July 26, 2019

d's Dairy orl In W du e st h r t y

g W

i e

Since 1876 k r

e l

y S

NEW 2-PIECE DESIGN CHEESE REPORTER Precise shreds with Urschel Vol. 144, No. 6 • Friday, July 26, 2019 • Madison, Wisconsin USDA Details Product Purchases, US Milk Production Rose 0.1% In June; Other Aspects Of Farmer Trade Aid Second-Quarter USDA’s Ag Marketing vice (FNS) to food banks, schools, a vendor for distribution to indus- Output Down 0.1% Service To Buy $68 Million and other outlets serving low- try groups and interested parties. Washington—US milk produc- income individuals. Also, AMS will continue to tion in the 24 reporting states In Dairy Products, Starting AMS is planning to purchase an host a series of webinars describ- during June totaled 17.35 billion After Oct. 1, 2019 estimated $68 million in milk and ing the steps required to become pounds, up 0.1 percent from June Washington—US Secretary of other dairy products through the a vendor. 2018, USDA’s National Agricul- Agriculture Sonny Perdue on FPDP. Stakeholders will have the tural Statistics Service (NASS) Thursday announced details of the AMS will buy affected products opportunity to submit questions to reported Monday. $16 billion trade aid package aimed in four phases, starting after Oct. be answered during the webinar. The May milk production esti- at supporting US dairy and other 1, 2019, with deliveries beginning The products discussed in the mate was revised upward by 18 agricultural producers in response in January 2020. The products pur- FPDP plan will be distributed million pounds, so output was to trade damage from retaliatory chased can be adjusted between to states for use in the network down fractionally from May 2018, tariffs being imposed by several US phases to accommodate changes of food banks and food pantries rather than down 0.1 percent, as trading partners. due to growing conditions, prod- that participate in The Emer- initially estimated. The Food Purchase and Distri- uct availability, market conditions, gency Food Assistance Program Production per cow in the 24 bution Program (FPDP), Market trade negotiation status, and pro- (TEFAP), elderly feeding programs reporting states averaged 1,976 Facilitation Program (MFP) and gram capacity. such as the Commodity Supple- pounds for June, 15 pounds above June 2018. Agricultural Trade Promotion Pro- AMS will purchase known com- mental Foods Program, and tribes that operate the Food Distribution The number of milk cows on gram (ATP) are intended to assist modities first. By purchasing in Program on Indian Reservations. farms in the 24 reporting states agricultural producers while Presi- phases, procurements for commod- These outlets are in addition to in June was 8.778 million head, dent Trump works to address long- ities that have been sourced in the child nutrition programs such as 62,000 head less than June 2018 standing market access barriers. past, such as cheese and fluid milk, the National School Lunch Pro- and 12,000 head less than May CCC Charter Act authority will can be purchased more quickly and gram, which may also benefit 2019. be used to implement an up to $1.4 included in the first phase, USDA from these purchases, according to For the US as a whole, June billion Food Purchase and Distri- explained. USDA. milk production totaled 18.23 bution Program through USDA’s To expand the AMS vendor The FPDP rule provides flexibil- billion pounds, down 0.3 percent Agricultural Marketing Service pool and the ability to purchase ity for FNS to explore new chan- from June 2018. (AMS) to purchase surplus com- new and existing products, AMS nels of non-profit distribution of Milk production during the modities affected by trade retali- will ramp up its vendor outreach products, should the availability of April-June quarter totaled 55.75 ation, including milk and other and registration efforts. AMS has distribution through traditional billion pounds, down 0.1 percent also developed flyers on how the dairy products, for distribution by from the same quarter last year. process works and how to become • See Trade Aid Details, p. 11 USDA’s Food and Nutrition Ser- First-quarter milk production had been up 0.1 percent from a year FDA’s Yiannas Butterkäse Eyed As Ideal, Kid-Friendly earlier. The average number of milk Focusing On FSMA Artisan Cheese For Cooking, Snacking cows in the US during the second quarter was 9.33 million head, Madison—Butterkäse, a top terkäse is available in 5-pound Implementation, 15,000 head less than the January- cheese for kids and consumers blocks and 6-ounce retail cuts. March quarter and 89,000 head Smarter Food Safety who prefer a milder flavor, is also Sales of Roth Cheese Butter- less than the same period last year. Louisville, KY—In his new role as the key ingredient to a number of käse are trending upward in 2019, deputy commissioner for food pol- Wisconsin Master Cheesemakers’ with 10 percent growth year-to- • See June Milk Output, p. 10 icy and response at the US Food crowning grilled cheese recipes. date over the same period in and Drug Administration (FDA), Butterkäse – German for “but- 2018. Change In Milk Cows Frank Yiannas says he is focusing ter cheese” – is a semi-soft, cow’s “This cheese is a Wiscon- June 2018 vs. June 2019 “high-priority food safety issues milk cheese with a buttery flavor sin favorite due to its melt-in- in 1000 head and policies that cross boundaries and texture. The cheese is popu- your-mouth texture and mild, 29000 within FDA.” lar in and near its countries of approachable flavor,” said These include implementation origin, Germany and Austria, and Heather Engwall, vice president US production is almost exclu- of marketing, Emmi Roth. of the Food Safety Moderniza- 10000 tion Act (FSMA), coordination sively centered in Wisconsin. “Midwestern food culture is 9000 of food-related outbreak response, Production of Butterkäse is notably influenced by the Euro- 4000 and evaluation of new and emerg- small, with less than 500,000 pean heritage of many residents, ing technologies, Yiannas said in a pounds sold last year, according which is part of the reason why a -1000 speech at the annual conference of to Dairy Farmers of Wisconsin German-inspired cheese such as -7000-6000 -6000 the International Association for (DFW). Butterkäse is popular here,” Eng- -14000 Food Protection here Monday. Roth Cheese, Monroe, WI, wall said. While he is “fairly new” to FDA, has been making Butterkäse for Master Cheesemaker Bruce Yiannas noted that he’s not new to the past two decades and it is one Workman, owner of Edel- of the top 10 cheese varieties the -31000 • See Food Safety At FDA, p. 25 company produces. Roth But- • See Butterkäse, p. 22 CA WI ID MN CO TX VT OH NY PA Page 2 CHEESE REPORTER July 26, 2019

Past Issues Read this week’s issue EDITORIAL COMMENT or past issues of Cheese Reporter on your mobile phone or the widespread consumption of tablet by scanning this QR code. industrially produced trans fat is DICK GROVES Cheese Reporter Publishing Co. Inc. ©2019 considered to have been responsible for 6 percent to 19 percent of all 2810 Crossroads Drive, Suite 3000 Publisher / Editor coronary heart disease events in the Madison, WI 53718-7972 US in 2006, the analysis noted. (608) 246-8430 • Fax (608) 246-8431 Cheese Reporter http://www.cheesereporter.com e: [email protected] DICK GROVES tw: @cheesereporter Publisher/Editor e-mail: [email protected] 608-316-3791 We’re Just Starting To Learn About Health Benefits Of Dairy MOIRA CROWLEY These days, it’s not all that diffi- have a low micronutrient content BMJ stated. Among other things, Specialty Cheese Editor e-mail: [email protected] cult to find folks who are skeptical and large amounts of added sug- not all saturated fatty acids are 608-316-3793 about how important dairy prod- ars.” equal, and cannot be viewed as one KEVIN THOME ucts are from a nutritional stand- Dairy products, meanwhile, homogeneous group with regard to Advertising & Marketing Director point. What’s interesting is that, contain multiple nutrients and effects of diet on disease risk. e-mail: [email protected] as the skeptics seem to be getting contribute significantly to meet The analysis also pointed out 608-316-3792 louder and garnering more atten- the nutritional requirements for that, historically, the focus on BETTY MERKES Classifieds/Circulation Manager tion, the research is solidifying the protein, calcium, magnesium, reducing saturated fat led to the e-mail: [email protected] importance of milk and dairy prod- phosphorus, potassium, zinc, sele- proliferation of industrially pro- 608-316-3790 ucts in a nutritious diet. nium, vitamin A, riboflavin, vita- duced food products low in fat, REGULAR CONTRIBUTORS: We were reminded of this point min B-12, and pantothenic acid, saturated fat, and cholesterol and Jen Pino-Gallagher, Bob Cropp, Neville by the review, recently published the review pointed out. to the dissemination of products McNaughton, Dan Strongin, John Umhoefer Many of the beneficial effects based on technologies to replace You can e-mail our contributors at: in Advances in Nutrition and cov- [email protected] ered in a story appearing in our of milk and dairy products are saturated fat. One example is July 12th issue (page 21) that con- “likely due to interactions between the production of margarine and The Cheese Reporter is the official cluded, among other things, that the nutrients and not only to the spreads based on partial hydroge- publication of the following associations: adequate consumption of milk action of each of these nutrients nation of vegetable oils, which California Cheese & Butter Association and dairy products at different separately,” the review noted. increased the content of trans fatty Lisa Waters, acids from zero to up to 40 percent 1011 Pebble Beach Dr, Clayton, CA 94517 life stages can help prevent and/ At least twice in the review, or control various chronic diseases. there is a reference to the need for of total fat. Central Wisconsin Cheesemakers’ and Buttermakers’ Association The study reviewed worldwide further research on the role of dairy And the widespread consump- Jim Mildbrand scientific literature on the role of products in health. One of those tion of industrially produced trans [email protected] dairy products in health and in suggests that further research is fat is considered to have been Cheese Importers Association of America the prevention of chronic diseases, “urgently needed” to compare the responsible for 6 percent to 19 204 E St. NE, Washington, DC 20002 including cardiovascular disease, impact of lowfat with regular- and percent of all coronary heart dis- Eastern Wisconsin Cheesemakers’ and metabolic syndrome, and type high-fat dairy on cardiovascular- ease events in the US in 2006, the Buttermakers’ Association Barb Henning, Henning’s Cheese 2 diabetes. It also examined the related clinical outcomes. analysis noted. Recommendations 21812 Ucker Road, Kiel, WI 53042 effects of dairy products on growth, Coincidentally, on the same day to reduce intake of total saturated International Dairy-Deli-Bakery Association bone mineral density, generation that Advances in Nutrition review fat without considering specific 8317 Elderberry Road, Madison, WI 53717 of muscle mass, and during preg- was released, experts in The BMJ fatty acids and food sources are not Missouri Butter & Cheese Institute nancy or breastfeeding. called into question the advice to based on evidence and will distract Terry S. Long, 19107 Factory Creek Road, Keep in mind that this review reduce intake of total saturated fat from other, more effective, food- Jamestown, MO 65046 was published during a period and replace it with unsaturated fat based recommendations. Nebraska Cheese Association when, as reported on our front to curb levels of chronic disease Taking these two studies/anal- Ed Price, Fremont, NE 68025 page last week, sales of plant- and prevent deaths. This analysis yses together, we can conclude New York State Cheese Manufacturer’s Assn based foods are continuing to post was also covered in a story in our at least three things. First, dairy Kathyrn Boor, 11 Stocking Hall, Cornell University, Ithaca, NY 14853 impressive gains. New data from July 12th issue (page 8). products contribute importantly the Plant Based Foods Association Draft World Health Organi- to meet nutritional requirements North Central Cheese Industries Assn Lloyd Metzger, SDSU, Box 2104, and the Good Food Institute shows zation guidance, published for for a wide variety of vitamins and Brookings, SD 57007 that retail sales of plant-based foods consultation in May 2018, recom- minerals, but it may very well be North Dakota Cheese Makers’ Assn reached $4.5 billion over a recent mended reducing intake of satu- that many of the beneficial effects Chuck Knetter, Medina, ND 58467 12-month period, up 11 percent rated fatty acids, which are found of dairy products are due to the Ohio Swiss Cheese Association from a year earlier, and that sales in foods such as hard cheese and interactions between those vita- Lois Miller, P.O. Box 445, increases for several plant-based butter, and replacing it with poly- mins and minerals. Sugar Creek, OH 44681 dairy alternatives greatly exceeded unsaturated and monounsatu- Second, the major perceived South Dakota State Dairy Association Howard Bonnemann, SDSU, Box 2104, that growth rate. rated fatty acids to reduce rates of nutritional shortcoming of dairy Brookings, SD 57007 The review published in chronic disease and related deaths. products has long been saturated Southwestern Wisconsin Advances in Nutrition noted that, The WHO draft guidance relies fat, but saturated fatty acids con- Cheese Makers’ Association currently, there is growing skep- “heavily” on a meta-analysis of 84 tained in dairy and other food Myron Olson, Chalet Cheese Coop, ticism about the health benefits randomized controlled trials that products can’t be viewed as one N4858 Cty Hwy N, Monroe, WI 53566 of dairy products, which trans- tested the effect of modifying satu- homogeneous group with regard to Wisconsin Association for Food Protection lates into an increased intake of rated fat intake on serum lipid and effects of diet on disease risk. Bob Wills PO Box 620705, Middleton WI 53562 plant-based drinks derived from lipoprotein concentrations. But And third, we’re only beginning Wisconsin Cheese Makers’ Association soy, almonds, oats, rice and other this approach, which focuses on to learn about all the health ben- John Umhoefer, 5117 W. Terrace Dr., plants. But generally, these plant- total saturated fatty acids, ignores efits of dairy products. Suite 402, Madison, WI 53718 based drinks “are of low nutritional food sources, and uses surrogate Cheese Reporter welcomes letters to the Wisconsin Dairy Products Association density, contain proteins of rela- endpoints, is problematic for sev- Brad Legreid, 8383 Greenway Blvd., editor. Comments should be sent to Dick Middleton, WI 53562 tively lower biological value, and eral reasons, the analysis in The Groves, at [email protected].

CHEESE REPORTER (Publication Number: ISSN 0009-2142). Published weekly by Cheese Reporter Publishing Co. Inc., 2810 Crossroads Drive, Suite 3000, Madison, WI 53718-7972; Phone: (608) 246-8430; Fax: (608) 246-8431. Subscriptions: $140.00 per year in USA; Canada and Mexico: $195.00 per year; other foreign subscribers, please write for rates. Advertising and Editorial material are copyrighted material. Any use without publisher’s consent is prohibited. Cheese Reporter does not endorse the products of any advertiser or any editorial material. POSTMASTER: If undeliverable, Form 3579 requested. Periodicals postage paid at Madison, WI. Address all correspondence to: Cheese Reporter, 2810 Crossroads Drive, Suite 3000, Madison, WI 53718-7972 July 26, 2019 CHEESE REPORTER Page 3

hundredweight assessment that committed to creating a platform California Dairy Groups To Collaborate Grade A producers have to pay on for sharing ideas on quota and the On Addressing State’s Quota Program their milk under the QIP. Quota Implementation Program. The QIP provides that anyone California Dairies, Inc., Land Sacramento, CA—The United The quota program required quota seeking substantive amendments O’Lakes and Dairy Farmers of Dairy Families of California, Cali- holders to deliver milk to a pool or termination of the QIP must do America are the three dairy coop- fornia Dairies, Inc., Land O’Lakes, plant at least once every 60 days. so by submitting a petition to the eratives that originally petitioned Dairy Farmers of America and the Quota could be bought and sold, CDFA signed by at least 25 per- USDA, in February of 2015, Stop QIP organization last week and according to California fed- cent of market milk producers. requesting that the agency call a announced a multi-phase process eral order hearing record evidence, Earlier this year, the Stop QIP hearing to promulgate a federal aimed at soliciting and analyzing approximately 58 percent of Cali- coalition submitted a petition to order for the state of California. industry input on California’s his- fornia dairy farms owned some vol- the CDFA to terminate the QIP. Under the co-ops’ original pro- toric milk quota program. ume of quota in 2015. That petition was signed by 285 posal for a California federal order, Included in this process is a After the California federal market milk producers. the California state quota sys- series of meetings, starting next order was established, the Cali- Per the procedures for handling tem was to remain intact and be week, open to all dairy producers fornia Department of Food and petitions, the CDFA performed administered by CDFA. USDA’s and other interested parties. These Agriculture (CDFA) started to a review of the petition and final decision found that the quota meetings are intended to solicit administer a stand-alone Quota determined that the 25 percent program should remain entirely various pathways for the state’s Implementation Program (QIP) threshold had not been achieved. within the jurisdiction of CDFA, quota program. under which virtually all market Therefore, the petition was not and that its proper recognition The first phase of this process, milk is assessed to fund a premium referred to the Producer Review under the proposed California the “Think Tank” phase, is for paid on quota milk. Board. federal order would be through an information-gathering from vari- The Stop QIP Tax Coalition is United Dairy Families of Cali- authorized deduction from pay- ous segments of the dairy industry. seeking to remove the 38-cent per fornia is a group of dairy farmers ments due to producers. This will include four meetings: —Tuesday, July 30, 2:00-4:00 p.m., Embassy Suites, Ontario, CA. —Wednesday, July 31, 9:00- 11:00 a.m., Heritage Complex, Tulare, CA. —Wednesday, July 31, 2:00- 4:00 p.m., Turlock Ballroom, Tur- lock, CA. —Thursday, Aug. 1, 9:00-11:00 a.m., Washoe House, Petaluma, CA. At these meetings, producers will be able to voice their opinions and contribute ideas or concepts. The second phase of this process, the “Producer Feedback” phase, will allow producers to comment and challenge the ideas developed in the “Think Tank” phase. And in the “Analysis” phase, dominant ideas from the “Producer Feedback” phase will be analyzed for economic impacts and legal pathways to adoption will be determined. This process will be implemented with the assistance of Dr. Marin Bozic, president of Marin Bozic LLC and an assistant professor in the department of applied economics at the University of Minnesota; and Matt Gould, editor and analyst with the Dairy & Food Market Analyst. Meeting space is limited. Par- ticipants are encouraged to register at www.dairyfamilies.org/events. Prior to the establishment of the California federal milk marketing order late last year, the California quota program was a state-administered producer program that entitled the quota holder to $0.195 per pound of solids-not-fat above the California State Order (CSO) base and overbase price of milk, the US Department of Agriculture (USDA) noted in its final decision to establish a California federal order. The quota premium was funded by a deduction from the CSO marketwide pool before the CSO overbase price was calculated. For more information, visit www.tetrapakusa.com Page 4 CHEESE REPORTER July 26, 2019

Many Factors Point To Higher Milk Prices Dr. Bob Cropp is a Professor Emeritus at the University of from our Dairy Situation & Outlook by Bob Cropp Wisconsin-Madison Milk production running below a growth. Domestic disappearance June, but were 2.6 percent lower archives year ago, modest growth in dairy January through May was 4.3 per- than a year ago. American cheese product sales, dairy exports while cent higher than a year ago for stocks declined from May to June 50 YEARS AGO lower than a year are still support- butter and 1.4 percent higher for and were 1.9 percent lower than a July 26, 1969: Madison—The ive of milk prices and improved cheese. year ago. 1969 version of World Food dairy stocks levels are all contrib- The volume of dairy exports Other cheese stocks also Expo will include a revised, more uting to a continued improvement continues below a year ago. But, declined from May to June, but compact edition under the new in milk prices. nearly all of the reduced volume were still 2.2 percent higher than name World Dairy Expo and The July Class III price will be came from lost sales to China. a year ago. This resulted in total Mid-America Festival of Fun & near $17.40, up about $3.50 from Sales to China of skim milk pow- cheese stocks declining from May Food. The show will be shorter the $13.89 low back in February. der, cheese, butterfat, whey prod- to June, but were just 0.5 percent than the two previous events, The Class IV which was $15.48 ucts and lactose were down 67 lower than a year ago. and will have more food and fun back in January will be near $16.90 percent in May. Milk production is likely to to interest the youngsters. in July. And milk prices should continue below a year ago for the continue to improve during the remainder of the year. USDA is Storrs, CT—Blue cheese, which reminder of the year. Butter and cheese sales forecasting milk production for has been popular in the US since USDA’s estimated US milk pro- should continue to show the year to be just 0.3 percent the end of World War II, has duction for June 0.3 percent lower above a year ago. That is positive actually been made in this coun- than a year ago. Milk cow num- growth particularly during for improved milk prices. Butter the fourth quarter try since the turn of the cen- bers declined by 10,000 head May and cheese sales should continue tury, with subtle changes over to June and were 91,000 head or to show growth particularly during the years to satisfy customers. 1.0 percent lower than a year ago. the fourth quarter for Thanksgiv- In 1911, experimental work was Milk per cow was 0.6% higher. Nevertheless, according to ing and the holidays. first conducted here to develop In the West milk production was the US Dairy Export Council for Cheese exports are forecasted a blue mold cheese from cow’s lower by 4.6 percent in Arizona the first five months of the year, to continue to run above year ago milk. and 2.8 percent in New Mexico, overall volume of exports is on levels. US eliminated its tariffs on but up by 1.2 percent in California, track for the third best year ever, aluminum and steel from Mexico 2.0 percent in Idaho, 5.6 percent in only trailing the pace of 2018 and and in turn Mexico eliminated its 25 YEARS AGO Texas and 6.0 percent in Colorado. 2014. tariff on US cheese which should July 22, 1994: Plain, WI— In the Northeast milk production Compared to May a year ago be positive for exports by fourth Cedar Grove Cheese, Inc., was up 2.2 percent in Michigan exports were lower by 9 percent for quarter. which several months ago pio- and just 0.2 percent in New York, nonfat dry milk/skim milk powder, These factors are bullish for milk neered the voluntary labeling but down 6.5 percent in Pennsyl- 41 percent for butterfat, 29 percent prices. The Class III price should of cheese products free of BST/ vania and 4.6 percent in Ohio. In for whey products and 14 percent be in the mid to high $17’s for the BGH, this week broke ground the Midwest milk production was for lactose, but up 11 percent for remainder of the year with $18 on a building project that will up just 0.8 percent in Minnesota, cheese. Cheese remains the bright a real possibility fourth quarter. double the size of its production and 0.9 percent in South Dakota, spot for exports. While cheese to However, unless dry whey prices facility here. The project will but down 0.5 percent for both Iowa Mexico, the largest market was increase from their current $0.3425 add manufacturing, packaging, and Wisconsin. In the Southeast down 7 percent, exports to South- per pound, cheese needs to be cooling and retail space. production was down 3.0 percent east Asia, Japan and South Korea about $1.90 per pound to get to in Florida and 8.1 percent in Vir- were well above a year ago. $18. Currently Cheddar barrels are West Allis, WI—John Kovach ginia. On a total solids basis May $1.7125 per pound and 40-pound of Land O’Lakes Dairy Foods, Fluid (beverage) milk sales exports were equivalent to 14.7 blocks are $1.7925 per pound. Kiel, WI, won the Governor’s continue to decline with Janu- percent of milk production. Sweepstakes Award for Cheddar The views, thoughts and opinions here this week at the Wiscon- ary through May down 1.8 per- The dairy stock situation con- expressed by Cheese Reporter columnists sin State Fair Cheese & Butter cent from a year ago. Butter and tinues to improve. Butter stocks are theirs alone, and do not necessarily cheese sales continue to show as normal increased from May to reflect the views of the Cheese Reporter. Contest. Ron Sullivan of Old Wisconsin Cheese, Platteville, took first place in the Swiss category.

