22 August 2025

10 minute read

By: Jim Wyckoff

North America

Asia

Weekly USDA US beef, pork export sales

Beef: Net sales of 10,100 MT for 2025 were up noticeably from the previous week, but down 11 percent from the prior 4-week average. Increases were primarily for Japan (2,500 MT, including decreases of 100 MT), Hong Kong (2,400 MT, including decreases of 100 MT), South Korea (1,600 MT, including decreases of 700 MT), Taiwan (1,400 MT, including decreases of 100 MT), and Mexico (600 MT, including decreases of 100 MT). Exports of 11,100 MT were down 3 percent from the previous week and 12 percent from the prior 4-week average. The destinations were primarily to Japan (3,700 MT), South Korea (2,500 MT), Taiwan (1,200 MT), Mexico (1,100 MT), and Hong Kong (800 MT).

Pork: Net sales of 19,200 MT for 2025 were down 9 percent from the previous week and 29 percent from the prior 4-week average. Increases were primarily for Mexico (5,300 MT, including decreases of 700 MT), South Korea (4,000 MT, including decreases of 500 MT), Japan (2,600 MT, including decreases of 100 MT), Canada (2,000 MT, including decreases of 200 MT), and Colombia (1,800 MT, including decreases of 100 MT). Exports of 28,600 MT were up 6 percent from the previous week and 4 percent from the prior 4-week average. The destinations were primarily to Mexico (12,800 MT), Japan (3,900 MT), China (2,500 MT), South Korea (2,400 MT), and Colombia (1,800 MT).

USDA Farm Assistance program updates: livestock

The USDA program expands relief efforts, and outlines future adjustments. USDA has provided a detailed update on its farm assistance programs, highlighting the rollout of the American Relief Act, Farm Bill 1.0 programs, disaster relief programs for both crops and livestock, and major revisions to income and eligibility rules.

Emergency Livestock Relief Program (ELRP)

• Provides $2 billion in emergency relief payments to livestock producers suffering losses due to drought, wildfires, or flooding in calendar years 2023 and 2024.
• The ELRP expanded USDA’s reach by including flood-related grazing losses for the first time.
• FSA leveraged existing Livestock Forage Disaster Program (LFP) data to streamline payment calculations and expedite relief.
• Emergency relief payments were automatically issued to producers who have an approved LFP application on file for 2023 and/or 2024.
• Additional ELRP assistance for other losses authorized by the Act, including flooding, will be announced later this year.
• Phase One (Completed): Automatic payments for drought and wildfire losses on federally managed lands, leveraging existing Livestock Forage Disaster Program (LFP) data. More than $1B issued.
• Phase Two (Upcoming): Covers private land losses from flooding and wildfire, with payments expected to begin Sept. 8.

Eligibility will be determined using NOAA flood mapping and county-level assessments, though producers must file applications to receive assistance. USDA Farm Assistance Program Updates

FDA prepares emergency measures for livestock pest

The agency is authorized to fast-track unapproved animal drugs against screwworm threat. U.S. health officials have granted the Food and Drug Administration (FDA) authority to issue emergency use authorizations for animal drugs to combat potential outbreaks of the New World screwworm, a flesh-eating parasite that threatens cattle and other livestock. While no U.S. cases have been confirmed in decades, an outbreak in Mexico has heightened concern among ranchers and the Trump administration, given the pest’s ability to devastate herds and drive beef prices even higher. Link to FDA release.

FDA said the move ensures veterinarians and farmers can access unapproved or foreign-approved drugs quickly if infestations occur, rather than wait through lengthy review processes. USDA has already halted imports of Mexican cattle and committed up to $750 million for a sterile-fly production facility in Texas, though it could take years to complete. In the meantime, ranchers may push for emergency use of anti-parasite treatments like ivermectin to protect herds.

China extends EU dairy probe by six months

Tensions with Brussels delay decision on possible trade measures. China has extended its investigation into dairy imports from the European Union until Feb. 21, citing the “complexity of the case.” The probe, which began last August, targets products including cheese and comes amid strained EU-China trade ties. Last year, EU dairy exports to China totaled €1.51 billion ($1.75 billion). The EU has challenged the investigation at the World Trade Organization, while the dispute follows Brussels’ tariffs of up to 45% on Chinese electric vehicles and ongoing political frictions over trade and Ukraine.

Judge allows PFAS groundwater contamination lawsuit against Perdue Farms to proceed

Residents claim Salisbury, Maryland groundwater was polluted with “forever chemicals.”

