Volume 36 October 14, 2016 Number 39

Industry: Economic analysis

Like us on Facebook and follow us on Twitter! shows damage of GI abuses A WASHINGTON — If the Eu- National Milk Producers Fed- and this report fi nally quantifi es • Push U.S. dairy farm ropean Union (EU) succeeds eration (NMPF), the U.S. Dairy those impacts.” margins below the break-even INSIDE in extending its policies on Export Council (USDEC) and The report used a case study point in up to six out of 10 years, geographical indications (GIs) the International Dairy Foods approach, quantifying the im- costing farmers a cumulative ✦ Guest column: ‘Four to U.S. cheeses as they have in Association (IDFA). pacts of GI protections on the $59 billion in revenues. ways to keep customers trade agreements in other parts According to these groups, Danish and German markets • Reduce the size of the na- after an acquisition.’ of the world, the U.S. cheese a European farm policy agenda after the European Commission tional dairy herd up to 9 percent, For details, see page 4. industry could lose $5.2 billion focused on using GIs to grant granted and activated protected or 852,000 cows, putting many in sales, and dairy farm revenues European food producers a designation of origin (PDO) farms out of business. ✦ Co-op net income up could drop $59 billion over 10 commercial advantage, would status for various cheeses. The • Close numerous cheese

in 2015, USDA reports. years, according to a new eco- force farmers and food produc- analysis indicates that Germany plants, especially specialty

For details, see page 5. nomic study released this week. ers outside of Europe to rebrand lost more than $259.6 million cheese manufacturing plants. ✦ Lawsuit over Kraft’s use of The 60-page analysis was familiar foods with unfamiliar as a result of PDO implementa- • Limit choices and raise ‘natural’ claim on cheese commissioned by the Consor- names. The resulting confusion tion, driven by losses in the feta prices for cheese varieties with likely to move forward. tium for Common Food Names in the U.S. marketplace could cheese market. Germany also familiar names. For details, see page 6. (CCFN), an international alli- put family farms out of busi- suffered signifi cant economic According to the study, ance of companies and organi- ness, eliminate thousands of losses domestically. Similarly, consumers will choose imported ✦ Retail WATCH Exclusive: zations dedicated to preserving rural jobs and hurt the overall Denmark lost more than $115 cheeses with names they rec- Agropur makes plans the right to use common food U.S. economy, the analysis says. million after PDO protection ognize over domestic products to market its specialty terms. It was conducted by The EU advocates extending GI became active for feta and with names they don’t recog- cheeses in the U.S. Informa Economics IEG and protections beyond a small num- parmesan. The report says on nize. As a result, demand for For details, see page 7. unveiled Tuesday by CCFN, the ber of specialty foods to cover average, the PDO status for feta domestic cheese will fall. The many food names that have and parmesan in the EU created study also notes that potential little to no geographic identity a 14-percent price decrease in damages extend beyond just the and have long been commonly EU countries producing these dairy industry. As impacts on USDA to buy more cheese; used by food producers around product types. dairy ripple through industries the world, the groups add. Multiple econometric tech- such as grain farming, transpor- industry mixed on impact “Under Europe’s GI policies, niques then were used to deter- tation and veterinary services, U.S. manufacturers would face mine how enforcing European the U.S. economy could lose up WASHINGTON — U.S. Agriculture Secretary Tom Vilsack this week a choice of abandoning markets GIs on U.S. cheese with common to 175,000 jobs and $23 billion announced that USDA is offering to purchase $20 million of Cheddar to for cheeses like feta and parme- names would impact the U.S. dairy in gross domestic product in reduce a private cheese surplus that has reached record levels, while san or selling them under names industry. The study found that in the short run. assisting food banks and other food assistance recipients. like ‘crumbly white cheese’ 10 years, such policies could: The full report is available While USDA projects dairy prices to increase throughout the rest or ‘hard grated cheese,’” says • Reduce U.S. cheese con- at http://www.commonfood- of the year, many factors including low world market prices, increased Connie Tipton, president and sumption up to 21 percent, or names.com/wp-content/up- milk supplies and inventories, and slower demand have contributed to CEO, IDFA. “It’s not hard to 2.3 billion pounds, totaling up to loads/Informa-GIs-Research- a sluggish marketplace for dairy producers and caused dairy revenues imagine the problems those $5.2 billion in lost cheese sales Report_FINAL.pdf. to drop 35 percent over the past two years, Vilsack says. Section 32 name changes would create, based on current prices. Turn to ANALYSIS, page 16 a of the Agriculture Act of 1935 authorizes USDA to purchase surplus food to benefi t food banks and families in need through its nutrition assistance programs. “America’s farming families are being called on to demonstrate their world-famous resourcefulness and resilience in the face of this current USDA report: Dairy sector USDA forecasts market downturn, and USDA is making use of every tool that we have milk supply to to help them,” Vilsack says. “For dairy farmers, this has included $11.2 growth hinges on trade rise, lower prices million in payments in August through the Dairy Margin Protection WASHINGTON — A new report released this week by USDA’s Program (MPP), in addition to the surplus purchase offers. Offi ce of the Chief Economist (OCE) shows continued growth WASHINGTON — In its lat- Vilsack adds that reducing the surplus can provide extra reassur- of the U.S. dairy sector is largely contingent on trade. est “World Agricultural Sup- ance while also fi lling demand at food banks and other organizations The report, “Why Trade Agreements Matter: The Case for ply and Demand Estimates” that help families in need. U.S. Dairy,” also estimates that the Trans-Pacifi c Partnership report released this month, He notes that farmers at other points in the supply chain also are (TPP) could create an additional $150 million to $300 million USDA raised its forecasts receiving a boost with more than $7 billion in Agriculture Risk Cover- in annual U.S. dairy exports. for 2016 and 2017 U.S. milk age and Price Loss Coverage payments for the 2015 crop year, which USDA notes that strong growth in overseas demand has production and, as a result, by design kick in when times are tough. helped fuel U.S. dairy exports, while domestic structural and lowered its price forecasts “As always, we continue to watch market conditions and will explore policy adjustments have enhanced U.S. competitiveness. for cheese and butter. opportunities for further assistance in the coming months,” Vilsack says. According to the report, U.S. dairy exports have grown by more As cow inventory has “For producers challenged by weather, disease and falling revenue, we than fi vefold over the past 15 years, reaching a record $7.1 billion grown more rapidly that will continue to ensure the availability of a strong safety net to keep in 2014. While 2015 exports decreased due to strong global dairy previously expected, USDA them farming or ranching.” supplies, weaker import demand and an appreciation of the U.S. has upped its 2016 milk a Turn to PURCHASE, page 15 Turn to TPP, page 14 a Turn to WASDE, page 15 a © 2016 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 14, 2016 MARKET INDICATORS

Chicago Mercantile Exchange CHEESE FUTURES for the week ending October 13, 2016 Cash prices for the week ended October 14, 2016 (Listings for each day by month, settling price and open interest) Monday Tuesday Wednesday Thursday Friday Oct. 10 Oct. 11 Oct. 12 Oct. 13 Oct. 14 Fri., Oct. 7 Mon., Oct. 10 Tues., Oct. 11 Wed., Oct. 12 Thurs., Oct. 13 OCT16 1.602 3,421 1.585 3,457 1.571 3,440 1.578 3,454 1.575 3,454 Cheese Barrels NOV16 1.634 3,750 1.608 3,777 1.584 3,807 1.610 3,816 1.600 3,802 Price $1.4900 $1.4700 $1.4575 $1.4475 $1.4600 DEC16 1.628 3,668 1.613 3,696 1.583 3,761 1.611 3,787 1.605 3,808 Change -2 -2 -1 1/4 -1 +1 1/4 JAN17 1.625 1,822 1.614 1,831 1.600 1,877 1.615 1,874 1.623 1,879 FEB17 1.636 1,730 1.626 1,733 1.616 1,741 1.629 1,743 1.639 1,746 Cheese 40-lb. Blocks MAR17 1.648 1,745 1.646 1,750 1.635 1,796 1.646 1,798 1.650 1,803 Price APR17 1.655 1,483 1.655 1,485 1.655 1,485 1.655 1,491 1.656 1,492 $1.5375 $1.5175 $1.5175 $1.5175 $1.5500 MAY17 1.680 1,375 1.680 1,383 1.670 1,419 1.673 1,419 1.674 1,421 Change -1 1/4 -2 NC NC +3 1/4 JUN17 1.704 1,205 1.700 1,212 1.694 1,230 1.695 1,230 1.700 1,234 JUL17 1.721 545 1.719 551 1.719 559 1.719 574 1.719 576 Weekly average (Oct. 10-14): Barrels: $1.4650(-.0160); 40-lb. Blocks: $1.5280(-.0080). AUG17 1.736 463 1.737 464 1.736 484 1.736 499 1.736 499 Weekly ave. one year ago (Oct. 12-16, 2015): Barrels: $1.6480; 40-lb. Blocks: $1.6870. SEP17 1.744 521 1.742 525 1.740 570 1.741 588 1.746 621 OCT17 1.746 328 1.746 329 1.743 381 1.743 396 1.743 424 Grade A NDM NOV17 1.739 373 1.739 373 1.738 432 1.738 451 1.738 462 DEC17 1.742 369 1.742 369 1.736 369 1.734 404 1.734 404 Price $0.8900 $0.8850 $0.8700 $0.8700 $0.8700 JAN18 1.734 2 1.734 2 1.734 2 1.734 2 1.734 2 Change -2 1/2 -1/2 -1 1/2 NC NC Total Contracts Traded/ Weekly average (Oct. 10-14): Grade A: $0.8770(-.0490). Open Interest 434/22,800 302/22,937 711/23,353 398/23,526 265/23,627

Daily market prices are available by visiting CME’s online statistics sites at http://www.cmegroup.com. Grade AA Butter Price $1.8225 $1.8125 $1.7900 $1.7700 $1.7850 Change -2 3/4 -1 -2 1/4 -2 +1 1/2 Weekly average (Oct. 10-14): Grade AA: $1.7960(-.0605). DRY WHEY FUTURES* for the week ended October 13, 2016 Class II Cream (Major Northeast Cities): $2.2092(-.1050)–$2.4135(-.0936). (Listings for each day by month, settling price and open interest)

Sign up for our daily fax or email service for just $104 a year. Call us at 608-288-9090. Fri., Oct. 7 Mon., Oct. 10 Tues., Oct. 11 Wed., Oct. 12 Thurs., Oct. 13 OCT16 32.500 560 32.500 560 32.300 559 32.325 559 32.575 577 NOV16 34.750 587 34.750 587 34.750 587 34.600 589 35.000 585 DEC16 35.475 564 35.475 566 34.950 570 34.350 571 35.250 576 JAN17 35.975 418 35.975 423 35.000 423 35.000 424 35.225 422 FEB17 36.500 387 36.500 392 35.750 400 35.750 402 35.750 411 MAR17 36.475 417 36.250 423 36.050 430 36.000 427 36.400 432 APR17 36.875 377 36.875 382 36.100 389 36.000 391 36.250 393 Weekly Cold Storage Holdings October 10, 2016 MAY17 36.550 279 36.500 285 35.750 296 35.750 293 35.775 295 JUN17 36.550 291 36.550 296 35.900 308 35.900 310 35.925 312 On hand Week Change since Oct. 1 Last Year JUL17 37.400 101 37.400 106 36.700 115 36.300 125 36.300 127 Monday Change Pounds Percent Pounds Change AUG17 37.000 87 37.000 92 36.550 107 36.350 115 37.000 117 Butter 21,200 -2,080 -2,262 -10 13,596 +7,604 SEP17 37.475 73 37.475 78 37.000 91 36.750 99 36.775 101 76 Cheese 84,908 -2,547 -2,342 -3 101,275 -16,367 OCT17 37.000 37.000 80 37.000 92 36.375 92 37.700 95 NOV17 37.500 67 37.500 71 37.500 83 36.900 83 36.900 84 (These data, which include government stocks and are reported in thousands of pounds, are based on reports from Total Contracts Traded/ a limited sample of cold storage centers across the country. This chart is designed to help the dairy industry see the Open Interest 109/4,383 72/4,444 206/4,565 101/4,595 134/4,643 trends in cold storage between the release of the National Agricultural Statistics Service’s monthly cold storage reports.) 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.

