, of Representatives, which ✦ Cheese, butter stocks prospects for passing a fi nal, on farm bill” in the Oct. 18, provides certainty for farmers rejected a controversial new decline from August. 5-year farm bill before the end 2013, issue of Cheese Market and saves taxpayers billions. dairy program to impose milk of the year. News.) No further meetings This bill is the most signifi cant quotas on dairy farmers by a For details, see page 5. The four principal con- have been announced at this reform to agriculture policy more than two-to-one margin ✦ Zwirner Equipment Co. ferees — Senate Agriculture time, and the House will not be in decades, it’s critical for the — 291-135 — including almost opens new business Committee Chair Debbie in session again until Nov. 12. economy and it’s long-past half of the House Democrats,” with decades of experience. Stabenow, D-Mich.; rank- Peterson notes that the time to get it done.” Slominski says. “Including a ing member Thad Cochran, differences between the House Cochran notes that since proposal that was rejected For details, see page 12. R-Miss.; House Agriculture and Senate farm bills span all the farm bill expired Sept. 30, with such a strong and rare ✦ Data Specialists Inc. Committee Chair Frank Lucas, titles and programs — com- it is important for lawmakers bipartisan vote makes little grows with dairy industry. R-Okla.; and ranking member modities, nutrition, conserva- to reach a consensus and craft sense if conferees truly want Collin Peterson, D-Minn. — tion, dairy, crop insurance and a conference report that will to get a farm bill passed yet For details, see page 17. are expected to meet in the permanent law — and all must pass both the House and Sen- this year.” ✦ ADPI releases annual coming weeks to determine if be addressed. ate as soon as possible. Slominski says the House report on U.S. dry product a general agreement can be “Resolving these differenc- A major challenge for farm dairy title strongly supports utilization and trends. reached on the major differ- es obviously poses a challenge, bill conferees lies in differ- the nation’s 50,000 dairy farm- ences between the House and but I know that our respective ences between the dairy title ers by including a new and For details, see page 34. Senate versions of the farm agriculture committee mem- in the House and Senate bills. effective revenue insurance bers have the background and Dairy industry stakeholders program that will help them expertise to develop sound this week voiced support for when prices drop. farm bill policies,” Peterson the farm bill talks but stressed “The House title more effec- Trade deals could offer global says. priorities that need to be ad- tively targets benefi ts to small Stabenow says the meet- dressed moving forward. producers and costs about the opportunity for dairy exporters ing marks the beginning of Jerry Slominski, senior same as the Senate dairy title,” the fi nal phase in the effort vice president for legislative he says. “By eliminating the By Rena Archwamety to complete a 5-year farm bill affairs and economic policy controversial and divisive sta- that will reduce the defi cit and for the International Dairy bilization program, the House WASHINGTON — The U.S. dairy industry is optimistic about interna- create agriculture jobs. Foods Association (IDFA), language is a compromise ap- tional trade prospects as negotiators work to fi nalize details of a major “Americans want Congress says that IDFA looks forward proach that should be retained trade agreement with countries in the Americas and across the Pacifi c to work together to create jobs to a successful completion of in the fi nal bill.” and launch into the fi rst stages of negotiations over a new agreement and reduce the defi cit. The a new farm bill and strongly Meanwhile, Jim Mulhern, with countries across the Atlantic. farm bill does both,” Stabenow encourages the conference chief operating officer for In early October, leaders of the 12 countries involved in the Trans- says. “I’m looking forward to committee to accept the House the National Milk Producers Pacifi c Partnership (TPP) negotiations announced their goal to complete sitting down around a table dairy language and to