10 YEARS AGO July 24, 2009: Fairview, NC—Looking Glass Creamery, a new southern artisan goat cheese operation, was able to offset size- able start-up costs through a new pasteurizer loan program offered by the North Carolina Department of Agriculture. Just six months into operation, the start-up required seven years of planning, education, apprenticeship and patience for head cheese maker and owner Jennifer Perkins.

Websterville, VT—Just as the Vermont Butter & Cheese Com- pany celebrates 25 years of business, co-owner Allison Hooper is also announcing the launch of her new cookbook, In A Cheesemaker’s Kitchen. The book is an homage to 25 years of making and cooking with cheese. For more information, visit www.ivarsoninc.com July 26, 2019 CHEESE REPORTER Page 5

to fall 4 percent due to reduced duction costs per ton for WMP are China’s Milk Production Growing, But supplies from New Zealand, the 10,000 RMB (US$1,500) higher Not As Fast As Dairy Consumption report said. In the first five months than imported products. of the year, imports from New Zea- The continued increase in Washington—China’s 2019 milk restaurants, hotels, and the bak- land were down over 30 percent. imported WMP also limits domes- production is forecast at 33 million ing industry account for most China’s 2019 production of tic production, the report noted. metric tons, up 2.3 percent from cheese consumption. In particular, skim milk powder will be 15,000 Milk production is expected to 2018, thanks to higher domestic the baking industry accounts for tons, 25 percent lower than 2018. increase in major dairy producing prices, combined with the cumula- almost all cream cheese consump- China produces little SMP, due countries during 2019, except Aus- tive changes from the consolida- tion. Although high-end grocery to the widespread availability of tralia, and thus imports of WMP tion and modernization of China’s stores now stock a wide variety of cheaper SMP internationally. are expected to similarly rise in dairy industry, according to a recent fresh cheeses from across the globe, SMP imports this year are pro- 2019. Imported whole milk pow- report from USDA’s Foreign Agri- home consumption is still limited. jected to be 305,000 tons, rep- der also enjoys a longer shelf life cultural Service (FAS). Although China does not pro- resenting an 11 percent increase than domestic WMP — two years However, consumption growth vide official statistics on butter from 2018. versus one year. will continue to outstrip domestic production, industry estimates that Whole milk powder production The 2019 whole milk powder supply, driving increased imports 10,000 metric tons of butter are in China is projected to decrease import forecast for China remains of fluid milk, whole milk powder produced domestically in China. this year to 600,000 metric tons, unchanged at 600,000 tons in and skim milk powder. All of that production is consumed about 0.5 percent lower than 2018. 2019, about 15.1 percent higher As Chinese consumers’ incomes domestically by China’s baking Converting domestically produced than 2018. Currently, New Zea- rise, they are seeking out higher industry, the report noted. fluid milk to WMP is not profit- land dominates the import market quality dairy products, the report China’s butter imports in 2018 able due to the availability of with an 88 percent market share, noted. Pasteurized milk and yogurt hit a record high of 113,000 metric lower-priced WMP from the inter- followed by Australia with a 1.6 consumption have become the tons. In 2019, imports are forecast national market. Domestic pro- percent market share. majority of this demand growth, especially in first and second tier cities. According to industry data, pasteurized milk and yogurt consumption will maintain double- digit growth rates in China over the next three years. China’s fluid milk imports are forecast to increase to 700,000 tons this year, representing a 4 percent increase over 2018. The primary fluid milk import to China is UHT milk. Although import volumes will continue to rise, the growth has slowed considerably. Fabrication & Installation China is expected to produce roughly 40,000 metric tons of Precision equipment cheese in 2019. Based on indus- Hands-on expertise in layout, try reports, a portion of this pro- manufactured for equipment installation & duction includes the reprocessing of imported natural cheeses. The durability & performance | project coordination current processed cheese standards require processed cheeses to contain at least 15 percent natural cheese, FAS noted. Chinese cheese imports are forecast at 119,000 metric tons in 2019, representing a 10-percent increase from 2018. Strong growth from Australia, New Zealand, and the European Union (EU) will offset declines from the US and other countries, FAS reported. China’s largest cheese imports are Mozza- rella, Cheddar, and Cream cheese. Cheese consumption in China We fabricate a broad range of high-quality specialized equipment for our is growing quickly, FAS noted. customers using precision stainless steel construction and unparalleled design One industry expert reports that in expertise. From a single tank to a total system, our in-house fabrication team has 2019, sales of cheese were approximately $790 million and would the experience, knowledge and equipment to deliver durable, quality increase to $1.5 billion within the products that perform and last. next five years. Current per capita consumption is still far below For every installation, our staﬀ of experienced ﬁeld technicians and project Western diets, but is growing. superintendents are on site to ensure your project meets the standards you expect While Chinese consumers strongly associate yogurt and fresh within the timeline you have budgeted. Our commitment to your complete milk with health and nutrition, customer satisfaction is backed by our dedication to product and service quality, cheese enjoys a less strong associa- on-time delivery, and support and service after project’s completion. tion. Cheese is widely promoted as a convenient source of protein, but the salt and fat content are important considerations for many Chi- nese consumers. www.APT-INC.com The majority of cheese in Employee Owned and Operated with locations in Minnesota | Idaho | California China is consumed outside the home. Fast food restaurants, pizza For more information, visit www.APT-Inc.com Page 6 CHEESE REPORTER July 26, 2019

ties. Companies are fighting over dairy farms in Wisconsin will milk, paying very high milk prices NEVER drop below 5,000 dairy Dairy Cows: and plants are less profitable and farms. Let’s Do The Math start to close. With Wisconsin dairy farmers in At the end of 2029 (just 10 years pain from the last five years of low from now), at the current rate of milk prices, it will take some real JIM CISLER attrition, there could be fewer than effort to keep them going as a good Dairy Consultant/Owner 1,500 dairy farms left in Wiscon- chunk of equity has been lost by Dairy Assets, LLC sin. Even if the average herd size many of them. [email protected] grows to 500 dairy cows (which is unlikely), that amounts to only Recently, it was announced that 1. At the end of 2019, the projec- 750,000 dairy cows. “at the current rate of the upcoming Farm Aid concert tion is that Wisconsin will have less Then the Wisconsin dairy attrition, there could be industry has a huge problem. It is will be held in Wisconsin for only than 7,500 dairy farms fewer than 1,500 dairy 2. Over the last three years, Wis- too late to change course at that the second time in the 35-year his- farms left in Wisconsin... tory of the annual event to raise consin is averaging a loss of 600 point. The train wreck has already money for farmers in need. dairy farms per year happened. Then the Wisconsin dairy 3. The current herd size in Wis- Currently, there seems to be industry has a huge This year, the goal of the event consin is approximately 175 dairy is to increase awareness of the little urgency from Wisconsin citi- problem.” cows (this has been growing by zens, government or the industry plight of Wisconsin dairy farmers. about 15 cows/year) Willie Nelson, his friends and 4. Currently, there are approxi- itself to notice that this is nearing organizers of this fundraiser must mately 1.3 million dairy cows in Wis- the point of no return. John Mellencamp’s (another be aware that in the last five years, consin Even if it happens slower than Farm Aid performer) song, “Rain the average annual Class III milk Now let’s forward these num- these projections, in 20 years with- on the scarecrow, blood on the price has not exceeded $17.00 per bers five years and see what they out intervention, it could be a near plow” may be coming to fruition, hundredweight of milk and the look like: At the end of 2024, if dead industry. Bye-bye Cheeseh- but let’s do everything we can to average since 2014 is $15.30 per 600 dairy farms continue to be lost eads. avoid that from happening and hundredweight. So, the question each year, there are 4,500 dairy There is only a very short win- keep Wisconsin’s dairy farms farm- is, how dire are the straits of the farms left in Wisconsin. dow of time to react to keep the ing. Wisconsin dairy industry? The best assumption on herd Wisconsin dairy industry headed See part 2 of this article next Growing up on a family dairy size is it will grow to about 250 in a positive direction by ensuring week, for insights on solutions farm in northeast Wisconsin, I cows per farm. Let’s assume this the longevity of as many Wiscon- to this dilemma and what can be saw most good dairy farmers (my might be faster and say it is 275 sin dairy farms as possible. done to address this potential prob- father included) had a pocket-sized cows per farm. This is still about Today, it may seem like the Wis- lem on the near horizon. ringed notebook with the stubby 1.2 million dairy cows, so milk pro- consin dairy industry is in good pencil stored in the ring that was duction should hopefully be main- shape. We are producing more Jim Cisler has worked in the Wis- consin dairy industry his entire life. tained. milk and cheese than ever before. used to make notes, write down Since 2012, he has been a dairy con- projects and to do simple math cal- However, beyond this, the However, without milk that comes sultant through his company, Dairy culations. This was before the time eventual problem becomes more from Wisconsin dairy farms in the Assets, LLC. of pocket calculators and much less noticeable. future, the Wisconsin dairy indus- Jim Cisler’s columns will appear at cell phones with built-in calcula- Let’s look just two more years try is going to be in trouble in five www.cheesereporter.com/GuestCol- tors. When needed, you did some beyond: At the end of 2026, there to 10 years. umns/Cisler.htm are only 3,300 dairy farms left. ciphering to determine the correct As an industry, we cannot wait The views, thoughts and opinions answer. The answer as to whether Even if the herd size grows to 325 until we reach 5,000 dairy farms expressed by Cheese Reporter columnists the Wisconsin dairy industry is in dairy cows per farm, this drops the to react, because by then it will be are theirs alone, and do not necessarily trouble or not is a simple math cal- cow number to just over 1 million too late. We can’t avoid the train reflect the views of the Cheese Reporter. culation. dairy cows. wreck coming ahead at that point. Before running the numbers, All of a sudden, milk production We need to say TODAY, that let’s first look at some of the impor- has started to tighten and run short we will do everything in our power tant current data: to fully fill all the processing facili- NOW to ensure the number of IMCD To Market Lactips’ Plastic Superior ingredients. Innovative solutions. ©2019 Agropur MSI LLC Pellets Based On Milk Protein Saint Jean-Bnnefonds, France— Lactips, the creator of what the company describes as the first fully biodegradable plastic-free material, and IMCD Group, a global distributor of specialty chemicals and food ingredients, have entered a Contact us today. distribution partnership to market To learn how our Capstone® anti-caking agents and Lactips’ water-soluble, 100 percent Keystone® stabilizer systems can be custom formulated to biobased and fully biodegradable meet your exact application and label needs. raw materials. Lactips produces water soluble and biodegradable thermoplastic agropuringredients.com pellets based on milk protein. The [email protected] pellets will be used by the company’s clients as a raw material for thermoforming, films, or any kind of plastic applications. Lactips, a young, French company in the area of biodegradable plastics, focuses on the development of the film material technology based on technical casein obtained from excess of milk pro- For more information, visit www.agropuringredients.com tein production. July 26, 2019 CHEESE REPORTER Page 7

audience much faster and to build “So, in addition to having so Dairy Experience Forum Focuses On brand loyalty much more quickly many consumers for our products, Generation Z, E-Commerce, Exports than traditional brick-and-mortar the world needs and wants dairy,” stores. Research shows once a con- Vilsack said. St. Paul, MN—Almost 400 dairy development leaders from Associ- sumer buys a product online, they Sustainability continues to be farmers, processors and others ated Milk Producers, Inc. (AMPI), are likely to purchase it. an important driver for consumers, attended the second annual Dairy General Mills and Sartori Cheese Tom Vilsack, president and CEO and the Generation Z focus group Experience Forum here last week discussed the need for consistent of the US Dairy Export Council, participants, as well as several with the goal of sparking disruptive and spontaneous innovation in shared insights about today’s global speakers, discussed how farmers innovation to drive the industry order to spark brand love. consumer and the opportunity for are the solution for sustainability forum. Another forum topic was e-com- dairy to meet the needs of con- issues, not the problem. The forum is hosted by Midwest merce and how it is both changing sumers around the world, which is On the front lines and with a Dairy and Dairy Farmers of Wis- the way consumers shop for their essential as the world’s population deep investment in animal and consin. food and also how they discover continues to grow at a rate of 1.07 land stewardship, dairy farmers can “Last year’s forum challenged us new products. With online food percent a year, equaling approxi- address root sustainability issues to dive deep into how we can put sales expected to keep growing in mately 82 million people. like water usage, greenhouse gas the consumer above everything the years ahead, there is oppor- “Roughly 95-97 percent of the emissions, caring for the earth and else and provide an excellent dairy tunity for dairy as consumers will world’s population lives outside animal welfare, speakers noted. experience,” said Lucas Lentsch, continue to seek out foods that are the US and that is a population While this is an everyday mis- CEO of Midwest Dairy. “This year’s fresh, local, convenient and align that continues to grow,” said Vil- sion for dairy farmers, speakers forum was designed to take that with their values. sack. “It’s a younger population in challenged farmers to proactively discussion to the next level and While the process for discov- developing and developed coun- share the stories about how they equip us with insights and tools to ering these foods might look dif- tries where incomes are rising, the are caring for the world in tangible pave the way for disruptive dairy ferent in the future, e-commerce middle class is expanding, and cit- ways in order to better connect innovation. is very exciting as it allows niche ies are growing. There is a tremen- consumers with the truths about “Our hope is that attendees take products to reach an even larger dous demand for dairy protein. dairy farming and sustainability. what they learned and bring it to their local/industry groups, boards, co-ops, and other partners to challenge the status quo thinking.” Lentsch said. Among the highlights of the event, sponsors said, was a live Generation Z consumer focus group of eight young adults ages 18 to 21 that discussed how their generation’s personal values and perceptions of food impact how they make purchasing decisions. While Generation Z (born between 1996 and 2010) has some similarities to the Millennials who preceded them, they are also very different. Overall, the group identified themselves as skeptics, career-focused, more protective of their social media exposure, concerned about equality and driven to make the world a better place. Given their on-the-go-life- styles, convenience is a top priority, which provides numerous untapped opportunities for dairy to innovate and create products that will fit consumers’ ever-changing needs. “It is essential that we think about the values of Gen Z now in order to establish trust and brand loyalty among a generation that will have huge buying power in the years to come,” Lentsch said. “As an industry, we need to pay attention to what they care about and be proactive in creating innovative products that meet their needs, instead of being reactive and missing opportunities. “Gen Z is setting the trends today that other generations will follow tomorrow, so it is essential that dairy is part of that conversation,” Lentsch added. Lentsch also hosted an Innova- tion Panel, which reinforced that in order to truly innovate, the dairy industry needs to tap into the consumer mindset and establish a type of brand love for dairy. During this panel, marketing and product For more information, visit www.loosmachine.com Page 8 CHEESE REPORTER July 26, 2019

Cheesemarketing Practice Registration of producers will be The new regulations integrate less bureaucratic. Production and federal, state, and local municipali- control will be less costly for pro- ties for regulating artisanal produc- A Sea Change In ducers who register. ers. It creates a unified approach to food safety: an elegant balance International Trade between the requirements of good No one is better at food policy:  safety, Dan Strongin strategic planning than all too obvious the French are tar-  consumer demand, ASQ CMQ/OE geting South America. the French Dairy Industry.  local independence, Uncorporate Two things happened this Their only avenue to  economic impact on small Consultant month: growth is international. producers, 1. A new accord between Mer-  and hard science. The ground has shifted. Is it cosur, (the commercial trade zone), The US was their first The first standard to fall by the because of the recent American and the European Union, laboratory. They have wayside is the 60-day rule for matur- flirtation with punitive tariffs? Or 2. The Brazilian President taken what they learned, ing raw milk cheese. It is not based is it a natural evolution as the rest approved final regulations for arti- applying it to emerging on current science. Producers who of the world works its way towards sanal food production from animal have proven the safety of their prod- economic parity with the United sources. markets.... The United uct will be able to sell it nationwide. States? Countries looking solely to Both break the longstanding States is not. Good Practices will trump arbitrary the United States to export to are habit of copying US regulations. standards. (In Brazil, some artisanal looking elsewhere. They clearly illustrate the chang- Raw Milk Fresh Cheeses already The 2009 FAO report “Agri- ing focus of foreign trade. The era The regulations are groundbreak- meet this standard.) culture at a Crossroads” changed of United States policy dominance ing. They are an example of good Seven decades ago, regulations food policy. Emerging countries are is ending. We are entering a more public policy. Everyone involved forced a 350-year-old Brazilian innovating how they regulate small dynamic, independent, and com- in the problem sat together to hash tradition into the shadows. The family farm production. petitive world marketplace. out the plan. The approach was to lights are back on, but much work What does this mean for the The Brazilian law, called the collaborate in defining these food remains. Good farming and man- American Cheese Industry? Too law of the “Selo Arte,” allows for safety regulations. The regulations ufacturing processes are not the early to tell, but it wise to keep our the sale of Artisan Foods of Ani- stand on science, and, underscore rule. Economic incentives to adopt eyes open. The French are. Their mal Origin throughout Brazil. the importance of traditional foods them will be in place. cheese industry has had its sights Good Manufacturing and Farm- to countries like Brazil. At the same time, a new EU on the South American market for ing practice will replace reliance In the 1950s, the American and Mercosur agreement opens the decades. Recently, it has become on inspection and standards only. model of food safety marginalized South American market. France small artisanal foods. The FDA will be able to export many tons wrote regulations for industrial of specialty cheese to the region, production. The US had lost many without paying tariffs. small producers. Too few remained Some see this as a threat. It to use to develop a separate policy does not have to be. A glance at 1933 Cofrin Drive Green Bay, WI 54302 [email protected] what happened with the French 920.468.6261 www.fiberglasssolutions.us for artisanal or small-scale production. Then the world copied those specialty cheese invasion of US regulations. supermarkets shows it increased Copying regulations developed per capita consumption. The inva- by and for industry pushed more sion paved the way for American ● Brining Systems & Design than 170,000 small producers into Artisan Cheese at the beginning ● Fiberglass Tanks ● Sanitary Wall & Ceiling Systems the shadows in Brazil. It led to the of this century. ● Spray Systems But to compete against the for- ● Brine Tank Ladders & Covers dominance of industrial product in ● Refurbish & Repairs the marketplace. Nothing against midable French, the countries of ● Solutions through Fiberglass mass production, but a healthy South America will have to plan. No one is better at strategic plan- For more information, visit www.fiberglasssolutions.us market needs both. ning than the French Dairy Indus- try. They have to be. Per capita consumption in France has been maxed out since the 1990s. Pack- aging innovation has run its course. Their only avenue to growth is international. The US was their first laboratory, starting in the 1970s. They have taken what they learned, applying it to emerging markets like South America. The United States is not. The countries targeted are not. The French are elegantly but avidly commercial, and are good at it. Hobbled by protectionist policies, the US is about to cede a con- siderable opportunity to Europe. And, fractured by years of regulatory oppression, small producers in the region must wake up. They need a strategy before the French consume the available shelf space in their markets, reminding you that my second column in this publication, 12 years ago, was a similar warning about the commercial force that is French Cheese: http://www.cheesereporter.com/ For more information, visit www.sanchelimaint.com Strongin/strongin.may18.2007.htm July 26, 2019 CHEESE REPORTER Page 9

Consumers largely support a the needs of consumers and the Consumers Are More Environmentally more uniform system — 74 per- environment, with 100 percent Concerned, But Baffled By Recycling cent surveyed said that more stan- of the 25 largest CPG companies dardized rules at the national or committing to increasing recycla- Washington—A recent report Another clear disconnect, state level would bring more clarity ble content, minimizing packaging released by the Grocery Manufac- according to GMA: the codes are to recycling. or reusing material. turers Association (GMA) shows designed for employees at sorting Even seemingly innocuous mis- Further, 80 percent of those that although consumers are more facilities, not consumers. takes — like tossing a non-recy- companies have committed to pro- environmentally concerned than “Confusion is not a sustain- clable item into the bin — can ducing fully recyclable, reusable or ever, a patchwork system of local able system,” said Geoff Free- backfire, ultimately causing more compostable packaging by 2030 at policies has confounded consumers man, GMA’s president and CEO. harm than good, sending every- the latest, GMA added. and damaged recycling efforts. “America’s recycling future can- thing to the landfill. “The industry is evolving to The study found that 75 percent not depend on a patchwork system Some 40 percent of consumers meet the needs of consumers and of consumers have changed their that undermines good intentions are “aspirational recyclers” who the planet, but it cannot succeed behavior in recent years to be more with bad policy.” recycle items that they’re unsure in a vacuum,” said Meghan Stasz, environmentally conscious, taking Compounding these issues further will meet the requirements in GMA vice president of sustain- steps to recycle more frequently, is the labyrinth of recycling poli- hopes that any unrecyclable items ability and packaging. buy sustainable products or reduce cies employed throughout the US will be later sorted. “Wildly different local rules waste. — thousands of municipalities set That number goes up to 44 per- coupled with a complex network Despite the growing consumer their own recycling rules. Though cent for those who say they are of codes and growing costs of recy- consciousness of environmental more than 90 percent of respondents very environmentally concerned cling programs are contributing to issues, there remains a consider- say they feel they know their local and to 49 percent for millennials. a broken system that will require able gap between aspiration and recycling rules, fewer than six in 10 The consumer packaged goods more than just private industry to reality. For instance, 92 percent reported researching them. (CPG) industry is working to meet resolve.” of respondents are unsure or believe anything with a plastic resin label could be recycled curbside, although only two of the seven codes are consistently recyclable.