CLASS III PRICE Dry Products* October 14, 2016 (Dollars per hundredweight, 3.5% butterfat test) YEAR JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 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 NONFAT DRY MILK 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 Central & East: low/medium heat $.8700(+1)-$1.0200; 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 mostly $.9100(-1)-$.9500(-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 high heat $1.0450(-1/2)-$1.1000. 2014 21.15 23.35 23.33 24.31 22.57 21.36 21.60 22.25 24.60 23.82 21.94 17.82 West: low/medium heat $.8150(-6)-$1.0100(-1); 2015 16.18 15.46 15.56 15.81 16.19 16.72 16.33 16.27 15.82 15.46 15.30 14.44 mostly $.9100(-2)-$.9550(-1 1/2). 2016 13.72 13.80 13.74 13.63 12.76 13.22 15.24 16.91 16.39 high heat $.9900(-1)-$1.1050(+1/2). Calif. manufacturing plants: extra grade/grade A weighted ave. $.9229(+.0305) based on 6,201,386 lbs.

WHOLE MILK POWDER (National): $1.2900-$1.4500. 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, P.O. (FOB)Central and West: $.2800-$.4800(+1); mostly $.3200(+3 1/2)-$.3700(+1/2). email: [email protected] Box 628254, Middleton, WI 53562; Phone 608/831-6002; Kate Sander, Editorial Director FAX 608/288-9093. Periodicals postage paid at Madison, (PH 509/962-4026; FAX 509/962-4027) WI. Circulation records are maintained by Quarne Publishing LLC, P.O. Box 628254, Middleton, WI 53562. POSTMASTER: WHEY POWDER email: [email protected] Send address changes to Cheese Market News®, Subscriber Alyssa Mitchell, Central: nonhygroscopic $.2900(+1 1/4)-$.4100; Senior Editor Services, P. O. Box 628254, Middleton, WI 53562; Form (PH 608/288-9090; FAX 608/288-9093) mostly $.3100(+2)-$.3500(+1 1/2). 3579 requested; or call direct at 608/831-6002. All rights West: nonhygroscopic $.3100(+1 1/2)-$.4100; email: [email protected] reserved under the United States International and Pan- Rena Archwamety, News/Web Editor American Copyright Conventions. No part of this publication mostly $.3300(+2)-$.3800(+2). (PH 608/288-9090; FAX 608/288-9093) may be reproduced, stored in a retrieval system or transmitted (FOB) Northeast: extra grade/grade A $.3200-$.3850(+1 1/2). email: [email protected] in any form or by any means, mechanical, photocopying, Stephanie Awe, Assistant Editor electronic recording or otherwise, without the prior written ANIMAL FEED WHEY (Central): Whey spray milk replacer $.2100-$.2950. (PH 608/288-9090; FAX 608/288-9093) permission of Quarne Publishing LLC. Opinions expressed email: [email protected] in articles are those of the authors and do not necessarily UHÁHFWWKRVHRI4XDUQH3XEOLVKLQJ//&GED&KHHVH0DUNHW WHEY PROTEIN CONCENTRATE (34 percent): $.6150(+1/2)-$.8750; REGULAR CONTRIBUTORS News®. Cheese Market News® does not endorse the products Creative Business Services, FCStone, International Dairy of any advertiser and does not assume and hereby disclaims mostly $.7400(+6)-$.8200(+1 1/2). Foods Association, Eric Meyer, National Milk Producers any liability to any person for any loss or damage caused by Federation, Rice Dairy, John Umhoefer, U.S. Dairy Export errors or omissions in the material contained herein, regard- DRY BUTTERMILK Council, WOW Logistics, Edward Zimmerman less of whether such errors result from negligence, accident or any other cause whatsoever. Copyright 2016 by Quarne (FOB)Central & East: $.8400-$.9000. ADVERTISING/SUBSCRIPTION ORDERS & INFO Publishing LLC. (FOB) West: $.8000-$.9000(-1); mostly $.8400-$.8700. Contact: Susan Quarne - Publisher Subscriptions: $145 for U.S., second-class delivery; P.O. Box 628254, Middleton, WI 53562 IRU86ÀUVWFODVVGHOLYHU\LQFOXGLQJ&DQDGDDQG PHONE 608/831-6002 • FAX 608/288-9093 International rate to all others. Printed in U.S.A. CASEIN: Rennet $3.1200(+1/2)-$3.1325; Acid $3.1300-$3.1500. 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. © 2016 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 14, 2016 — CHEESE MARKET NEWS® 3 NEWS/BUSINESS MARKET INDICATORS

Castle Cheese Co. executive sentenced PITTSBURGH — A cheese company will pay $500,0000. Sentencing hearings executive has been sentenced in federal for the two companies will be scheduled court to three years’ probation, a $5,000 by further order of the court, DOJ says. fi ne and 200 hours of community service on Myrter in February pleaded guilty to a her conviction of one misdemeanor count misdemeanor aiding and abetting charge, of aiding and abetting the introduction as well as a conspiracy charge, related to the of adulterated and misbranded cheese mislabeling on behalf of the two companies. products into interstate commerce. In connection with the guilty pleas, the U.S. District Judge Mark R. Hornak court was advised that the corporate de- imposed the sentence on Castle Cheese fendants packaged and sold cheese under Co. executive Michelle Myrter of Harmony, various labels at the Castle Cheese facility Pennsylvania, on Tuesday. According to a in Slippery Rock, Pennsylvania. The cheese press release from the U.S. Department of was distributed through retail, foodservice Justice (DOJ), Myrter was a responsible and wholesale customers throughout the corporate offi cer of International Packing United States. (See “Castle Cheese exec LLC and Universal Cheese & Drying Inc. Michelle Myrter pleads guilty in lawsuit For more information please visit www.devilletechnologies.com According to DOJ, while Myrter was the over adulterated cheese” in the March 4, responsible corporate offi cer for both compa- 2016, issue of Cheese Market News.) nies, she aided and abetted the companies’ Myrter’s attorney, Stephen Stallings of introduction of adulterated and misbranded Pittsburgh, says his client stepped forward CME FUTURES for the week ended October 13, 2016 cheese products into interstate commerce, in to accept responsibility as she held the violation of provisions of the Federal Food, position of a responsible corporate offi cer Class III Milk* Drug and Cosmetic Act. (See “Criminal at the time the adulterated products were Fri., Oct. 7 Mon., Oct. 10 Tues., Oct. 11 Wed., Oct. 12 Thurs., Oct. 13 complaints allege companies profi ted from sold. He notes she personally was never OCT16 14.99 4,673 14.82 4,660 14.70 4,648 14.74 4,637 14.73 4,629 selling misbranded, imitation cheese” in the accused or convicted of any fraudulent or NOV16 15.47 4,539 15.25 4,617 14.95 4,833 15.19 4,855 15.10 4,862 DEC16 15.44 4,000 15.22 4,045 14.91 4,173 15.22 4,143 15.15 4,227 Oct. 30, 2015, issue of Cheese Market News.) criminal activity. JAN17 15.40 2,530 15.30 2,533 15.10 2,531 15.29 2,539 15.34 2,548 Universal Cheese & Drying Inc. and Stallings says the court noted in its FEB17 15.57 2,307 15.46 2,313 15.30 2,337 15.47 2,384 15.54 2,391 International Packing LLC each pleaded sentencing that no harmful or dangerous MAR17 15.69 2,207 15.60 2,215 15.50 2,212 15.62 2,201 15.65 2,241 APR17 15.77 2,064 15.70 2,084 15.60 2,112 15.69 2,123 15.75 2,135 guilty to one count of conspiring to intro- ingredients were added to the cheeses. MAY17 15.97 1,935 15.95 1,956 15.84 2,004 15.84 2,005 15.93 2,010 duce misbranded and adulterated cheese In addition, there were no adverse ef- JUN17 16.22 1,714 16.20 1,731 16.10 1,793 16.10 1,798 16.12 1,801 products into interstate commerce and to fects on consumer safety or health JUL17 16.41 919 16.38 927 16.30 991 16.39 1,012 16.39 1,014 AUG17 16.60 848 16.58 857 16.54 928 16.54 949 16.57 952 commit money laundering. Each company related to the products, he says. CMN SEP17 16.70 858 16.66 862 16.62 925 16.64 952 16.67 955 OCT17 16.70 555 16.70 569 16.65 589 16.65 607 16.66 613 NOV17 16.64 514 16.64 515 16.62 541 16.60 564 16.60 567 DEC17 16.58 567 16.58 569 16.50 590 16.50 604 16.50 611 International Dairy Markets October 14, 2016 Total Contracts Traded/ 872/30,535 2,445/31,310 875/31,739 Western Europe Open Interest 950/30,308 1,611/31,547 Butter: 82 percent butterfat $4,450(+150)-$4,650(+25). Class IV Milk*

Butteroil: 99 percent butterfat $4,000-$4,700(+100). Fri., Oct. 7 Mon., Oct. 10 Tues., Oct. 11 Wed., Oct. 12 Thurs., Oct. 13 Skim Milk Powder: 1.25 percent butterfat $2,200-$2,400. OCT16 14.02 503 13.95 503 13.95 503 13.95 503 13.95 503 Whole Milk Powder: 26 percent butterfat $2,875-$3,000(-25). NOV16 14.14 510 14.14 510 13.98 510 13.89 495 13.76 495 DEC16 14.32 439 14.25 440 14.21 440 14.07 430 13.99 431 Whey Powder: Nonhygroscopic $900-$1,100. JAN17 14.62 295 14.62 299 14.53 319 14.41 329 14.31 346 Oceania FEB17 15.03 296 15.03 300 14.88 320 14.82 322 14.81 332 MAR17 15.39 291 15.39 295 15.32 312 15.24 315 15.24 320 Butter: 82 percent butterfat $3,900(+50)-$4,025(+100). APR17 15.60 263 15.60 263 15.55 283 15.55 283 15.55 293 Cheddar Cheese: 39 percent maximum moisture $3,500-$3,800. MAY17 15.94 263 15.94 263 15.82 283 15.82 283 15.83 293 16.18 229 Skim Milk Powder: JUN17 16.21 229 16.18 249 16.18 254 16.14 264 1.25 percent butterfat $2,300-$2,500(-100). JUL17 16.58 111 16.35 111 16.35 121 16.35 121 16.35 131 Whole Milk Powder: 26 percent butterfat $2,700(-100)-$2,900(-75). AUG17 16.78 127 16.58 130 16.58 135 16.58 138 16.58 148 South America Total Contracts Traded/ Open Interest 173/4,194 50/4,230 225/4,371 67/4,376 200/4,495 Whole Milk Powder: 26 percent butterfat $2,750-$3,050. Source: Dairy Market News. Prices reported in U.S. dollars per metric ton, Cash-Settled NDM* F.O.B. port. To convert to price per pound: divide price by 2,204.6 pounds. Fri., Oct. 7 Mon., Oct. 10 Tues., Oct. 11 Wed., Oct. 12 Thurs., Oct. 13

OCT16 94.075 962 93.050 944 93.175 941 93.150 941 93.150 941 NOV16 95.000 858 93.550 858 94.275 856 93.950 848 94.500 854 National Dairy Products Sales Report DEC16 97.100 967 96.500 995 97.500 989 97.100 989 97.750 1,002 JAN17 100.000 407 99.300 411 100.075 414 100.500 416 101.000 418 For the week ended: 10/8/16 10/1/16 9/24/16 9/17/16 FEB17 103.250 328 103.000 356 103.300 369 103.750 379 104.500 393 MAR17 106.000 315 105.850 319 106.400 325 106.775 326 108.175 327 Cheese 40-lb. Blocks: APR17 108.850 198 108.300 232 108.825 232 108.825 232 109.125 232 Average price1 $1.6190 *$1.6683 *$1.7203 $1.7599 MAY17 111.000 200 110.875 214 111.250 214 111.250 214 111.750 214 Sales volume2 12,597,688 *13,854,809 *11,750,058 *13,048,332 JUN17 113.000 86 112.875 123 113.250 125 113.250 125 113.250 125 Cheese 500-lb. Barrels: Total Contracts Traded/ 382/5,263 Average price1 $1.6144 *$1.6790 $1.7223 $1.8087 Open Interest 467/5,132 154/5,288 162/5,293 121/5,329 Adj. price to 38% moisture $1.5424 *$1.5952 $1.6413 $1.7227 Sales volume2 10,557,601 11,166,195 10,757,116 10,010,550 Cash-Settled Butter* Moisture content 35.11 34.74 34.94 34.91 Fri., Oct. 7 Mon., Oct. 10 Tues., Oct. 11 Wed., Oct. 12 Thurs., Oct. 13 Butter: OCT16 193.000 1,508 193.000 1,505 192.250 1,564 191.000 1,592 191.000 1,631 Average price1 $1.9477 *$2.0494 *$2.0341 *$2.0621 NOV16 193.000 1,584 193.000 1,590 189.725 1,587 187.850 1,585 184.000 1,618 938 929 181.250 950 Sales volume2 3,442,870 *2,435,028 *2,721,037 *2,684,690 DEC16 191.750 940 191.375 187.950 935 184.500 JAN17 193.000 490 192.400 491 189.000 520 186.000 541 184.000 563 Nonfat Dry Milk: FEB17 195.000 372 195.000 389 192.000 445 189.525 499 187.025 515 Average price1 $0.9335 *$0.9061 *$0.8991 *$0.8948 MAR17 196.525 304 197.000 306 195.000 313 193.750 328 191.550 338 Sales volume2 14,144,674 *19,675,993 *15,430,786 *17,636,666 APR17 196.775 183 196.775 188 196.525 219 196.075 248 195.025 285 Dry Whey: MAY17 200.750 169 201.000 171 199.500 181 199.500 190 199.500 209 161 200.500 161 167 200.500 177 201.475 183 Average price1 $0.3083 $0.3135 $0.3108 $0.3071 JUN17 200.500 200.500 JUL17 203.000 90 203.000 90 203.000 95 203.000 105 203.500 106 Sales volume2 5,871,470 6,567,321 7,374,617 6,811,643 Total Contracts Traded/ */Revised. 1/Prices weighted by volumes reported. 2/Sales as reported by participating manufacturers. Open Interest 236/6,212 225/6,240 462/6,466 498/6,684 552/6,920 Daily market prices are available by visiting CME’s online statistics sites at http://www.cmegroup.com. Reported in pounds. More information is available by calling AMS at 202-720-4392. *Total Contracts Traded/Open Interest reflect additional months not included in this chart.

