DairyProfit Update for Nov. 16, 2012
The U.S. Environmental Protection Agency (EPA) denied a request to waive Renewable Fuel Standard (RFS) ethanol mandates for the remainder of 2012 and 2013, saying the agency has not found evidence to support a finding of severe “economic harm” caused by the requirements.
“We recognize that this year’s drought has created hardship in some sectors of the economy, particularly for livestock producers,” said Gina McCarthy, assistant administrator for EPA’s Office of Air and Radiation. “But our extensive analysis makes clear that Congressional requirements for a waiver have not been met and that waiving the RFS will have little, if any, impact.”
The decision is based on economic analyses and modeling done in conjunction with USDA and U.S. Department of Energy (DOE). Economic analyses of impacts in the agricultural sector, conducted with USDA, showed that on average waiving the mandate would only reduce corn prices by approximately 1%.
More information: http://www.epa.gov/otaq/fuels/renewablefuels/notices.htm
The National Milk Producers Federation (NMPF) and U.S. Dairy Export Council (USDEC) praised this week’s House of Representatives’ approval of H.R. 6156, which would establish permanent normal trade relations (PNTR) with Russia. NMPF and USDEC have actively supported approval of PNTR with Russia as part of work necessary to reopen that market to U.S. exporters.
The Russia dairy market has been closed to U.S. dairy products for more than two years due to Russian insistence on certain dairy certificate statements and accompanying facility inspection requirements that were not acceptable to the U.S.
Both organizations also stressed the importance of a strong focus by the Administration on resolving the ongoing dairy certificate and related technical requirements that currently block U.S. dairy shipments. NMPF and USDEC believe that it is critical to continue to move forward with active and aggressive efforts to resolve these issues at the same time that Congress works to pass PNTR legislation.
Mark Clarke, general manager of World Dairy Expo (WDE), has submitted his resignation. Clarke has accepted another management position that will be announced soon.
Clarke has led the World Dairy Expo staff since 2007, the fifth person to serve as general manager in World Dairy Expo’s 46-year history. During Clarke’s leadership, Expo initiated a world-class dairy cattle health check-in policies and procedures system that better protects dairy cattle exhibitors, attendees and dairy industry. During his tenure Expo has gained further financial stability and now encompasses reserves that allow flexibility and opportunity for future investments to ensure the event will continue to thrive and succeed in the future.
The 2012 World Dairy Expo hosted nearly 72,000 visitors, with 2,950 of those traveling from 95 countries. The dairy cattle show has become recognized as the most important dairy cattle competition in the world, with over 2,300 head of cattle. World Dairy Expo continues to gain respect as “the place where the dairy industry meets,” hosting 863 commercial trade show companies from 28 countries.
“Center of the Dairy Universe” is the theme for World Dairy Expo 2013 which will be held Oct. 1-5, 2013 at the Alliant Energy Center in Madison, Wis. For more information, visit www.worlddairyexpo.com.
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