Old Chatham’s New Location In Finger Lakes Region Near St. George, UT Completion Now Open Groton, NY—The award-winning Old Chatham Creamery is relocat- ing its farmstead sheep’s milk operation here, about 95 miles south of its original location in Old Cha- tham, NY. Tom and Nancy Clark founded the 600-acre sheep’s milk dairy in 1993, managing the operation for over 20 years before selling it to Dave and Sally Galton in 2014. In March 2017, Challenge Workforce Solutions finalized an agreement with the Old Chatham Creamery on a four-year lease and New, Complete Warehousing & purchase of its Groton Food Hub facility. The Galtons expect to hire a Transportation Services local workforce of roughly 10 to 15 employees, and tap into the exper- Our new 95,000 square foot warehouse in St. George, UT, tise of Cornell University. is centrally located between California, Clovis, NM, and Jerome ID, “We are excited to use this beau- and features: tiful facility to produce our award- winning sheep yogurt and cheese  60,000 square feet of refrigerated storage products, and to partner with an  20,000 square feet of -20 degree freezer space organization like Challenge, which  10,000 square feet of 0 degree freezer space continues to innovate and provide great opportunities for people in St. George is our newest of 13 warehouses and our community,” said David and like our facilities offers: Sally Galton. The Galtons have been working  Over 200 trucks on the road with 500 trailers on the new facility in Groton since  AIB Certified Warehousing. May 2018  Sanitary high cube food grade distribution center. Old Chatham’s sheep are now  Computerized temperature and humidity alarm. Bob Smith housed at Groton’s renovated  Pallet racking or bulk storage. facility in New York’s Finger Lakes  Variable Temperature Aging Rooms. 608-435-6561 x 229 region. The flock now numbers at  Cloud-based Inventory Management [email protected] over 2,100, and construction on the creamery is slated for comple- Locations in: tion in August. For more information, visit La Crosse, Wilton & Sparta, WI, Tomah, WI; Kendall, Ontario; St. George, UT www.oldchathamcreamery.com. For more information, visit www.martinmilk.com Page 10 CHEESE REPORTER July 26, 2019

June Milk Output June milk production in New Total US Milk Production Milk Production by State (Continued from p. 1) York totaled 1.279 billion pounds, 2018 vs. 2019 up 0.2 percent from June 2018, due (in millions of pounds) 19,500 STATE June June % Change California’s June milk production to 4,000 more milk cows but 10 2018 2019 Change Cows totaled 3.344 billion pounds, up less pounds of milk per cow. New York’s April-June milk output California 3305 3344 1.2 -7000 1.2 percent from June 2018, due to 19,000 7,000 fewer milk cows but 30 more totaled 3.869 billion pounds, up Wisconsin 2586 2574 -0.5 -6000 pounds of milk per cow. Califor- 1.2 percent from a year earlier. The Idaho 1278 1303 2.0 9000 nia’s second-quarter milk produc- state’s first-quarter production had 18,500 tion totaled 10.46 billion pounds, been up 2.5 percent from 2018’s New York 1277 1279 0.2 4000 first quarter. up 1.7 percent from 2018’s second Texas 1083 1144 5.6 29000 quarter. Milk production in Texas during 18,000 The state’s first-quarter output had June totaled 1.144 billion pounds, Michigan 948 969 2.2 2000 been up 0.5 percent from 2018’s up 5.6 percent from June 2018, Pennsylvania 896 838 -6.5 -31000 first quarter. due to 29,000 more milk cows and 17,500 Wisconsin’s June milk produc- five more pounds of milk per cow. Minnesota 831 838 0.8 -6000 tion totaled 2.574 billion pounds, Second-quarter milk production in New Mexico 707 687 -2.8 -11000 17,000 down 0.5 percent from June 2018, Texas totaled 3.511 billion pounds, Washington 568 569 0.2 1000 due to 6,000 fewer milk cows but up 5.9 percent from 2018’s second unchanged milk per cow. Wis- quarter. The state’s first-quarter Ohio 468 448 -4.3 -14000 16,500 consin’s April-June milk output output was up 6.9 percent from a J F M A M J J A S O N D Iowa 435 433 -0.5 -3000 totaled 7.771 billion pounds, down year earlier. Arizona 413 394 -4.6 -10000 0.1 percent from the same period June milk production in Michi- last year. The state’s first-quarter gan totaled 969 million pounds, up 9445 Colorado 382 405 6.0 10000 production was up 1.4 percent 2.2 percent from June 2018, due to Total Milk Cows Jan. 2018 to June 2019 Indiana 347 338 -2.6 -7000 from 2018’s first quarter. 2,000 more milk cows and 40 more (1,000 head) Idaho’s June milk production pounds of milk per cow. Michi- 9420 Kansas 308 313 1.6 3000 totaled 1.3 billion pounds, up gan’s second-quarter milk produc- South Dakota 229 231 0.9 1000 tion totaled 2.918 billion pounds, 2 percent from June 2018, due Vermont 227 226 -0.4 -1000 to 9,000 more milk cows and 10 up 1.7 percent from 2018’s second 9395 more pounds of milk per cow. Ida- quarter. The state’s January-March Oregon 212 215 1.4 1000 ho’s second-quarter milk produc- output had been up 1.2 percent Florida 201 195 -3.0 -5000 tion totaled 3.925 billion pounds, from a year earlier. 9370 up 2.3 percent from 2018’s second Pennsylvania’s June milk pro- Utah 199 193 -3.0 -3000 quarter. The state-s January-March duction totaled 838 million Illinois 160 147 -8.1 -9000 9345 milk output had been up 2.1 per- pounds, down 6.5 percent from Georgia 141 141 NC NC cent from a year earlier. June 2018, due to 31,000 fewer Virginia 135 124 -8.1 -9000

9320 J F M A M J J A S O N D J F M A M J millions of pounds 1,000 head

milk cows and 10 less pounds of All told for the 24 reporting milk per cow. Pennsylvania’s April- states in June, compared to June June milk output totaled 2.589 2018, milk production was higher billion pounds, down 6.9 percent in 11 states, with those increases from the same period last year. The ranging from 0.2 percent in both state’s first-quarter milk production New York and Washington to 6 had been down 6.4 percent from percent in Colorado; lower in 12 2018’s first quarter. states, with those declines ranging Minnesota’s June milk produc- from 0.4 percent in Vermont to tion totaled 838 million pounds, 8.1 percent in both Illinois and up 0.8 percent from June 2018, Virginia; and unchanged in Geor- due to 6,000 fewer milk cows but gia. 40 more pounds of milk per cow. For all 50 states during the sec- Minnesota’s second-quarter milk ond quarter of 2019, compared to production totaled 2.522 billion the second quarter of 2018, milk pounds, up 0.5 percent from 2018’s production was higher in 16 states second quarter. The state’s Janu- and lower in 34 states. ary-March output had been up 0.9 percent from a year earlier. June production in New Mexico Ohio Milk Production totaled 687 million pounds, down June: 2008 - 2018 millions of pounds WAITING IS OVER 2.8 percent from June 2018, due TANGO. ANALYSIS TO GO. to 11,000 fewer milk cows but 10 475 more pounds of milk per cow. New Instant Results with FT-NIR Spectroscopy Mexico’s April-June milk output

Faster, simpler, and easier to use - with TANGO totaled 2.1 billion pounds, down your NIR analysis speeds up. TANGO has 2.6 percent from the same period exactly what users require of an FT-NIR in 2018. The state’s first-quarter spectrometer suitable for a food analysis lab: 450 robustness, high precision and straightforward production had been down 3.8 percent from 2018’s first quarter. Contact us for more details: operator guidance. www.bruker.com [email protected] An intuitive user interface with touch screen Washington’s June milk produc- Bruker Optics operation makes the analysis of food tion totaled 569 million pounds, 40 Manning Road ingredients and ﬁ nished food available up 0.2 percent from June 2018, due Billerica, MA 01821 to everybody. Tel. +978-439-9899 to 1,000 more milk cows but five 425 Fax. +1 978-663-9177 less pounds of milk per cow. The Applied Spectroscopy Innovation with Integrity second-quarter totaled 1.721 billion pounds, up 0.5 percent from 2018’s second quarter. The state’s

January-March output had been up 400 For more information, visit www.bruker.com/dairy 0.2 percent from a year earlier. 2008 2010 2012 2014 2016 18 19 July 26, 2019 CHEESE REPORTER Page 11

Trade Aid Details specialty crops per person or legal Trade Mitigation Efforts, on page 16 deals is exactly what our US farm- (Continued from p. 1) entity. MFP payments are also lim- of this week’s issue). ers need right now,” Lyon said. ited to a combined $250,000 for “USMCA builds on the success channels prove to be insufficient. dairy and hog producers. Focus Turns To USMCA, China of NAFTA, makes improvements Thursday’s announcement “under- FNS will offer products through “We appreciate the efforts of to further enhance US food and scores that dairy farmers need to traditional channels prior to con- USDA and the White House to agricultural exports, and will ulti- rely on trade, not aid, to prosper sideration of new outlets. assist farmers who have suffered mately lead to freer markets and in a global marketplace,” Mulhern AMS has coordinated with FNS, significant losses due to retaliatory fairer trade,” Michael Dykes, presi- said. “We will continue to work industry, and other agency partners tariffs. Dairy producers have so far dent and CEO of the International with USDA to help dairy farmers to determine necessary logistics for lost more than $2.3 billion in rev- Dairy Foods Association, said at a expand exports and increase con- the purchase and distribution of enues since tariff escalation began USMCA press conference. sumption of dairy products through each commodity, including truck- in earnest one year ago,” said Jim “Under USMCA, dairy pro- nutrition programs. ing, inspection and audit require- Mulhern, president and CEO of ducers benefit from a more-level “Resolving the current trade ments, and agency staffing. the National Milk Producers Fed- playing field, including preserving eration (NMPF). impasse with China and aggres- duty-free market access to Mexico, Market Facilitation Program “USDA’s new approach raises sively expanding ties with other eliminating Canada’s unfair milk Signup for the Market Facilitation the level of aid to dairy farmers trading partners also is essential to pricing program, and expanding Program (MFP) at local USDA from last year’s program, a step make these aid packages unneces- access to Canada,” Dykes said. Farm Service Agency (FSA) in the right direction,” Mulhern sary,” Mulhern added. NMPF is US farmers “ultimately want offices will run from Monday, July continued. He also urged USDA working with the Trump admin- trade more than aid. It is critically 29, through Friday, Dec. 6, 2019. to revise the “outdated production istration and Congress to pass the important to restore agricultural Dairy producers who were in history information” used to calcu- US-Mexico-Canada Agreement markets and mutually beneficial business as of June 1, 2019, will late payments,” which lessens the (USMCA), “which would imme- relationships with our trading part- receive a payment of 20 cents per effectiveness of the program.” diately create new opportunities ners around the world,” said Zippy hundredweight of milk based on “We greatly appreciate the work for US dairy.” Duvall, president of the American production history. That’s up from of USDA in maintaining a focus “We urge Congress to pass the Farm Bureau Federation. “We are 12 cents per hundredweight under on our dairy farmers during this US-Mexico-Canada Agreement in hopeful that trade negotiations the previous MFP. trying time of decreased exports,” addition to the Trump administra- with China will quickly lead to The first MFP payment will be said Jeff Lyon, general manager of tion finalizing a trade agreement a resolution of trade disputes and comprised of the higher of either FarmFirst Dairy Cooperative. with China. As some of US dairy’s that the administration will make 50 percent of a producer’s calcu- “The increased payment rate of biggest export markets, restoring important progress in negotia- lated payment or $15 per acre. The 20 cents per hundredweight is an trade relationships with improved tions with Japan and the European first payment will be made in mid- improvement from 12 cents; how- market access for free and fair trade Union.” to-late August. ever, it still does not compare to MFP payments will be made in the value lost by our dairy farmers up to three tranches (or portions), due to the trade disputes,” Lyon with the second and third tranches added. evaluated as market conditions Earlier this week, USDA and trade opportunities dictate. awarded $100 million to 48 orga- If conditions warrant, the second nizations through the Agricultural tranche will be made in Novem- Trade Promotion Program (for ber, and the third in early January. more details please see USDEC MFP payments are limited to Receives $2.5 Million In Ag Trade a combined $250,000 for non- Promo Funding As Part Of USDA’s MULTIPOND Weighing Technology and multihead weighing systems stand for maximum accuracy, Surrounding our Customers performance and reliability. with Quality Solutions

SERVICE SAFETY

SUPPLY CHAIN QUALITY PROCESS CUSTOMER

TESTING AND SHOWROOM FACILITY JUST A SHORT DRIVE AWAY

DELIVERY TRAINING For over 70 years we have been o ering weighing and packaging solutions. Call today to schedule your product trial! COMPETITIVE SUPPORT PRICING MULTIPOND America Inc. Green Bay, WI 1-800-782-8573 www.kelleysupply.com 920.490.8249 www.multipond.com © 2018 Kelley Supply, Inc., All rights reserved. [email protected]

For more information, visit www.kelleysupply.com For more information, visit www.multipond.com Page 12 CHEESE REPORTER July 26, 2019

It’s a savory, aromatic flavor that CSK Meets Demand For Distinct Flavors can be used in many cheese types, In Specialty, American Type Cheese for people that like a stronger flavor cheese, Hohlstein continued. Expands Flavor Adjuncts, more flavorful cheese. We discov- “One of the trends we see is ered that variety in flavor boosting consumers want more flavors, Propionics For Uniform cultures can help create signature more exciting products. They want Eyes And Flavorful Cheese cheeses that many producers want a Gouda, Havarti, Gruyere, Asiago Madison, WI—When CSK food to develop here in the US.” with different flavors,” Brouwer new props from the standard is the enrichment decided to enter the said. “Within the cheese industry, enhanced eye formation.” CSK’s Flavor Wheel we see a preference for regional The eyes will be a little smaller US cheese market seven years ago, CSK’s Flavor Wheel™ cultures and authentic products and bold, but more numerous and evenly it brought a rich tradition of qual- offer a wide range of possibilities savory flavors with umami notes.” distributed throughout the cheese, ity cultures and a commitment to for taste differentiation in cheese. CSK can help enhance flavors she said. Swiss cheese buyers want the research and development of Rebecca Hohlstein, sales man- in any existing products, as well as that uniform distribution of eyes. flavor enhancement in cheese. ager at CSK, has been with the develop new types of cheese. It’s more aesthetically pleasing to “When we first entered the US company for nearly four years. “With our American-style the customer, she said. market, nobody knew CSK. It was “Our initial focus for our prod- cheeses, our Flavor Wheel can add “It would also solve issues with a very big challenge,” said Douwe uct line in the US was our Flavor different notes to create bolder fla- quality,” Brouwer said. “Based on Brouwer, business development Wheel cultures,” Hohlstein said. vors to younger cheese,” Hohlstein our expertise, the cultures help the manager at CSK. “We were new “Those cultures are very unique to said. cheese maker find the right bal- to the US market but we were also the US market.” Flavor is the top purchasing ance between efficiency and con- a very big culture producer and A lot of cheese producers are decision for the consumer, Brouwer sistent quality.” many companies worldwide rely on looking to differentiate their prod- said. He sees manufacturers want- The new propionic also extends CSK for cultures, enzymes, color- ucts, Brouwer said. ing new flavors that differentiate the flavor’s shelf life, and reduces ing and other ingredients.” “They don’t want the same fla- their cheeses, as well as enhancing the defects like slits and cracks. vor as the other manufacturers,” the flavor of younger cheese. “These new cultures give early Brouwer said. “Cheese makers want In addition to flavor differen- and lasting flavor development to differentiate and add premium “Our portfolio of tiation, CSK’s goal is to grow in and while aging the cheese a lot of products to their line and increase flavor adjuncts is quite flavorful acidification and offer complexity,” Brouwer said. the exposure of their brand.” cheese producers an efficient pro- large, so you can use Hohlstein said that CSK has cess and alternatives to what is Fully Established In The US them individually or more flavor cultures than she available today, he said. Over the last five years, CSK has in combination, so we thought was possible. “In the near future there will be put a lot of resources into building The line contains adjunct cul- a very important market introduc- can put together recipes a technical sales team. They also tures that develop flavor in various tion of DVI cultures for flavorful that can help the cheese built a warehouse in Oostburg, WI, directions - fruity, sweet, buttery, acidification, offering the cheese that has already doubled in size to maker reach the profile savory - as well as mature flavor producers additional options and increase freezer space. they want. notes or a combination create con- consistent quality and efficiency,” “Our strength is in cheese,” ceivably a list of endless recipes. Brouwer hinted. “Our Flavor Brouwer said. “We’ve already seen —Rebecca Hohlstein, CSK, “Our portfolio of flavor adjuncts Wheel cultures build upon the fla- steady growth and the number of is quite large, so you can use them vorful acidification already created customers using our products has individually or in combination, so by CSK starter cultures.” Over the span of those seven we can put together recipes that increased rapidly.” years, CSK has established itself in can help the cheese maker reach New Swiss Propionic For The local CSK sales and tech- the US. “We started this adven- the profile they want. With all of Controlled Eye Formation nical service team consists of ture to see if there was room for those different combinations the In the field of starter cultures we Hohlstein, Gil Tansman, PhD and another culture supplier in the possibilities are endless,” she said. are a renowned player, Brouwer Gabriela Sales Pakenham US,” Brouwer said. “To see if and CSK recently added a ‘roasted’ stated. With our bacterial cul- “Our team has a lot technical where we could make a difference. adjunct that gives a flavor of tures, and strong research team, expertise,” Hohlstein said. “We We saw the continued interest in roasted coffee, nut or cocoa bean. we join forces with our customers are able to talk development, the to create distinct, individualized make process, the aging process.” products. The results speak for themselves. CSK recently introduced two During the recent US Champion- Superior Solutions new propionic cultures for con- ship Cheese Contest, sponsored trolled eye formation. by the Wisconsin Cheese Mak- ENCLOSURES CSK’s P333 offers a sweeter, ers Association, 10 of the top 20 nutty flavor, while the P433 culture cheeses vying for the best US CONTROL CABINETS, offers a traditional Swiss cheese cheese, contained a CSK culture. flavor that is sharper in taste. “We were really happy with the JUNCTION BOXES,  Standard size junction boxes “We know the Swiss market. results from the contest, Brouwer ELECTRICAL or custom enclosures With our history in Europe, serving said. “The top three winners all  Fabricated to NEMA Standard that market, we understand the dif- used CSK cultures for their entries. ENCLOSURES  Constructed from 12, 14 ficulties of making that cheese. As We know it’s not just our cultures, or 16 gauge a result we have put a lot of effort but we’re glad we played a role in in developing the traditional Swiss  .125 aluminum, stainless or the cheese makers’ success.” mild steel sub panels flavor, as well as a new, sweeter and With new products, a team of nutty flavor,” Brouwer said. technical sales reps, a new facility  Holes and cutouts per customer specs While the new cultures add fla- and results to support their efforts,  Optional sloped-top provides vor and notes, Hohlstein said the CSK can’t be considered a new increased sanitation new innovation is about controlled player in the US market anymore.  Piano-hingedAWI MANUFor Tear-dropA hingedCTURING doors eye formation. No, we’re pretty well established E: [email protected] “Cheese buyers are looking here, Brouwer said. for uniformity in eye formation,” “Companies recognize us for www.awimfg.com Hohlstein said. “When you are flavor; new products that make E: [email protected]: 888.272.2600 making Swiss, most of the eyes their cheesemaking easier and an Wwww.awimfg.cominsted, MN 55395 tend to be located in the center of appreciation for those products,” Tel: 888.272.2600 the wheel or block. So we devel- Brouwer said. “We’re here for the Winsted, MN 55395 oped a culture that establishes the long run. You can count on CSK.” eye formation closer to the edges of For more information, visit For more information, visit www.awimfg.com the cheese. What distinguishes the www.cskfood.com. July 26, 2019 CHEESE REPORTER Page 13

the fourth product platform devel- another way to enjoy their favor- Massachusetts Starbucks, Nestle oped since the companies formed a ite Starbucks experience and fla- Awards Grants To Announce Launch Of global coffee alliance last August. vors at home and outside of our Since forming their alliance, cafes,” said Duncan Moir, presi- Advance Sales, Starbucks Creamers both companies saw creamers as a dent, global channel development Demand For State’s Seattle, WA, and Arlington, growth opportunity. at Starbucks. VA—Starbucks and Nestle this Beginning in August, Starbucks “Nestle has been a leader in the Dairy Products week announced the launch of Creamers will be available in the creamer category since launch- Boston, MA—The administra- Starbucks Creamers, marking the refrigerated aisle where groceries ing Coffee mate in 1961 and we tion of Massachusetts Gov. Charlie first time the Starbucks brand has are sold and select online retailers continue to innovate and help Baker and Lt. Gov. Karyn Polito, entered the refrigerated creamer across the US. drive category growth,” said Dan- in conjunction with the Massa- category, which the companies Starbucks Creamers will be iel Jhung, president of beverage, chusetts Department of Agricul- said is projected to top $7.8 billion available in three flavors: Caramel, Nestle USA. tural Resources (MDAR) and the by 2023 in the US. White Chocolate, and Cinnamon Said David Rennie, head of Massachusetts Dairy Promotion The products were developed Dolce, inspired by beverages served Beverages Strategic Business Unit, Board (MDPB), recently awarded combining Starbucks flavors with at Starbucks cafes: Caramel Mac- Nestlé S.A.: “The global coffee seven grants totaling $219,609 to Nestlé expertise and leadership in chiato, White Chocolate Mocha alliance has allowed us to develop projects which seek to advance the the creamer category to give con- and Cinnamon Dolce Latte, the and launch new Starbucks prod- brand, sales and demand for Mas- sumers a new way to enjoy their company reported. ucts at an unprecedented speed. sachusetts dairy products. Starbucks coffee at home, the “We know that Starbucks cus- We are very pleased to expand the The MDPB, a nine-member companies explained. tomers are passionate about their Starbucks brand into the creamers board of state officials and dairy Less than a year from inception coffee and with Starbucks Cream- category less than a year after we farmers formed to promote Massa- to shelf, Starbucks Creamers are ers we are delighted to give them closed the deal. chusetts dairy products, is chaired by the MDAR commissioner and helps promote increased consumption of dairy products through effective use of promotion, education and research. The MDPB grant program, overseen by the board, is funded by the state’s dairy farmers. Grants included the following:  Community Involved in Sus- taining Agriculture, $30,750 to compile economic research and educate the public about the value of Massachusetts dairy agriculture and dairy products.  Eastern States Exposition, $20,700 to promote the Massachu- setts dairy industry through various venues including Chocolate Milk We look at cheese differently. Day and cooking demonstrations.  Essex Agricultural Society/ Topsfield Fair, $20,059 to promote the Massachusetts dairy industry through consumer education and distribution of dairy products.  Massacusetts Association of Dairy Farmers, $34,100 to build brand awareness of “Splash in Every Glass” promotional initiative.  New England Dairy Food Council, $60,000 to provide sub- grants to schools in Massachusetts in connection with the Fuel Up to Play 60 initiatives.  New England Dairy Promo- tion Board, $42,000 to advance the image of Massachusetts dairy farmers through promotion at large-scale events. At Deville Technologies we do more than We deliver ultra hygienic food cutting  Northeast Organic Farming just provide cheese processing companies solutions that operate effectively and Association, $12,000 to provide with the perfect shred, dice, shave and grate... efficiently. We partner with our clients to consumer education focusing on we keep the whole solution in mind. custom design the solution that best meets their the positive contributions that food cutting needs...because we don’t just see cheese, dairy farms provide to improve we see the whole picture. ecosystem services and mitigate climate change. “This grant program allows the