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. © 2016 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 14, 2016 GUEST COLUMNIST CMN Exclusive!

answer questions and to ask questions. critical to the client. Perspective: Train them to anticipate questioning Potential client loss is an immediate sequences and how to answer them fear when an executive or an executive Industry Issues assertively and with confi dence. These team jumps ship. For service industries are the people who will implement your like staffi ng, advertising and consult- Bob Wolter is a mergers and communication plan. ing where clients are attracted to the acquisitions advisor for CBS-Global, • Watch out for competitors human assets rather than the produc- Green Bay, Wisconsin. He is a Effective communication also helps tion side of the business relationship, guest columnist for Cheese Market with another post-transaction threat the likelihood of significant client News®. to customer retention: competitor losses when a team leader leaves is thievery. A common reason for custom- even greater. ers switching is receiving compelling One of the best ways to prevent cus- competitive offers from other institu- tomer attrition to employee turnover is tions. When competitors hear the news through dimensionality or diluting the of a merger or a buyout, they try to control held by individual executives act on customer uncertainty to their by creating a number of ties between advantage. client and company. If relationships The best way to mitigate the threat with clients are held by several agen- from pilfering competitors is to make cies within the fi rm, no single agency Four ways to keep customers clear the value of the newly combined or executive can control the relation- or newly acquired business. Firms can ship, and the likelihood of client loss after an acquisition go on the offensive and proactively following an executive departure is communicate their strengths and the signifi cantly lower. The complications and consid- • Put yourself in the customer’s shoes benefits of the acquisition for the This strategy may be tricky to imple- erations of the sale process can Companies that do the best job of customers. These communications can ment post-merger, since it may send the sometimes shift focus away from the retaining customers and attracting remain positive and go beyond simply wrong signal to customers. Businesses customer, which is never a good thing new ones adopt the customer’s view assuring customers that the changes with dimensionality are inherently more for a business. Any merger or acquisi- of the merger as they make important will be minimal and that the service resistant to customer attrition during tion is rife with uncertainty, which integration decisions. They typically will not be disrupted. turnover. customers often pick up on. Worries establish teams tasked with evaluat- If push comes to shove, it also can be Carve out time before a transaction about how the transaction will impact ing every step in the integration and valuable to arm salespeople with tools to think about what you want after their experience may cause them to every change that is made through necessary to deliver an exceptional your company is sold. What role do you fl ock to competitors. the eyes of the customer. In short, experience during a time of change. want to play under the new ownership Customer defections are a major they act as the customer’s advocate. That sometimes requires empowering or with the new company. What do you reason why more than half of all The company aims to put itself in the employees in new ways, such as enabling want your fi nances to be like? How mergers fail to deliver the intended customer’s shoes and understands their them to immediately offer discounts will you handle liability, maintain your improvement in shareholder value. The pain points, both real and perceived, or refunds. This ability to respond to market share and ensure the longev- issue is that merged companies tend throughout the transaction process. competitive offers encourages a better ity of the business? Though it can be to focus primarily on quickly capturing • Communicate effectively customer experience and reduces the diffi cult to fi nd the time to consider synergies and avoiding major technol- Once the pain points have been iden- likelihood of attrition. these questions amidst more immedi- ogy disasters. They typically lose sight tifi ed, it’s critical for customer-facing • Emphasize dimensionality ate concerns, you’ll thank yourself on of customers at the time they are most employees and sales people to have con- Mergers and acquisitions can cause the other side of the transaction. CMN likely to bail. sistent answers to likely questions. You signifi cant turnover post-transaction, While there are many components cannot afford to miscommunicate. How especially on lower middle market The views expressed by CMN’s guest to consider in executing a successful your people talk and answer questions transactions where the founders are columnists are their own opinions post merger integration, customer focus from clients and prospects is critical to exiting entirely. In many of these and do not necessarily refl ect those of is critical. their retention. Train them in how to businesses, personal relationships are Cheese Market News® NEWS/BUSINESS

USDA announces Mozzarella, American cheese purchase contracts for delivery in 2017 KANSAS CITY, Mo. — USDA recently $0.0300-$0.0875. frozen lite Mozzarella, $0.1449-$0.2255; Bongards’ Creameries will supply 1.9 announced contracts to buy cheese in Foremost Farms USA will supply and 6.2 million pounds of processor million pounds of 6/5-pound loaves of support of USDA/domestic food distribu- 120,960 pounds of 30-pound boxes of packs of unfrozen LMPS Mozzarella, process cheese, $0.1694-$0.2444; 25.3 tion programs. The products are being shredded frozen LMPS Mozzarella, $0.0424-$0.0883. million pounds of 12/2-pound loaves purchased for delivery throughout 2017. $0.1713-$0.1856. Saputo Cheese USA will supply 1.2 of blended American skim cheese, Last week, USDA announced it will Leprino Foods will supply 483,840 million pounds of 30-pound boxes of $0.0694-$0.1624; 12.2 million pounds be buying 98.1 million pounds of Moz- pounds of 30-pound boxes of shredded frozen shredded LMPS Mozzarella, of 6/5-pound sliced loaves of generic zarella from fi ve different companies. frozen LMPS Mozzarella, $0.1305- $0.1169-$0.1756; and 483,840 pounds process cheese, $0.0709-$0.1559; 1.2 The purchase price for each delivery $0.1732; 3.6 million pounds of 8/6-pound 8/6-pound loaves of frozen LMPS Moz- million pounds of sliced 6/5-pound period is the accepted differential loaves of frozen LMPS Mozzarella, zarella, $0.0106-$0.1060. loaves of blended American skim yel- price per pound indicated below plus $0.0045-$0.0292; 1.0 million pounds of This week, USDA announced con- low cheese, -$0.0460-$0.0390; 111,972 the applicable previous week’s average 30-pound boxes of shredded frozen lite tracts for 60.2 million pounds of pounds of 6/5-pound loaves of regular of the Chicago Mercantile Exchange Mozzarella, $0.1334-$0.1642; and 48.9 American cheese. The purchase price process cheese, $0.2319-$0.2949; (CME) cash market price for block million pounds of unfrozen processor for each delivery period is the accepted 633,600 pounds of sliced 6/5-pound cheese trading as reported in USDA’s packs of LMPS Mozzarella, -$0.0539- differential price per pound indicated loaves of kosher white process cheese, Dairy Market News. $0.0347. below plus the applicable previous $0.6550-$0.7100; and 12.6 million Dairy Farmers of America will sup- Miceli Dairy Products Co. will supply month’s average of the CME price for pounds of 6/5-pound sliced loaves of ply 3.3 million pounds of 8/6-pound 7.3 million pounds of 30-pound boxes barrel cheese trading as reported in generic blended American skim cheese, loaves of frozen low-moisture part-skim of frozen shredded LMPS Mozzarella, USDA’s Dairy Market News. -$0.1260 to -$0.0510. (LMPS) Mozzarella for a differential $0.1549-$0.2516; 524,160 pounds of Associated Milk Producers Inc. will Schreiber Foods will supply 3.0 price of $0.1000-$0.1475 and 21.9 million 8/6-pound loaves of frozen LMPS Moz- supply 3.2 million pounds of 6/5-pound million pounds of sliced 6/5-pound pounds of unfrozen processor packs of zarella, $0.1249-$0.1497; 3.1 million loaves of process cheese for a differen- loaves of blended American skim LMPS Mozzarella for a differential of pounds of 30-pound boxes of shredded tial price of $0.1400-$0.2300. cheese, -$0.1458 to -$0.0761. CMN © 2016 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 14, 2016 — CHEESE MARKET NEWS® 5 NEWS/BUSINESS

Total conventional cheese ads increase Co-op net income up in 2015, USDA reports 57 percent from prior week, AMS says WASHINGTON — As USDA celebrates Visalia, California, ranked sixth with National Cooperative Month throughout $3.18 billion in 2015 revenue; Northwest WASHINGTON — Total conventional average advertised price of $6.30, up October, it has released a list of the na- Dairy Association/Darigold Inc., Seattle, dairy advertisements increased 14 from $5.67 one week earlier and $5.72 tion’s top 100 cooperatives and reports ranked eighth with $2.56 billion; and percent last week over the prior week, one year ago. that net income for the co-ops rose from Prairie Farms Dairy Inc., Carlinville, and conventional cheese ads were up AMS says natural varieties of 8-ounce $4.3 billion in 2014 to $4.9 billion in Illinois, moved from 13th to 10th in 2015 57 percent, says USDA’s Agricultural cheese shreds last week had a weighted 2015, an increase of 14 percent. Total with $1.75 billion. Marketing Service (AMS). average advertised price of $2.25, down business volume for the top 100 co-ops Other dairy cooperatives in the AMS says national conventional from $2.31 one week earlier and $2.47 fell from $177 billion in 2014 to $149 2015 top 100 include: Associated Milk varieties of 8-ounce natural cheese one year earlier, while 1-pound cheese billion in 2015. Producers Inc, New Ulm, Minnesota blocks last week had a weighted average shreds had a weighed average adver- “The cooperative business model (12); Select Milk Producers Inc., Arte- advertised price of $2.26, down from tised price of $4.06, down from $5.03 continues to perform strongly,” says sia, New Mexico (14); Foremost Farms $2.27 one week earlier and $2.37 one one week earlier but up from $4.04 one USDA Secretary Tom Vilsack. “While the USA, Baraboo, Wisconsin (15); Maryland year earlier. year earlier. model has long been one of the hallmarks and Virginia Milk Producers, Reston, Natural varieties of 1-pound cheese Meanwhile, national conven- of rural economies, its reach has greatly Virginia (25); Cooperative Regions of blocks last week had a weighted aver- tional butter in 1-pound packs last expanded to include almost every aspect Organic Producer Pools, LaFarge, Wis- age advertised price of $3.47, down week had a weighted average ad- of U.S. commerce. The latest data show consin (26); Agri-Mark Inc., Lawrence, from $4.91 one week earlier and $4.13 vertised price of $3.23, down from that cooperatives are a key to building Massachusetts (30); Michigan Milk one year earlier, AMS says, while $3.38 one week earlier but up from stronger and more vital communities, Producers Association, Novi, Michigan 2-pound cheese blocks had a weighed $3.09 one year ago, AMS says. CMN particularly in rural areas.” (31); United Dairymen of Arizona, Dairy Farmers of America, based in Tempe, Arizona (37); Upstate Niagara Kansas City, Missouri, ranked second for Cooperative Inc., Buffalo, New York (38); FDA seeks comments on defi ning ‘healthy’ 2015 revenue with $13.91 billion. Land Tillamook County Creamery Association, WASHINGTON — Following up on a contains at least 10 percent of the Daily O’Lakes, St. Paul, Minnesota, came in Tillamook, Oregon (42); First District statement issued in May, FDA recently Value per reference amount customarily third with $13.07 billion in sales. The Association, Litchfi eld, Minnesota (51); announced that it has started a public consumed of potassium or vitamin D. top-ranked cooperative in the nation NFO Inc., Ames, Iowa (55); Bongards process to redefi ne the “healthy” nu- FDA says its goal to redefine was CHS Inc., a fuel, grain and food co- Creameries, Bongards, Minnesota (59); trient content claim for food labeling. “healthy” is part of the agency’s plan to operative based in Inver Grove Heights, Lone Star Milk Producers Inc., Wichita During the process, food manufacturers provide information that will allow con- Minnesota, which posted $34.70 billion Falls, Texas (64); Swiss Valley Farms can continue to use the term “healthy” sumers to make food choices consistent in total business volume in 2015. Cooperative, Davenport, Iowa (83); on foods that meet the current regula- with public health recommendations. Five of the top 10 were dairy co- and St. Albans Cooperative Cream- tory defi nition. FDA also hopes to encourage the food operatives. California Dairies Inc., ery, St. Albans, Vermont (86). CMN FDA also issued guidance for industry, industry to develop healthier foods, the saying the agency will not enforce certain agency says. regulatory requirements for products Public health recommendations for that use the term if the criteria described various nutrients continue to evolve, as in the guidance document are met. noted in the 2015-2020 Dietary Guide- Specifi cally, FDA says it will exercise lines for Americans and the updated enforcement discretion for foods bear- Nutrition Facts label. ing the nutrient content claim “healthy” FDA is seeking written comments that are not lowfat but have a fat profi le and is planning public forums to of mostly monounsaturated and polyun- receive additional input. Comments saturated fats, which are declared on are due Jan. 26. For more informa- the label. The same enforcement discre- tion, contact Vincent de Jesus with tion will apply to any food bearing the FDA’s Center for Food Safety and Ap- nutrient content claim “healthy” that plied Nutrition at 240-402-1450. CMN Guernsey Farms Dairy recalls dairy products NORTHVILLE, Mich. — Guernsey Farms 11, 2016; 48-ounce Butter Pecan ice Dairy, Northville, Michigan, is voluntarily cream with product code 27116; and recalling certain dairy products due to 48-ounce French Vanilla ice cream the failure of equipment used to verify with product code 2716. proper pasteurization during processing. The recall only affects these fi ve The recall includes: gallon skim products produced with the specifi c RMC milk with code date Oct. 20, 2016; production codes. These products pri- quarts and half gallons of egg nog with marily were distributed in Southeast Superior Cooling, Shape, code date Oct. 21, 2016; half gallons of Michigan. No illnesses have been asso- Production, and Flexibility 1/2 percent milk with code date Oct. ciated with these products. CMN With the highest production volume in the Nestlé USA Inc. announces Drumstick recall world, the RMC (Rotary Molder Chiller) forms and cools large volumes of GLENDALE, Calif. — Nestle USA are affected by this recall. mozzarella, provolone, and pizza Inc. is voluntarily recalling its Nestlé The company received positive test cheese in various shapes based on Drumstick Club 16-count Variety results for Listeria monocytogenes your requirements. Packs with best-before dates between from equipment contact surfaces June 2-June 15, 2017; and 24-count from a location on the production Available in multiple sizes with quickly interchangeable molds to accommodate Vanilla Packs with best-before dates line where these products are made. your production demands. between June 16-June 19, 2017, due There have been no positive test to possible health risk. The two pack results for Listeria present in the sizes contain 4.6-fl uid-ounce cones, Drumstick cones themselves. Nestle were manufactured in Bakersfi eld, says the products impacted by the FOR MORE INFORMATION, VISIT US ON THE WEB AT www.johnsonindint.com California, and distributed nationally. voluntary recall were inadvertently No other production codes, sizes or put into distribution. No illnesses varieties of Nestlé Drumstick products have been reported to date. CMN For more information please visit www.johnsonindint.com © 2016 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]) 6 CHEESE MARKET NEWS® — October 14, 2016 NEWS/BUSINESS

