Industry News & Events from HART
We Will Have The Highest Milk Prices Since 2014
Milk Prices Look More Promising As some fundamental aspects of the market look toward potential higher prices. U.S. milk production is running lower than the previous year over three of the past six months. This trend is expected to continue as cow numbers continue to decline. Cow numbers have declined steadily each month since May 2018. Cow numbers have declined year-over-year each month during the first half of this year. This will continue as there are limited expansions taking place and farms will continue to exit the dairy business. The potential for higher milk prices will not stem this tide for a period of time. Feed will be an issue and those who are in a tight financial situation may not have the ability to purchase feed to carry through until next year. Good quality hay and likely any quality dry hay will carry a high price this year. This just may not cash flow for some dairy operations. Nevertheless, milk prices are improving and will benefit many operations yet the improvement is not happening as […]
Cow Physiology Leads to Variation in Milk Yield
More than we realized, the milk yield of cows is influenced by internal, annual biological rhythms. This is according to a new study by Penn State in the US. The researchers found that the amount and composition of milk produced by dairy cows appear to be more regulated by internal, annual biological rhythms than by environmental factors such as heat and humidity. The researchers studied the production records from herds across the country for more than a decade. Know Better What to Expect From Cows Although researchers have long recognized an annual pattern of milk composition in dairy cattle – with higher milk fat and protein concentrations observed during the winter and lower levels occurring in the summer – the rhythms of milk yield and composition previously have not been well quantified. The findings of the research from Penn State are important because they better inform producers what to expect from their cows, according to Kevin Harvatine, associate professor of nutritional physiology, whose research group in the Penn State College of Agricultural Sciences […]
These Three Disruptors Are Changing The Dairy Industry
These Three Disruptors Are Changing The Dairy Industry When change happens, we can either embrace it or resist it. Those who are able to evaluate and be receptive to change tend to evolve and grow their business over time. The change resistors tend to stay the same and watch from the sidelines as the industry passes them by. There are disruptors in the dairy industry that cause change to happen. Tim Taylor, CEO of Valley Agricultural Software (VAS), outlined three of these disruptors at the Connect Summit held in June. The first disruptor is the digital transformation that is occurring in the dairy industry. “[Dairy producers] are aware of it, you’re a part of it, but it’s accelerating,” Taylor said. “Either you need to feel comfortable with it, or someone is going to conquer you with it.” In order to be comfortable with the technology you have to look at it strategically and come up with your own technology playbook, Taylor said. He challenges dairy producers to think of themselves not as a dairy […]
Global Protein Report
Global protein ingredients market to reach $48.8 billion by 2025 North America is the largest regional segment in terms of market share. Consumer interest in all things protein isn’t showing signs of slowing down. In fact, the global protein ingredients market is expected to reach $48.8 billion by 2025, according to a 2019 report from San Francisco-based Grand View Research. The market is expected to expand at a compound annual growth rate (CAGR) of 7.5% between 2019 and 2025, with rising demand for nutrient-rich food expected to propel the demand. Growing health awareness among consumers is likely to boost both the plant and dairy protein ingredients markets, the company said. It also noted that: Animal proteins lead the global protein ingredients market, accounting for more than a 73% market share in terms of revenue in 2018. The soy protein concentrate market is predicted to be the largest product segment by 2025. It is also expected to be the highest revenue-generating segment, constituting a 34.9% market share in 2018. North America is the largest regional segment, […]
Dairy’s Steps Forward are Positive, But More Traction is Needed
The long-overdue end to Mexico’s retaliatory tariffs against U.S. cheese exports is a positive development amid a few other indicators suggesting that dairy’s fortunes may be improving. But much work remains before we can feel confident we’ve turned a corner. Removing a barrier that has harmed trade with our largest international partner is important progress. And while no one would pronounce dairy’s nearly half-decade of struggles over, it’s not the only hopeful news. After years of rising cow numbers dating to 2011, the nation’s herd size has dropped every month since last July, with March’s decline the largest of the entire period. Higher milk prices, combined with steady feed costs, have improved producer margins. And the sustained improvement in world prices for butter, skim milk powder and cheese are helping to lift domestic prices, showing how global demand can benefit U.S. dairy despite trade-policy and export challenges. The end of the Mexican tariffs helps, with the United States fully back as the preferred supplier to what last year was a $1.4 billion market. The agreement […]
Solutions For Wisconsin’s Shrinking Dairy Farming Community
