News Wire
Kansas, Mo.-based Dairy Farmers of America Inc. (DFA) will cease operations at its Lovington, N.M., cheese plant, jointly owned and operated with the Greater Southwest Agency. Opened in 1995, the Lovington plant produced 65 million pounds of 40-pound block cheddar cheese annually. Production will be transferred to other DFA plants. The announcement comes after years of repeated efforts to stimulate successful operations, including periodic adjustments to the production schedule and an expansion to help the facility better accommodate increased volume. Despite these efforts, the plant has failed to achieve a financially viable status, DFA reports.
The recently announced joint venture between
Colombia’s La Alqueria SA and Groupe Danone is tied to the quality assurance overhaul Alqueria
undertook when it joined Naperville, Ill.-based Quality Chekd Dairies Inc. in
1994. As the only dairy processing operation in Colombia to adhere to the
strict quality guidelines required for full Quality Chekd affiliation,
Alqueria is well positioned for its new joint venture with the French food
giant, which includes construction of a dedicated plant. Starting next
year, the partnership’s fresh dairy products facility will initially
serve the Colombian market, with later potential for export.
A report released last month by the California Milk Advisory Board (CMAB)
says the Golden State must clear many hurdles in the coming years to fully
reach its potential as a leader in the dairy industry. Three key challenges
are rising environmental regulatory costs, oversupply of raw milk and lack
of investment in innovation and proprietary capacity, according to the
study prepared for CMAB by McKinsey & Co. The report further recommends
several alternatives for action to best take on these challenges.
Washington D.C.-based Cheese
Importers Association of America (CIAA)
last month expressed its strong opposition to the Bush
administration’s proposed Dairy Import Assessment as part of the 2007
Farm Bill. The CIAA has delivered letters signed by a broad cross-section
of its members to House Agriculture Committee Chairman Collin Peterson
(D-Minn.), House Ways & Means Committee Chairman Charles Rangel
(D-N.Y.), Senate Agriculture Committee Chairman Tom Harkin (D-Iowa), and
Senate Finance Committee Chairman Max Baucus (D-Mont.), expressing their
strong opposition to the proposed tax and its inclusion in the Farm Bill.
St. Louis-based Monsanto
Co. wants dairies to stop labeling their milk
“hormone free,” arguing that the claim misleads consumers into
believing the Monsanto’s synthetic growth hormone Posilac is unsafe.
In letters filed recently with the U.S. Food and Drug Administration and
the Federal Trade Commission, Monsanto protests that milk labels touting
the fact that cows from which the milk came were not treated with rBGH/rBST
have unfairly damaged its business, as well as that of dairy farmers who
use the drug on their cows.
Federal milk marketing rules and competition from
California put the squeeze on Baraboo, Wis.-based Foremost Farms USA last year,
resulting in a $12.5 million loss, the cooperative reports. While members
split about $4.2 million in returns in 2006, the loss means they
won’t receive a share this year. There are no reported plans to cut
jobs because of the loss.
Norseland Inc., Stamford,
Conn., has formed a strategic alliance with Woolwich
Dairy Inc., Canada’s leading goat-cheese
manufacturer. Effective July 1, Norseland will handle sales, marketing and
distribution in the United States for all Woolwich cheese products.
Woolwich currently is constructing its first U.S. plant in Wisconsin.
Pennsauken, N.J.-based J&J
Snack Foods Corp. has acquired the Whole Fruit® Sorbet and
Fruit-a-Freeze® Fruit Bars brands from CoolBrands
International.
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