WhiteWave Foods stockholders approve agreement for Danone to acquire outstanding shares DENVER — The WhiteWave Foods Co. better dovetails nicely with Danone’s Wave and Danone have been working by the end of the year. However, the recently announced that during a spe- mission to bring health through food with the European Commission and companies say there can be no assur- cial stockholder meeting last week, the to as many people as possible. Danone U.S. Department of Justice and con- ance regarding timing of completion company’s stockholders approved the is the ideal strategic partner to support tinue to target closing the transaction of regulatory approvals. CMN merger agreement under which Danone our future, and we remain excited about S.A. will acquire all of the outstanding the opportunities this combination will shares of WhiteWave. Stockholders also create for WhiteWave’s employees, cus- Henningsen’s Salem facility is SQF-certifi ed approved other proposals relating to tomers, vendors and partners. HILLSBORO, Ore. — Henningsen Cold that their product is taken care of prop- the merger. As originally announced July 7, Storage Co. recently received Safe Qual- erly and responsibly, the company adds. “We are grateful for the continued WhiteWave stockholders will receive ity Foods (SQF) Level 2 Certifi cation for “Simply put, it is a platform for con- enthusiasm and support of the transac- $56.25 in cash for each share of White- its facility in Salem, Oregon. tinuous improvement for Henningsen tion by our stockholders,” says Gregg Wave common stock when the merger SQF is a food safety management Cold Storage,” says Sripriya Agaram, Engles, WhiteWave’s chairman and CEO. is completed. system that allows food safety and qual- food safety manager, Henningsen. “We believe that WhiteWave’s mission to The closing of the merger remains ity systems to be verifi ed and validated “What makes it attractive is the fact change the way the world eats for the subject to customary conditions. White- throughout the food supply chain, the that it enhances our competence and company says. processes to meet various customer Lawsuit over Kraft Foods’ use of ‘natural’ The certifi cation emphasizes Hen- requirements consistently. It’s an effec- ningsen’s commitment to food safety tive tool in integrating various regula- claim on cheese likely to move forward practices and aims to assure customers tory changes into our operations.” CMN LOS ANGELES — A lawsuit against Kraft says its labeling is accurate Kraft Foods regarding its use of the and has asked the court to drop the Blue Bell, others recall ice cream products word “natural” on its cheese likely will case. According to Kraft, food labeling move forward after a California federal is subject to extensive regulation by BRENHAM, Texas — Blue Bell Ice Blue Bell initiated the expanded recall judge said that he is inclined to deny FDA, which has primary jurisdiction Cream has expanded a recall to in- after Aspen Hills provided additional Kraft’s motion for summary judgment. to determine whether food products clude all products made with cookie information on affected cookie dough The lawsuit, Morales v. Kraft Foods are properly labeled. Kraft also argues dough supplied by Aspen Hills Inc. due lots. Group, dates back to 2014 with a com- that the complaint fails to allege any to the potential for them to contain A number of other companies also plaint that Kraft labels its Cheddar Fat facts to support the conclusion that any Listeria monocytogenes. Blue Bell have recalled ice cream products that Free Shredded Cheese as a “natural representations made in its labeling previously issued a recall of select contained cookie dough supplied by As- cheese” even though the product con- are false or misleading or violate state products from its Sylacauga, Alabama, pen Hills, including Publix, Blue Bunny, tains artifi cial color. or federal labeling regulations. CMN plant (see “Blue Bell issues recall for Nutrisystem and Chocolate Shoppe ice cream variety” in the Sept. 23, Ice Cream Co. All say no illnesses 2016, issue of Cheese Market News). have been reported to date. CMN PEOPLE

Quality Organic Trade Association selects board You Can Trust. BALTIMORE, Md. — Melissa Hughes, term, and Ryan Benn of Alive Publish- Innovation general counsel and director of govern- ing Group Inc. has been appointed for ment affairs, Organic Valley, has been re- another year by the Canada Organic You Can Taste. elected as president of the Organic Trade Trade Association to represent Cana- Association’s (OTA) board of directors. dian interests on the OTA board for a Celebrating Successful Hughes was selected by fellow board one-year term. Partnerships for 60 Years! members as part of the association’s Completing the board are Samantha Introducing our 2016 general member election. This is Cabaluna of Earthbound Farm, Jesse Newly Expanded the third consecutive year for Hughes Lafl amme of Pete and Gerry’s Organ- Glacier Ridge FarmsTM Line: to serve as OTA president after being re- ics, David Lively of Organically Grown • Handcrafted In America’s Dairyland elected by OTA membership to serve her Co., Melody Meyer of UNFI and Kelly • Naturally Smoked Cheeses second three-year term on the board. Shea of WhiteWave Foods. Perry Clutts • Gourmet Spreadable Cheeses & Dips “I am honored for this vote of confi - of Pleasantview Farm will continue to • Smokey Bars/Snack Wedges • Variety of Flavors dence from OTA membership and from hold the farmer board seat. my fellow board members,” Hughes “The diversity of the OTA board FOODSERVICE says. “The organic sector has many refl ects the diversity of OTA member- In Perfect Shape For a Growing Industry ■ Creative blend of vision and flexibility challenges to tackle, and organic has to ship,” says Laura Batcha, CEO and ■ Unique product offerings have a voice at the table to effectively executive director, OTA. “Our board ■ Naturally smoked cheeses tailored to fit every SQF Level 3 Certified packaging configuration address those challenges. OTA’s hard members are all visionaries, as is every This certification ensures our ■ customers that our cheese products Extensive single serving/portion-controlled sizes work has given us this voice, and I’m member of OTA. We have laid out an have been produced and handled in accordance with the highest standards PRIVATE LABEL optimistic we’ll continue to help organic ambitious plan for organic in the next set by the Food Marketing Institute (FMI). Build Your Brand With Quality You Can Trust strengthen and advance.” 15 years, and I know our board will get ■ Expansive array of custom formulations ■ Innovative packaging solutions Other offi cers announced at OTA’s us closer to achieving that vision.” CMN ■ Ability to drive new sales annual meeting, held Sept. 21, include RETAIL HOUSE BRANDS Kim Dietz of J.M. Smucker Co. as vice Diversify Your Product Portfolio With Our Proven Winners president-USA, Sarah Bird of Bhakti Comings and goings ■ Unique flavor profiles Chai as secretary, and Tony Bedard of W.M. Sprinkman Corp., a third- ■ Market versatility to maximize sales performance Frontier Co-op as treasurer. ■ Price competitiveness & in-store support generation family business providing ■ Low minimum order quantities Leslie Zuck of Pennsylvania Certi- Call us today for details: sanitary, stainless steel processing fi ed Organic also was re-elected, and solutions for the dairy industry, 2819 County Road F • Blue Mounds, WI 53517 Doug Crabtree of Vilicus Farms was Ph: (608) 437-5598 • Fax: (608) 437-8850 has hired Nathan LaFleur as a [email protected] • www.dairyfoodusa.com elected to his fi rst term on the board. design engineer and Jonathan The OTA board selected Marci Zaroff Cobb as purchasing manager. CMN For more information please visit www.dairyfoodusa.com of Under the Canopy to fi ll an appointed © 2016 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 14, 2016 — CHEESE MARKET NEWS® 7 CHEESE MARKET NEWS® Retail WATC H NEWS & MARKETING IDEAS TO HELP SELL MORE CHEESE Agropur makes plans to market its specialty cheeses in the U.S.

