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More foreign dairy workers available, if Senate OKs bill

Dairy farmers would be able to utilize a federal visa program to bring foreign dairy workers to the United States if a bill in the Senate ever becomes law. National Milk endorses the legislation, according to Chris Galen, which expands the H-2A Improvement Act.

Labor issues are still a challenge for a lot of dairy farms across the country, Galen explained, and other types of agriculture use the H-2A visa program to bring in seasonal workers, primarily fruit and vegetable operations, but sheep and goat herders can also use it, and this bill would allow dairy farmers to do so.

The bill was introduced last year in the Senate and didn’t go anywhere, Galen reported, but the Federation has hopes that a bipartisan group of Senators will be able to this year because this remains an important issue for National Milk as well as for the dairy industry. Something needs to be done about immigration policy to make certain that the labor needs of farms are met.

Milking cows is not a job that a lot of domestic workers want, despite the tough economic times with high unemployment, Galen concluded, and he emphasized that National Milk still supports comprehensive immigration reform.
He admitted it “remains a long shot given the political climate so this particular bill, which is more of a rifle shot, would represent a very significant and welcome step to addressing at least a piece of the puzzle regarding labor issues.”

March milk production up
March milk production in the top 23 states hit 15.8 billion pounds, up 2.4 percent from March 2010, according to preliminary data in the USDA’s monthly Milk Production report issued on April 20. Output in the 50 states hit 16.98 billion pounds, up 2.2 percent. Revisions lowered the February estimate by 14 million pounds, to 14 billion, up 2.3 percent from a year ago.

The CME’s Daily Dairy Report says the increase is “along normal seasonal lines in March” and was the 14th consecutive month to be above the year ago level.
March cow numbers, at 8.4 million head, were up 17,000 from February and 93,000 more than a year ago. Output per cow averaged 1,872 pounds, up 24 pounds from a year ago.

California output was up 3.1 percent from a year ago, thanks to a 60-pound gain per cow and 1,000 more cows. Wisconsin was up 1.3 percent on a 15-pound gain per cow and 6,000 more cows. New York was up 3.1 percent, on a 55-gain per cow. Idaho was up 3.7 percent thanks to 21,000 more cows. Pennsylvania was down 0.7 percent due to a 20 pound loss per cow. Cow numbers were up 2,000 head. Minnesota was down 1.5 percent, due to a 30 pound loss per cow. The Minnesota dairy herd increased by 1,000 head from a year ago.

The biggest gain occurred in Arizona and Colorado, both up 8.6 percent, followed by Texas, up 7 percent, and Florida, up 6.3 percent. The biggest loss was in Missouri, down 3.8 percent, Illinois, down 2.9 percent, and then Minnesota.

Slaughter report: More culling
USDA’s latest Livestock Slaughter report shows strong culling. Spurred on by tightening milk-to-feed price margins, as well as strong beef prices, the number of U.S. dairy cows being sent to slaughter is running well ahead of last year, said Dairy Profit Weekly’s Dave Natzke.

The report estimated about 268,000 culled dairy cows were slaughtered for beef in March, up more than 19,000 head from February, and nearly 12,000 more than March of last year. Through the first quarter of 2011, dairy cows culled for beef were estimated at nearly 781,000 head, up 69,300 head from the same period last year.

With the larger number of dairy cows made into beef and rising dairy cattle exports, you’d think that the U.S. dairy herd would be shrinking but it’s not, according to Natzke.

Based on last week’s Milk Production report, the number of dairy cows in the United States increased by 17,000 in the last month, and is about 76,000 more than a year ago.

Cow numbers declined in only one month in the past year, due to a Cooperatives Working Together herd retirement program last summer.
The increases are following trends suggested by a USDA cattle inventory report earlier this year, Natzke pointed out, which showed a large number of dairy heifers waiting in the wings to join the milking herd, in large part due to the increased use of sexed semen by dairy farmers.

For some historical perspective, Natzke is working on his one- and five-year statistical review of the dairy industry. Preliminary numbers show the greatest increases in dairy cow numbers during the five-year period occurred in Idaho and Texas, he said, each up about 100,000 head from 2006; with Michigan up 48,000 head; and Wisconsin and Minnesota, each up about 25,000 head.
“With tight milk-feed price margins forecast for the remainder of 2011 and beef prices expected to remain high as we enter the summer grilling season, we can expect cow slaughter to remain strong,” Natzke said, and “If current trends continue, that won’t lead to a decline in the nation’s milking herd.”

Readers with questions or comments for Lee Mielke may write to him in care of this publication.

4/27/2011