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TheDairySite Newsletter - 23 August 2013

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TheDairySite
Friday 23rd August 2013.
Michael Priestley - Editor

Michael Priestley
Editor


New Zealand Deals With Milk Powder Scares

New Zealand’s rural economy has been urged to focus on the positive aspects of a multi-billion dollar industry following the recent botulism and nitrate scares.

Federated Farmers President, Bruce Wills has reminded farmers that New Zealand represents an agricultural ‘sweet spot’ of soil, water and temperature intent on doubling export values to NZ$60 billion by 2025.

Following a tense fortnight for the dairy sector, Mr Wills described New Zealand as the ‘Silicon Valley of global farming’.

His message related to three milk powder quality issues, the foremost blunder concerning 38 tonnes of Fonterra’s nutritional protein powder.

Concerns initially mounted after the discovery of Clostridium botulinum in batches of WPC80, a whey protein powder ingredient of baby milk formula.

The New Zealand government then recalled 1,000 tons of the Fonterra product from seven destinations, including China.

A media and government inquisition then ensued, stoked further by China alluding to a ‘three strikes and out policy’.

Fonterra Managing Director Gary Romano announced his resignation from his position before Fonterra and the Ministry for Primary Industries fleshed out a solution.

This week, Westland Milk Products became embroiled in the milk quality debacle. Testing found nitrate levels in lactoferrin were too high to be accepted for the Chinese market.

Westland was quick to dismiss the matter as a food safety issue, saying the quantity lactofferin was only a very minor food ingredient.

National law states nitrate levels are not to succeed 150 parts per million. Westland reported 390 kg worth of powder above this level with one batch having 2198 parts per million.

Further complications related to a batch of New Zealand milk powder that failed Chinese inspection in May.

Mr Wills has advised that the response needs to be measured and focused on constructive solutions.

The Ministry for Primary Industries has responded by increasing the ‘regulatory presence’ at manufacturing plants, upping management reviews and running test simulations for tracking contaminated products are part of ministry plans, explained this week by acting director general Scott Gallacher.

This has been echoed at the top of the industry by Chief Executives Rod Quin of Westland and Theo Spierings of Fonterra.

Mr Spierings has pledged increased vigilance across Fonterra’s nutritional plants. He said that company policy will be to double check and triple check plant hygiene.

Mr Wills concluded that the ‘sweet spot’ should not be shunned but built on to cater for the two extra people in the world each second.


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This Week's Articles and Analysis

Beating the Fodder Crisis: Hydroponic Barley Sprouting
The Irish fodder crisis gave one quick witted producer in Ireland the opportunity to experiment with a contemporary solution - hydroponic barley sprouting.

Food Labelling and Veterinary Involvement Key to Meeting Improved Food Chain Transparency
An examination of welfare labels and the notion of objective welfare measurement was given by a list of leading experts including Dr Francesco Testa of Bergamo, Italy.

Have you Ever Wondered Why you Can’t Sell Your Dairy’s Milk Straight to a Consumer?
Farmers are now able to sell raw milk straight to the consumer after the sale of raw milk was legalised earlier in 2013.

Genetic Selection Opportunities to Improve Feed Efficiency
Higher feed costs could jeapordise productivity if farmers do not tackle feed efficiency properly, according to Chad Dechow of Penn State University.

Market Reports

USDA GAIN: Mexico Livestock and Products Annual 2013
USDA Cold Storage - August 2013
United States and Canadian Cattle and Sheep - August 2013
USDA National Dairy Products Sales Report - 21 August 2013
NAB Australian Rural Commodities Wrap - August 2013
USDA Milk Production - August 2013
USDA Livestock, Dairy and Poultry Outlook - August 2013

Global Dairy Industry News

   United States

Daily Dairy Trading: Bids Change Spot Market, Thursday
Wet Start and Summer Heat Leads to Ergot
Daily Dairy Trading: Spot Markets See Cheddar Fall, Wednesday
Time for Congress to Get Things Done, Says AFBF President
Daily Dairy Trading: Cheddar Leads Losses in Spot Prices Dive, Tuesday
Pasture Management: Make Sure of Adequate Leaf Area to Build Up Carbohydrate Levels
Daily Dairy Trading: September Class III Milk Closes Down 43 Cents, Monday
Daily Dairy Trading: Active Trading See Butter Drop, Friday
Daily Dairy Trading: Class III Milk Drops, Thursday
Will Corn and Soybean Crops Get Finished?

   New Zealand

Fonterra to Tighten Up Inspections in Nutrition Plants
Waikato Dairymen Strive to Save River
Ministry Comes Down on Manufacturing Plants
Industry Speaks Out at Tail Breaking Incident
Fonterra Adjusts as Clean Up Stage Commences

   Canada

Interspecies Research Learns M.bovis Can Spread Through Body
Ag Minister Challenges 4-H Youth to Help Feed a Hungry Planet

   United Kingdom

High Court Grants NFU Injunction Against Badger Cull Activists
Technology Must be Embraced to Bring Sustainable and Efficient Dairying
Soil Association Launches Organic September
Defra Publishes Guide to Farm Inspections in England
Research to Lower GHG Emissions from Northern Ireland Beef
Securing Future Success of Farming

   Spain

Union Warns Producers of Short Contracts

   Global

World Dairy Price Drop Eases
Grazing Produces Healthier Milk
Food Labelling and Veterinary Involvement Key to Providing Food Chain Transparency

   Russian Federation

Subsidies to Further Develop Livestock, Crop Production
Foot and Mouth Disease in Amur
Agricultural Bank Finances Dairy Plant in Kaluga

   Zimbabwe

FMD NEWS: FMD Outbreak Reported in Zimbabwe
FMD in Masvingo Affects More Cattle

   Colombia

State Financing Package Announced

   Venezuela

Sorghum Planting to Solve Fodder Crisis in Zulia State

   Mexico

8.9 Billion Dollars to Go into Mexican Tuberculosis Battle

   Brazil

Brazil Declared 99 per cent FMD Free

   Korea, South

Korea Launches Livestock Health Inspections

   Namibia

OIE Reports FMD Outbreak in Caprivi

   Germany

German Farmers Attack Green Party Report on Breeding Practices

   Switzerland

Swiss Industry Considers Impact of Opening Trade With EU

   France

EU Production Quotas in 2015 Could Impact French Dairy Sector

   China

Chinese Food Prices Remain Stable

   European Union

Commission to Recover €180 from Member States

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