By Kate Sander to re-create the Agropur Export Group and develop international markets for LONGUEUIL, Quebec — Agropur Agropur’s products. Cooperative, a major player in the “The acquisition of MLI goes hand Canadian dairy industry, has made in hand with our desire to develop the headlines in the last few years with export market. MLI’s expertise will see its acquisitions, including that of U.S.- us signifi cantly accelerate our develop- based Davisco Foods in 2014. Now, ment as well as access very promising the company is looking to expand its markets,” Agropur CEO Robert Coallier presence in the specialty cheese export said at the time. market, particularly with new offerings With more than 3,300 dairy producer for U.S. consumers. members and 8,000 employees, Agropur In the coming year, Agropur’s processes nearly 13 billion pounds of export division will be renewing its milk annually at its 39 plants in North focus, targeting the U.S. market with America and had reported sales of C$5.9 specialty foodservice and retail items, billion in 2015. Last year was largely says Marcel Larivee, vice president, devoted to signifi cant investment in international trade, Agropur. manufacturing infrastructure — to- Agropur is a leading specialty cheese taling C$280 million, a record high for Photo courtesy of Agropur OKA LEADS THE WAY — Agropur plans to soon begin exporting some of its specialty producer in Canada, particularly known Agropur — and to consolidation and cheeses into the U.S. market, with the OKA line leading the way. Some of Agropur’s fi ne for its OKA brand. The brand already is integration of the merger and acquisi- cheeses include (top left on the plate) OKA with mushrooms and Champfl eury as well as known in the United States, but in the tions made in 2014 and 2015. (on the platter) Rondoux Triple Crème, OKA, OKA L’Artisan and Délicrème cream cheese. past few years the co-op has done little Now one of the areas Agropur is to market it outside Canada. focused on for its future growth is Raclette and OKA L’Artisan, which says the co-op will be focusing on the building its OKA brand both in Canada combines the renowned traditional specialty cheeses on which it can best and abroad. To achieve the ambitious OKA taste with the fl avor and distinct compete. Agropur already owns several growth targets set for OKA cheese and look of a European-style honeycombed cheese plants in the United States — “We successfully the co-op as a whole, Agropur in the cheese. OKA L’Artisan won a fi rst-place and makes award-winning cheese at met the greatest last couple of years has spent C$45 award at the Sélection Caseus contest those plants. The intent of the company million on a marketing campaign in in 2015. is not to compete with itself, but rather challenge: to modernize Canada and on modernization of the to expand its presence. He notes that the equipment equipment at its OKA plant. A new Agropur’s U.S. holdings aren’t specialty line was installed and commissioned retail oriented. without altering last October. Moulding, demoulding “We have very good “We will focus on our unique prod- the authentic fl avor and mould handling are now fully ucts,” Larivee says, adding Agropur automated on the state-of-the-art line, products. We want will start with about 15 exports from of OKA cheese.” the cooperative says. people to taste them. Canada. In addition to the OKA line, “We successfully met the greatest other cheeses that will be exported AGROPUR 2015 ANNUAL REPORT challenge: to modernize the equipment We are geared to the United States include Chèvre without altering the authentic fl avor of for growth.” des Alpes, a goat’s milk cheese that OKA cheese,” Agropur says in its 2015 is available in original as well as a annual report. Marcel Larivee number of fl avored varieties including “The focus was more domestic, but OKA volume is up by more than 50 AGROPUR pepper, cranberries and maple syrup, Agropur has grown quite a bit in the percent in the last couple of years, and fi ne herbs. last fi ve to eight years,” Larivee says, propelled in part by increased exposure Another export possibility is Champ- noting that the time is now right for through OKA- based recipes, the annual fl eury, a unique washed-rind soft cheese Agropur to move into the U.S. market. report also notes. Meanwhile, the latest addition to with a creamy and unctuous texture In addition, with the product line and OKA has the unique distinction of the OKA cheese family, OKA L’Artisan enveloped in a coppery orange rind name already known, the OKA brand is being both a cheese and a brand name, Smoke, is a response to the growing that has a pronounced bouquet and the ideal fl agship product for Agropur Larivee says. The cheese is a semi-soft popularity of smoked products. Long- fruity fl avor. in the United States, Larivee says. washed rind cheese that originally was ripening OKA Frère Alphonse and “We have very good products. We The move into greater distribution made by Trappist monks located in Oka, Maillon Fort, a soft cheese inspired want people to taste them. We are into the U.S. market has been in the Quebec. The cheese, made from cow’s by specialty French Bries, also were geared for growth,” Larivee says. works since 2013, when Agropur ac- milk, has a pungent aroma and soft launched in 2015. “We are the largest specialty quired M. Larivee International Inc. creamy fl avor and has a copper-orange, Agropur already exports to more cheese producers in Canada, and we (MLI), a trading house specializing in hand-washed rind. than 40 countries, including the United are well-positioned for marketing dairy products and food ingredients that The OKA brand includes other States, but the biggest category has abroad,” he says. was owned by Larivee. With the sale of cheeses as well, including Crème OKA, been dairy ingredients. To move more a his company, Larivee joined Agropur OKA Light, OKA with Mushrooms, OKA into the retail cheese market, Larivee Turn to AGROPUR, page 9

Also in Retail WATCH: Rogue Creamery donates portion of sales … Page 9 Jarlsberg debuts Cheese Crisps … Page 10

© 2016 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 14, 2016 RETAIL ROUND-UP

Sartori to raise money for Breast Cancer TruMoo partners with ‘Trolls’ for fall Foundation with Peppermint BellaVitano promotion of specially-marked bottles PLYMOUTH, Wis. — In honor of Breast worthy cause.” DALLAS — TruMoo, Dean Foods’ fl a- can visit www.TruMoo.com to enter the Cancer Awareness Month, Sartori Co. has The rind of Peppermint BellaVitano vored milk brand, has partnered with the codes found on specially-marked bottles announced it is making its signature pink includes crushed peppermint candies movie “Trolls” for new specially-marked of TruMoo Chocolate and Orange Scream Limited Edition Peppermint BellaVitano that are hand-rubbed onto wheels of bottles. Through Oct. 31, Poppy and milks to enter for a chance to win a Royal available during October. The release Sartori’s award-winning Gold BellaVi- Branch, characters from DreamWorks Caribbean DreamWorks Experience marks Sartori’s continued partnership tano. The small-batch, artisan process Animation’s new movie, will make an cruise, as well as weekly “Trolls” prizes. with National Breast Cancer Foundation, imparts a pink color and sweet fl avor appearance on bottles of TruMoo Choco- “Trollicious” TruMoo Chocolate and an organization dedicated to increasing in the creamy, complex cheese. The late and limited-edition TruMoo Orange Orange Scream are available through awareness, advancing education and company suggests eating the cheese by Scream milks. the end of the month, while regular providing support services for those itself or with artisan dark chocolate or “We couldn’t be more excited to TruMoo Chocolate, Calcium Plus and impacted by the disease. a glass of wine. team up with DreamWorks Animation to Protein milks can be found year-round in “Giving back to our community is Peppermint BellaVitano can be celebrate the release of the new movie dairy cases at grocery stores nationwide. one of our core values at Sartori,” says purchased in stores and online at ‘Trolls,’” says Greg Schwarz, vice presi- TruMoo milk contains no high fructose Jeff Schwager, president, Sartori. “We’re http://shop.sartoricheese.com. Crafted dent of marketing, Dean Foods. corn syrup, no artifi cial sweeteners, honored for the opportunity to again in limited quantities, this Sartori To further celebrate the promotional and comes from cows not treated with team up with National Breast Cancer cheese is available at select retailers partnership, through Nov. 16, consumers artifi cial growth hormones. CMN Foundation to raise money for such a only throughout this month. CMN Muuna cottage cheese introduced in U.S. Delete to Feed campaign uses social media to raise awareness of hunger in America NEW YORK — Muuna, a New York City- out, down to our unique, beautiful cup.” based brand of Tnuva Foods, recently Meyer says today’s consumers want ST. PAUL, Minn. — Land O’Lakes, in but many of our neighbors don’t get enough debuted single-serve cottage cheese cups good food that tastes delicious, but cot- partnership with Feeding America and to eat,” Fox says. available in six varieties: Strawberry, tage cheese has developed a reputation with assistance from The Martin Agency, To take part in the campaign, people Blueberry, Pineapple, Peach, Mango and as boring and bland. is holding a “Delete to Feed” campaign are asked to visit deletetofeed.com to de- Lowfat Plain. The company also is launch- “We spent years creating a propri- through Oct. 18. lete a picture of food from their Instagram ing two multi-serve items — Lowfat Plain etary recipe that delivers a melt-in- The purpose of the campaign is to raise accounts. For every picture deleted, Land and Classic Plain. your-mouth, creamy cottage cheese awareness of the hunger problems facing O’Lakes will donate 11 meals to Feeding Muuna’s premium fruit-on-the-bot- combined with premium, real pieces Americans and to raise money to help America, according to Fox. tom fl avors each have 130 calories, 9-11 of fruit, which will surprise and delight address that hunger, says Catherine Fox, The goal is to donate 1 million meals to grams of sugar and 15 grams of protein your taste buds,” Meyer says. “What’s marketing director for retail butter and Feeding America, according to Fox. As of per 5.3-ounce container. Muuna’s Lowfat more, protein-seekers will be delighted spreads, Land O’Lakes. press time, approximately 130,000 meals Plain has 120 calories, 4 grams of sugar to know that Muuna is high in protein. “The campaign is designed to be refl ec- were donated. and 19 grams of protein per 5.3-ounce We invite consumers to compare Muuna tive, to have people stop and think about For more information or to par- container. All Muuna products do not to their favorite cottage cheese or their how it can be easy to take food for granted ticipate, visit deletetofeed.com. CMN contain high fructose corn syrup or stevia, favorite Greek yogurt, because if you like and are free of artifi cial fl avors, colors those, you’ll love Muuna.” and sweeteners. Muuna also is gluten- Muuna cottage cheese is available in Evergreen Packaging launches 2016 Made free and certifi ed Kosher. 5.3-ounce single-serve cups with a sug- By Milk contest with Inventions theme “Cottage cheese has been around for- gested retail price of $1.69, and 16-ounce ever, and mainly thought of as a diet food. multi-serve containers with a suggested MEMPHIS, Tenn. — Evergreen creations inspired by advances in The same was true for yogurt, but yogurt retail price of $3.49. Muuna is available on Packaging has announced the launch industry, travel, science, education, innovated while cottage cheese remained the shelves of select Northeast retailers, of its Fall 2016 Made By Milk Carton technology, medicine, entertainment stuck in the past,” says Gerard Meyer, including ShopRite and Shaw’s. Construction Contest. and more, or even create their own CEO, Muuna. “At Muuna, we decided to For more information, This year’s theme, “Inventions,” invention out of repurposed cartons. re-imagine cottage cheese, inside and visit www.muuna.com. CMN invites students to build milk carton Classroom teams can win up to $5,000 by building creations inspired by no- table inventions from empty milk or juice cartons saved from their school lunches. Making A “The Made By Milk contest is a one-of-a-kind program designed to Difference... help students of all ages tap into cre- OUR CREDO ative and artistic skills while building We are responsible to our awareness of environmental issues Gilman Cheese Corporation is a family-oriented business customers and suppliers and the importance of repurposing and and provides many lifestyle benefits not only to make recycling,” says Katie Simmons, mar- things easier on the job, but also to provide our staff We are responsible to our with time to enjoy their personal lives. employees keting manager, Evergreen Packaging. We are responsible to the Students in grades K-12 are eligible communities in which we to compete in the Made By Milk con- live and work test. To enter, classroom teams collect Our final responsibility is to Gilman Cheese Corporation empty milk or juice cartons to use in their carton creations and write a 200-word essay about what makes WeWe ttakeake pprideride inin ourour Gilman Cheese Corporation their product unique. The Grand qualityquality pproducts:roducts: 300 South Riverside Drive Prize winner will receive $5,000, the • OrganicOrganin c ChCheeseeesee Gilman, WI 54433 People’s Choice award winner will • ShelfSShelf StSStabletablele CheeseCheese 715.447.8241, Ext. 114 receive $2,500, and there also are [email protected] • SmokedSSmokked CheeseCheese www.gilmancheese.com awards for creations using less than • ProcessPProccess LoavesLooavveses 300 cartons and for creations using • 8 PackagingPaP ckkagiing LiLinesines more than 300 cartons. • 14 SmokehousesSmookehoh useess The deadline for submissions • AllAAll SizesSiS zees & ShSShapesapeses • WeightsWeW igghth s frfromomm 1 oz.oz. ttoo 1 lblb.. is Nov. 16. For more information or to submit an entry, visit www. madebymilkcontest.com. CMN For more information please visit www.gilmancheese.com

© 2016 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]) RETAILING PERSPECTIVES October 14, 2016 — CHEESE MARKET NEWS® 9

AGROPUR Continued from page 7 “We are hoping to have our products Agropur also plans to export its award-winning Cheddar, aged between in U.S. markets by the one and fi ve years, to the United States. end of the year.” He believes the cheese will compete well in the U.S. market. Marcel Larivee To get the word out about Agropur’s products, Larivee has spent the bulk of AGROPUR his time this year further developing U.S. contacts. Agropur had booths at both the International Dairy-Deli-Bakery As- sociation’s show and at the Fancy Food The launches will be supported by Shows, and contacts were very favorable, promotions and marketing dollars, Larivee says. Additionally, Agropur is ap- he adds. pointing U.S. distributors and is in direct After the U.S. roll out, Larivee discussions with supermarket chains. says Agropur also plans to use “We are hoping to have our products this marketing model to roll out in U.S. markets by the end of the year,” its specialty cheese products in Photo courtesy of Agropur Larivee says. “2017 will be a big year of export markets beyond the United AGROPUR SPECIALTIES — Canada-based Agropur’s specialty cheeses include Crème Brie movement for us.” States. CMN L’Extra, Crème Champfl eury and Crème OKA.

