cWt to conduct largest ever herd retirement
Cooperatives Working Together the National Milk Producers Federation vide to each farmer the NMPF guidelines The factors that will determine prices
(CWT) announced May 13 that it has ten- (NMPF), which administers CWT. for the proper culling and transporting of for the rest of the year continue to be cow
tatively accepted 388 bids representing CWT field auditors have begun visit- dairy cattle, Kozak said. numbers and exports, Dunn said. Dairy
102,898 cows and 2 billion pounds of ing the 388 farms whose bids were Producers whose bids are accepted in cow slaughter for the year is 12.7% above
milk production capacity in the first of a accepted, checking their milk production this herd retirement will be paid in two last year and cow numbers are going
series of herd retirements planned over records, inspecting their herds and tag- installments: 90% of the amount bid down. The higher futures prices for the
the next 12 months. The number of cows ging each cow for processing. All farms times the producer’s 12 months of milk second half of the year suggest markets
and pounds of milk represent the largest should be audited by early July and cows production when it is verified that all expect further shrinkage in cow numbers.
single herd retirement carried out in the should begin moving off dairies by late cows have gone to slaughter, and the Although milk prices are coming up
six-year history of CWT. May. All bidders will be notified no later remaining 10% plus interest at the end of slowly, current milk prices would not
Dairy farmers in 41 states submitted a than June 12, 2009, as to whether their 12 months following the farm audit, if dissuade anyone who is thinking of exit-
total of 538 herd retirement bids by the bid was among those accepted. both the producer and his dairy facility ing, especially when combined with feed
May 1 deadline. The 388 bids tentatively “The bids selected ranged from farms — whether owned or leased — do not prices, which are creeping up, Dunn said.
accepted represent 72% of the total bids with fewer than 50 cows to dairies with become involved in the commercial pro- Exports are another factor. The dollar has
received by CWT. The number of cows more than 5,000, demonstrating that duction and marketing of milk during fallen somewhat, but it is still far higher
now scheduled to be removed account for farms of all sizes in all areas are facing a that period. than a year ago, making U.S. products
64% of the total number of cows offered very difficult year in 2009,” Kozak said. Cooperatives Working Together is less competitive relative to competition.
and the 2 billion pounds of milk account “Those that took advantage of CWT’s being funded by dairy cooperatives and The weakness in the global economy has
for 67% of the milk production offered. offer to retire their herds will aid others individual dairy farmers, who are con- severely restricted all trade, including
The Midwest region, including Ohio, still wanting to farm by reducing the tributing 10 cents per cwt. assessment on dairy products. Whether the price actual-
Illinois, Indiana, Iowa, Michigan, amount of milk coming to market and their milk production through December ly rises in the second half of 2009 will
Minnesota, North Dakota, South Dakota strengthening prices going forward.” 2010. For more on CWT’s activities, visit depend on further reductions in cow
and Wisconsin, had 134 retirement bids “CWT, thanks to the commitment of www.cwt.coop. numbers and production.
accepted, retiring 8,595 cows that pro- 36 cooperative members and more than
duce 154.1 million pounds of milk, 8% of 500 individual dairy farmer members,
Milk prices still low, cow
Despite struggling milk prices,
the total national retirement. has the resources to carry out additional
numbers down
according to Lewis Jones, chief of the
Ohio Department of Agriculture’s Dairy
“The amount of milk we’re removing herd retirements in the coming months.
Current market conditions continue to
Division, in the first four months of 2009,
is equivalent to eliminating the future That is why CWT will not announce the
be depressed by a surplus of milk, said
Ohio produced 0.1% more milk than for
production of 200 million pounds of average level of the bids accepted until
Jim Dunn, Penn State University. Despite
the same period in 2008. Although this
cheddar cheese per year,” said Jim all the herd retirements are completed,”
this, the futures market still shows prices
was achieved with 4,000 less cows or
Tillison, CWT chief operating officer. Kozak said. “We will continue to monitor
strengthening in July, with July Class III
1.4% fewer cows than in the same period
“The high percentage of bids CWT key economic indicators in order to
futures trading at $12.00 and Class IV at
one year ago. Michigan and Indiana also
selected this time around is an indication determine the right time to implement
$10.80. By fall, the futures are trading
had slightly more milk than the year
that producers understood that CWT the next herd retirement.”
above $14.50 for Class III and $11.50 for
before, but Michigan had 2.5% more
would only be able to accept reasonable Once CWT’s field auditors inspect
Class IV. This is consistent with the
cows and Indiana had 0.6% less cows.
bids per hundred pounds of milk in and accept the herds offered as part of
expectation of continued culling, retire-
Overall, U.S. cow numbers were down
order to adjust the nation’s dairy herd the bidding process, farmers will have 15
ment of cows under the CWT program,
23,000 cows, or 0.2% in the first four
and better align supply and demand,” days in which to send their animals to a
improved domestic demand for dairy
months of 2009 compared to last year,
said Jerry Kozak, president and CEO of processing plant. CWT will again pro-
products and decreased milk production.
while milk production declined by 0.4%.
and how to effectively communicate with Jamison explained that two major fac- messages and went on to label animal
that audience, as a key contributor to a lack tors are driving animal rights groups’ rights groups engaging in this tactic as
S
of understanding. attempts to engage people of faith. The “meaning entrepreneurs.”