Milk production is up in Wisconsin; cows produce more milk each year than the year before, and America’s Dairyland uniformly describes itself as in crisis. Capitalism is an indifferent taskmaster, measuring success in growth and profits. But a different metric has shaken the Wisconsin dairy industry, worried rural communities and motivated policymakers: The number of active dairy farms in Wisconsin has dropped dramatically. Since January 2015, nearly 2,000 farms have stopped milking in the state — about 20% of the dairy farming community. To confront these numbers, Governor Scott Walker started, and new Governor Tony Evers will finish, a task force of farmers, processors, bankers and others looking for ideas to stem the tide of farm losses. By mid-March, the 31-member task force had approved more than 50 recommendations “in an effort to alleviate the financial and emotional stress experienced by our state’s dairy farmers,” noted an update from the Wisconsin Department of Agriculture, Trade & Consumer Protection. Opportunities abound in the dairy industry. More than ever, manufacturers are attuned to new product development, innovations […]
Bold, Convenient Cheese Formats Are Trending
Tasty and versatile cheese has long been a favorite food and ingredient of U.S. consumers. But recent sales data suggest the cheese segment has been struggling a bit, at least at retail. Dollar sales within the retail processed cheese category fell 3.7% to $2.8 billion during the 52 weeks ending Jan. 27, 2019, according to data from Chicago-based market research firm IRI. Unit sales declined by 4.1%. In the retail natural cheese space, meanwhile, sales rose only modestly during the same time frame. Dollar sales increased 1.1%, and unit sales climbed 2.5%. But things look a bit brighter for cheese in the food service and ingredient space. A February 2019 report from Market Research Future, Maharashtra, India, says increased consumption of Italian and Mexican food preparations has raised the demand for cheese in the United States, as cheese is one of the major constituents in these cuisines. Needed: a genuine story A number of challenges threaten the cheese category’s growth at retail. One current stumbling block is consumer confusion tied to cheese marketing, said Debbie […]
Modernize Dairy Distribution
Automation Offers a Modern Solution Which will optimize operations and maximize food freshness. Whether handling fresh milk or cheese, dairy distribution centers need to move products from receiving to dispatch with high speed and precision. These facilities require efficient, accurate order fulfillment to meet strict sell-by dates and to maximize the shelf life of goods for consumers. But for the many that rely on order pickers to manually fulfill orders, material flow often leaves much to be desired. With manual distribution, staff have to pull products for orders, palletize, load and unload products and/or cases — for hours in cold environments. Fulfillment becomes dependent on the physical endurance of employees and is altogether too slow to meet the high demands of the food supply chain. Today, automation offers a more modern solution. Equipped with the latest robotics and software, dairy distribution centers can optimize operations to address important aspects of the food business, including maximizing food freshness, improving the quality of work for employees and ensuring the safety of goods on the market. Maximize product […]
Dairy Faces Recovery, Not Extinction
When New York Time Says Your Industry Faces Extinction It’s time to pump the brakes on the hyperbole and assess the situation. On April 26, the Times offered a long-form piece titled “Stung by Trump’s Trade Wars, Wisconsin’s Milk Farmers Face Extinction.” That same day, block cheddar sold for $1.6850 at the Chicago Mercantile Exchange — higher than the average monthly block price in the past 20 months — and barrel cheddar climbed to $1.63, higher than every monthly average price in the last 17 months. Rather than extinction, dairy farmers have faced a prolonged milk price recession that has stressed families and finances and forced many to make the painful decision to sell their cows. This means dairy faces recovery in the coming months and years. Wisconsin began 2018 with 8,801 dairy farms and saw 691 cease milking cows by year’s end. Since January 2015, nearly 2,000 farms have stopped milking in the state — about 20% of the dairy farming community. But slowly firming cheese prices —a key piece of the milk price […]
Blue Cheeses Offer Nutritional and Therapeutic Benefits
Collectively, blue-veined cheeses are made using lactic acid-producing primary starter cultures (belonging to genera Lactococcus and strains of leuconostoc) and the secondary Penicillium roqueforti mold starter (predominantly mold spores). They include Roquefort (France), Danish Blue or Danablu (Denmark), Gorgonzola (Italy), Stilton (Britain), and the U.S. standard identity for “blue cheese.” According to the U.S. standard of identity, blue cheese has a minimum milkfat content of 50% by weight of the solids and a maximum moisture content of 46% by weight. Nutritional facts of 1 ounce of blue cheese include total fat of 8.1 grams (which includes 5.3g of saturated fat) and 6.1 grams of protein. On the basis of percentage daily values, an ounce of blue cheese will contribute 12% of the daily value of total fat and 27% of the daily value of the saturated fat. Cholesterol amounts to 7% of the Recommended DietaryAllowance (RDA) and sodium is 14% of the RDA. People tend to love or hate blue-veined cheeses. Among those who don’t like them, some say the flavor is too strong. For […]