Cooperatives Working Together (CWT) has accepted 14 requests for export assistance from Dairy Farmers of America, Darigold, Maryland & Virginia Milk Producers Cooperative and Michigan Milk Producers Association to sell a total of 1,697 metric tons (3.741 million pounds) of Cheddar and Monterey Jack cheese and 1,843 metric tons (4.063 million pounds) of butter to customers in Asia, the Caribbean, the Middle East and North Africa. The product will be delivered April through October 2012.
CWT announced last week that it will begin assisting sales of whole milk powder beginning April 16. An economic analysis done by CWT determined that adding whole milk powder to the list of eligible products will help boost both butterfat and nonfat solids in world commerce.
In 2012, CWT has assisted member cooperatives in making export sales of Cheddar, Monterey Jack and Gouda cheese totaling 41.6 million pounds and butter totaling 37.4 million pounds to 25 countries on four continents. On a butterfat basis, the milk equivalent of these exports is 1.199 billion pounds, or the same as the annual milk production of 57,100 cows.
Assisting CWT members through the Export Assistance program positively impacts producer milk prices in the short-term by reducing inventories that overhang the market and depress cheese and butter prices. In the long-term, CWT's Export Assistance program helps member cooperatives gain and maintain market share, thus expanding the demand for U.S. dairy products and the farm milk that produces them.
CWT will pay export bonuses to the bidders only when delivery of the product is verified by the submission of the required documentation.
The Cooperatives Working Together (CWT) Export Assistance program is funded by voluntary contributions from dairy cooperatives and individual dairy farmers. The money raised by their investment is being used to strengthen and stabilize the dairy farmers' milk prices and margins. For more information about CWT, visit www.cwt.coop.