Massachusetts Dairy Promotion FS40 line with powder dispenser, Board to carry out its mission by tumble drum and conveyor funding projects that increase the consumption of all Massachu- Come see us at: 1.866.404.4545 www.devilletechnologies.com setts dairy products,” commented ICTE – April 17-19, 2018 John Lebeaux, commissioner of Milwaukee, WI – Booth 801 the Massachusetts Department of Agricultural Resources. For more information, visit www.devilletechnologies.com Ad – Cheese Reporter-REV.indd 1 2018-03-02 9:09 AM Page 14 CHEESE REPORTER July 26, 2019

Funding will enable Gay Lea babies, including the establishment Government Of Foods to adopt processes and Goat Milk Infant and maintenance of a healthy gut Canada Investment equipment to minimize byproduct Formula Could microflora, immune development waste and reduce the environmen- and protection against gastrointes- To Help Gay Lea tal footprint. The project will also Support Healthy Gut tinal infections. Expand Ontario Plant provide additional capacity. Function In Babies When breastfeeding is not pos- “The modernization of our sible or insufficient, infant for- Teeswater, Ontario—Marie- Teeswater facility is proof that Baltimore, MD—Goat milk infant mulas are commonly used as an Claude Bibeau, Canada’s agri- with the right tools and partners, formula has similar prebiotic prop- alternative but there is limited culture minister, visited Gay Lea innovation and advanced manu- erties to breast milk and could sup- information available about the Foods Cooperative Wednesday to facturing is possible in rural com- port healthy gut function in babies, oligosaccharides they may contain announce an investment of up to munities,” commented Michael according to new research. or their likely health benefits. The laboratory study by RMIT, $16.9 million through the Federal Barrett, president and chief execu- The new study examined the published in the British Journal Economic Development Agency tive officer, Gay Lea Foods Coop- presence of naturally occurring of Nutrition and presented at the for Southern Ontario (FedDev erative Ltd. oligosaccharides in two goat milk recent annual nutrition confer- Ontario) and through Agriculture “It is also a great example of formulas and their prebiotic and ence of the American Society of and Agri-Food Canada’s Dairy Pro- progress and adaptation in Cana- anti-infection properties. Nutrition in Baltimore, analyzed cessing Investment Fund (DPIF). dian dairy, as the site of Canada’s While cow milk formula is the two types of commercial goat milk Gay Lea Foods is expanding its oldest creamery is now home to most widely used alternative to formula. Teeswater, Ontario, facility with breastfeeding, goat milk is consid- the creation of value-added prod- The research looked at oligosac- equipment to improve productiv- ered to be closer to human milk in ucts to serve new market opportu- charides, a type of prebiotic that ity and competitiveness. some respects, especially oligosac- nities,” Barrett added. can boost the growth of beneficial FedDev Ontario’s investment of charides. “The investment in our Teeswa- bacteria and protect against harm- $10 million will support the acqui- ter facility is one of many invest- The study found the natural sition and installation of advanced ful bacteria in the gut. ments we have committed over Researchers found 14 naturally prebiotic oligosaccharides in the processing equipment and systems, the last five years for not only our occurring prebiotic oligosaccha- goat milk formula were effective in which will enable Gay Lea Foods cooperative, but Canadian dairy rides in the goat milk formula. Five promoting the growth of benefi- to advance its scientific and tech- farmers and a prosperous future for of these are also found in human cial bacteria (bifidobacteria) and nical capability to produce new, Canadian dairy,” said Rob Good- breast milk. inhibiting the ability of harmful high-value milk products, particu- will, chair of the board, Gay Lea Prof. Harsharn Gill, lead inves- bacteria such as pathogenic E. coli larly for the health food and nutra- Foods Cooperative. ticator, said the laboratory study to attach to human intestinal cells. ceutical markets. This investment The DPIF was established to was believed to be the first to Almost one-third of all cases of will accelerate growth by support- provide non-repayable funding to reveal the diversity of oligosac- diarrhea in children are attributed ing product and market diversifi- dairy processors for investments charides in goat’s milk-based to pathogenic E. coli bacteria. cation, and increase production that will improve productivity and infant formula and their similar- The researchers found two types to capitalize on market expansion competitiveness, and help prepare ity to human milk. of oligosaccharides, fucosylated opportunities. for market changes. “Our results show goat milk for- and sialylated, were most heavily mula may have strong prebiotic present in the goat milk formula. and anti-infection properties that “Focusylated are the most abun- could protect infants against gas- dant oligosaccharides in human COMECOME TOTO THETHE trointestinal infections,” Gill said. milk and are the focus of significant “The study indicates the prebiotic commercial and regulatory inter- oligosaccharides in goat milk for- est,” Gill noted. “These oligosac- EXPERTSEXPERTS mula are effective at selectively charides have been shown to play promoting the growth of healthy a significant role in anti-infection WHENWHEN YOU'REYOU'RE bacteria in the gut.” properties of breast milk.” Human milk contains an abun- Researchers at RMIT’s School dant supply and diverse array of of Science are now planning to TALKINGTALKING SEPARATORSSEPARATORS oligosaccharides that are known to undertake clinical trials to confirm && CLARIFIERSCLARIFIERS offer significant health benefits to the results of the study.

80 Years of Combined Experience and Honesty Maximize food safety with in the Sale of: Metal Detectable • Separators products from Nelson-Jameson • Clari ers • Centrifuges • Surplus Westfalia Parts • Surplus Alfa Laval Parts • Unbeatable Pricing Overstock Items 40% off • 24/7 Trouble Shooting Request our NEW Metal Detectable Call Dave Lambert at (920) 863-3306 Flyer Today! or Dick Lambert at (920) 825-7468 GREATGREATGREAT LAKESLAKESLAKES SEPARATORS,SEPARATORS,SEPARATORS, INC.INC.INC. E1921 County Road J • Kewaunee, WI 54216 P: (920) 863-3306 • F: (920) 863-6485 1-800-826-8302 • nelsonjameson.com E: [email protected] [email protected] For more information, email: Mailto:[email protected] For more information, visit www.nelsonjameson.com July 26, 2019 CHEESE REPORTER Page 15

The third-party certification Section 302 of FSMA directed FDA Announces Fiscal 2020 Fees For program assesses application fees FDA to establish a program to Facility Reinspections, Other Activities and annual fees. In fiscal 2020, the provide for the expedited review only fees that could be collecte by and importation of food offered Silver Spring, MD—The US Food ply with a food standard or incor- FDA are the initial application for importation by importers who and Drug Administration (FDA) rect font size on a food label). fee for accreditation bodies seek- have voluntarily agreed to par- this week announced the fiscal year The reinspection fee, which is ing recognition, the annual fee ticipate in such program, and a 2020 fee rates for certain domestic $258 per hour if domestic travel is for recognized accreditation bod- process for the issuance of a facil- and foreign facility reinspections, required and $301 per hour if for- ies, the annual fee for certification ity certification to accompany a failures to comply with a recall eign travel is required, is based on bodies accredited by a recognized food offered for importation by order, and importer reinspections the number of direct hours spent on accreditation body, and the initial importers participating in the that are authorized by the Federal such reinspections, including time application fee for a certification Voluntary Qualified Importer Food, Drug, and Cosmetic Act, as spent conducting the physical sur- body seeking direct accreditation Program. amended by the Food Safety Mod- veillance and/or compliance rein- from FDA. The Food and Drug Adminis- ernization Act (FSMA). spection at the facility, or whatever In fiscal 2020, these fees will be: tration is authorized to assess and These fees are effective on Oct. components of such an inspection initial application fee for accredi- collect fees from each importer 1, 2019, and will remain in effect are deemed necessary, making tation body seeking recognition, participating in VQIP to cover the through Sept. 30, 2020. preparations and arrangements for $41,328; annual fee for recognized agency’s costs of administering the Section 107 of he Food Safety the reinspection, traveling to and accreditation body, $1,945; annual program. Modernization Act provides FDA from the facility, preparing any fee for accredited certification Each fiscal year, fees are to be with the authority to assess and reports, analyzing any samples or body, $2,432; and initial applica- established based on an estimate of collect fees from, in part; the examining any labels if required, tion fee for a certification body 100 percent of the costs. responsible party for each domes- and performing other activities as seeking direct accreditation from The FSMA VQIP user fee for tic facility and the United States part of the OAI reinspection until FDA, $41,328. fiscal 2020 is $16,681. The fee is agent for each foreign facility the facility is again determined to Finally, Food and Drug Admin- based on the fully supported full- subject to a reinspection, to cover be compliance. istration this week announced time equivalent (FTE) hourly rates reinspection-related costs; the The fees for non-compliance the fiscal 2020 annual fee rate and estimates of the number of responsible party for a domestic with a recall order, which are for importers approved to partici- hours it would take the agency to facility and an importer who does identical to the reinspection fees, pate in the Voluntary Qualified perform relevant activities. not comply with a recall order, to are based on the number of direct Importer Program (VQIP). An invoice will be sent to VQIP cover food recall activities asso- hours spent on taking action in This fee is effective August 1, importers approved to participate ciated with such order; and each response to the firm’s failure to 2019, and will remain in effect in the program. importer subject to a reinspec- comply with a recall order. Types through Dec. 31, 2019. Payment must be made prior to tion to cover reinspection-related of activities could include conduct- The fiscal 2020 VQIP user fee Oct. 1, 2019, in order to be eligible costs. ing recall audit checks, reviewing will support benefits from October for Voluntary Qualified Importer Section 743 of the FD&C Act periodic status reports, analyzing 1, 2019, through September 30, Program participation for the ben- directs FDA to establish fees for the status reports and the results 2020. efit year beginning Oct. 1, 2019. each of these activities based on of the audit checks, conducting an estimate of 100 percent of the inspections, traveling to and from costs of each activity for each year, locations, and monitoring product and these fees must be made avail- disposition. able solely to pay for the costs of Third-Party Certification Program each activity for which the fee was FDA this week also announced the incurred. fiscal 2020 annual fee rate for rec- In each year, the costs of sal- ognized accreditation bodies and ary (or personnel compensation) accredited certification bodies, and and benefits for FDA employees the fee rate for accreditation bod- account for between 50 and 60 ies applying to be recognized in the percent of the funds available to, third-party certification program and used by, FDA. Almost all of that is authorized by the FD&C the remaining funds (operating Act, as amended by the FSMA. At H&C we are constantly funds) available to FDA are used FDA also announced the fee developing solutions to support FDA employees for pay- rate for certification bodies that to enhance efficiency ing rent, travel, utility, information are applying to be directly accred- technology (IT), and other operat- ited by FDA. and drive growth ing costs. Section 808 of the FD&C Act The reinspection fee will be directs FDA to establish a program assessed for a reinspection to deter- for accreditation of third-party cer- mine whether corrective actions tification bodies conducting food have been implemented and are safety audits and issuing food and effective and compliance has been facility certifications to eligible for- achieved to FDA’s satisfaction at eign entities (including registered a facility that manufactures, pro- foreign food facilities) that meet cesses, packs, or holds food for con- FDA’s applicable requirements. sumption necessitated as a result of Under this provision, FDA a previous inspection of this facil- established a system to recognize ity, which had a final classification accreditation bodies to accredit of Official Action Indicated (OAI) certification bodies, except for lim- conducted by or on behalf of FDA, ited circumstances in which the Our solutions offer Reduced work injuries when FDA determined the non- agency may directly accredit certi- enhanced return Increased running times Increased product quality compliance was materially related fication bodies to participate in the on investment and to food safety requirements of the Reduced wastage third-party certification program. operational efficiency: Smaller footprint FD&C Act. The Food and Drug Administra- FDA does not consider non- tion is further directed to establish compliance that is materially a reimbursement (user fee) pro- related to a food safety require- US Toll Free 800-351-1745 gram by which the agency assesses NZ Phone +64 6 872 7140 ment to include circumstances fees and requires reimbursement Email [email protected] where the non-compliance is of for the work the agency performs a technical nature and not food to establish and administer the safety related (e.g., failure to com- third-party certification program. For more information, visit www.hadencustance.com Page 16 CHEESE REPORTER July 26, 2019

had the opportunity to be consid- reactions in approximately 1 per- USDEC Receives $2.5 ered for additional support to boost Research Identifies cent of the population. Million In Ag Trade exports of agriculture, food, fish, Microbes That May So Schmitz-Esser and his col- and forestry products. laborators set out to answer some Promo Funding As ATP allocations in this round, Reduce Allergy-Like of the questions cheese makers Part Of USDA’s Trade as well as the round announced Reactions To Some have about those microbes. The in January and the total for both researchers sampled cheese rinds Mitigation Efforts rounds, included the following: Ripened Cheeses originating in Austria and isolated Washington—US Secretary US Dairy Export Council: Ames, IA—Some aged cheeses the bacteria strains they contain. of Agriculture Sonny Perdue $2.5 million in the current round, cause allergy-like reactions in More specifically, Vorarlberger last Friday announced that the $5,288,194 in the earlier round for many people, but an Iowa State Bergkase (VB) is a long-ripened US Department of Agriculture a total of $7,788,194. University scientist is working to artisanal hard cheese made from (USDA) has awarded $100 mil- Organic Trade Association: identify bacteria that could reduce the raw milk of cows grazing alpine lion to 48 organizations through $580,000 in the current round, those unpleasant side effects. pastures in the western region of the Agricultural Trade Promotion $547,085 in the earlier round for a The answer to alleviating the Austria known as Vorarlberg. VB Program (ATP) to help the US total of $1,127,085. unpleasant reactions that result cheese wheels are regularly washed agriculture industry identify and Food Export Association of the from eating ripened cheeses could with brine or surface treated with access new export markets. Midwest USA: $6.65 million in lie in the bacteria that populate dry salt. The ripening time may Two months ago, Perdue the this round, $13.9 million in the cheese’s rind, said Stephan span from three to 18 months; announced that USDA would take the earlier a total of $20.5 million. Schmitz-Esser, associate professor during this time, a rind consisting several actions to help dairy and Food Export USA Northeast: of animal science at Iowa State. of bacteria and fungi will form on other farmers in response to trade $6.8 million in the current round, He led a new study, published the cheeses. No external surface- damage from retaliation and trade $13.9 million in the earlier round recently in the academic journal ripening cultures are added. disruption by US trading part- for a total of $20.7 million. Scientific Reports, that looks closely The researchers identified a ners. President Trump authorized National Association of State at the microbial communities that particular bacterial genus, Bre- USDA to provide up to $16 bil- Departments of Agriculture: develop in cheese rinds, and the vibacterium, and sequenced the lion in programs to support farm- $184,800 in the current round, research could pave the way to genomes of three different species. ers, including $100 million to be $249,295 in the earlier round for a improved cheese production tech- That data allowed them to identify issued through the ATP. total of $434,095. niques that cut down on the com- pathways in the bacterial genomes The 48 recipients are among Southern United States Trade pound that causes those reactions. that are likely to govern the deg- the cooperator organizations that Association: $12.6 million in the Many hard cheese variet- radation of histamine. Finally, the applied for $200 million in ATP this round for a total of $12.6. ies, such as Gruyere and Comte, researchers grew the bacteria and funds in 2018 that were awarded Western United States Agri- require months to ripen to obtain demonstrated their ability to break earlier this year. As part of a cultural Trade Association: the desired flavor and aroma. As down histamine. new round of support for farmers $280,000 in the current round, the cheeses ripen, a biofilm of bac- Schmitz-Esser said not all the impacted by unjustified retaliation $7.4 million in the earlier round teria and fungi develops on the sur- Brevibacterium strains the team and trade disruption, those groups for a total of $7.7 million. face of the cheese. These microbial studied possess the genetic path- communities play an essential role way that most likely reduces his- in the ripening process and can tamine content, but it may be protect the cheese from harmful possible to harness the strains that Streamlined membrane pathogens, Schmitz-Esser said. do express the pathway in the rip- e ciency for a variety “We still know surprisingly little ening process. about these microbial communities This could allow us to inten- of processes. that grow on the cheese rind,” he said. tionally use such strains that have These microbes produce his- the ability to break down hista- tamine, a compound involved mine, he said. The research could in local immune responses, as allow consumers who are suscepti- a byproduct of fermentation, ble to histamine reactions to enjoy Schmitz-Esser explained. Foods ripened cheese, and it also could that contain high levels of hista- help cheese makers standardize the mine can cause rashes and other ripening process and improve effi- symptoms associated with allergic ciency, Schmitz-Esser said.

Business Brokerage • M&A • Commercial Real Estate Experts since 1979

Caloris membrane systems – clean and pure.

You can trust our membrane systems for a variety of your treatment processes involving concentration, separation and puri cation. Together with our Specialists in the thermal processing systems, our membrane systems Dairy and Cheese help generate high value for your product and clean Industry Bob Wolter Artisan Dairy Specialist water for reuse. And our skidded systems arrive pre- Business Transaction Specialist Structuring and closing successful deals in the dairy Phone 312.576.1881 assembled, ready to plug into your operation. How’s and cheese industry is a proven niche for Creative [email protected] that for streamlining your capital and operating costs? Business Services. www.cbs-global.com We respect the hard work you’ve invested in your past, work tirelessly to understand and value what Find out how we can custom design a cost-eective sets you apart, and position you perfectly for your unique chosen future. and energy-ecient membrane ltration system for Maintaining a long list of qualiﬁ ed buyers who are 319 N. Broadway, Green Bay, WI 54303 your challenges at caloris.com or call 410-822-6900. actively looking to purchase, we welcome the Phone 920.432.1166 • Toll free 800.366.5169 chance to prove the advantage we deliver to you. Every step of the way, we deliver professional, efﬁ cient service that is proven to result in a successful outcome. Let’s do this together.

For more information, visit www.caloris.com For more information, visit cbs-global.com July 26, 2019 CHEESE REPORTER Page 17

tion with this pathogen can occur stream cross contamination risks Scotland Issues Guidance On Making during the milking process, the are not discussed further in the Cheese From Unpasteurized Milk guidance explained. guidance. In the absence of a pasteuriza- Upstream controls relate to milk Aberdeen, Scotland—Guidance cuss concerns raised by some of the tion step to eliminate the patho- production, storage, and, where recently released by the Scottish SCA’s members regarding guidance gen in the milk, producers must applicable, transport. Food Enforcement Liaison Com- for environmental health officers be able to demonstrate that they Downstream controls relate to mittee (SFELC) aims to ensure on the production of cheese made have appropriate controls in place all of the stages of raw milk cheese that a consistent approach is from raw (unpasteurized) milk in which reduce the risk of contami- production following receipt of applied to enforcement by local Scotland. The SCA represents raw nation, and inhibit the growth and raw milk. authority enforcement officers milk cheese producers in Scotland, survival of any STEC that may be The guidance reflects current throughout Scotland with regard England, Wales and Ireland. present, the guidance explains. knowledge and understanding in to official controls in establish- The guidance was produced Producers must also provide evi- relation to STEC and the produc- ments involved in the production by environmental health officers dence that they are undertak- tion of cheese from unpasteurized of cheese made from unpasteurized with significant experience in the ing appropriate testing and audit milk. milk. application of food law for their regimes to verify that these con- It will continue to be updated In particular, the guidance aims local authority counterparts across trols are operating as effectively as on an ongoing basis following any to assist officers in verifying the Scotland. possible. further feedback received from validation of food safety manage- Feedback from industry repre- While the guidance refers pri- enforcement officers and busi- ment systems (FSMS) for the pro- sentatives and local authorities has marily to the control of STEC, it is nesses as more practical experience duction of such cheese and suggests been incorporated into the guid- expected that FBOs will also have is gained. the enforcement approach that ance, which was initially published identified other relevant patho- It will also be reviewed in light should be taken in the absence of in December 2018. gens (e.g. Listeria monocytogenes, of emerging scientific evidence validation/verification. The guidance applies to all coagulase positive Staphylococcus relating to current knowledge gaps The guidance emphasizes that establishments producing cheese aureus, Salmonella) as hazards and on the microbiological quality of the food business operator (FBO) made from unpasteurized milk. introduced validated controls for raw milk used in artisan cheese is responsible for validaging the The scope is not restricted to milk these as part of their FSMS. production, and evidence on the FSMS, and verifying, on an ongo- from a specific species and is con- The guidance considers the extent to which controlling fac- ing basis, that it is operating effec- sidered applicable to cheese made potential for Shiga-toxin-produc- tors/control measures impact on tively. from cows, goats, sheep and buffalo ing E. coli to be present in raw the ability of Shiga-toxin-produc- The role of the enforcement milk. milk used for the production of ing E. coli to survive during the officer is to ensure appropriate The guidance intends to provide cheese made from unpasteurized cheesemaking process. validation and verification is a guide to the type of evidence that milk and its potential to survive A full review of the guidance being undertaken by the FBO, is needed from FBOs in order to and grow during the production of will take place in April 2022, tak- through the evaluation of the demonstrate that they understand certain types of cheese. ing into consideration all newly FSMS, and where necessary, addi- the risks associated with Shiga- Subsequent to the controls at available scientific data to deter- tional checks to verify the efficacy toxin-producing E. coli (STEC), milking, it is expected that estab- mine whether the enforcement of the system. which is a recognized hazard in lishments will have implemented approach outlined in the guidance Food Standards Scotland (FSS) unpasteurized cheese. effective controls to prevent cross is still appropriate. and the SFELC had met with the STEC can be excreted in the contamination at later stages dur- The guidance is available on the Specialist Cheesemaker’s Associa- feces of ruminant animals such as ing the production process. Food Standards Scotland website, tion (SCA) earlier this year to dis- cattle and sheep, and contamina- Therefore the control of down- at www.foodstandards.gov.scot.

