Merry Christmas to all!  What a beautiful season to celebrate. Even as we close the book on 2010 and usher in 2011, we have a lot to be thankful for.  The dairy business still has many challenges, but thankfully milk prices were much improved over 2009, exports are up significantly, and there are reasons for optimism.

At IPDP, we have had a very busy year and have seen many changes. Hiring a new executive director certainly tops the list, and we launched our new website. 

We are very grateful for financial support from companies and organizations that recognize the challenges we face and are willing to help. Thanks, too, for each farmer and associate member! We would have little value without you, and frankly, we need more of you!

I am looking forward to the Livestock, Forage and Grain Forum on January 28^th, and I urge you to register to attend if you haven't already done so. There are some great dairy sessions, including our IPDP annual meeting. You can register or view the agenda here: http://www.indianasoybean.com/index.php?option=com_content&view=article&id=386

It's true that we care for lots of animals. But it's the relationships we have with people that truly make us rich. May God bless you all!

LuAnn Troxel
IPDP President

BOAH: State to Host Meeting for Small Dairy Processors

BOAH Release
 

NMPF: 2011 Conservation Grants

2011 Conservation Grants

There has certainly been a lot written in the last couple of issues of E-update regarding the issue of raw milk for human consumption. Overwhelming evidence cites consuming raw milk is a risk to human health.

As a staff professional at Indiana Farm Bureau Inc., involved in local advocacy work with the livestock industry, I regularly encounter those individuals, farmers and consumers alike, who are unwilling to take any risk associated with a regulated industry like livestock production. Yet I sit here and write about an issue fraught with risk, both from the producer and the consumer perspective.

As Indiana's largest farm organization we have policy specifically addressing raw milk.

Indiana Farm Bureau policy; Food Safety 204.04 states:

"Protection of the general public health must be the primary consideration of any legislation or regulation concerning the sale of raw (unpasteurized) milk."

Additionally, the Indiana Farm Bureau Insurance company also has concerns over the safety of raw milk. Concerns to the extent that our Insurance company will not write coverage for any business involved in the production and sale of raw milk for human consumption. Indiana Farm Bureau Insurance, like many insurance companies, require written confirmation that there are no sales of raw milk or management of livestock used in raw milk production on all new and renewal dairies.  The following questions and responses are documented on all dairies by Indiana Farm Bureau Insurance.

1. __ Yes __ No   Does the insured sell or produce raw milk for consumption by others?

2. __ Yes __ No   Does the insured manage livestock, lease cows or herd share for the production of raw milk?

A "Yes" answer to either question results in the declination or non-renewal of the risk. 

Given our policy position and that of our insurance company it is pretty clear to me that Indiana Farm Bureau membership opposes the unregulated sale of raw milk for human consumption.

I understand why raw milk production and sales have increased over the past several years as farmers try to expand their distribution channels and profit margins. Yet, raw milk exposes us to no fewer than 10 specific pathogens that can be killed through pasteurization. Given our litigious society and their inclination toward internet published scrutiny, are you as a dairy producer willing to assume this additional risk?

Paul Nieffer, the Farm CPA, offer these tips as you make plans for your year-end purchases.

• Make sure it's not considered a deposit. Make sure there are specific terms for the specific product and amount you're prepaying.
• If the company you pre-pay to goes out of business, you are an unsecured creditor and getting that money back is not a sure thing.
• If you make equipment purchases at the end of the year, the equipment must be in your possession to take advantage of tax benefits.
   

AgWeb Tax Tips and Information

Taxes on gifting rise in 2011

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It's true that cows enjoy the cooler weather, but, as the temperature drops, so does the cow's ability to maintain skin moisture. Chapped skin isn't just painful for us, it's equally irritating for cows. "Cracked teats create the ideal environment for bacteria to hide and proliferate; these bacteria have the potential to migrate into the udder where new infections may emerge," says Beverly Cox of Virginia Tech Extension. In light of winter, Cox has offered some tips to preserve your cows' teats.

