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DFA asks selected farmers to dump milk because of COVID-19 demand shift

Milk dumping has begun. 

West Bend, Wisconsin farmer Chris Elbe operates Golden E Dairy, where they supply milk to Dairy Farmers of America for fluid consumption.  He tells Brownfield the first truckload went in the lagoon Tuesday night. “I was contacted by the section area manager and told that I need to start dumping as soon as possible, so I started dumping at eight-o-clock last night.”

Elbe says he’s milking 24-hundred cows and producing about 220 thousand pounds of milk every day. “I was just told we won’t be taking milk to the dairy before Monday.”

And with 1.2 million pounds of milk getting dumped before Monday, it’s still a mystery if Elbe will be paid for it. “I was told that I will be reimbursed somehow by the government, not from DFA but the government.”

Elbe says he knows of about ten large dairies that also supply DFA’s fluid milk plants in southeastern Wisconsin that have also begun dumping milk. 

Dairy Farmers of America issued a statement saying the uncertainty of COVID-19 and evolving consumer buying habits is causing the demand for dairy products to change.

Brownfield has contacted several milk processors and cooperatives.  So far, only Associated Milk Producers Inc. has responded, confirming that they are not asking producers to dump milk.

The state’s ag department says they have asked the USDA to step in and support the dairy industry during the COVID-19 public health emergency.  Wisconsin Governor Tony Evers says in a time when people are already food-insecure, it’s more important than ever to get Wisconsin’s nutritious commodities in the hands of consumers who need them the most.

This story will be updated as processors provide information.

Chris Elbe discusses dumping milk with Brownfield’s Larry Lee

Following is the full statement issued by Dairy Farmers of America 4/1/20:

Kristen Coady, Vice President, Corporate Communications, Dairy Farmers of America says, “In this ever-changing situation, our number one priority remains the safety and well-being of our farm families and employees.
We are diligently working to ensure our farm families’ milk continues to be picked up, our plants continue to operate, and we continue to provide consumers and communities with wholesome dairy products during this difficult time.
With the uncertainty of COVID-19 and evolving consumer buying habits, we are seeing demand for dairy products change. While we initially saw increased demand at grocery stores as consumers stocked up on many products, like dairy, in anticipation of potential quarantines and shelter-in-place orders, the retail demand is starting to level off. For this reason, we anticipate that milk will be more readily available at grocery stores in the coming weeks. Also, during this time, we’ve seen reduced needs in the foodservice sector with school and restaurant closures, which has resulted in an overall surplus of milk.
These sudden changes in demand, are resulting in uncertainty, and are forcing some dairy manufacturers to cut or change production schedules or build inventories. Due to the excess milk and plants already operating at capacity, there is more milk right now than space available in processing plants. This, in combination with the perishable nature of our product, has resulted in a need to dispose of raw milk on farms, in some circumstances.
We continue to work with our customers to explore additional options to retain as much value from our farm families’ milk as possible and to exhaust all possible avenues to find a home for their milk.”

  • We still need milk. Why are you dumping it? Is it contaminated? This is just going to cause the price to go up in milk and milk products.

    • There is not a contamination problem. Read the processor’s statement at the bottom. They claim it’s demand shift from the changes brought on by COVID-19, which lead to supply chain problems. Also, there was already a lot of milk in the system, so if consumption drops because of many factors including closed schools and restaurants, you still have too much milk. Panic buying cleared the shelves, but my sources say that should level off, limits should come off, and there will still probably be a reduction in the consumption of dairy products.
      I hope the supply chain can adapt quickly. People still want and need milk, and dumping it is a waste and another financial kick in the backside for dairy farmers.

  • Farms have been dumping milk in PA. the same time stores were limiting customers to 2 or sometimes 1 gallon per family. This should be an eye opener these Big companies can not change direction as quickly as a few smaller ones could or either they do not want to be bothered.

  • This is ridiculous and wasteful, WE CAN”T FIND MILK in the BAY AREA AND SACRAMENTO area in California.
    WHY ARE YOU DUMPING MILK. Ship it to us WE NEED IT.

    Schools out here are providing kids lunch so this doesn’t make sense.

    • If you read the article it says the processors are backed up in processing the milk. The farmers can’t sell you raw milk because it’s illegal. They have nowhere to send it for processing. “Due to the excess milk and plants already operating at capacity, there is more milk right now than space available in processing plants. This, in combination with the perishable nature of our product, has resulted in a need to dispose of raw milk on farms, in some circumstances.”

  • Cant you still be giving it to the schools for the free breakfest and lunches . Give them two instead of ine. Its a waste yo dump when children are going hungry

    • No, farmers are not allowed to sell raw milk. It’s illegal. In the above it states “Due to the excess milk and plants already operating at capacity, there is more milk right now than space available in processing plants. This, in combination with the perishable nature of our product, has resulted in a need to dispose of raw milk on farms, in some circumstances.”

  • So farmers (many who voted for Trump and complain about “Socialism”) are already getting taxpayer funded bailouts because of Trumps tariffs. Now they’ll get even more of OUR tax dollars as a result of the dumping of their product. Socialism is alive and well in Corporate America.

    • Regardless of how it’s worded in the article and the comments above, DFA will pay these farmers for their milk, not taxpayers and the government.
      Regarding the comment from the Bay Area, there are certainly some issues in the supply chain during these times. Because of refrigeration needs on the tankers and distance it would not be cost effective to transport this milk to the west coast. The supply chain however needs to be better going forward at stepping milk from the mountain area to the coast if there is not enough milk out there. Larry, your comment to the first question was excellent.

  • Please turn surplus milk into powdered milk for babies and children. Please do not dump milk in these uncertain times! For God’s sake! People can warm milk to make it safe to drink, please take it to bottlers, powder manufacturing, and cheese makers! Waste not want not!

    • One has to have that kind of processing plant within a certain number of miles. Not all processors produce all types of finished product. Yet the milk has to be processed within so many hours from time milked.

  • I really feel for the dairy farmers as being from Wisconsin i drove milk truck for well over 26 years the thing is if it is effecting the dairy farmers who is next the grain farmers the produce farmers this could get really ugly considering its the farmers who feed America and beyond. But the one thing i fail to understand is if they are dumping milk then why do the stores limit only one gallon of milk and why is the milk price in the stores so dam expensive.

    • “Due to the excess milk and plants already operating at capacity, there is more milk right now than space available in processing plants. This, in combination with the perishable nature of our product, has resulted in a need to dispose of raw milk on farms, in some circumstances”.

  • Consumers are still trying to buy milk but it is not available for them. Either the stores are not buying milk and milk products for the shelf or the producers aren’t making product for the stores. I guess it could also be that trucks have been diverted for carrying medical supplies.

  • In many cases, the reason for empty stores shelves is because of labor shortages at stores, warehouses, and processing plants. We have actually seen milk in the storage area of our local major super market, but empty shelves in the milk cooler. Manager said the reason for this was not enough help to keep shelves stocked. Volunteer…??? If a short fall of labor occurs any where along the way, products won’t get to consumers.

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