F R U I T Y

S T P E I E C

W Y S

FLAVOR WHEEL CULTURES FLEXIBLE FLAVOR DIFFERENTIATION IN CHEESE

R Flavor di erentiation allows cheese producers to tap into O C consumer specifi c preferences and trends. CSK’s Flavor A I T S Wheel cultures o er a fl exible solution that ensures delicious, T C E A di erentiating fl avors with consistent performance. The natural D L Flavor Wheel cultures can be used in many cheese types, ranging from semi-soft to hard and can accelerate maturation, without compromising on quality.

www.cskfood.com V E G E T A L

For more information, visit www.cskfood.com CSK_Flavourwheel.indd 1 23-07-19 10:48 Page 18 CHEESE REPORTER July 26, 2019

approach to both personal and pro- FPSA Launches New fessional development. PERSONNEL HAYDEN BENNETT has joined RELCO, LLC, as a principal FPSA’s Achievement in Devel- Foremost Farms USA Honors Program To dairy scientist based out of REL- oping & Promoting Women announced Wednesday that CO’s corporate headquarters in Recognize Women In Award recognizes a member com- MICHAEL DOYLE will retire Willmar, MN. Hayden brings pany that actively supports and as president and chief execu- Food Industry over 20 years of international develops the careers of women in tive officer by the end of the dairy industry experience to his Chicago—The Food Processing their employ and works toward year. Having served as president new role. He began his career Suppliers Association (FPSA) has professional gender balance. and CEO since 2014, Doyle at Fonterra Cooperative in his launched a new recognition pro- “The official launch of the joined the cooperative in 2007 native home of New Zealand. In gram to honor women and com- Women’s Alliance Network was as senior vice president-finance/ various roles from 2007 - 2014, panies that have had a positive during the 2017 Process Expo, and CFO. Before that, he held lead- he was responsible for providing impact on women’s careers and we were overwhelmed by the turn- ership positions with Creekstone technical support to 10 regional gender balance in the food and out and enthusiasm at the kick-off Farms Premium Beef, LLC, and manufacturing plants with a focus beverage industries. breakfast,” said Kate Rome, Wom- Land O’Lakes, Inc. Doyle is a on capital and site improvement Recipients of FPSA’s new Red en’s Alliance Network co-chair. board member of the Interna- projects. In 2010, he transitioned Circle Honors program will be “The addition of the Women’s tional Dairy Foods Association, to a senior product and process recognized at the Women’s Alli- Alliance Network Red Circle National Milk Producers Federa- technologist, in charge of the ance Network Breakfast during Honors that spotlights women’s tion, and the Innovation Center rollout of solutions to over 50 Process Expo here Thursday, Oct. careers and companies that put for US Dairy. Foremost Farms manufacturing plants. In 2012, 10, 2019. extra effort into supporting gen- has launched a search for a new he was named lead technologist, Nominations must be submitted der balance, takes the event to the president and CEO. by Friday, August 16, 2019, and next level,” Rome continued. coordinating multi-disciplinary and global teams to execute four awards will be presented. “It is truly amazing to see what JEFF KENT of Foremost Farms strategic initiatives, and provid- FPSA’s Rising Star Award rec- the women of FPSA have accom- USA was elected president of ing technical services and solu- ognizes a woman with less than plished in the past two years,” said the Wisconsin Dairy Products tions to over 80 plants around five years of industry experience, Mary George, Women’s Alliance Association (WDPA) for 2020. the world. In 2014, he began a who has made a noticeable impact Network co-chair. “What started Schreiber Foods’ ROB BYRNE consulting relationship with Hil- via professional achievements and as an idea has grown into a net- was elected vice president, and mar Cheese Company, Inc. and personal influence in the food and work of more than 140 women MARK FREDERIXON of Asso- later joined the Hilmar team beverage industry. who work in the food and bever- ciated Milk Producers, Inc. as principal scientist. While at The Innovation and Inspira- age industry.” (AMP) was elected treasurer. Hilmar, Hayden was responsible tion Award recognizes a woman Nomination criteria and forms GREG POLLESCH, Galloway for the commissioning, optimiz- who has brought game-changing are available online at www.fpsa. Company, will serve as secretary. ing and technical activities of innovation or an inspiring idea in org/red-circle-honors-achievement- Nine WDPA members were also a green field milk powder dairy the last 18 months to her company in-developing-promoting-women. selected to serve three-year terms site, while playing a key role in and/or industry. For questions regarding the FPSA on the board of directors, includ- developing new products. The FPSA’s Career Excellence Women’s Alliance Network Red ing DAN WILLIAMSON, Award recognizes a woman who is Circle Honors program, contact Kemps; DAVE ROBBINS, Dean ANDREW HARIG has been dedicated to the food and beverage Christine Radke via email: cradke@ Foods; ANDY PFISTER, Masters KossProducts.pdf 6 6/6/19 2:26 PM named vice president, tax, trade, industry and has taken a proactive fpsa.org. Gallery Foods; PAUL BLACK- sustainability and policy devel- LEY, Sargento Foods, Inc.; opment with the Food Market- DAN ZASTOUPIL, Marathon ing Institute (FMI). In his 16 Cheese; JERRY LIPPERT, Nel- years at the organization, Harig Products & Components son-Jameson; BOB BERANEK, has focused on issues that affect Ecolab; GREG SCHEER, T.C. retail operations, supply chain for Food Manufacturing Jacoby; and a representative and social responsibility, includ- from Organic Valley/CROPP ing sustainability, agriculture, Cooperative. trade and pensions. Recently, he assumed responsibility for labor Mezzanines, Cabot Creamery Cooperative, and transportation. Platforms & marking its 100th anniver- Master Distributor Pump SuperCenter Stairs sary of operation this year, has DEATHS Sanitary Valves announced that Cabot Visitor & Pumps Center manager ERICA BURKE has been promoted to general Dennis H. Biery, 75, C manager of all Cabot retail oper- Former President Of M ations including the three Ver- Biery Cheese, Dies Y mont stores in Cabot, Waterbury, and Quechee, and on the Water- Louisville, OH—Dennis H. CM front in Portland, ME. Burke suc- Biery, 75, died Saturday, July 20, MY ceeds LAURIE CALLAHAN, 2019 here at his home after a CY who dedicated 25 years to the courageous battle with cancer. It’s in everything we do, CMY Koss is a preferred provider of cooperative as Cabot’s director At the age of 35, Dennis K 3-A Equipment from full-plant installations, of retail and tourism. Cabot has Biery was named president of quality products to the cheese, dairy Leveling Feet to designing pasteurization grown from a butter and a cheese Biery Cheese Company, which is and other sanitary industries. vat in the town of Cabot, VT, now a fourth-generation cheese systems, to fabricating to four creameries in three states operation in Louisville. tanks and vessels. producing over 1,000 varieties of Biery Cheese began in 1929 From pumps to platforms, cheese and dairy products distrib- by Dennis’ grandfather Norman ﬁltersDoesn’t to ﬁttings, your nextand uted in the US and 22 countries. F. Biery. Dennis Biery served as CEO from 1989 through 2010, strainers to spray balls, Floor Drains & project deserve the KEVIN RULE has been tapped after which his son, Ben Biery, Clean Outs skill we’veof true got craftsmanship? you covered. as the new chief financial officer took over the family business. for Hickory Farms, LLC. In this The company started mak- role, Rule will oversee Hickory ing Swiss cheese with farmers’ kossindustrial.com Farms’ financial planning, risk unsold milk, and has evolved Green Bay, WI management, accounting and into a private label manufactur- 1-800-844-6261 banking relationships. Rule ing enterprise with products in spent 17 years with Kraft Foods. nearly 4,000 stores. For more information, visit www.kossindustrial.com July 26, 2019 CHEESE REPORTER Page 19 Grand Rapids’ Evan Talen Tops Midwest Cheesemonger Invitational venue in such a short time frame NYC Cheesemonger with limited bandwidth wasn’t Event Cancelled possible, he said. “The goal is to regroup and New York—Unforeseen venue come back stronger in 2020,” he and limited bandwidth issues have continued. “This decision was very forced organizers of the Cheese- difficult to make, but a necessary monger Invitational NYC 2019 one.” to cancel its hugely popular June This spring, CMI kicked off its event. first-ever contest in the Midwest, First held in 2010 and hosted by which was yet another sell-out Larkin Cold Storage of Long Island event. City, NY, the competition show- Evan Talen, general manager of cases the technical skills, encyclo- Aperitivo specialty cheese store pedic knowledge and passionate in Grand Rapids, MI, earned top salesmanship of cheese mongers honors at the first Midwest Chee- from across the US. semonger Invitational in Chicago. In the last 12 months, we have Evan Talen of Aperitivo, Grand Rapids, MI, topped the inaugural Midwest Cheesemonger Originally from Grand Rap- Invitational Sunday, April 28 at Chicago’s Goose Island Barrel House. produced very successful CMI ids, Talen’s enthusiasm for cheese competitions in New York, San began in 2010 he moved to Wash- Francisco and Chicago, said Adam cheeses. Cheese mongers were also By 6 p.m., Talen was among ington state to open a small cheese given a certain amount of time to the six finalists that made the cut, Moscowitz, president of Larkin and wine shop called Cheese Lou- Cold Storage and CMI founder. cut, wrap and perfectly portion including Julia Gross, TBT; Molly ise. pieces of cheese with “Zen exac- Hess, Pastoral Artisan Cheese, “Due to this, we have stretched Talen returned to Grand Rapids titude.” Bread & Wine; Jeffrey Forlas- the production team too thin,” in 2014 to join the team at Aperi- Contestants were also required tro, Arethusa Farm Dairy; Matt Moscowitz said. “We do not feel tivo, and one year later, passed to create a “perfect bite,” a “per- Deloach, Harmons Mountain at this time that we can produce his Certified Cheese Professional fect beverage pairing” and “perfect View; and Samuel Schoenberg, another event in June that lives up exam (CCP) with the American plate” using assigned cheeses and France 44. to the standard that we have set.” Cheese Society (ACS). ingredients of their choice that For more information about the To make matters worse, we Chicago’s Cheesemonger Invita- enhance the cheese, to be pre- contest, visit www.cheesemonger- learned that in order for Larkin tional, described as “more exciting sented on an 11.5-inch round slate. invitational.com. Cold Storage to host the event, than ‘Game of Thrones,’” began it requires a Permit to Assembly. with 44 cheese monger competi- This is a new requirement, Mos- tors from across the US. cowitz said. Contestants were given a series Unfortunately, we didn’t have of challenges, including a written enough time to procure this per- taste and blind taste-test and blind mit, and securing a new suitable aroma test featuring several rinded

SUPERIOR RESULTS WITH RELCO CHEESEMAKING SOLUTIONS.

RELCO provides a wide variety of cheese making equipment and systems for a comprehensive cheese plant design. Our cheese- technology experts will design a process that is customized to meet your speciﬁc needs. We focus on alternative thinking to ensure our customers experience superior results. ConvertabilityTM Enhances The CrystalBan Learn more about RELCO solutions at Quality & Body of Your Cheese relco.net/cheesereporter. CrystalBanTM allows for a more precise management of moisture levels. This allows you to convert blocks into thinner cheese slices and longer shreds without fracturing the cheese.  More precise management of moisture levels Contact a RELCO expert today:  No visible crystals 320.231.2210  No eﬀect on taste [email protected]  Better Slicing and Shredding characteristics  Increased resistance to fracture

 relco.net Nutricepts, Inc. T: 952-707-0207 E: [email protected] www.crystalban.com

For more information, visit www.relco.net/cheesereporter For more information, visit www.crystalban.com Page 20 CHEESE REPORTER July 26, 2019

New Carmel Valley Ranch Creamery Captivates Turophiles, Ag-Tourists Carmel, CA—Carmel Valley “My cheesemaking experience Ranch, a summer-camp-inspired started back in 1972 when I lived upmarket resort, debuted its new a year in a desolate area of the Market & Creamery this summer, French Alps with an old French designed to provide guests with shepherd and 50 goats,” Cascio interactive cheesemaking and said. “He, like all the shepherds other culinary experiences. around the area, made Crottin and Carmel Valley Ranch is situated only Crottin.” on 500 acres in the foothills of the I also studied with numerous Santa Lucia Mountains along Cali- goat cheese makers in Quebec, fornia’s Central Coast near Big Sur and have taken multiple work- Charlie Cascio has been tapped as resident cheese maker for the new Creamery at Carmel and Monterey. shops with Gianaclis Caldwell of Valley Ranch, which kicked off this summer. The Ranch is the latest upscale resort to feature an interactive culinary experience like cheesemaking demonstrations for its guests. The Carmel Valley Ranch resort Oregon’s Pholia Farm and Dairy features an on-site farmstead with Connection’s Dave Potter, Cascio an organic garden, four-acre pinot continued. Cascio said he would like to small herd of eight purebred Saa- noir vineyard, apiary, salt house, In 2016, Cascio’s goat farm, continue production of cheeses he nan goats. With milking twice a hen house, goat barn and eques- Sweetwater Ranch in Big Sur, was made before a fire destroyed his day, five goats are producing about trian program. almost completely destroyed by the farm – fresh Chevre, Crottin and eight or nine gallons of milk per Guest activities include bee- Soberanes Fire. Not much beyond Valencay. day. keeping and honey harvesting, his goat herd survived. His aged cheese line includes We hope to expand the herd to When my farm was Peppercorn Caprino Romano, raw 10 goats in the future, Cascio said. destroyed by a wildfire, goat milk Guyerier with fenugreek, Carmel Valley Ranch is one of I was refused a grant and goat milk Manchego salted the latest inclusive resorts in the from the US Depart- in red wine brine, marinated in US to feature farmstead cheese- ment of Agriculture honey, and rolled in lavender. making with an overall culinary (USDA), Charlie Cas- “I have experimented with bent. cio continued. many different types of cheese reci- The popular Blackberry Farm “One of my best cus- pes, and I found that not only were in Walland, TN, began making tomers, Carmel Valley these my most popular, but they cheese in 2004 and has since won Ranch’s executive chef are fun to make,” Cascio said. major awards at the American Tim Wood, suggested I I’ll also be making whatever Cheese Society for its Hawkins hilltop yoga, hiking and foraging bring the goats to The Ranch and chef Wood directs me to make, he Haze, Magnolia and Brebis walks, cooking classes, and surprise they would build the necessary said. Since we’ve just started the cheeses. pop-up tastings, pairings, and dem- barn, milking parlor, and cream- creamery, I can’t say at this time “I believe eco-tourism is finally onstrations from resident cheese ery. I would be head cheese maker,” how much of which particular catching on in the US. I saw how maker Charlie Cascio. Cascio said. cheeses we’ll produce. successful this idea was in Europe, Carmel Valley’s farmstead Chef Wood checked with the The Creamery also serves farm- and I see it starting here,” Cascio creamery is run by four employees, owner of the ranch, who thought stead yogurt and ice cream. continued. and Cascio serves as head cheese it was a great idea, and here I am, The goats are purebred Saanan, For more information, visit maker. he continued. and Carmel Valley currently has a www.carmelvalleyranch.com.

Call 608-246-8430 or email: [email protected] to subscribe or for questions regarding the Cheese Reporter App July 26, 2019 CHEESE REPORTER Page 21

tion of ADPI’s membership result- Dairy Protein Messaging Initiative ing in action. Canada Now Allows Launches New ‘Strong Inside’ Website “Second, we need this effort,” Dairy To Be Used In Nauslar continued. “Dairy prod- Elmhurst, IL—The American developed and tested messages, ucts have fantastic and complete Vodka Production Dairy Products Institute (ADPI) and selected those that will proteins that consumers need to Ottawa, Ontario—Canada’s vodka and members of the Dairy Protein effectively influence consumer hear more about. compostional standard has been Messaging Initiative (DPMI) this choices. “We’ve been out-shouted by updated to allow the country’s week announced the launch of a “This is an important initiative plant-based protein competitors growing spirits industry to be more new website, www.TheStrongIn- for the dairy industry,” said Blake for quite some time. It’s nice to see innovative, provide more choice side.com, which is designed to com- Anderson, ADPI’s president and the industry come together to start for consumers, and enhance trade, municate the benefits and positive CEO. “With growing consumer our version of the protein conver- Marie-Claude Bibeau, Canada’s attributes of proteins from milk, interest in protein, and an expan- sation with consumers,” Nauslar agriculture minister, announced. with a focus on protein ingredi- sion of protein sources and types, added. Canadian distillers can now use ents. the industry felt now is the time The new website will be an agricultural ingredients other than This proactive platform will to provide reliable information on informative hub for The Strong potatoes and cereal grain to pro- serve as an informational tool to the quality and benefits of proteins Inside message with fact-based duce vodka. Allowing the use of guide targeted consumers (“protein from milk, and to help protein information to better assist con- new ingredients such as dairy in seekers,” Millennials and women) seekers consider the quality of the sumers with making smart protein vodka production gives consum- regarding their protein choices. protein, not just the quantity, they choices. ers more choice and better aligns are consuming.” It communicates the nutritional Canada with international stan- Essentially, protein quality benefits of proteins from milk com- dards, increasing innovation and “We’ve been out- is a measure of a food’s ability pared to other sources, seeks to competitiveness, Bibeau noted. to deliver amino acids to match refute myths and misconceptions, To help consumers make shouted by plant-based human requirements, the new and fills the void with science-sup- informed choices, vodka produced protein competitors. It’s website explains. ported information about proteins from ingredients other than just nice to see the industry Three elements may be consid- from milk. potatoes or cereal grain must be come together to start ered: the total protein content of a The Strong Inside message will labeled accordingly, using the food, the amino acid profile (and also be promoted through digital statement “Produced from...” our version of the how closely it matches human ads, social media channels and Vodka will remain a neutral protein conversation...” needs), and the bioavailability/ partnership outreach. alcoholic beverage, meaning it digestibility of the protein ingre- The Dairy Protein Messaging is without distinctive character, —BT Nauslar, dient. Some anti-nutrient fac- Initiative is funded through volun- aroma, or taste, but the revised Leprino Foods tors may be naturally present in tary support by co-sponsors ADPI, standard allows distillers to achieve some sources (phytates in soy for Agropur, FrieslandCampina and this outcome by using material or example), and those compounds Saputo and 48 other sustaining processes other than just charcoal. “The Strong Inside” message is may decrease protein quality for and supporting members repre- The only filtration process permit- the foundation of the Dairy Pro- humans. senting suppliers, the trade, asso- ted for vodka under the previous tein Messaging Initiative. Backed All proteins from milk deliver ciations and the media. regulations was through charcoal. by science but designed to appeal the amino acid nutrients that to consumers’ emotions, it empha- match human requirements better sizes the unique value of proteins than plant proteins, according to from milk in an engaging and posi- the new DPMI website. For this Automated Cheese tive way, ADPI noted. reason, they are often called the Some 68 percent of US consum- highest protein quality. Waxing Systems ers want to consume more protein, Leprino Foods is “100 percent but many are turning to dairy alter- behind DPMI for a couple rea- natives. sons,” said BT Nauslar, vice presi- Add value to your Cheese with a Waxonator System Through research conducted dent of business development at over several months, the Dairy Leprino Foods. “First, it’s great to The Waxonator automated Protein Messaging Initiative see the pre-competitive collabora- Cheese Waxing System is a cost-effective way to wax retail cuts and wheels of cheese. The system allows for color changes for Time Tested maximum flexibility and a consistent process. More Cheese is waxed on this system Food Processing Superior Quality in Wisconsin than by any other waxing process. Corrosion-Proof Wall and Ceiling Panels Exceptional Value Since 1992 Poly Board® Panels Simplifies and Automates the Cheese Waxing Process • Two Operators required for infeed and exit of the product. • Consistent Waxing Process Parameters can be maintained for repeatable results. • Smooth - Nonporous • Easy to Clean System allows for Quick Color Changes • Sanitary • 30-45 minutes required for color changeovers. • Perfect for Incidental Food Contact • Each Wax Color can be stored in its own Wax Vat. • High-Gloss - Bright White • Water-Proof — Highly Reflective Significant Reduction in Operator time • Will Not Rot, Rust, Mildew, or • Throughput on Cheese Wheels – 5-10 seconds per wheel. Corrode • Throughput on Retail Cut Cheese Pieces – 3-5 seconds per piece. • Quick Installation with Custom Contact the Cheese Waxing Specialists at Valcour Process Technologies to discuss Length Panels and No Exposed your Cheese Waxing application Fasteners • Class A for Smoke and Flame • Made in the U.S.A. “Enabling Extraordinary Cheese Production, Converting, Packaging, Suspended Ceiling Panels Inspection, Sustainability, and and Doors also Available Project Solution Opportunities for our Customers.” P EXTRUTECH PLASTICS, INC. 2400 - 24 5902 West Custer St., Manitowoc, WI 54220 ” Pa nel MADE IN THE Phone: 888-818-0118 • Fax: 920-684-4344 USA www.epiplastics.com • E-mail: [email protected]

Extrutech Plastics, Inc.TM ISO 9001-2008 QMS Certified 518.561.3578 • ValcourProcessTech.com For more information,visit www.epiplastics.com For more information, visit www.valcourprocesstech.com Page 22 CHEESE REPORTER July 26, 2019

Butterkäse demand. cheese accounts for also roughly (Continued from p. 1) “We use Butterkäse as a value- 5 percent of total production. added product and it’s a small per- Demand for Cedar Grove Butter- How Butterkäse weiss Creamery in Monticello, centage of our production,” said käse is prominent in the Midwest. Saved Wisconsin’s WI, was first introduced to But- owner and Master Cheesemaker “There’s is a strong German terkäse 31 years ago when he was Steve Stettler. “Our Butterkäse is heritage in Wisconsin and other Cedar Grove Cheese named manager of Roth Käse not a traditional vanilla color – we areas of the Upper Midwest,” Wills Plain, WI—One of Wiscon- USA. Butterkäse was one of the make a brighter yellow color to set said. “It’s a great, mild cheese at a sin’s pioneer specialty cheese initial cheeses for which Workman ours apart.” reasonable price for families.” operations might have shuttered earned Master certification. McCluskey Brothers Organic decades ago if not for an obscure “Butterkäse is a great universal Farms of Hill Point, WI, has been Ideal For Cooking, Grilling and serendipitous need for But- cheese. It makes the best grilled selling Butterkäse for eight years, With its mellow flavor and excel- terkäse. cheese ever, and I would say it’s the and it accounts for about 5 percent lent melting factor, Butterkäse is Bob Wills, owner of Cedar most kid-friendly,” Workman said. of overall cheese stock. used in a variety of recipes, includ- Grove Cheese, Plain, WI, It’s used as a table cheese with We decided to start selling But- ing as the key ingredient in many described how just after he took crackers, melted over vegetables terkäse because we liked its tex- Wisconsin Master Cheesemakers’ the helm of Cedar Grove, the or as an ingredient in macaroni ture, complex flavor, and its great ultimate grilled cheese recipes. company ran into some unex- and cheese, he continued. When melt factor, said company partner “Butterkäse works wonderfully pected bad luck following a it’s made correctly, Butterkäse will Patrick McCluskey. as an ingredient in dishes but is also sharp market drop. have a rich and buttery flavor. Bob Wills, Master Cheesemaker decadent enough to be enjoyed on “Over 25 years ago, a while Decatur Dairy of Brodhead, WI, and owner of Cedar Grove Cheese, a cheese plate,” Engwall said. after we took over, the Cedar introduced Butterkäse to its prod- Inc., Plain, WI, began making But- Grove Cheese factory was mak- uct line in 2000 due to customer terkäse in 1991, and today the • See Butterkäse, p. 23 ing Colby and Monterey Jack with a small customer base,” Wills said. “The industry was in a con- solidation period like we see with farms today,” Wills said. “Our largest customer for a while was a company that is today a respected leader in the US cheese industry.” “As the market started a sharp downturn, that customer called up and cancelled all of their Your Business Creates Unique Challenges orders,” he said. “We were stuck with milk coming in – Cheddar to the rafters and no money to ...We Provide Solutions pay farmers.” There followed a series of panicked calls to every potential buyer we could think of, Wills said. By great fortune, we con- nected to Forrest Kubly at Swiss Colony, Monroe, WI. “Forrest noted that he thought the industry needed to keep some of the smaller facto- ries around who could make specialty cheese,” Wills continued. “He asked if we were willing to learn to make Butterkäse. The Colony was then importing the DR Tech EZ Whey Belt DR Tech EZ Whey Waterless Cookers cheese from Europe and renam- Vertical Filler ing it Kreme Kaese,” he said. It was expensive for them to import and came in shapes that were not convenient for cutting Throughout the world, DR Tech’s dairy processing equipment has been used by a host of into their small pieces for gift diff erent businesses, from large to small, each with diff erent needs. boxes,Wills said. “We jumped at the chance. With years of technical expertise, D.R. Tech works closely with you to engineer solutions; Swiss Colony bought our entire designing and building the equipment customers need in accordance with their supplied inventory, keeping us in business specifi cations. and started us into the specialty cheese arena,” Wills continued. “I also learned from Forrest that • Conveyors • Stainless Steel Tanks if I had an opportunity to help • EZ Whey draining and matting belts • Hard & Semi-Hard Pre-Presses others in this industry, I should • Cheese Dicers • Waterless Cheese Cookers do it.” • Carousel Vacuum Presses • Rotator Line Systems Although we no longer make • Form Washing Solutions • Automated Brine Systems. the cheese for Swiss Colony, the modern Cedar Grove Cheese was saved by Forrest Kubly and 1-800-815-6761  Fax: 715-463-5218 by Butterkäse, Wills said. DR Tech, Inc. “We take all opportunities to www.drtechinc.com  e: [email protected] recognize that debt and I was very proud to choose Butter- From Design...To Production...To Installation...Through Operation käse as one of my first cheeses as a Wisconsin Master Cheese Maker,” he continued. For more information, visit www.drtechinc.com July 26, 2019 CHEESE REPORTER Page 23