1. Provide clean, dry housing and protection from wind to reduce the number of new environmental infections.

2. Restrict access to potentially muddy areas to keep udders clean and reduce damage from prolonged wetness.

Read more...

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Holiday traditions run deep in most families. Traditions may vary depending on a family's particular heritage and culture, but many generally involve the consumption of some type of animal protein.

What we all should be thankful for during the holiday season is that here in America, the main thing limiting the size of our celebrations is the size of our tables and the number of chairs we own. This is not the case worldwide.

WEST LAFAYETTE, Ind. - The dairy industry is slowly recovering from low prices and record losses encountered in 2009 and early 2010, a Purdue University agricultural economist said.

"It will take higher prices over an extended period of time for dairy producers to begin to replace equity that was lost in 2009 and early 2010," Nicole Olynk said.

Reasons

Typical dairy farms in 2009 lost $350 to $1,000 per cow in equity. Part of the losses were driven by high costs, especially for feed and labor, exceeding returns from milk sales and lower value of cows and heifers as dairy replacements, said Olynk and Purdue Extension dairy specialist Mike Schutz.

Dairy farms that were better able to control their own forage production and that had more equity, often through owned land, were best positioned to survive such economic losses.

The year 2010 is quickly coming to an end and the pain of 2009 is still very fresh in our memory. The question that comes to mind for most dairy farmers is, "what have I accomplished in the past 12 months and what will happen in 2011?"

For the most part the dairy industry has improved dramatically as compared to the year ended 2009 when most dairies throughout the nation lost $700 to $900 per cow! The dairy farmer's financial picture went from moderate debt per cow to the maximum amount their banker would allow them to borrow. The equity position of the dairy farmer plummeted; cash flows were negative and account payables increased.

Equity erosion

The banking industry became well aware of the equity erosion and began to tighten their lending requirements. Asking for additional loans to feed or replace cows became nearly impossible for some dairymen since banks were unwilling to accept additional risk because of the uncertainty in the dairy industry.

Read more...

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PHILADELPHIA - Exploring opportunities to connect with lactose intolerant consumers prompted the producer-funded dairy checkoff to launch moovision.com, a multichannel social media effort.

Purpose

The program aims to change the attitude and purchase behavior of millions of U.S. adults who currently experience real or perceived symptoms of lactose intolerance and avoid or restrict dairy consumption.

Bringing them back to dairy could result in 2.3 billion pounds of new sales annually. The initiative includes a hub site - www.moovision.com - as well as a Facebook page, Twitter account and YouTube channel.

Its goal is to use these venues in a lighthearted and novel way to converse with lactose intolerant consumers, with these core objectives:

Read more...

A checkoff assessment on dairy imports is getting closer to fruition. Up to now, imported dairy products have been exempt from the dairy promotion checkoff on the grounds the funds are used to promote only domestic production. The 2002 Farm Bill included a provision to begin assessing imports but there were challenges to the rule including the fact that not all producers in the United States were not being assessed.

A revised version of the measure was included in the 2008 Farm Bill, USDA issued a proposed rule for the assessment in May of 2009. That final rule has now been submitted to the Office of Management and Budget for clearance. Cheese Market News says implementation could begin early next year. USDA estimates the assessment on dairy imports will add some $6.1 million to the dairy promotion budget.

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• Opportunities to network with other professional dairy producers from around the state.
• Encourage open exchange of ideas and learn new approaches to the most challenging dairy farm management decisions.
   
• Allow you to get on the "ground floor" in determining relevant topics facing dairy managers and securing appropriate speakers to tackle those topics at educational meetings
• Notify you through IPDP newletters of upcoming events and educational opportunities that will help you to be a better dairy producer.
• Be a sounding board to solving key problems that face Indiana dairy producers.

• Indiana Creamery License Division 
• Indiana Board of Animal Health
• Indiana Department of Environmental Management
• Indiana State Department of Agriculture
• Indiana Beef Cattle Association
• Milk Promotion Services of Indiana
• Growing Indiana Ag (GINA)