Andy Kuhn
“Correcting this lack of knowledge, on first is that people motivated by religion “We caution people against buying in
both sides, will be a challenge,” Vincent tend to give generously, which is an impor- to such messages and encourage people
said, “But it also provides a remarkable tant factor to the $400-million-a-year ani- to do their own review of Biblical scrip-
Around ohio
opportunity to provide for, and enhance, mal rights industry. The second reason is ture and literature,” said Kay Johnson
with oLC
rural America.” that people motivated by religious zeal Smith, executive vice president of the
Vincent urged people in agriculture to tend to have sustained intensity over time. Animal Agriculture Alliance (Alliance).
add a line item for activism to their busi- This is a critical feature lacking from the “Farmers and ranchers are among the
Editor’s note: Sandy Kuhn attended the
ness plan, “right in front of equipment and current animal rights movement, since most compassionate people in the world
recent Animal Agriculture Alliance Eighth
maintenance.” He suggested that the line many vegans and vegetarians tend to and are committed to the care of their
Annual Stakeholders Summit, May 12 in
item should have dedicated sums of both eventually return to an omnivorous diet. animals as a top priority.”
Alexandria, Va. Here are two reports of interest
time and money, and that much of the Jamison indicated that animal rights The Eighth Annual Stakeholders
from that gathering.
efforts should be focused on individual groups are carefully selecting religious Summit was themed “Politics, Activism
Ag activist warns against
farmers’ and ranchers’ circle of influence. passages that appeal to targeted indi- and Religion: Influencing the Debate on
conflict industry
“America is ready for a new leader, viduals’ sense of compassion, self- Animal Welfare in America. It included
“Beware of today’s conflict industry,”
and a new vision, based on hope instead denial and guilt. He then pointed to about 170 mid- and high-level food chain
warned Bruce Vincent, a third generation
of fear, science instead of emotion, edu- Biblical stories that directly refute the participants from around the globe.
logger from Montana and executive
cation instead of litigation and resolution
director of Provider Pals. “Groups
instead of conflict,” Vincent said. “That
Reducing pRRS transmission 
involved in this industry generate cash
new leader should employ rather than
A simple biosecurity protocol — entrance biosecurity protocols. In addi-
by marketing fear.”
destroy human resources. That new
Danish entries — can help reduce tion, average daily gain and feed conver-
Vincent addressed the Animal
leader should be us.”
porcine reproductive respiratory syn- sion ratio were significantly better and
Agriculture Alliance’s (Alliance) Eighth Baptist minister warns against
drome (PRRS) transmission. That’s the the opportunity cost per pig was almost
Annual Stakeholders Summit, held May animal rights groups’ attempts
findings of a health monitoring project in $2.00 less.
12 in Alexandria, Va. Vincent also to co-opt religion
contract nursery/finishing barns. The The study found that the previous
warned of the false choices that activist
“Animal rights activists are using reli- study, which involved approximately PRRS status of the barn had no impact
groups in the conflict industry want to
gious messages to recruit a segment of the 567,000 PRRS-negative pigs at 42 finisher on the PRRS status of subsequent groups
force the public to make, especially on
millennial generation that has little doctri- sites (total of 121 barns), was conducted of pigs. This suggests that cleaning and
animal welfare and the environment.
nal anchor in order to advance their vege- in an area where PRRS is endemic. disinfecting can effectively kill the virus.
But Vincent didn’t just provide warn-
tarian agenda,” said Wes Jamison, an Approximately 40% of the barns used Season, on the other hand, did have an
ings, he provided answers. He identified
ordained Baptist minister and associate a Danish entrance (clothing change and impact. The study found significantly more
ignorance as the top enemy of rural
professor of communications at Palm hand washing). In a report, Steve Dritz of PRRS outbreaks in January through March
America. He indicated that the urban pub-
Beach Atlantic University, addressing par-
Kansas State University noted that the than at other times of the year. Researchers
lic’s ignorance of how rural America works
ticipants at the Animal Agriculture
pigs in those barns were significantly less say this is understandable as previous
is part of the problem, but identified rural
Alliance’s (Alliance) Eighth Annual
likely to become PRRS infected during research has demonstrated the stability of
America’s ignorance of urban America,
Stakeholders Summit.
the project than those that had no the virus in freezing conditions.
Ohio’s Country Journal • June 2009 • Livestock 29
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