Butterkäse know what to expect in terms of “Food trends can be difficult to the growth of artisan cheeses,” (Continued from p. 22) flavor and texture, Engwall said. predict – especially when looking Stettler said. Butterkäse sounds exotic and five years ahead – but it would It’s a cheese that’s carving out even just the name alone may not be unreasonable to expect an its own identity, despite not being “When eaten as a snack or cause the average shopper to over- uptick in the popularity of inter- sold in every dairy case, he con- appetizer, a crisp cider or fruity red look it in favor of a more familiar nationally inspired, traditional tinued. wine compliments its rich, buttery cheese, she said. cheese varieties such as Butter- I’m not sure why this particular flavor.” At Decatur Dairy’s retail store, käse,” Engwall said. cheese doesn’t garner more atten- “When sliced or shredded, But- customers frequently inquire about “The rise of e-commerce is tion than others, but I’d like peo- terkäse’s creamy texture allows it to Butterkäse and after a sample, most changing the way consumers ple to give it a try – they won’t be melt beautifully in classic comfort take a piece home, Stettler said. view choice. They expect diverse disappointed, McCluskey said. foods like grilled cheese, stove top Overall, Butterkäse represents a options when they are shopping “Our Butterkäse is gaining trac- macaroni and cheese and pizza,” small portion of Workman’s total and that applies to grocery items tion, but I don’t see huge growth she said. sales, “but as I introduce it to new as well,” she said. any time soon – just more of a slow “Its delicate, approachable fla- customers, they usually bring it on Butterkäse and other Old World build,” he continued. vor makes it an incredibly versatile board,” he said. cheese varieties are likely to grow It’s hard to predict what future cheese that can even be used as “People all know what mild in popularity in the US and sales will be like, Workman agreed. an ingredient in some savory des- Gouda tastes like, so it’s just edu- beyond, Engwall continued. “We can only hope that as the serts,” Engwall continued. cation and sampling that will “I believe Butterkäse will always consumers become more aware of Butterkäse is a popular table eventually win out,” Workman have steady sales with the adven- the versatility of this cheese, sales cheese, but I would not necessarily continued. turism of cheese connoisseurs and will follow,” he continued. call it a midwestern cheese because Marketing has been stronger for it’s become popular with growth of Gouda, especially by companies the overall artisan cheese segment, from the Netherlands, Wills said, Stettler said. who can’t think of a branded But- It has a mellow flavor and makes terkäse. Give your supply a great grilled cheese sandwich, “I also think the umlaut on the along with making a good cutting ‘a’ is confusing and hard to type. board cheese. The ‘ae’ alternative is also awk- chain a health check Our customers that are inter- ward,” he continued. WOW Logistics Consulting Services will cut costs by uncovering ested in Butterkäse are typically inefficiencies. middle-aged and older, McCluskey Sales Slow But Steady; Sampling Key To Winning Over Consumers ✓ Detailed roadmap of solutions with said. Our Butterkäse is creamier predicted ROI than conventional Butterkäse, and A good chunk of US consumers has a rich, smooth flavor. are unfamiliar with Butterkäse and ✓ Experienced engineering team for those who know about it, many “We love to use it for grilled ✓ Broad view of industry best practices cheese along with a drizzle of our aren’t sure how to pronounce it. maple syrup – a match made in The cheese also took a hit years ✓ Advanced analytical tools to track heaven,” McCluskey said. ago when shoppers shied away project success This cheese is simply great to from full-fat foods, but now the just eat, Wills added. But, it’s fabu- tide has turned. lous for macaroni and cheese or For some time, Butterkäse suf- grilled cheese sandwiches as well. fered from the bad reputation of butter, Wills said. Often Mistaken For Gouda “Today, the health benefits of When customers think of Butter- dairy fats are becoming more widely 800-236-3565 wowlogistics.com käse, it’s often Gouda that imme- understood and people have been Let WOW identify your greatest opportunities diately comes to mind. seeking richer and more satisfying Gouda benefits from name cheese varieties,” he said. “I expect for a more streamlined system. recognition with consumers. It’s it will grow relative to other cheese a popular choice because people varieties.” For more information, visit www.wowlogistics.com

For more information, visit www.dairyconnection.com Page 24 CHEESE REPORTER July 26, 2019

products hit supermarket shelves Another problem with testing Electronic Tongue every year, but spicy food can wear spicy foods is that people can only Natural Lipids In Found To Be More out taste buds quickly. test a few samples before their taste Buttermilk Could This can be a problem for peo- buds give out. Effective in Taste- ple who make and sell spicy food, After a few bites, taste buds Help Reduce Testing Spicy Cheese, the research found. can’t distinguish differences in Cardiovascular Risk “At low concentrations, or low taste at all, researchers said. But Other Foods spiciness, it’s hard to discriminate the e-tongue can handle as much Paris, France—A French consor- tium led by the French National Pullman, WA—Washington between two samples,” Schlos- heat as any scientist can throw at sareck said. “It’s also hard to tell a it and maintain accuracy. Institute for Agricultural Research State University (WSU) research- (INRA) has demonstrated that ers have found that an electronic difference between two samples at “This would allow testers to high concentrations.” narrow a selection down to two or consuming certain lipids present tongue, or e-tongue, is more effec- naturally in dairy products (called The e-tongue’s ability to dif- three samples for a human tasting tive and accurate in taste-testing “polar lipids”) could reduce the ferentiate between the spiciness panel if they start from 20 different fiery foods than sensitive human cardiovascular risk in overweight of foods could come in handy for formulations,” Schlossareck said. taste buds. postmenopausal women by lower- industry, or even the WSU Cream- “That would take days to do with In a paper recently published in ing their blood levels of LDL cho- ery, which makes Crimson Fire people tasting them.” the Journal of Food Science, recent lesterol and triglycerides. cheese. Crimson Fire is made with That’s because people need to WSU graduate student Courtney Dairy products contain a wide jalapeño and cayenne peppers. wait at least five minutes between Schlossareck and her advisor, Car- variety of lipids, both triglycerides “Spicy cheese is really poular,” olyn Ross, found that the e-tongue samples. and polar lipids, the latter being Schlossareck said. “So helping is very accurate at telling the dif- And even then, only a few specific lipids that naturally sta- ference of spiciness between sam- cheese makers dial in the optimum samples can be tested because the bilize fat droplets and are notably ples of the same food. level of spiciness would be even spiciness lingers and can throw off found in cream and buttermilk, Thousands of new, spicy food more helpful.” results, she said. INRA noted. Polar lipids play a crucial physiological role as they are essential components of cell membranes. Preliminary experiments in rodents had revealed the beneficial A Trifecta effects of milk polar lipids on liver metabolism and the regulation of blood cholesterol levels, according to INRA. However, until now, these effects had never been demonstrated in human volunteers with a high cardiovascular risk. The research teams therefore tried to decipher the impacts of milk polar lipids on the cardiovascular risk profile of overweight postmenopausal women. To achieve this, 58 such volunteers were asked to include cream cheese that was more or less enriched in milk polar lipids as part of their daily diet. After a month of consuming a you can bet on specially-designed buttermilk concentrate enriched in milk polar lipids, the team observed a significant reduction in their blood levels of ADPI Fall Meetings LDL cholesterol, triglycerides and

TM other important markers of cardio- “Where The Dairy Industry Do Busin s” metabolic risk. These milk polar lipids thus improved the cardiovascular health profile of these postmenopausal women. The scientists then sought to unravel the mecha- nism underlying this effect. Their complementary studies suggested that certain milk polar lipids and cholesterol may form a complex in the small intestine that can’t be ADPI Dairy Global Cheese Dairy Purchasing & Risk absorbed by the gut. Ingredients Seminar Technology Forum Management Seminar These findings could ultimately provide foundations for new nutri- Join the buzz as industry subject This two-day biennial event ADPI and CME Group host an tional strategies to reduce car- matter experts discuss the provides the latest technical event providing key concepts diovascular risk factors in certain future market opportunities and information relevant to the involved in managing price risk vulnerable populations, INRA challenges for dairy ingredients. cheese and whey industry. in dairy commodity markets. stated. Further, they should con- September 23 - 25, 2019 November 5 - 7, 2019 November 13 - 15, 2019 tribute to a diversification of the Hilton Beachfront Resort Peppermill Resort InterContinental Hotel ingredients used by the food indus- Santa Barbara, CA Reno, NV Chicago, IL try. The functional properties of Overall Seminar Sponsors: Put Your Logo Here Overall milk polar lipids relative to the Sponsorships Now Available! Seminar texture of foods, alongside their Sponsors: potential protective health effects, could offer a promising alternative REGISTER TODAY AT WWW.ADPI.ORG to the soy lecithin that is currently used in a number of foods, as well 126 N. Addison Avenue, Elmhurst, IL 60126 l www.adpi.org l [email protected] as providing an opportunity for the valorization of buttermilk. July 26, 2019 CHEESE REPORTER Page 25

Food Safety At FDA larly timely because we are in the sensor technology, the Internet of is exploring their preventive value. (Continued from p. 1) midst of a new revolution in food Things, and artificial intelligence. How can predictive analytics help technology,” Yiannas noted. “But Smarter Food Safety is us target potentially contaminated food safety. While he arrived at “Many believe there will be about more than just technology. foods?” FDA in December right before more changes in food production It’s also about simpler, more effec- The ability to apply predic- the government shutdown, he systems in the next 10 years than tive, and modern approaches and tive analytics to shape preven- has spent the previous 30 years there have been in the past 50,” processes,” Yiannas said. tive measures will be “particularly working on food safety, first at the he said. “Products will be refor- Yiannas believes today’s food important” as food innovation Disney Company for 19 years and mulated; new food sources and system has “one major Achilles produces novel foods and food then at Walmart since 2008. production approaches will be heel: a lack of traceability and ingredients, such as cultured ani- FDA is “making great progress” realized; and the food system will transparency.” mal cells or macro- and micro- in implementing FSMA, Yiannas become increasingly digitalized.” In the FSMA, Congress antici- ingredients through innovative said. The next important compli- A lot has changed since FSMA pated a need for enhanced tracking plant and microbial-based tech- ance dates begin today, for large became law in January of 2011, and tracing of certain food, Yian- nologies, including those derived businesses under the intentional Yiannas pointed out. That’s why nas noted. Part of FDA’s work in from genome-editing technologies, adulteration rule, which estab- Acting FDA Commissioner Ned modernizing food traceability will Yiannas said. lishes requirements to prevent or Sharpless and Yiannas announced come through rulemaking under Another area FDA plans to greatly minimize acts intended to in May steps they plan to take development that is required in address in its blueprint is how it cause wide-scale public harm. to usher FDA and the US into a Section 204 of the law. protects foods as new business Routine inspections to verify “New Era of Smarter Food Safety.” “These days, we have more food models emerge and change to meet compliance with this rule will begin Smarter food safety “isn’t just a safety data available to us than ever the needs of today’s consumers, in March 2020 to give stakeholders slogan or a tagline,” Yiannas said. before, whether it’s data generated Yiannas continued. more time to become familiar with It’s “a new approach to food safety, by the FSMA rules, increased data “The evolution of how food gets resource materials, tools and train- a new mindset, one that recognizes sharing with regulatory counter- from farm to home continues from ing, Yiannas indicated. and builds on the progress made in parts, or other sources,” Yiannas around the corner to around the “This rule has been controver- the past but incorporates the use said. “As more data streams and world with the growth of interna- sial with some in the food industry, of new technologies that are being tools for rapidly analyzing data tional trade and the emergence with concerns including the flexi- used in society and business sectors become available, another focus in of e-commerce and new delivery bility, cost and paperwork involved all around us, such as blockchain, developing the New Era blueprint models,” he noted. in meeting these new requirements,” Yiannas said. “We have heard the concerns and have made significant progress in addressing them through draft guidance and a training curriculum. Our goal is to make implementation as practical and flexible as possible, while also protecting public health.”

“Smarter Food Safety is about more than just technology. It’s also about simpler, more effective, and modern approaches and processes.” —Frank Yiannas, FDA

Another FSMA-related issue that has been important to stake- Reduce Your Costs with Free Flow® Improve Yield, Appearance and Pro tability of holders, Yiannas continued, is the At two to three times your current application rate, Free Flow® Your Cheese Shreds need to provide parity of oversight anti-caking agents can reduce your costs dramatically. between domestic and foreign • Free Flow® anti-caking agents can be applied at higher food producers. Earlier this year, application rates to improve yield and pro tability. FDA released its “Strategy for the • A smart substitute for cellulose, Free Flow® can be applied Safety of Imported Foods,” which Free Flow® looks better at over twice the rate and remain signi cantly less visible. describes how the agency is inte- than cellulose at twice grating its new import oversight the application rate. • Low airborne dust ensures safer working conditions, less tools with existing tools as part 3% Cellulose equipment wear-and-tear and better package seal integrity. of a comprehensive approach to • Free Flow® delivers excellent owability for maximum line imported food safety. Free Flow® is nearly speeds, while preventing clumping. “The Foreign Supplier Verifica- invisible at 3%. ® tion Program (FSVP) under FSMA • Free Flow can be customized to co-deliver antimycotics and ® is a powerful tool in our import 3% Free Flow 1031 oxygen scavenger systems to assure ongoing avor and toolkit as we inspect US import- freshness. ers to establish that they are meet- ® ing their responsibility to ensure For more information about Free Flow and our complete line the food they bring in meets FDA of anti-caking solutions, contact us today. safety standards,” Yiannas said. “We began inspecting importers of processed foods under FSVP in June 2017, conducting about 1,600 inspections to date.” ©2018 Allied Blending LP 1-800-758-4080 • www.alliedblending.com All rights reserved. The evaluation of new and emerging technologies “is particu- For more information, visit www.alliedblending.com Page 26 CHEESE REPORTER July 26, 2019

for specialty cheese. “It started issue,” Potter said. Dairy Connection Celebrates 20-Year snowballing in the late Nineties.” Much of our customer base goes Partnership With Artisan Industry Cheese makers were selling back to the company’s beginning, products at farmers’ markets and and most were interested in mak- Madison—Over 20 years ago, dairy They wanted cultures and appli- chefs would pick it up, Potter said. ing semi-hard, goat and cow’s milk industry veteran David Potter rec- cation knowledge – what cultures If they entered cheese in the ACS cheeses like Cheddar in a variety ognized an untapped market for to use for particular styles of cheese contest and won an award, “every- of flavors, Potter said, adding that the distribution of cultures, service they were introduced to in Europe thing took off,” and then they had the consumer popularity of chevre and support for small-scale, artisan and Latin America, Potter said. to get serious about food safety. was exploding. cheese makers. We also covered a lot of food safety “Thanks in part to the ACS, Today, they want to know how Today, Dairy Connection, Inc. issues during those short courses. it’s a lot more common now that to make their raw milk Cheddar is a leading ingredient supplier to During the early days, the barn smaller cheese makers know the different from the other 10 com- specialty, farmstead and small-to- and the cheese vat were a step or importance of sanitation and food panies making raw milk Cheddar, midsize cheese and fermented-milk two away from each other, Potter safety,” he said. “Half your day isn’t he said. manufacturers nationwide. explained. making cheese; it’s cleaning.” “Adjunct cultures are big,” Pot- The company offers a vari- “Sanitation is such an importer said. “People want unique fla- ety of cultures, coagulants, flavor tant part of the process that was The Dairy Connection Process vors to their milk, and cultures enzymes, and other ingredients being overlooked. You can’t have In order to create a unique and work differently in the milk supply needed to make cheese and fer- good culture activity using dirty quality product, Dairy Connection of different regions.” mented milks, as well as the latest equipment or dirty milk. Cultures staff first asks its customers to go Looking at the market now, our specialty cheese culture blends. just won’t work if there’s a quality through their make process. customers have grown along with In August, the company will issue.” “We need to find out what us – many are much bigger than move into a larger facility here in Potter thinks the American they’re doing, and the effect it has Madison, that will house an appli- Cheese Society was the key driver on the culture. Texture is another • See Dairy Connection, p. 27 cation laboratory, sanitary blending and pouch filling rooms and expanded office space for the growing technical and resource team. Dairy Connection employs about 12 industry professionals, including a technical support team with more than 100 combined years in the dairy ingredient industry. The team works with clients to identify or create custom culture blends that best fit their needs. Smaller companies look to Dairy Connection as an information resource - on issues like flavor and how to make a particular cheese unique - and as a source for Kusel Presses ingredients to make specialty dairy products, Potter said. “The culture houses aren’t able to sell less than a case of cultures,” Potter said. “We’re breaking it down, offering smaller batches. And then expediting delivery.” The Early Days: A Thirst For Knowledge When Dairy Connection first started in 1999, aspiring cheese makers and farmstead dairy operations were opening with increased regularity. Kusel Finishing Table “There was a real need for knowledge and they looked for any kind of resource on making cheese they could find,” Potter said. With no real marketing bud- get to support him at Dairy Con- nection, Potter took to becoming a regular speaker at dairy short courses and workshops across the US. “No one else was doing it, and it was a great way to get my name out there,” he said. “That was the best Kusel Curd Mill way to do it.” Potter said he did a presentation for the American Dairy Goat Asso- ciation’s (ADGA) annual meeting in Madison on mold and ripening cultures for goat cheesemaking some 20 years ago. “They were like ‘Wow – there’s no one out there doing this. We need this knowledge. No one Kusel Small Make Vats wants to help us because we’re so small,’” Potter said. For more information, visit www.kuselequipment.com July 26, 2019 CHEESE REPORTER Page 27 when they first came to us, so as a grade A service technician at was familiar with many of the we’ve had organic growth rather Madison’s Rhodia Food nearly 30 smaller cheese companies who than just getting new customers all years ago. were using MSI products. the time, Potter said. “About that time, (Rhodia) we “Cathy had first-hand knowl- “Our goal is to build a relation- were getting a lot of phone calls edge of working with these com- ship with our customers and grow from upstart cheese companies panies,” Dave Potter said. “She left along with them,” he said. that wanted to order one pouch of Rhodia Food when they closed the “When we first started, we culture, and wanted to start mak- Marschall operations and opened catered to the small, specialty ing cheese on the farm – using the first Dairy Connection office cheese makers who couldn’t buy their own milk; mostly goat cheese shortly thereafter. She was instru- direct,” he said. “Then we started operations,” Potter said. mental and was operating Dairy adding value with our custom Potter saw the big demand by Connection for five years pretty packaging, technical knowledge smaller companies while at Rho- much by herself,” Potter contin- and support application to work food ingredients to the specialty dia. There they decided to launch ued. marketplace. with larger companies as well.” a side culture distribution busi- Dave Potter fully committed Our goal now is to be able to ness, which became briefly known to Dairy Connection in 2004 Distinct Flavors Will Drive Future serve small, medium and large as Marschall Specialty Ingredients but stayed with Rhodia (which Many of the pioneering cheese customers, especially where SQF (MSI). later became Danisco) for a few makers that were starting out dur- applications and third party audits When Rhodia decided to close years as a sales agent working ing the beginning and grew the are applicable, he said. MSI, the genesis of Dairy Connec- with 10 Grade-A Cottage cheese market, Potter said, are now retir- 20 Years And Going Strong tion was born. accounts. ing. Potter, owner and founder of Dave met his wife, Cathy, while Today, Dairy Connection works I would really credit people Dairy Connection, first spotted at Rhodia. Cathy was a customer with many of the major ingredi- like Anne Topham, Mary Keehn, the opportunity for a niche market service representative there and ent manufacturers to supply dairy Judy Schad, and Allison Hooper, amongst others – who started it all and through the efforts of the American Cheese Society and Cornell University, Potter continued. “A lot of these people built businesses on their farm, their land and ...And a Whole their home, and now they have this cheese plant and want to sell their business. If they don’t want to sell their farm, who’s going to take over their livelihood?,” Potter said. The market has changed, and there’s not as many new people coming in, Potter said. “The ones that are already in the market keep trying to get bet- Lot More ter as far as flavor, quality and consistency.” Cheese makers will continue to try and differentiate their products, either by taste, functionality, cuts Smart,Time-Tested Solutions and shapes or with added ingredients, Potter said. That Work for a Lifetime Potter credits the ingenuity of cheese makers and says that will Kusel Floor Drains continue to drive the specialty Kusel Equipment has pioneered market. “Back in the 1990s, there was the art of custom-designed a vacuum of knowledge, but they eventually built this great market processing equipment, exactly the for specialty cheese,” Potter said. “Today, people come into the mar- way you require it. ket and see major manufacturers like Land O’Lakes and Saputo operating specialty cheese opera- By combining your dairy manufacturing tions.” You can see the growth of the skills with our experience specialty, artisan cheese industry, Potter said. Before we didn’t have and equipment manufacturing, access and had to rely on imported Kusel cheeses for such variety and fla- Cheese Rotators Kusel delivers a whole lot more. vor. But now you can find unique, flavorful cheese in nearly any city throughout the US. “There is a basic need for artisan cheese,” Potter said. And if there is a basic need for Kusel Equipment Co. artisan cheese, then there will always be a need for product, tech- 920-261-4112 nical service and support of those 920-261-3151-Fax products; which can be found at [email protected] Dairy Connection. For more information, visit the Kusel Enclosed Finishing Vat www.kuselequipment.com company’s new website at www. For more information, visit www.kuselequipment.com dairyconnection.com. PEOPLE

