IDFA opposes higher fluid ‘solids’ effort

The International Dairy Foods Association (IDFA) submitted a letter to USDA Dairy Industry Advisory Committee (DIAC), urging rejection of and proposals to implement higher national mandatory milk solids content in fluid milk, similar to those already in place in California.

IDFA submitted the letter to DIAC chair Andy Novakovic, outlining what it said were the negative impacts a proposal mandating the addition of higher milk solids to all U.S. milk would have on consumers and the dairy industry.

The letter referenced a report released in August by the Food and Agricultural Policy Research Institute (FAPRI). According to the report, IDFA said, the standards would raise retail milk prices, increase the costs of federal nutrition programs and reduce dairy exports. IDFA also pointed to evidence showing that requiring higher standards for nonfat solids in milk could hurt consumption and would increase the calories per serving of milk.
Bob Yonkers, IDFA vice president and chief economist, covered the FAPRI report in this month’s Dairy Market Update. He also was one of five dairy experts and economists invited to participate as a panelist at the committee meeting to have a dialogue with committee members and answer their questions about dairy policy reform.

The committee is charged with reviewing farm milk price volatility, as well as dairy farmer profitability and consolidation. It will recommend ways that the USDA can address the needs of the dairy industry.

The full report: http://www.fapri.missouri.edu/outreach/publications/2010/FAPRI_MU_Report_07_10.pdf

The IDFA letter to DIAC: http://www.idfa.org/files/Milk_Solids_Letter_DIAC_092110.pdf

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