include Turn to FARM BILL, page 22 a the comprehensive trade agreement by year-end. (See “TPP aims to wrap up this year; TTIP round is canceled” in the Oct. 11, 2013, issue of Cheese Market News.) This means the text of the agreement could be fi nalized in the next two months, though each country still would have to complete their respective political processes before the agree- ‘Foodie-ism’ shaping trends Empire Specialty ment is implemented. Throughout this week, U.S. negotiators have met Cheese to open with offi cials from New Zealand, Mexico and Australia to discuss TPP in healthy marketing claims new plant in N.Y. issues, and from Oct. 30-Nov. 2, U.S. trade negotiators are holding TPP By Aaron Martin intercessional meetings on government procurement in Washington. ALBANY, N.Y. — Empire “We’re optimistic and positive about it,” says Clay Hough, senior MADISON, Wis. — Consumers have transformed into more Specialty Cheese Co. LLC group vice president and general counsel, International Dairy Foods informed “foodies” over the years, and these consumers have plans to invest $6.37 million Association (IDFA). “The potential benefi ts for the U.S. dairy industry been at the forefront of the changing communication patterns to expand its business in New from an enacted TPP agreement are enormous. With the addition of between companies and consumers, say two leading public af- York State, according to an Japan, TPP now covers 40 percent of the world economy, and the United fairs specialists. announcement this week States has good geographic proximity to many of the TPP countries. Jack Dougherty and Marla Viorst will present an educational from New York Gov. Andrew From a basis of fundamentals, we are very excited about the upside session at the International Dairy Show Nov. 4 called “Communi- M. Cuomo. The company will potential of the TPP.” purchase and upgrade an cations Strategy: Framing the ‘Good For You’ Food and Beverage In addition to the United States and Japan, countries involved in idle meat processing facility Debate.” The session will focus on how companies can capture the TPP include Australia, Brunei Darussalam, Canada, Chile, Malaysia, in Chautauqua County, N.Y., the growing consumer segment that has gravitated toward healthy Mexico, New Zealand, Peru, Singapore and Vietnam. to accommodate new and marketing buzzwords like organic, all natural, artisan and locally- While greater access to all TPP countries is a key goal, U.S. dairy existing cheese production a sourced — while also navigating challenges that can arise from Turn to TRADE, page 18 Turn to HEALTHY, page 20 a Turn to EMPIRE, page 22 a Reprinted with permission from the Nov. 1, 2013, edition of CHEESE MARKET NEWS® © Copyright 2013 Quarne Publishing LLC; PH: (509) 962-4026; www.cheesemarketnews.com 2 CHEESE MARKET NEWS® — November 1, 2013 MARKET INDICATORS Chicago Mercantile Exchange CHEESE FUTURES for the week ended October 31, 2013 Cash prices for the week ended November 1, 2013 (Listings for each day by month, settling price and open interest) Monday Tuesday Wednesday Thursday Friday Fri., Oct. 25 Mon., Oct. 28 Tues., Oct. 29 Wed., Oct. 30 Thurs., Oct. 31 Oct. 28 Oct. 29 Oct. 30 Oct. 31 Nov. 1 OCT13 1.803 1,068 1.803 1,072 1.803 1,072 1.803 1,135 ---- ---- Cheese Barrels NOV13 1.858 1,467 1.851 1,467 1.839 1,465 1.845 1,465 1.869 1,470 DEC13 1.777 1,569 1.785 1,572 1.777 1,571 1.790 1,558 1.815 1,502 Price $1.8200 $1.8200 $1.8200 $1.8500 $1.8700 JAN14 1.692 857 1.703 857 1.700 859 1.703 872 1.716 874 Change NC NC NC +3 +2 FEB14 1.662 639 1.665 639 1.668 637 1.670 647 1.680 674 MAR14 1.655 688 1.655 688 1.660 682 1.660 692 1.667 705 Cheese 40-lb. block APR14 1.655 582 1.655 588 1.660 577 1.660 597 1.665 599 Price $1.8750 $1.8750 $1.8750 $1.8900 $1.9025 MAY14 1.660 567 1.660 567 1.661 565 1.663 575 1.665 577 Change JUN14 1.680 531 1.680 531 1.685 531 1.685 541 1.685 541 NC NC NC +1 1/2 +1 1/4 JUL14 1.723 242 1.715 242 1.715 242 1.715 252 1.715 252 Weekly average (Oct. 28-Nov. 1): Barrels: $1.8360(+.0415); 40-lb. Blocks: $1.8835(+.0210). AUG14 1.726 249 1.726 249 1.726 249 1.726 261 1.726 261 SEP14 1.740 243 1.740 243 1.740 243 1.735 259 1.735 262 Weekly ave.
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