CPage 28 OMPANY NEWSCHEESE REPORTER July 26, 2019 We look at cheese differently.

www.cheesereporter.com/events.htm SUPPLIER NEWS ...because we don’t just Penn State Course On Science & Art see cheese, we see the Of Cheesemaking Set For Nov. 11-14 whole picture. 1.866.404.4545 www.devilletechnologies.com University Park, PA—Online ture of high quality cheese. CheeseFood Reporter safety Ad.indd principles 1 will also followed by Dairy 2018-01-03Connection’s 11:52 PM registration is open for Penn Cheesemaking will be discussed be covered to help enable cheese Dave Potter on enzymes for chee- State University’s Science & Art with an emphasis on the chemical makers to comply with regulations. semaking. The rest of the day will of Cheesemaking Short Course and microbial changes at each step Monday kicks off with an over- be dedicated to learning step-by- here Nov. 11-14 at the Rodney A. in the process. view of cheesemaking, cheese vari- step cheesemaking techniques for Erickson Food Science Building on Instructors will highlight how eties, milk composition and quality the production of Cheddar and campus. understanding changes that occur by Penn State’s Kerry Kaylegian. Feta from Kaylegian and Dairy The four-day course is designed in cheesemaking allows cheese A session on microbiology, Connection’s Emily Harbison. to present farmstead and artisan makers to adjust their make pro- including general, milk and envi- The final day of the course will dairy processors with knowledge of cedure to modify finished cheese ronmental biology, will be led by focus on making cheese with eyes, the materials and processes used properties. Penn State’s Ed Dudley, followed Italian style cheese, bloomy rind, to make specialty cheese and learn Hands-on labs include a micro- by a session on GMPs, food safety washed rind, Blue and Continental techniques to improve their busi- biology testing session and making regulations for cheesemaking, and style cheese varieties. Penn State’s ness. several varieties of cheese in the the chemicals and processes needed Sarah Cornelisse will lead a final It begins with a focus on mate- pilot plant. The sensory evalua- in proper cleaning and sanitation discussion on start-up and market- rials used for cheesemaking, tion session integrates principles presented by Steve Sweppenhiser ing considerations for new cheese highlighting the role of milk com- learned in lectures and labs and of Chemserve, Inc. companies. To sign up online, visit position and milk microbiology illustrates how cheese evaluation Tuesday begins with a session on www.foodscience.psu.edu/work- combined with good sanitation can be used to troubleshoot manu- heat treatments for cheese milk, shops. practices for consistent manufac- facturing problems. Lead Licensed Cheesemaker

Western Repack Door Artisan Cheese Company, LLC, is located in the heart of Door County Wiscon- sin in beautiful Egg Harbor, WI. We are looking to add a Licensed Cheesemaker to We Purchase Fines and Downgraded Cheese our team. Our company is rapidly becoming recognized for producing Champion- ship quality Artisan Cheeses. In our two years of operation we have been awarded Reclamation Services 4 major awards for the quality of our diverse Artisan cheese varieties. • Cheese Salvage/Repacking With a new state of the art production facility, including three aging caves, we are • 640# Block Cutting able to craft the most unique Artisan cheeses in the Industry. We are seeking to hire a Licensed Cheesemaker to produce and oversee all Cheese Handling cheese both as a Production Activities. The candidate must have the following: service and on purchase. n 5 years as Licensed Cheesemaker n HTST Operators License Bring us your special projects n Working knowledge of HACCP and Food Safety Plans n Experience in leading a small cheesemaking team in the manufacture of Western Repack, LLC our cheeses. (801) 388-4861 We offer a competitive salary, and a beneﬁt package that includes Major Medical Health Insurance; employee supported Dental Plan; vacation; and Performance bonus plan. If interested in this dream opportunity, please submit resume to: Michael C. Brennenstuhl Door Artisan Cheese Company, LLC 8103 N Hwy 42, Egg Harbor, WI 54209 Email: [email protected] Automation Cell: (920) 883-5340 Project Manager Your Source For New & Used Dairy Processing Equipment Kelley Supply, Inc. is a B2B distributor, located in the heart of Wisconsin, that provides solutions to the Food and Dairy industries in the United States. For over 60 years, we have provided food ingredients, automation, packaging, safety wear, Ullmer’s Dairy Equipment & Fabrication chemicals and a variety of other products from coast to coast. Kelley supplies products to the food processing, meat, poultry, dairy, printing, packaging and other industries.

To support the ongoing growth in this critical area of our business, we are looking for and enthusiastic technical and application expert, responsible for automation projects (from concept to project close); supporting the automation product line in maintaining existing customers; providing customer support; leading project-related communication and taking full project management ownership. We offer the following services: If you feel you qualify and would like to be part of the Kelley team please send your Laser Cutting resume and cover letter to: Bending [email protected] subject: Automation Project Manager Rolling

For details CLICK HERE Custom Fabrication & Welding 800-782-8573 Paul: [email protected] Mail to: Human Resources Contact Us Today! Trevor: [email protected] P.O. Box 100, Kelley Supply, Inc. Abbotsford WI 54405 www.ullmers.com Or call: 920-822-8266 July 26, 2019 CHEESE REPORTER Page 29

ld's Dairy I or nd W u st CLASSIFIED ADVERTISING e r h y t W g phone: (608) 246-8430 fax: (608) 246-8431

e n

i e

k v Since 1876

e y e-mail: [email protected] S MARKET PLACE The “Industry’s” Market Place for Products, Services, Equipment and Supplies, Real Estate and Employee Recruitment

Classified Advertisements should be placed 10. Cheese & Dairy Products by Thursday for the Friday issue. Classified ads 5. Real Estate charged at $0.75 per word. Display Classified DAIRY PLANTS FOR SALE: KEYS MANUFACTURING: advertisements charged at per column inch http://dairyassets.webs.com/acqui- Dehydrators of scrap cheese for the rate. For more information, call 608-316-3792 sitions-mergers-other. Contact Jim animal feed industry. Contact us for or email [email protected] at 608-835-7705; or by email at jim- your scrap at (217) 465-4001 or email [email protected]. [email protected] AGED CHEDDAR FOR SALE: 4 year 1. Equipment for Sale 1. Equipment for Sale 6. Promotion & Placement old Sharp White Cheddar 40# blocks. Produced August-December 2014 in WI WESTFALIA SEPARATORS: New ALFA-LAVAL SEPARATOR: Model Available in full truckload or pallet quan- arrivals! Great condition. Model num- PROMOTE YOURSELF - By contact- MRPX 518 HGV hermetic separator. tities in Wisconsin. Please call Zach at bers 120, 130, 170 and 200. All water ing Tom Sloan & Associates. Job Can be set up for warm or cold. Call 847-573-4982 or email him at z.mills@ savers. Call GREAT LAKES SEPA- enhancement thru results oriented pro- GREAT LAKES SEPARATORS at hoogwegtus.com with inquiries. RATORS at (920) 863-3306 or e-mail fessionals. We place cheese makers, (920) 863-3306 or e-mail drlambert@ [email protected]. production, technical, maintenance, engi- dialez.net. 12. Warehousing FOR SALE: Car load of 300-400-500 neering and sales management people. SEPARATOR NEEDS - Before you buy FREEZER SPACE available at our late model open top milk tanks. Like Contact Dairy Specialist David Sloan, a separator, give Great Lakes a call. warehouse facilities in Wisconsin and new. (262) 473-3530 Tom Sloan or Terri Sherman. TOM TOP QUALITY, reconditioned machines Utah. We have expanded and have SLOAN & ASSOCIATES, INC., PO Box FOR SALE: 1500 and 1250 cream at the lowest prices. Call Dave Lam- freezer and cooler space available. 50, Watertown, WI 53094. Phone: (920) tanks. Like New. (800) 558-0112. (262) bert, Great Lakes Separators at (920) Please contact Bob at MARTIN 261-8890 or FAX: (920) 261-6357; or by 473-3530. 863-3306; [email protected] for WAREHOUSING at 608-435-2029 or more information. email: [email protected]. email at [email protected].

Wisconsin's 2. Equipment Wanted Finest Cheese WANTED TO BUY: Westfalia or Alfa- GeneralProduction Manager Supervisor Your Direct Source for Laval separators. Large or small. Old or Plainview Milk EstablishedProducts in 1899Cooperative as dairy cooperative has aservicing 120-year local patrons, tradition Plainview in Milkthe dairy industry withProducts over is located 175+ 1.5 patrons hrs from the in Twin Minnesota Cities of Minneapolis/ and Wisconsin.St. Paul and 30 min The- all your new. Top dollar paid. Call Great Lakes utes from Rochester in beautiful SE Minnesota. cooperative completed a merger in 2018 and now operates two cheese needs! Separators at (920) 863-3306 or email We are looking for an experienced supervisor for our newly remodeled facilities supplyingand fluidautomated milk intodryer retail/foodand evaporators service to lead amarkets team of andproduction bulk asdairy- 1 lb. Chunks [email protected] ingredients for furthersociates processing.and excel in our mission. The Production Supervisor will assist in 8 oz. Chunks Red Wax Wedges creating an atmosphere where people are: Committed to what we want IWS Slices Cream Cheese 3. Products & Services We are seekingto qualified become (our General vision), able Manager to execute candidates. our mission & guided This position by our core will 8 oz & 2 lb. Shreds Swiss report directly tovalues. the Board of Directors with accountability for financial Baby Swiss American Slices Advertise here. Call 608-246-8430 conditions, businessThis position development, will oversee the staff operation leadership of the Dryer and and producing Evaporator plant, safe, American Loaves Asadaro while ensuring that all measures for Food Safety, Quality, Regulatory Stan- Muenster high quality products.dards and Good This Manufacturing position will Practices work are closely followed. with customers, Blocks, Prints vendors, member owners and employees. 4. Walls & Ceiling The successful candidate will have excellent leadership, planning, organi- Serving: zational, problem solving and interpersonal communication skills. This posi- A Bachelor’s Degree in Dairy or Food Science is preferred; 5 to 10 years Retail, Foodservice, Delis EXTRUTECH PLASTICS Sanitary tion requires a Bachelor’s degree or equivalent in Dairy Science or related of experience infield managing and at andleast leading 3-5 years’ teams experience in a similarin a rolefood i s manufacturing/required. dairy © Warehouses in Texas & Wisconsin POLY BOARD panels provide bright environment. for convenient pick-ups Plainview Milk Products Cooperative offers a competitive salary with white, non-porous, easily cleanable We will offer the successful candidate a competitive wage, health insur- relocation bonus, Health, Dental, Life and Disability. Call for Competititve Pricing surfaces, perfect for non-food contact ance benefits and paid vacation time. Qualified CandidatesFor consideration, please pleasesubmit email, resume fax orand mail salarya cover requirement letter, resumes andto: Jamey Williams applications. CFIA and USDA accepted salary requirements to: at 972-422-5667 and Class A for smoke and flame. Call [email protected] jamey@wisconsinsﬁnest.com Plainview Milk Products EPI Plastics at 888-818-0118 or www. Attn: Human ResourcesAttn: Human Resources epiplastics.com for information. PLAINVIEW MILK130 PRODUCTS2nd St. SW, Plainview, COOP MN 55964 130 2nd StreetFax SW, 507-534-3992 Plainview, MN 55964 507-534-3872 E-Mail: [email protected]

Plant Manager - Malone, WI

Founded in 1938, Agropur is a top 20 global dairy producer with sales of $6.7 Come join our team! Mosaic Meadows is bringing together the finest artisanal billion in 2018. As North America’s largest whey protein manufacturer and creameries in the world. Our products have won top honors at the U.S. Cheese producer of over 800MM lbs of cheese per year, Agropur’s 11 US-based, SQF Championship, World Cheese Championship, Good Food Awards and more… Certified plants are behind some of the most prominent food, beverage and nutrition brands in the industry. “Better Dairy. Better World.” and we’re just getting started! We are in growth mode and expanding our processing capabilities. Our cheesemakers benefit from an experienced sales, marketing and service team as well as a coast-to-coast broker-and-distribution network. Join the best and make us even better.

Overall responsibilities: Manage all Chevre operations and Hard Cheese make production, product safety, quality, consistency and standardizing production process. Direct safety program, production efficiency and assist with expansion projects. Meet customer expectations and sales volumes. Now Preferred experience: Experience in Chevre operations and Hard Cheese make production preferred. Experience leading and supervising others. Hiring Knowledge of cheese affinage process, food safety controls and sanitation Cheese Maker | Jerome, ID programs. Familiar with FMO/FDA compliance and State and Federal The Cheese Maker is responsible for the regulations. Working knowledge of lean production, shrink reduction, and Cheese Make process to include recipe pasteurization concepts and regulatory requirements. management and starter processes. This manager position will oversee multiple shift If interested, please send resumes to: supervisors and directs all cheese making decisions made around the clock. At our Mosaic Meadows, LLC Jerome facility we produce mozzarella, Attn: Human Resources cheddar and reduced fat cheeses and run N3569 Vanden Bosch Rd. roughly 650,000 pounds of cheese per day. Kaukauna, WI 54130 Or apply online at: www.indeed.com by searching Plant Manager in Malone, WI Interested in applying? Apply online at www.agropurcareers.us Mosaic Meadows, LLC and its subsidiaries will consider applicants for any position Or submit your resume to [email protected] without regard to any applicant’s race, color, religion, creed, gender, national origin, age, disability, marital or veteran status, sexual orientation, or any other legally protected status. AA/EOE Minority/ Female/Disability /Veteran/Sexual Orientation/Gender Identity

Page 30 CHEESE REPORTER July 26, 2019

Dairy Product Stocks in Cold Storage DAIRY FUTURES PRICES TOTAL STOCKS AS REPORTED BY USDA (in thousands of pounds unless indicated) SETTLING PRICE *Cash Settled Public Date Month Class III* Class IV* Dry Whey* NDM* Butter* Cheese* Stocks in All June 30, 2019 Warehouse 7-19 July 19 17.41 16.90 36.200 104.000 239.250 1.8120 Warehouses as a % of Stocks 7-22 July 19 17.41 16.90 36.175 103.875 239.000 1.8110 7-23 July 19 17.40 16.90 36.175 103.850 239.175 1.8110 June 30, May 31, June 30, June 30, May 31, June 30, 7-24 July 19 17.41 16.90 36.250 104.125 239.000 1.8120 2018 2019 2019 2018 2019 2019 7-25 July 19 17.46 16.90 36.100 103.950 239.000 1.8160

Butter 336,625 313,830 327,755 97 104 316,426 7-19 August 19 17.66 16.99 35.525 103.275 243.550 1.8360 7-22 August 19 17.69 16.90 36.000 103.050 240.775 1.8370 Cheese 7-23 August 19 17.66 16.84 36.250 103.000 239.325 1.8350 American 800,379 787,297 784,950 98 100 7-24 August 19 17.71 16.80 36.400 103.175 238.500 1.8370 Swiss 31,312 24,685 27,417 88 111 7-25 August 19 17.69 16.88 36.025 103.775 238.750 1.8400 Other 556,947 576,608 569,152 102 99 7-19 September 19 17.99 17.30 36.550 104.525 246.700 1.8620 7-22 September 19 17.98 17.19 36.500 104.275 244.000 1.8650 Total 1,388,638 1,388,590 1,381,519 99 99 1,019,914 7-23 September 19 17.98 17.08 36.250 104.275 242.000 1.8630 7-24 September 19 18.02 17.11 37.300 104.900 242.250 1.8650 7-25 September 19 17.92 17.18 36.550 105.850 241.725 1.8660 American-Type Butter Stocks 7-19 October 19 17.99 17.32 36.200 106.000 244.975 1.8650 Cheese Stocks June 30 of Select Years, million lbs 7-22 October 19 17.93 17.26 36.350 105.825 242.750 1.8650 June 30 of Select Years; million lbs 7-23 October 19 17.93 17.23 36.375 105.725 241.900 1.8610 7-24 October 19 17.96 17.23 36.600 106.550 242.000 1.8620 825 350 7-25 October 19 17.90 17.27 36.475 107.150 241.500 1.8680

800 7-19 November 19 17.77 17.31 35.725 108.000 241.450 1.8520 325 7-22 November 19 17.72 17.20 36.125 107.500 239.000 1.8460 775 7-23 November 19 17.72 17.20 36.400 107.000 238.000 1.8420 300 7-24 November 19 17.76 17.22 36.850 108.350 239.175 1.8450 750 7-25 November 19 17.69 17.27 36.600 108.750 241.450 1.8490 7-19 December 19 17.28 17.22 35.000 109.000 236.950 1.8050 725 275 7-22 December 19 17.25 17.18 35.925 108.750 236.000 1.7960 700 7-23 December 19 17.30 17.18 36.325 109.000 234.175 1.7960 250 7-24 December 19 17.37 17.22 37.025 109.700 235.150 1.7990 675 7-25 December 19 17.24 17.25 37.025 109.500 239.175 1.8050 225 650 7-19 January 20 16.95 17.10 35.525 109.725 230.500 1.7680 7-22 January 20 16.93 17.06 35.595 109.725 229.025 1.7650 200 625 7-23 January 20 16.96 17.06 35.925 110.300 229.025 1.7650 7-24 January 20 17.05 16.94 37.025 110.575 229.000 1.7630 600 175 7-25 January 20 16.88 17.01 37.250 110.025 229.000 1.7650 2013 14 2015 16 2017 18 2019 2013 14 2015 16 2017 18 2019 7-19 February 20 16.85 17.12 35.525 110.800 228.850 1.7680 7-22 February 20 16.82 17.12 35.525 110.800 228.250 1.7560 7-23 February 20 16.83 17.12 35.525 111.350 228.250 1.7570 HISTORICAL MILK PRICES - CLASS II 7-24 February 20 16.89 17.12 36.525 111.450 228.000 1.7540 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 7-25 February 20 16.77 17.12 36.525 111.300 228.000 1.7540 ‘11 16.79 17.97 18.83 19.66 20.63 21.37 21.29 21.55 20.55 19.41 19.26 18.08 7-19 March 20 16.83 17.14 35.525 112.000 229.000 1.7560 ‘12 17.67 16.94 16.59 16.20 15.19 14.32 14.51 15.64 17.04 18.44 18.81 18.30 7-22 March 20 16.84 17.14 36.125 112.000 229.000 1.7560 ‘13 18.19 18.49 18.82 18.73 18.43 19.14 19.22 19.27 19.78 20.56 20.76 21.66 7-23 March 20 16.80 17.14 35.650 112.475 229.000 1.7590 7-24 March 20 16.87 17.14 36.125 112.475 229.000 1.7580 ‘14 22.21 23.73 24.22 24.74 24.44 23.94 24.41 25.34 26.11 21.93 19.91 19.09 7-25 March 20 16.80 17.19 36.125 112.525 229.000 1.7550 ‘15 16.18 14.48 14.50 14.98 14.81 14.77 14.70 14.54 15.36 16.44 18.26 16.71 ‘16 14.19 14.30 13.57 13.54 13.53 14.12 15.16 15.21 14.66 14.09 14.60 15.26 7-19 April 20 16.94 17.25 36.100 113.375 230.050 1.7690 ‘17 16.36 16.52 16.21 14.81 14.84 16.15 17.48 17.56 16.80 15.95 15.32 14.49 7-22 April 20 16.97 17.25 36.125 113.375 230.150 1.7690 ‘18 14.11 13.44 13.88 14.03 14.47 15.48 15.20 15.07 15.13 15.54 15.63 15.67 7-23 April 20 16.89 17.23 36.800 113.375 230.150 1.7690 7-24 April 20 16.89 17.23 36.800 113.375 229.800 1.7690 ‘19 15.74 16.13 16.61 16.38 16.48 17.30 7-25 April 20 16.90 17.25 36.800 113.300 229.800 1.7610 7-19 May 20 16.98 17.29 36.025 114.075 230.000 1.7700 $1.90 7-22 May 20 17.04 17.29 36.025 114.075 229.875 1.7720 40-Pound DAIRY PRODUCT SALES $1.85 7-23 May 20 16.98 17.29 36.800 114.425 229.875 1.7730 $1.80 Block Avg 7-24 May 20 17.01 17.33 36.800 114.425 229.225 1.7740 July 24, 2019—AMS’ National Dairy Prod- $1.75 7-25 May 20 16.95 17.39 36.800 114.150 228.750 1.7670 ucts Sales Report. Prices included are pro- $1.70 vided each week by manufacturers. Prices $1.65 Interest - July 25 21,657 7,610 2,745 9,311 8,113 21,127 collected are for the (wholesale) point of sale $1.60 for natural, unaged Cheddar; boxes of but- $1.55 $1.50 ter meeting USDA standards; Extra Grade $1.45 CHEESE REPORTER SUBSCRIBER SERVICE CARD edible dry whey; and Extra Grade and USPH $1.40 CME vs AM S Grade A nonfortified NFDM. •Revised $1.35 J A S O N D J F M A M J J PLEASE SEND ME MORE INFORMATION ON: July 20 July 13 July 6 June 28 ___Advertising ___Subscribing _____Subscripion Change ___Other______40-Pound Block Cheddar Cheese Prices and Sales If changing subscription, please include your old and new address below Weighted Price Dollars/Pound Name ______US 1.8636 1.8453• 1.8208• 1.7935• Sales Volume Pounds Title ______US 13,411,556 14,330,538• 11,596,279• 12,397,016• Company ______500-Pound Barrel Cheddar Cheese Prices, Sales & Moisture Contest Address ______Weighted Price Dollars/Pound US 1.8915 1.8663 1.7949 1.7278• City/St/Zip ______Adjusted to 38% Moisture New Subscriber Info E-Mail Phone ______US 1.7919 1.7703 1.7075 1.6408• Sales Volume Pounds Name ______US 11,909,406 12,046,109 9,422,113 12,366,338• Weighted Moisture Content Percent Title ______US 34.55 34.64 34.83 34.71 Company ______Butter Address ______Weighted Price Dollars/Pound US 2.4139 2.3944• 2.3795• 2.3729 City/St/Zip ______Sales Volume Pounds US 2,384,297 3,997,280• 4,024,785• 4,570,841 Old Subscriber Info E-Mail Phone ______Dry Whey Prices TYPE OF BUSINESS: JOB FUNCTION: Weighted Price Dollars/Pounds ___Cheese Manufacturer ___Company Management US 0.3579 0.3676• 0.3541 0.3662 ___Cheese Processor ___Plant Management Sales Volume ___Cheese Packager ___Plant Personnel US 5,191,149 5,568,641• 3,697,262 6,557,594 ___Cheese Marketer(broker, distributor, retailer ___Laboratory (QC, R&D, Tech) Nonfat Dry Milk ___Other processor (butter, cultured products) ___Packaging ___Whey processor ___Purchasing Average Price Dollars/Pound ___Food processing/Foodservice ___Warehouse/Distribution US 1.0359 1.0510• 1.0507 1.0438• ___Supplier to dairy processor ___Sales/Marketing Sales Volume Pounds US 25,854,971 16,257,553• 11,642,549• 25,904,527• Circle, copy and FAX to (608) 246-8431 for prompt response

