CWT’s extension comes at a time of increasing U.S. milk production, declining world dairy prices and increased global competition due to the removal of European Union milk quotas.
“With the United States exporting the equivalent of one-seventh of its milk production, today’s vote will help ensure that this country remains a consistent and competitive supplier of dairy products to the world,” said NMPF Board Chairman Randy Mooney, a dairy farmers from Rogersville, MO.
“Through its vote, the NMPF board recognizes how important CWT is in helping farmers gain access to fast-growing overseas markets,” Mooney added. “The program remains a tremendous tool for dairy producers.”
CWT is a voluntary membership program funded by contributions from 37 dairy cooperatives and more than 100 individual farmers. Together, CWT’s members represent 70 percent of the milk produced nationwide. The money raised from an assessment of four-cent-per-hundredweight on their milk production helps maintain U.S. exports when world prices are below U.S. prices.
CWT’s member cooperatives submit bids requesting help with sales in specific foreign markets. Only if the amount is justified is the bid accepted and financial assistance provided. The bidder then has six months to deliver the product to the overseas purchaser.
In 2015 alone, CWT has helped its members contract to sell 35.1 million pounds of cheese, 26.6 million pounds of butter and 20.1 million pounds of whole milk powder. Together, these transactions will export the equivalent of 1.07 billion pounds of milk to customers in 28 countries on five continents.
The NMPF board voted to continue CWT through December 31, 2018. For more information visit the CWT website.
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.