Land O’Lakes introduces limited batch butter spread

ARDEN HILLS, Minn. — Land O’Lakes recently introduced Limited Batch Pumpkin Pie Spice Butter Spread, blend- ing the fall fl avor of pumpkin pie spice with creamy butter. The butter is made with brown sugar and pumpkin pie spices. One tablespoon serving contains 70 calories, 2.5 grams of fat and 4 grams of sugar. Limited Batch Pumpkin Pie Spice Butter Spread is available in select retail- ers through November, with a suggested retail price of $2.49 for a 6.5-ounce tub. For more information, visit www. landolakes.com/products/butter/tubs/ pumpkin-pie-spice-butter-spread/. CMN Rogue donates to cheese education

CENTRAL POINT, Ore. — Rogue Cream- ery recently announced it is donating 1 percent of its October sales for the second year in a row to the American Cheese Education Fund (ACEF) to celebrate American Cheese Month. A sister organization of the American Cheese Society, ACEF was created to educate people about the art and science of artisanal and specialty cheese and supports existing and new educational ef- forts to further learning opportunities for those interested in producing, marketing, selling and appreciating North America’s artisan, farmstead and specialty cheeses. One of those educational components is the Certified Cheese Professional (CCP) program. Two Rogue Creamery team members, Tom Van Voorhees and Chelsea Faris, were among the fi rst in the United States to earn the CCP credentials, Rogue Creamery notes. For more information on Amer- ican Cheese Month, visit www. americancheesemonth.org/october- american-cheese-month/. CMN For more information please visit www.pleasureandcheeses.ca

© 2016 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 14, 2016 THE CHEESE TABLE

Jarlsberg Cheese debuts Cheese Crisps Farm Rich offers new breaded curds

with four varieties available in stores ST. SIMONS ISLAND, Ga. — Farm oven or deep fryer in less than 10 minuets. Rich recently announced the addition “Wisconsin Cheese Curds have had a fol- DARIEN, Conn. — Jarlsberg Cheese tion in a cheese board or as a crispy of Breaded Cheddar Cheese Curds to its lowing of passionate fans for generations, has introduced its new Cheese Crisps addition to a bowl of soup. lineup of snacks and appetizers. and the love for cheese curds has been snack. Located in grocers’ deli sections, the The new Cheddar Cheese Curds are spreading far beyond America’s Dairyland,” The crunchy, baked crackers are crisps contain 120 calories or less per made with 100-percent Wisconsin cheese says Shannon Gilreath, director of market- handcrafted in small batches and made serving, 3.5 or less grams of fat and 5 curds sourced from LaGrander’s Hillside ing, Farm Rich. “We’ve seen rapid growth in with freshly shredded Jarlsberg cheese, grams of protein and low cholesterol, Dairy, Stanley, Wisconsin. The product the number of restaurants adding cheese which is sprinkled on top of the crack- the company says. carries the offi cial “Wisconsin Cheese” seal. curds to their menus. Since Farm Rich is ers before they are baked, according Jarlsberg Cheese Crisps have a Farm Rich Cheddar Cheese Curds are widely known for our restaurant quality to the company. suggested retail price of $3.99 to $4.99 available in supermarkets primarily in appetizers, we wanted to capitalize on the With Rosemary & Olive Oil, Chipotle, and are packed 12 bags per display- the Midwest and Southeast, with plans cheese curds popularity by introducing Garlic & Herb and Mediterranean Sea ready case. for nationwide expansion later this fall them at retail and giving consumers the Salt fl avors, the Cheese Crisps can be For more information, visit and next year. Priced between $4.99-$6.99 best-tasting, best-quality authentic cheese used for dipping, snacking, incorpora- www.jarlsbergusa.com. CMN for a 16-ounce carton, the curds can be curd experience available in grocery.” found in the freezer section and prepared For more information, visit Jarlsberg Cheese introduces new cheese at home in a conventional oven, toaster http://www.farmrich.com. CMN sticks in celebration of 60th anniversary Velveeta unveils new 4-ounce Mini Blocks DARIEN, Conn. — In celebration $5.99 and $6.99, the company says. of its 60th anniversary, Jarlsberg Store orders of the product are avail- CHICAGO — Velveeta, a brand of the brand manager, Velveeta. Cheese is debuting Jarlsberg Cheese able in cases of 12 6-ounce packages. Kraft Heinz Co., recently launched Cartons containing five 4-ounce, Snacks. “Jarlsberg Cheese Snacks bring the Velveeta Mini Blocks. individually-wrapped Mini Blocks can be The portable snacks are naturally outstanding, delicious fl avor of the The Mini Blocks deliver Velveeta’s purchased at major grocery stores nation- gluten- and lactose-free, and aim to most incredible cheese in the world to taste and melt in a smaller size, offer- wide for a suggested retail price of $5.79. satisfy customer demand for more a totally portable snacking size, in the ing a way to incorporate the cheese into To introduce the Mini Blocks, convenient snacking options, the convenience of individually-wrapped dinners and side dishes. In addition, the Velveeta had enlisted Master Chef company says. Each portion contains cheese sticks,” says Debbie Seife, blocks contain 45 percent less fat than Junior’s Addison Osta Smith to serve 70 calories. general manager of marketing, Jarls- Cheddar cheese, the company says. complimentary versions of her three The snacks are 3/4-ounce sticks, berg Cheese. “This is the fi rst time “Our fans told us they wanted a fool- signature Velveeta Mini Block dishes at which are individually wrapped and Jarlsberg Cheese will be available in a proof way to incorporate Velveeta into a Manhattan kitchen in August. come in a 6-ounce size package. The cheese stick format, which are the go- meals and Velveeta Mini Blocks are the For more information, visit suggested retail price is between to snacking option for all ages.” CMN perfect solution,” says Jamee Pearlstein, velveeta.com. CMN The Best Traditional

3rd Place & Specialty Cheese Donatello 2016 ACS Cedar Grove Team You’ve Ever Tasted! Cedar Grove Chees 3rd Place Each year we craft four million pounds of some of the Sheep’s Milk Feta 2016 ACS best cheese you will ever taste! And all of our cheese is Cedar Grove Team produced without artificial growth hormones (rBGH) or Cedar Grove Cheese animal enzymes. We believe in environmentally sound production...working in concert with nature is an important part of our business. Handcrafted Cheese is our Specialty WAG is your custom sourcing specialist • Traditional Cheese • Custom Processing for procuring Quality Cheddar Cheese to meet • Artisan Cheese • NO Artificial Growth Hormones 2nd Place Hard Sheep’s Milk \RXUVSHFLÀFQHHGV2XU\HDUVLQEXVLQHVV • Family Owned (rBGH) or Animal Enzymes Donatello DQGRXU\HDUVRIFRPELQHGH[SHULHQFHLQWKH 2016 World Championship IRRGLQGXVWU\JXDUDQWHHVKDQGVRQH[SHULHQFH Specializing in... Cedar Grove Team Cedar Grove Cheese WRJHWWKHMREGRQHULJKWWKHÀUVWWLPH:HSXW • Quark Cheese • Traditional Aging Without RXUFXVWRPHUVÀUVWVRWKDW\RXUQHHGVDUHPHW • Goat, Sheep & Water Chemicals RQWLPHDQGEHORZEXGJHW Buffalo Cheese • Small Batch Cheese • Sharp & Extra Sharp Development We Are Your Cheese House For Bringing • Surface Ripened Consistent and Repeated Sales! Aging Cheddar Programs: 2nd Place Cedar Grove CHEESE & Hard Sheep’s Milk 40# White & Colored; 640# Colored 2015 U.S. Championship • Flavor & Functionality Profiling – Clock Shadow CREAMERY Cedar Grove Cheese Mild, Medium, Sharp, X-Sharp & Beyond E5904 Mill Road | P. O. Box 185 | Plain, WI 53577 | Phone: (800) 200-6020 2nd Place • Monitored Set Aside Programs – Fax: (608) 546-2805 | E-mail: bob@cedargrovecheese 40# & 640# Cheddar Mixed Milk Cheeses www.cedargrovecheese.com 2015 U.S. Championship Cheddar Spot Sales: Fresh to 12 Years Old Cedar Grove Cheese • Grading – FIVE Licensed Wisconsin Cheese Graders; 2nd & 3rd Generations • LTL & Full Truck Load Capabilities • Warehousing & Financing Available Throughout Wisconsin

3051 Progress Way, Suite 206 • Kaukauna, WI 54130 • PH: 920.759.1534 • Fax: 920.759.1529 Ken Neumeier, [email protected] • Kate Neumeier Clarke, [email protected]

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For more information please visit www.wagcheese.com For more information please visit www.cedargrovecheese.com © 2016 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]) RETAILING PERSPECTIVES October 14, 2016 — CHEESE MARKET NEWS® 11 Fairlife, Onion partner to launch ‘Harbaugh Highlights’ campaign for football season CHICAGO — Fairlife LLC, a health and grade, I’ve been fi nding ways to add milk social media accounts, according to the “Jim Harbaugh — and Fairlife — wellness company, has teamed up with to my diet,” Harbaugh says. “My family company. have a great sense of humor,” says Rick digital media company Onion Inc. to kick loves milk almost as much as I do, and “Many people may not realize this, Hamman, chief creative offi cer, Onion off football season with a new campaign Fairlife makes milk even better with but Jim Harbaugh is almost as passion- Inc. “Through ‘Harbaugh Highlights’ that stars University of Michigan head more protein and calcium.” ate about milk as he is about football,” we were able to use humor to showcase football coach Jim Harbaugh. The six-part video campaign, “Har- says Steve Jones, CEO, Fairlife. “We are Harbaugh not only as an enthusiastic Fairlife is working with Onion Inc.’s baugh Highlights,” shows Harbaugh dedicated to providing families around coach, but as a devoted father commit- creative services division, Onion Labs, reviewing play-by-play footage. However, the nation with the highest quality nutri- ted to giving his family only the best in a series of digital videos highlighting the “game” footage is of his wife, Sarah tion through our Fairlife products. This — Fairlife milk.” Harbaugh’s sense of humor and enthu- Harbaugh, as she fuels their growing fam- partnership is a fun, unexpected way Fairlife ultrafi ltered milk includes siasm for milk. ily with Fairlife ultrafi ltered milk, with to bring the Fairlife story to new and protein and calcium and reduces “Since I was in charge of passing Harbaugh providing commentary. The existing customers.” natural sugars, the company says. out milk to fellow students in the third videos will be on YouTube and Fairlife’s While Onion Labs has been the agency It also is lactose free, and comes in of record for Fairlife’s newest brand, reduced fat, fat-free, whole and choco- YUP!, since July 2015, this is the fi rst late milk in select stores nationwide. Atalanta recognized for packaging design time Onion Labs has worked with the For more information, visit ELIZABETH, N.J. — Global food im- its power to generate an emotional link fl agship brand. www.fairlife.com. CMN porter Atalanta Corp., in conjunction between brand and consumer. with Princeton-based design agency The update of Celebrity Goat Cheese Zullo, has been awarded the American packaging is part of Atalanta Corp.’s initia- Grilled Cheese Academy Recipe Showdown Graphic Design Award 2016 for Celebrity tive to refresh its award-winning brand. winner receives $15,000 for ‘All American’ Goat Cheese Package Design. Atalanta “Our goal was to elevate the brand partners with Zullo on various branding identity to refl ect the high-quality prod- MADISON, Wis. — After a record- Lauren Katz, incorporated Wisconsin and packaging projects. uct and to resonate with the specialty breaking number of entries — more Havarti and Gouda, paired with cara- This is the second award the agency cheese consumers of today, with a quirky than 2,000 — to the 2016 Grilled melized bourbon-brown sugar apricots, has won with Atalanta’s product, the but superior image,” says Mari Meriluoto, Cheese Academy Recipe Showdown, the candied bacon, marmalade-mustard company notes. In 2015, Zullo and Ata- director of brand development, Atalanta. judges have chosen the winner: The All- spread and fried sage leaves, all atop lanta were recognized for the redesign “The tagline ‘Famously Good’ refl ects the American, created by Grace Gutierrez of slices of pumpernickel. The silver and of Atalanta’s premium line Del Destino award-winning status of the line, and Longmont, Colorado, who will receive a bronze winners received $5,000 and Ready to Eat Quinoa Cups. the goat with the sunglasses completes $15,000 grand prize. $3,000, respectively. Graphic Design USA invites thousands the connection with the brand name Gutierrez combined sweet and savory Judges from the Wisconsin Milk Mar- of creative professionals and organiza- ‘Celebrity.’” fl avors to win gold, pairing Wisconsin keting Board (WMMB) also named three tions to participate in this competition, For more information, visit aged Cheddar and Mascarpone with a Judge’s Choice sandwiches: The Cocina, which honors outstanding design and www.celebritygoat.com. CMN homemade apple pie fi lling layered atop The Southern Charm and The Beale churro-battered challah bread. Gutier- Street, each winner receiving $1,500, rez is a baker and artist, and she drew inclusion in the 2016 Grilled Cheese Our Expertise in World Dairy inspiration from her Hispanic heritage Recipe Showdown Book of Champions and favorite sweet treats, churros and and a Wisconsin cheese gift basket. Markets Makes MCT Your Global spiced apples. She plans to use her The showdown, presented by WMMB Partner for Successful Results $15,000 grand prize to return to school. and Wisconsin Cheese, invited contes- The silver award-winning sandwich, tants across the nation to create the 3/52#).'!.$,/')34)# 3%26)#%3 The Bloody Mary, made by Lacey Muszyn- tastiest, most unique grilled Wisconsin ski, features a medley of Wisconsin cheese sandwich. The contest, now in cheese curds, Mozzarella and Parmesan, its fi fth year, collected 33 percent more Could you use assistance in topped with a Bloody Mary relish of heir- recipes than in 2015 — resulting in managing your supply chain? loom tomatoes, celery leaves and bacon, 2,288 creative entries from across the 30%#)!,):%$&/2-5,!4)/.3 We have expanded our team to and served on homemade Parmesan- United States. bring you unprecedented expertise olive bread. The bronze award-winning To view all of the winning recipes, and knowledge in today’s complex sandwich, The Speakeasy, made by visit grilledcheeseacademy.com. CMN world markets. s3OURCINGAND,OGISTIC3ERVICES Icelandic Provisions launches varieties of ,%!$).'3).',%3/52#% s3PECIALIZED&ORMULATIONS $!)293500,)%2 traditional skyr products in United States s,EADING3INGLE3OURCE$AIRY3UPPLIER NEW YORK — Icelandic Provisions and expand the skyr category with a s!GING0ROGRAMS recently launched in the United States product that comes directly from the s(EDGING3ERVICES its line of Icelandic skyr products, which country that invented it and is made 5.0!2!,,%,%$3%26)#%3 s5NPARALLELED3ERVICES includes seven fl avors: plain, vanilla, with ingredients that are native to the s%XPERTISEINTHE'LOBAL$AIRY-ARKET strawberry with ligonberry, blueberry Nordic region.” s%XPORT3ERVICES with bilberry, peach with cloudberry, The skyr contains 14-17 grams of coconut and raspberry. protein per 5.3-ounce cup, is naturally The line is the only line of tradi- low in sugar and contains 1.5 percent %80%24)3%).4(%',/"!, MCT Dairies is the leading tional Icelandic skyr products available fat, the company says. It is made with $!)29-!2+%4 supplier of cheese and in the United States, the company milk from a farmer’s co-op that feeds dairy ingredients, offering says. The product line is made with cows a largely grass-fed diet and does innovative solutions not use artifi cial growth hormones or throughout the world. centuries-old skyr cultures and is protein-rich, containing four times the contain artifi cial preservatives, thick- amount of milk as a cup of yogurt, the eners, sweeteners, fl avors or colors, company adds. according to the company. “U.S. consumers are developing a Icelandic Provisions is currently palate for the thick, creamy taste of available in the North Atlantic, Northeast skyr,” says Einar Sigurðsson, chairman and Mid-Atlantic regions, with strategic of the board. “They value products retail partners such as Whole Foods, 0HONE OR with a high protein content that aren’t Wegmans, Harris Teeter and others. The %MAIL INFO MCTDAIRIESCOM packed with the sugar levels you find company says it has plans to expand in 7EB WWWMCTDAIRIESCOM in the cultured dairy populating gro- the second half of 2016. cery shelves across the U.S. We are For more information, visit www. For more information please visit www.mctdairies.com proud to launch Icelandic Provisions icelandicprovisions.com. CMN