July 26, 2019 CHEESE REPORTER Page 31

DAIRY PRODUCT MARKETS NATIONAL - CONENTIONAL DAIRY PRODUCTS AS REPORTED BY THE US DEPARTMENT OF AGRICULTURE Even after a 10 percent decline in the number of ad numbers this week, conventional ice cream, in 48- to 64-ounce containers, continues the trend of being the most advertised dairy item in US grocery stores. Organic milk in half-gallon containers was the most advertised WHOLESALE CHEESE MARKETS organic item, following a 208 percent growth from week 29. Total conventional ad numbers decreased slightly, by 3 percent. Total organic ad numbers grew 174 percent. NATIONAL - JULY 19: East and Midwest milk availability is slighter this week, as rising temps have begun to noticeably affect milk output. Some reported spot milk prices in the Mid- Conventional cheese ads of all types decreased this week. Organic cheese ads increased by west were still discounted, ranging from $1.25 under to $.75 over Class. Interestingly, reported 152 percent week over week. Conventional cheese in 8-ounce blocks had an average price prices last year during week 29 were higher on average: $.50 under to $1.00 over Class. Milk is of $2.08, while organic cheese blocks of the same size were $2.79, resulting in an organic available for Class III production in the West. Production activity is generally steady, quite lively premium of $.71. throughout the country. Cheese demand is steady to slightly slower. Western contacts suggest summer buying respites may be around the corner. Lower US dollar values have perked up Conventional bottled milk ads shrank by 5 percent, while organic ad numbers rose by 204 per- export interests, which contacts hope to help fulfill with inventories from the West. cent. Organic half-gallon bottles had an average price of $3.63, while conventional half-gallons were priced at $1.79, creating a price premium of $1.84. Yogurt ad numbers grew on both the NORTHEAST- JULY 24: Cows in the Northeast are getting uncomfortable with the tem- conventional and organic aisles, by 18 and 253 percent, respectively. Conventional Greek peratures. Milk production is mixed in parts of the region. In some areas, milk has peaked. yogurt, in 4- to 6-ounce containers, was the second-most advertised dairy item this week. Yet off some farms, output is up. Spot milk is also becoming a little harder to locate for some manufacturing needs. Cheese operations are receiving stable milk supplies this week. Moz- zarella and Provolone production schedules are active and inventories are growing. Some RETAIL PRICES - CONVENTIONAL DAIRY - JULY 26 food sectors’ cheese orders are slower currently. Cheddar barrel and block spot prices Commodity US NE SE MID SC SW NW have increased. Several buyers are purchasing at current price levels on various market exchanges. Some market participants report interest is somewhat lower for this time of year, Butter 1# 3.44 3.51 3.31 3.79 2.90 2.99 NA however market conditions are anticipated to strengthen in the near future. Cheese 8 oz block 2.08 2.02 2.34 1.87 2.07 2.00 1.72 Wholesale prices, delivered, dollars per/lb: Cheese 1# block 4.73 3.99 NA NA 2.99 5.99 4.49 Cheddar 40-lb blocks: $2.2300 - $2.5150 Process 5-lb sliced: $1.8575 - $2.3375 Cheese 2# block 5.70 5.99 4.99 5.99 NA 5.00 6.99 Muenster: $2.2150 - $2.5650 Swiss Cuts 10-14 lbs: $3.2300 - $3.5525 Cheese 8 oz shred 2.23 2.19 2.37 2.02 2.15 2.19 1.90 MIDWEST AREA - JULY 24: Bullish reports regarding cheese inventories have been Cheese 1# shred 3.19 3.99 NA NA 2.85 NA NA few and far between for a number of years. However, contacts are pointing out declining Cottage Cheese 1.77 2.37 1.80 1.10 1.20 1.68 NA cheese inventories following the NASS June Cold Storage report on Monday. Subsequently, Cream Cheese 2.15 2.13 2.22 1.67 1.84 2.99 1.67 whether correlated or not, market prices saw a bump on Tuesday. Midwestern cheese producers have been reporting tighter management of production schedules and milk intake Flavored Milk ½ gallon 1.82 1.99 NA 2.00 NA 1.69 .99 levels since last year. Reported spot milk prices ranged from $1 under to $1 over Class. Most Flavored Milk gallon 4.99 NA NA 4.99 NA NA NA spot milk prices were north of flat Class. A number of cheese makers are using internally Ice Cream 48-64 oz 2.92 2.61 2.69 2.94 2.94 3.27 2.66 sourced milk, but some are shopping for milk for the rest of 2019. They report having some trouble finding contracts,as milk has tightened so much in recent weeks. Cheese demand is Milk ½ gallon 1.79 1.69 NA 1.99 1.99 1.69 .99 mostly steady, but some curd and Mozzarella producers reported bullish ordering this week. Milk gallon 2.45 NA 2.49 2.00 2.54 2.84 1.99 Sour Cream 16 oz 1.63 1.85 1.71 1.21 1.49 1.59 1.10 Wholesale prices delivered, dollars per/lb: Brick 5# Loaf: $2.1425 - $2.5675 Cheddar 40# Block: $1.8650 - $2.2650 Yogurt (Greek) 4-6 oz .98 1.00 .99 .96 .93 .98 .93 Monterey Jack 10#: $2.1175 - $2.3225 Mozzarella 5-6#: $1.9425 - $2.8875 Yogurt (Greek) 32 oz 3.49 3.85 3.44 3.54 3.47 3.29 3.07 Muenster 5# $2.1425 - $2.5675 Process 5# Loaf: $1.7875 - $2.1475 Yogurt 4-6 oz .54 .51 .55 .50 .45 .62 NA Grade A Swiss 6-9#: $2.7450 - $2.8625 Blue 5# Loaf: $2.4100 - $3.4800 Yogurt 32 oz 2.08 2.32 2.00 NA NA 2.17 1.67 WEST - JULY 24: In the West, cheese demand is good enough to keep inventories from US: National Northeast (NE): CT, DE, MA, MD, ME, NH, NJ, NY, PA, RI, VT; building too much. Sales to retailers and restaurant managers are at seasonal levels. Cur- Southeast (SE): AL, FL, GA, MD, NC, SC, TN, VA, WV; Midwest (MID): IA, IL, IN, rent higher temperatures are keeping grilling activities from developing as they should. As KY, MI, MN, ND, NE, OH, SD, WI; South Central (SC): AK, CO, KS, LA, MO, NM, the result, cheese demand for this grilling season is a bit lower than expected. This week, OK, TX; Southwest (SW): AZ, CA, NV, UT; Northwest (NW): ID, MT, OR, WA, WY cheese output is stable to declining. Production was somewhat disrupted by a short-term shutdown at a big producing plant. Inventories are available to contractual and spot buyers.

Wholesale prices delivered, dollars per/lb: Cheddar 10# Cuts: $2.0825 - $2.3025 ORGANIC DAIRY - RETAIL OVERVIEW Cheddar 40# Block: $1.9025 - $2.3450 Monterey Jack 10#: $2.0900 - $2.3650 National Weighted Retail Avg Price: Greek Yogurt 4-6 oz: $1.18 Process 5# Loaf: $1.8050 - $2.0600 Swiss 6-9# Cuts: $2.8275 - $3.2575 Butter 1 lb: $5.99 Greek Yogurt 32 oz: $3.50 Cheese 8 oz block: $2.79 Milk ½ gallon: $3.63 FOREIGN -TYPE CHEESE - JULY 24: In the EU, the market has been in continued Cheese 8 oz shred: $3.17 Milk gallon: $5.47 equilibrium from June into July. In fact, since the beginning of this year, there is a balanced Yogurt 4-6 oz: $0.69 Sour Cream 16 oz: $2.49 relationship between the supply and demand for cheese. Overall, cheese production has Yogurt 32 oz: $3.29 Ice Cream 48-64 oz: $4.50 risen a bit, but the increase varies by countries of the EU. Cheese stocks have been low for some time and are unlikely to change in the short-term. DRY DAIRY PRODUCTS - JULY 25 Selling prices, delivered, dollars per/lb: Imported Domestic is still relatively high according to several Blue: $2.6400 - 5.2300 $2.2875 - 3.7750 NDM - CENTRAL: Low/medium heat NDM prices shifted lower on the mostly buyers/end users. In terms of manufactur- Gorgonzola: $3.6900 - 5.7400 $2.7950 - 3.5125 price series. Export buying from Mexico ing, NDM production is ongoing, but is less Parmesan (Italy): 0 $3.6750 - 5.7650 has reportedly slowed, and that is having active compared to the spring flush season. Romano (Cows Milk): 0 $3.4775 - 5.6325 a slightly bearish effect on market prices. Condensed skim milk supplies are readily Sardo Romano (Argentine): $2.8500 - 4.7800 0 Undoubtedly, most Central trading has available for drying, while NDM inventories Reggianito (Argentine): $3.2900 - 4.7800 0 found its way into the bottom half of the are mixed throughout the west region. Jarlsberg (Brand): $2.9500 - 6.4500 0 range. Contacts feel that NDM markets are Swiss Cuts Switzerland: 0 $3.2675 - 3.5900 generally range-bound, and they are not NDM - EAST: Low/medium heat NDM prices slightly dipped on the bottom of the Swiss Cuts Finnish: $2.6700- 2.9300 0 overly concerned at this point. NDM inventories are available, but contacts suggest mostly series. Spot trading is limited in the production could decline with high tempera- East. The majority of sales are exchanging WHOLESALE BUTTER MARKETS - JULY 24 tures creating lower overall milk supplies in through contracts. Some suppliers are open recent weeks. High heat trading in the region to accepting offers under market, due to WEST: Although western butter produc- western butter producers, who have been remains contract-bound, as the price range growing supply levels in parts of the region. tion is active, some butter makers are quiet, have recently begun to present offers. slipped on the bottom end. The market tone is steady to unsettled. High willing to sell off cream instead of churn- Butter contacts are somewhat concerned heat prices are lower on the bottom of the ing. There are still adequate amounts of about rising inventory levels, but they sug- NDM - WEST: Free on board spot prices range. Drying time is intermittent, yet a few cream available, but also plenty of buyers gest the July numbers will paint a picture for for western low/medium heat NDM are mixed processors are drying for customers’ imme- looking for cream. Butter demand is mod- the rest of the year. Retail and foodservice this week as some trades pulled slightly diate needs. Many buyers are analyzing the erate and mixed, depending on the sec- demand reports vary by producer, but on the down the top price of the range and the bot- NDM market to see where prices adjust. tor. Industry contacts say retail interest is whole, ordering is seasonally quieter. Butter tom value of the mostly series. Compared to slow to develop. However, contacts also market prices have slipped in recent weeks. a few weeks ago, the regional NDM market LACTOSE: The impacts from the African acknowledge that retail buyers have the Some suggest a factor in the decreases are seems to be in an unsteady position. Several swine fever and trade issues with China con- desideratum of early coverage ahead of increased import opportunities for end users NDM buyers do not see demand outpac- tinue to weigh heavily on market demand, the fall baking season. Foodservice inter- who are able to utilize those options. ing current supply in the near term. How- creating a dreary market tone. A few manu- est is solid, and bulk butter calls from some ever, at this point, most cash transactions facturers are trying to limit lactose produc- bakery and food processing customers NORTHEAST: The extended heatwave remain above one dollar per pound, which, tion, but industrywide, lactose production is are starting to pick up. When demand is has taken a toll on cream supplies neces- without any logical economic justification, steady. coupled with production, the net impact on sary for buttermaking. Some butter/powder inventories is a slow build. operations that sought surplus milk revealed that loads are not as easy to come by. With WEEKLY COLD STORAGE HOLDINGS CENTRAL: Cream volumes are expect- that said, cream inquiries are waiting longer SELECTED STORAGE CENTERS IN 1,000 POUNDS - INCLUDING GOVERNMENT edly beyond the grasp of butter makers this than usual for responses, a good indica- week. Spot cream loads are headed into tion of the existing cream situation. Hence, DATE ...... BUTTER CHEESE Class II, namely ice cream, manufacturing. regional buttermaking slowed considerably 07/22/19 ...... 42,405 87,099 That said, bulk butter inventories are widely this week, with rumors of some operations 07/01/19 ...... 39,543 89,779 available, and declining prices are evidence reducing their schedules as many as two Change ...... 2,862 -2,680 of increased availability. Brokers relay Mid- days a week. Percent Change...... 7 -3 Page 32 CHEESE REPORTER July 26, 2019

The NZX dairy derivatives mar- CME CASH PRICES - JULY 22 - JULY 26, 2019 GDT Events Oversight ket is directly linked to GDT auc- Visit www.cheesereporter.com for daily prices Board Approves tions through NZX’s use of GDT 500-LB 40-LB AA GRADE A DRY winning prices to settle its dairy CHEDDAR CHEDDAR BUTTER NFDM WHEY Proposed Changes derivative contracts. The GDT MONDAY $1.7125 $1.7925 $2.3750 $1.0075 $0.3425 July 22 (+¾) (+1¼) (-2¼) (NC) (+¼) Auckland, New Zealand—The and NZX markets are also inter- linked economically, since a par- TUESDAY $1.7175 $1.8300 $2.3600 $1.0100 $0.3450 Global Dairy Trade (GDT) Events July 23 (+½) (+3¾) (-1½) (+¼) (+¼) Oversight Board has, following ticipant’s incentive to trade and WEDNESDAY $1.7175 $1.8325 $2.3600 $1.0175 $0.3575 public consultation, voted to adopt hold a position in either market July 24 (NC) (+¼) (NC) (+¾) (+1¼) proposed changes to the GDT may be affected by their current THURSDAY $1.7200 $1.8300 $2.3600 $1.0300 $0.3550 Events Oversight Board Charter and expected future positions in July 25 (+¼) (-¼) (NC) (+1¼) (-¼) and Rulings Panel and the GDT the other market. FRIDAY $1.7200 $1.8200 $2.3700 $1.0300 $0.3525 Trading Event Rules. Because the Oversight Board July 26 (NC) (-½) (+1) (NC) (-¼) The changes to the GDT Trad- approved the rule changes, NZX Week’s AVG $1.7175 $1.8220 $2.3650 $1.0190 $0.3505 ing Event rules arose from three and GDT will sign an information Change (+0.0170) (+0.0475) (-0.0525) (NC) (+0.0220) separate developments: sharing agreement. The purpose Last Week’s $1.7005 $1.7745 $2.4175 $1.0190 $0.3285  The outcome of the Over- of this agreement is for each party AVG sight Board’s review of its effective- to assist the other party in investi- 2018 AVG $1.4355 $1.5180 $2.2545 $0.8070 $0.4155 ness which resulted in a proposal gating possible trading anomalies Same Week to expand its formal role; by providing, where appropriate,  Discussions between GDT information on the trading activity MARKET OPINION - CHEESE REPORTER and NZX (the New Zealand of individual participants relevant Exchange) on sharing certain to an investigation. Cheese Comment: No blocks were sold Monday; the price increased on an unfilled information to ensure physical The changes to the GDT Events bid at $1.7925. Seven cars of blocks were sold Tuesday, the last at $1.8300, which Oversight Board Charter and Rul- raised the price. No blocks were sold Wednesday; the price rose on an unfilled bid at and financial market participants $1.8325. Five cars of blocks were sold Thursday, the last at $1.8300, which set the retain their confidence in both ings Panel include amending the price. One car of blocks was sold Friday, at $1.8300; an uncovered offer at $1.8250 markets; and size, composition and tenure of the then set the price. The barrel price increased Monday on a sale at $1.7125, rose  The upcoming launch of the Oversight Board members. These Tuesday on a sale at $1.7175, and increased Thursday on a sale at $1.7200. refreshed GDT Events trading changes will enable the Oversight Butter Comment: The price fell Monday on a sale at $2.3750, declined Tuesday on platform with new and enhanced Board to operate more effectively a sale at $2.3600, then increased Friday on an unfilled bid at $2.3700. Nine truck- features that need to be accommo- in applying its oversight respon- loads of butter were traded this week on the CME after 61 truckloads were traded dated in the rules. sibility for GDT Events, and in the week before. The first two changes have been providing advice to GDT on the NDM Comment: The price increased Tuesday on a sale at $1.0100, rose Wednes- adopted in the GDT Trading Event development of its business strate- day on a sale at $1.0175, and increased Thursday on a sale at $1.0300. 25 truck- Rules, while the third change will gies and related initiatives. loads of NDM were traded this week at the CME. be adopted in the GDT Trading Global Dairy Trade is owned by Dry Whey Comment: The price rose Monday on a sale at 34.25 cents, increased Event Rules prior to the launch of Fonterra Cooperative Group, but Tuesday on a sale at 34.50 cents, rose Wednesday on an unfilled bid at 35.75 cents, the refreshed platform and will be is operationally and physically sep- fell Thursday on a sale at 35.50 cents, and declined Friday on a sale at 35.25 cents. advised at that time. arate from Fonterra. WHEY MARKETS - JULY 22 - JULY 26, 2019 RELEASE DATE - JULY 25, 2019 ® Animal Feed Whey—Central: Milk Replacer: .2400 (NC) – .2900 (NC) The Global Leader in Food Cutting Technology Buttermilk Powder: Central & East: 1.0000 (-2) – 1.1000 (NC) West: 1.0000 (NC) – 1.0500 (-2) Mostly: 1.0000 (-3) – 1.0400 (-1) STAY ON THE Casein: Rennet: 3.0725 (NC) – 3.7800 (NC) Acid: $3.1850 (NC) – $3.3000 (NC) Dry Whey—Central (Edible): Cutting Edge Nonhygroscopic: .3000 (+1) – .3725 (-1¾) Mostly: .3300 (NC) – .3700 (-¼) Dry Whey–West (Edible): with Urschel Nonhygroscopic: .2725 (+½) – .4000 (NC) Mostly: .3025 (-¼) – .3700 (NC)

Dry Whey—NorthEast: .3200 (NC) – .4000 (NC) Lactose—Central and West: YOUR PARTNER Edible: .1800 (NC) – .4500 (NC) Mostly: .2500 (NC) – .3650 (NC) IN PRODUCTIVITY Nonfat Dry Milk —Central & East: Low/Medium Heat: 1.0000 (NC) – 1.0700 (NC) Mostly: 1.0100 (-1) – 1.0500 (NC) Urschel collaborates with High Heat: 1.1200 (-1) – 1.2000 (NC) processors to deliver optimal Nonfat Dry Milk —Western: cutting solutions — from our free- Low/Medium Heat: .9700 (NC) – 1.0650 (-½) Mostly: 1.0100 (-1) – 1.0500 (NC) of-charge test cutting services to High Heat: 1.1200 (-1) – 1.2150 (-1) delivering just the right machine Operation at a push of a button Whey Protein Concentrate—Central and West: based on your set-up. Edible 34% Protein: .8450 (NC) – 1.0950 (NC) Mostly: .8700 (+2) – 1.0075 (+½) simpliﬁes time and labor costs. Seamless integration of Parts on-demand crafted with Whole Milk—National: 1.7100 (NC) – 1.8300 (NC) rugged, sanitary stainless steel close tolerances to ﬁt and Visit www.cheesereporter.com for dairy and historical cheese, butter, and whey prices shredders and dicers; designed function parallel to the originals. for continuous, uninterrupted Rely on Urschel as your partner HISTORICAL AVG BLOCK CHEESE PRICES production to keep tempo with in productivity to determine your line and minimize costly long-range operational goals Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec downtime. ‘09 1.0883 1.2171 1.2455 1.2045 1.1394 1.1353 1.1516 1.3471 1.3294 1.4709 1.5788 1.6503 and for the life of your machine. 10 1.4536 1.4526 1.2976 1.4182 1.4420 1.3961 1.5549 1.6367 1.7374 1.7246 1.4619 1.3807 ‘11 1.5140 1.9064 1.8125 1.6036 1.6858 2.0995 2.1150 1.9725 1.7561 1.7231 1.8716 1.6170 ‘12 1.5546 1.4793 1.5193 1.5039 1.5234 1.6313 1.6855 1.8262 1.9245 2.0757 1.9073 1.6619 Set-up a free test cut of your product: ‘13 1.6965 1.6420 1.6240 1.8225 1.8052 1.7140 1.7074 1.7492 1.7956 1.8236 1.8478 1.9431 Toll Free: +1.844.URSCHEL (877.2435) ‘14 2.2227 2.1945 2.3554 2.2439 2.0155 2.0237 1.9870 2.1820 2.3499 2.1932 1.9513 1.5938 [email protected] | www.urschel.com ‘15 1.5218 1.5382 $1.5549 1.5890 1.6308 1.7052 1.6659 1.7111 1.6605 1.6674 1.6175 1.4616 ‘16 1.4757 1.4744 1.4877 1.4194 1.3174 1.5005 1.6613 1.7826 1.6224 1.6035 1.8775 1.7335 ® Urschel, Urschel logo symbol, and The Global Leader in Food Cutting Technology are registered trademarks of Urschel Laboratories, Inc. U.S.A. ‘17 1.6866 1.6199 1.4342 1.4970 1.6264 1.6022 1.6586 1.6852 1.6370 1.7305 1.6590 1.4900 ‘18 1.4928 1.5157 1.5614 1.6062 1.6397 1.5617 1.5364 1.6341 1.6438 1.5874 1.3951 1.3764 ‘19 1.4087 1.5589 1.5908 1.6619 1.6799 1.7906 For more information, visit www.urschel.com