© 2016 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]) 12 CHEESE MARKET NEWS® — October 14, 2016 RETAIL ROUND-UP Arizona Milk Producers now accepting Shy Brothers offers new Cloumage fl avors entries for milk mustache scholarship WEST PORT, Mass. — Shy Brothers are sold at Whole Foods Markets in New Farm LLC recently introduced new fl a- England, and they will be in the Northeast PHOENIX — Arizona Milk Producers milkproducers and using the hashtag vored varieties of its Cloumage Creamy and Mid-Atlantic regions and Florida soon has announced that Arizona residents #ampscholarshipcontest. The photo Fresh Cheese. as well. Mariano’s in Chicago will begin who are or will be enrolled in a post- must feature a dairy product, such as In addition to Cloumage Creamy selling them this fall, and they are shipped secondary school (university, college milk, yogurt or cheese, and other people Fresh Cheese Original, the company now directly to other select stores. or community college) could win one of should not be in the photo. Student also offers four new fl avors: Chipotle, Garlic Made with four natural ingredients three scholarships through the Arizona must specify which weekly prize they + Chive, Red Bell + Aleppo Pepper, and from a French recipe, Cloumage Creamy Milk Producers Scholarship Contest. want by using the hashtags #fuel, #fun Rosemary + Cumin. Fresh Cheese is made with cows milk from Arizona dairy farmers have awarded or #food. Applicants are encouraged to “We rolled this new line out in June Shy Brothers’ coastal Massachusetts farm. $30,000 annually through the Arizona be creative with their photos, demon- and had pretty good response at the The farm’s Holstein and Ayrshire cows Milk Producers Scholarship Contest strating how dairy plays a role in their Fancy Food Show,” says Barbara Hanley, are grass-fed, and no growth hormones to help make higher education more daily lives. Shy Brothers Farm. “We’re hearing from or antibiotics are used. The milk is batch- accessible, according to Arizona Milk Scholarship nominees must be customers that aside from being used as pasteurized to preserve natural enzymes. Producers. Arizona residents eligible for the 2017 a spread/dip, the Chipotle makes killer Cloumage has a 7-month shelf life and The fi rst-place winner will receive a fall term or currently enrolled with a adult cookies, and the Red Bell Pepper can be baked or frozen. Once the pack- $12,000 scholarship, the second-place minimum of 12 credit hours at an Arizona + Aleppo makes amazing cornbread. The age is opened, the product is good for a winner will receive $10,000 and the university. Participants must be at least secret to bake with any of the fl avors month if kept refrigerated. It is available third-place winner will receive $8,000. 17 years old. is to replace half the fat (for example, in 7-ounce containers. “Arizona dairy farmers are commit- For more information, visit butter) with Cloumage.” For more information, visit www. ted to providing farm-fresh, high quality arizonamilk.org/scholarship. CMN The new Cloumage varieties currently shybrothersfarm.com. CMN milk to Arizona families,” says Tammy Baker, general manager, Arizona Milk Producers. “They know milk and other dairy products fuel the body for an active, healthy lifestyle and are proud to fuel students’ continuing education through this contest.” Each week through Nov. 21, a weekly fi nalist will be selected based on their Jim Demeter, entry and will receive a $100 gift card Steve Buholzer, for either food, fun or fuel, in addition Adam Buholzer, to a pair of tickets to the Fiesta Bowl Dave Buholzer & Ron Buholzer football game Dec. 31, when the top three (from left) scholarship winners will be announced. To enter the contest, students need to upload a photo of their best milk mustache to Instagram, tagging @az-

Organic Valley rolls • Family Owned Since 1925 • Award-Winning Cheese & Yogurt out single-serve • Dedication to Consistent Quality Grassmilk Yogurt, • Progressive People & Ideas new fl avor varieties Share in our Award-Winning Excellence and Dedication Whether it is our chunk, crumbled or chunk in brine Feta or LA FARGE, Wis. — Organic Valley is our Greek Yogurt, you can always trust our superior quality and taste. introducing to its Grassmilk Yogurt line 6-ounce single serve cups, which include Feta Greek Yogurt two new fl avors, Wild Blueberry and • Made: From the Freshest • Authentic Mediterranean: Taste Strawberry. Cow’s Milk • Lowfat and Nonfat Varieties The new fl avors add to the line’s • Firm & Crumbly Texture • 2X the Protein • Tangy & Salty to the Taste • Thick, Rich & Creamy original Plain and Vanilla fl avors and • Steep in Greek Tradition • Flavored or Plain the single serve cups appeal to those • Retail & Foodservice • Retail, Foodservice & Industrial who seek convenient packaging, the company says. The cups will become 2016 American Cheese Society Cheese Contest 1st Place: Odyssey Reduced Fat Feta available in natural food stores, food 1st Place: Odyssey Tomato & Basil Feta cooperatives and grocery chains nation- 1st Place: Brick 1st Place: Odyssey Greek Yogurt French Onion Dip wide in September. The suggested retail 2nd Place: Odyssey Feta price is $1.69. 2nd Place: Odyssey Peppercorn Feta 2nd Place: Muenster Organic Valley, a farmer-owned 2016 World Championship Cheese Contest cooperative, introduced the Grassmilk 1st Place: Havarti, Flavored (Dill) Yogurt line in multi-serve tubs about 3rd Place: Flavored, High Protein Yogurt, Cow’s Milk (Odyssey Peach) a year ago. Like the original tubs, the 4th Place: Feta, Flavored (Peppercorn) cups will have cream on top and whole- 2015 United States Championship Cheese Contest milk yogurt made from 100 percent “When we come in first, 1st Place: High Protein — Cow’s Milk Yogurt 10% Odyssey® Greek Yogurt grass-fed, non-homogenized organic you know exactly 1st Place & 2nd Place: Flavored Feta milk, as well as organic strawberries, where we stand.” Mediterranean Herb (1st), Tomato & Basil (2nd) organic blueberries or organic fair trade vanilla. Organic Valley’s Grassmilk Yogurt is made from organic milk that comes from 100 percent grass-fed cows and contains naturally-occurring calcium, conjugated linoleic acid and omega-3s, WISCONSIN MADE the company says. BY MASTER 608.325.3021 • www.klondikecheese.com For more information, visit CHEESEMAKERS www.organicvalley.coop. CMN For more information please visit www.klondikecheese.com © 2016 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 14, 2016 — CHEESE MARKET NEWS® 13 CLASSIFIED ADVERTISING

• EQUIPMENT 1 • EQUIPMENT 1 • EQUIPMENT 1 • EQUIPMENT WANTED 2

For Sale: • BUSINESS SERVICES 3 • Damrow 7,000 Gallon S/S Front Head Tank on I-Beams • Walker 5,500 Gallon ColdWall Silo • FLOORING 4 • Cherry Burrell 7,000 Gallon Coldwall Tank • Westfalia MP9004 Separator PLANTS: SALE/LEASE 5 • Federal Filler • Call Don at Eaton Equipment • Parts and Service 24/7 (608) 375-2256 • On Site Service for all Alfa Laval and • HELP WANTED 7 Westfalia Centrifuges • All Repairs Are Warrantied • Complete Stock of Original OEM Parts • Offering High-Quality Aftermarket Components • Over 30 Years of Experience GENERAL MANAGER • Friendly, Reliable Service Scenic Central Milk Producers, a milk marketing cooperative in beautiful Keep your operation southwest Wisconsin, is currently seeking a general manager. running smoothly. Get assistance you can Responsibilities will include: count on by calling: • Managing day-to-day operation of the co-op in a hands-on environment 317.831.4610 1515 Hancel Parkway • Mooresville, IN 46158 • Managing and communicating with staff 317.831.4630 [email protected] • Communication with customers and co-op members 317.831.4930 www.centrifugesupplies.com • Planning and directing budget, goals and business objectives • Marketing skills and previous management experience preferred. 6FHQLF&HQWUDORIIHUVDFRPSHWLWLYHZDJHDQGEHQHÀWSDFNDJH If Interested, please submit your resume by November 15, 2016 to: Tom Kearns 21542 Thistle Lane Gays Mills, WI 54631 [email protected]

© 2016 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]) 14 CHEESE MARKET NEWS® — October 14, 2016 NEWS/BUSINESS

TPP tripled from the year 2000 to around barriers and increased U.S. competi- an additional $150 to $300 million in 14-15 percent. The U.S. market is fairly tiveness. annual U.S. dairy exports as a result Continued from page 1 mature, and per capita consumption is The TPP agreement covers 12 coun- of TPP. While U.S. dairy imports show not expected to expand signifi cantly, tries and expands dairy market access some growth ($30 million to $100 mil- dollar, the longer-term USDA 10-year which makes overseas markets increas- in several key Asian countries, such lion a year), particularly for butter, the forecast projects record export levels. ingly important to producers’ returns, as Japan, Vietnam and Malaysia, and United States maintains a net export U.S. dairy exports also are impor- USDA says. provides new access into Canada, the position. tant to the broader U.S. economy, the USDA says free trade agreements report notes. The TPP also breaks new Other TPP analysis shows similar report says. USDA’s Economic Research (FTAs) have contributed to the growth ground with rules on non-tariff barriers, results, the report notes. The Ameri- Service (ERS) estimates that at the pri- in U.S. dairy exports and helped to including sanitary and phytosanitary can Farm Bureau Federation (AFBF) mary milk production level, each dollar address tariff and non-tariff barriers measures, geographical indications, estimates that annual U.S. net farm of U.S. dairy exports generates nearly that place U.S. products at a competi- biotechnology and organics. TPP ad- income could grow by $4.4 billion and $3 in additional economic output; for tive disadvantage in overseas markets. dresses the competitive advantages annual U.S. net agricultural exports by each $1 billion in dairy exports, around U.S. dairy exports to free trade other suppliers have gained in this $5.3 billion, if TPP is implemented. The 20,000 jobs are supported, USDA says. agreement partners grew from $690 region, USDA says. U.S. dairy sector also benefi ts, with Continued growth of the U.S. dairy million in the year prior to each agree- In the report, OCE presents esti- cash receipts and net dairy exports sector is largely contingent on trade, ment’s entry into force to $2.8 billion mates of the medium- to long-run dairy projected to grow $275.3 million and the report adds. The share of U.S. in 2015, USDA says, adding that the trade effects of TPP dairy market ac- $131.2 million, respectively, USDA milk production that is exported has increase was driven by lower trade cess provisions. The analysis projects says. In addition, the U.S. International Trade Commission’s (USITC) economic review of TPP projects U.S. agricultural exports would be $7.2 billion higher in 2032, with U.S. dairy exports forecast at $1.8 billion higher, USDA notes. The USITC model looks at the full economy and cross-commodity effects of full (long-term) implementation. It also covers trade in all dairy products, in- cluding higher value processed items (ice cream, infant formula, etc.) not covered in the AFBF and OCE analyses. To view the USDA report, visit http:// www.usda.gov/oce/economics/reports/ Final_TPP_Dairy_Report_10-11-2016. pdf. CMN

EVENTS

Energy savings for cheesemakers course is Nov. 3

MONROE, Wis. — Alliant Energy, in partnership with the Wiscon- sin Cheese Makers Association and Seventhwave, will host an energy savings for cheesemak- ers course Nov. 3 at Peppercorn Banquets in Monroe, Wisconsin. The course will identify energy saving opportunities in cheesemak- ing facilities, discuss technological advances to improve effi ciency and describe cost saving benefi ts, orga- nizers say. The event will include speakers Jeff Mackey, energy advisor, Franklin Energy, and Kelly Kavanagh, principal engineer, Franklin Energy. In addition, the course offers cred- its for several continuing education and professional development cer- tifi cation programs, organizers say. Online registrations can be made up until the course, and cost to reg- ister is $119. To register, visit seventhwave. org/education/onlocation/cheese- makers-energy-savings. For ques- tions, call 608-210-7114 or email For more information please visit www.cheesemarketnews.com [email protected]. CMN © 2016 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 14, 2016 — CHEESE MARKET NEWS® 15 NEWS/BUSINESS

PURCHASE million, from private inventories to assist considered it a strong indicator that to America’s dairy farmers through food banks and pantries across the na- there is not in fact a cheese surplus.” increased demand for milk, while also Continued from page 1 tion, while reducing the nation’s cheese McBride says in the short term, it serving the needs of Americans who pa- surplus. (See “USDA to purchase cheese is critical that Congress grant USDA tronize food banks and other charitable A solicitation will be issued shortly, to aid dairy market stability” in the Aug. the authority to provide direct disaster assistance organizations. and cheese deliveries to food banks 26, 2016, issue of Cheese Market News.) relief under Section 32, and in the long “We continue to look at ways to and other food assistance recipients However, USDA did not meet that term, CDC supports comprehensive address the challenging economic situ- are expected to occur beginning in target and was able to buy only $7 mil- reform of federal dairy programs in the ation facing dairy farmers, and are ap- March 2017. lion of the $20 million it attempted to next farm bill. preciative of USDA’s efforts to improve The announcement was met with purchase for donation due to a lack of “In California, participation in the the effectiveness of the Dairy Margin mixed reactions in the dairy industry. response from cheese processors, notes Dairy Margin Protection Program has Protection Program established in the The International Dairy Foods As- the California Dairy Campaign (CDC), been extremely low above the cata- 2014 Farm Bill,” NMPF says. “Further sociation (IDFA) notes there were few a statewide membership association of strophic $4 margin level because the changes are needed to improve the pro- private sector bids offered and awarded family dairy farmers. margins in that program do not refl ect gram as an effective safety net, but such under an earlier solicitation from USDA “We appreciate that Secretary actual on-farm margins,” she says. changes go beyond the authority granted this summer. Vilsack is acting within his limited Meanwhile, the National Milk Pro- to USDA by Congress. We will continue “We are somewhat surprised that authority to address the ongoing dairy ducers Federation (NMPF) says the working with congressional leaders USDA is purchasing an additional crisis,” says Lynne McBride, executive cheese purchase will provide assistance to seek improvements to MPP.” CMN amount of cheese, given the results director, CDC. “But when the initial of the fi rst solicitation,” says Ruth cheese purchase was announced, we Saunders, vice president of policy and were concerned that it would not legislative affairs, IDFA. directly assist dairy farmers, and our USDA in late August announced plans concerns proved to be well warranted. We do more than just to purchase approximately 11 million We were surprised by the lack of the pounds of cheese, also valued at $20 response to the cheese purchase and move loads

WASDE at $14.20-$15.10. The 2016 Class IV price WOW’s Transportation ProProgramgram bbringsrings unmatchedunmatched valuevalue tthrough:hrough: forecast is $13.60-$13.80; the 2017 Class Continued from page 1 IV price forecast is $13.70-$14.70.  Skilled staff with decades of shishipper-sidepper-side The 2016 all-milk price forecast is experience – we know youryour challenges production forecast to 212.7 billion lowered to $15.80-$15.90, down from  PowerfulPowerful transportation managementmanagement pounds, up 500 million pounds from $16.10-$16.30 in last month’s report, technologytechnology to streamline data last month’s report. For 2017, USDA and the 2017 all-milk price forecast is is now projecting milk production will lowered to $15.55-$16.45, down from  In-house enengineersgineers to drive cost out ofof reach 217.3 billion pounds, an increase $16.15-$17.15. youryour supplsupplyy chain of 1.2 billion pounds from its forecast Dairy exports are forecast higher as last month. The higher cow inventories increases in Oceania prices and relative-  FSMA and food safetysafety expertise to protect youryour productproduct appear to refl ect growth in herds supply- ly low U.S. prices are expected to make ing expanding dairy product facilities, the United States more competitive in USDA says. world markets. Import forecasts for 2016 Because of the higher expected milk and 2017 are raised on higher expected supplies, USDA this month lowered its imports of butter and several other 800-236-3565800-236-3565 wowlogistics.comwowlogistics.com cheese price forecast for 2016 to $1.550- dairy products. The forecasts for end- $1.560 per pound, down from $1.600- ing stocks are reduced as lower prices $1.620 in last month’s report. In 2017, encourage increased demand from both USDA forecasts cheese will average in export and domestic markets. CMN For more information please visit www.wowlogistics.com the $1.510-$1.600 range, down from its forecast of $1.605-$1.705 last month. The 2016 butter price forecast is now $2.040-$2.070, down from $2.080- $2.120. In 2017, USDA forecasts butter in the $1.855-$1.975 range, down from THE STANDARD OF EXCELLENCE last month’s forecast of $1.955-$2.085. However, USDA says nonfat dry milk IN CHEESEMAKING SOLUTIONS (NDM) and whey likely will benefi t from increased competitiveness in export markets, and stronger exports will help Block Formersormers support prices of those products. Thus, RELCO provides a wide variety of cheese making the 2016 NDM price forecast is raised 20-60 Poundnd Flexibility to $0.825-$0.845, up from $0.810-$0.830 equipment and services for a comprehensive cheese last month, and the 2017 NDM price plant design. Our cheese-technology experts will design forecast is increased to $0.925-$0.995, ĂƉƌŽĐĞƐƐƚŚĂƚŝƐĐƵƐƚŽŵŝnjĞĚĨŽƌLJŽƵƌƐƉĞĐŝĮĐŶĞĞĚƐ͘ up from $0.890-$0.960 last month. The dry whey forecast for 2016 is increased Cheese Vats Cottage Draining/ Curd Tables to $0.270-$0.280, up from $0.260-$0.280, Cheese Vats Salting Belts and for 2017 it is increased to $0.330- $0.360, up from $0.295-$0.325. The Class III and Class IV price fore- casts are lowered from last month as lower cheese prices more than offset the higher whey prices in the Class III calculation USA | The Netherlands | New Zealand | Brazil | ++11 32320.231.221020 232 1 2210 | wwww.relco.netww relcoo nete and the lower butter prices outweigh the ® NDM price increases in the calculation THE RELCO ADVANTAGE of the Class IV price. The 2016 Class III © COPYRIGHT 2015 RELCO is a registered trademark and L-TECH is a trademark of RELCO, LLC. price forecast is now $14.30-$14.40 per hundredweight, and in 2017 is forecast For more information please visit www.relco.net © 2016 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]) 16 CHEESE MARKET NEWS® — October 14, 2016 NEWS/BUSINESS

ANALYSIS in trade deals” in last week’s issue of this kid of GI system. Parmesan, feta, must be rejected. Cheese Market News.) asiago and many other Wisconsin cheeses “Vermont makes some of the fi nest Continued from page 1 “The terms they used in the letter have won international acclaim, and they cheeses in the world,” Welch says. “This were that the European Union has should be able to compete fairly in the push to restrict common cheese names in Jim Mulhern, president and CEO, a pattern of ‘hostage taking’ in TTIP market.” use for hundreds of years in Vermont and NMPF, says the EU’s policies on GIs are (Transatlantic Trade and Investment Senate Ag Committee Chairman Pat around the globe is in reality an attempt not just a theoretical concern. They Partnership) negotiations,” Mulhern Roberts, R-Kan., says while there are le- to force competitors out of business.” already have affected the ability for says. “These common food names should gitimate uses for GIs, the EU’s approach CCFN Executive Director Jaime U.S. exporters to sell cheese in South not be hostages or pawns in any trade has been to block market access for U.S. Castaneda says these comments show Korea and other markets abroad. He agreement. We are heartened by Capitol products using common food names. the common food names issue is incred- adds that the U.S. dairy industry was Hill that they are reinforcing our position “This study shows what has been ap- ibly important to both Congress and the greatly encouraged when House Ways on common food names.” parent for some time,” Roberts says. “If executive branch. and Means Committee Chairman Kevin Other lawmakers also have stressed the U.S. gives in to the EU’s demands on “We appreciate the continuing ef- Brady, R-Texas, and Senate Finance the importance of protecting common GIs, it will have a signifi cantly negative forts of the vast majority of members of Committee Chairman Orrin Hatch, food names in trade agreements. impact on the U.S. economy — from Congress as well as Ambassador Michael R-Utah, sent a letter last week to U.S. “Europe’s plan to expand geographical dairy farmer to the local grocer to the Froman and Agriculture Secretary Tom Trade Representative Michael Froman indications will harm American farmers, consumer at home.” Vilsack to combat the illegitimate ap- raising concerns over Europe’s use of GIs. manufacturers and consumers,” says Rep. Peter Welch, D-Vt., who co- propriation of common food names,” (See “House, Senate committee leaders Speaker of the House Paul Ryan, R-Wis. chairs the Congressional Dairy Farmer Castaneda says. ‘troubled’ by EU attempt to include GIs “Open and free trade cannot occur with Caucus, agrees that Europe’s GI agenda While the protection of common names has been supported by U.S. trade and congressional leaders, it still is important to have tools such as this eco- nomic impact study to support negotia- tions, says USDEC President Tom Suber. “In the fi nal days of negotiations, with the intensity of issues that have not been settled in fi nal days, the pressure for concession is hard to underestimate,” Suber says. “This study was done to make the issues clear and to help our negotiators to have analytical backing in the fi nal days, should those come.” The 15th round of TTIP negotiations between the United States and EU took place last week in New York. Among the topics discussed at this round were rules of origin, intellec- tual property and agriculture, includ- ing market access and sanitary and phytosanitary (SPS) measures. CMN

Kuster’s recalls cheese due to potential Listeria

CAMDEN, Mich. — Kuster’s Inc., a dairy product wholesale retailer based in Camden, Mich., is voluntarily recall- ing 14,238 pounds of its shredded, sliced and cubed cheese after being notifi ed by its supplier, Farm Country Cheese of Lakeview, Mich., that the cheese has the potential to be contaminated with Listeria monocytogenes. The recall is the result of confi rma- tion from the cheese manufacturer of a possible contamination of the product received. Kuster’s Inc. has ceased pro- duction and distribution of the product as FDA and the company continue investi- gations. Kuster’s Inc. also is recalling any product that may have been processed on its manufacturing equipment after the cheese in question was processed. Products included in this recall in- clude: Sharp White Cheddar, Mozzarella/ Muenster/Provolone, Monterey Jack, Pepper Jack, Four Blend, Three Blend, Pepper Jack Cubes and Co-Jack Slices un- der the Kuster’s Dairy Foods, Fata’s Best and Nor-Tech Dairy labels. The cheese was distributed in Michigan, Indiana, Illi- nois, Ohio and Pennsylvania. No illnesses For more information please visit www.wdpa.net have been reported to date. CMN © 2016 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])