A federal judge has rejected Perdue Farms’ bid to dismiss a class-action lawsuit accusing the company of contaminating Salisbury’s groundwater with PFAS, a class of synthetic “forever chemicals” linked to cancer and immune system damage.

The suit, filed in 2024 by six residents on behalf of those living west and southwest of Perdue’s industrial complex, alleges the company’s operations tainted local water supplies. Groundwater testing at Perdue’s Salisbury facility showed “elevated levels of PFAS,” according to an April company statement.

Maryland’s Department of the Environment (MDE) has directed Perdue to test properties within a set radius of the plant. The ruling comes a year after Perdue agreed to pay $12 million to settle air pollution violations with MDE — the second-largest civil penalty in the agency’s history.

Judge orders USDA to restore five terminated grants

D.C. court says agency likely acted arbitrarily and contrary to statute in cutting awards, including a Climate Smart Commodities project

A federal judge ordered USDA to reinstate funding for five nonprofit grant awards that had been terminated by the Trump administration, including one tied to USDA’s Partnerships for Climate Smart Commodities initiative, issuing a preliminary injunction after finding the agency’s actions were likely “arbitrary and capricious” and, for two awards, likely contrary to statute.

Judge Beryl A. Howell of the U.S. District Court for the District of Columbia granted relief to the Urban Sustainability Directors Network (USDN), Oakville Bluegrass Cooperative (OBC), Agroecology Commons (AC), Providence Farm Collective (PFC), and the Institute for Agriculture and Trade Policy (IATP), concluding they showed a likelihood of success on key Administrative Procedure Act claims and irreparable harm absent an injunction.

The court’s order lists six affected grants in the record — restoring five terminated awards and enjoining the announced termination of a sixth — covering programs including Urban and Community Forestry, Climate Smart Commodities, the Land Access Program, and other USDA components.

In discussing the Climate Smart Commodities context, the opinion notes the administration’s move to cancel or reframe the program and impose new funding thresholds, which the court found inadequately explained in the termination record when applied to at least one plaintiff’s award.

The court determined that APA review was available notwithstanding the government’s argument that the dispute was purely contractual, and it found the agency’s form letters and sparse justifications insufficient, particularly where statutory purposes and reliance interests were implicated.

The injunction allows the plaintiffs’ projects to continue while the case proceeds, with the court requiring no bond and setting aside the terminations on a preliminary basis following an Aug. 6 hearing.

Weekly USDA dairy report

CME GROUP CASH MARKETS (8/15) BUTTER: Grade AA closed at $2.3000. The weekly average for Grade AA is $2.3010 (-0.1165). CHEESE: Barrels closed at $1.7800 and 40# blocks at $1.7750. The weekly average for barrels is $1.8250 (+0.0405) and blocks $1.8345 (+0.0230). NONFAT DRY MILK: Grade A closed at $1.2700. The weekly average for Grade A is $1.2605 (-0.0155). DRY WHEY: Extra grade dry whey closed at $0.6000. The weekly average for dry whey is $0.5965 (+0.0325).

BUTTER HIGHLIGHTS: Across all regions, butter markets are navigating late-summer cream dynamics with mixed trends in production and demand. In the West, cream demand from ice cream producers remains steady to strong. Whole butter churning is generally active despite some plant downtime. The Central region is seeing lighter cream demand from ice cream makers, freeing supply for butter output, though spot butter remains tight with strong export interest. In the East, seasonal milk declines and shifting production priorities are limiting spot cream loads, with retail packaging favored over bulk output. Inventories range from tight to moderate nationally, while bulk butter pricing trends vary by region, but generally reflect a firm market tone.

CHEESE HIGHLIGHTS: Cheese production is holding steady this week in the Northeast. Dwindling milk availability and a ramp up of bottling production is keeping spot milk availability low. Last week, barrel prices rose nearly $0.09 and this week, at time of reporting, barrel prices are $0.08 higher. Block prices rose $0.145 last week and are an additional $0.03 higher this week at time of reporting. Milk output continues to decline seasonally in the Central region as contacts say recent high temperatures are negatively impacting cow comfort. At publication, reported Class III milk prices range from $1-under to $2 over. Cheesemakers are running steady to lighter schedules as some plant managers say tight spot volumes and increasing demand from Class I processors is reducing their ability to run full schedules. Cheese manufacturers across the West report milk volumes remain mostly robust, ensuring contractual needs are met. With availability seasonally tighter as temperatures rise again, Class III spot milk demand is holding steady, and is generally balanced across the region. CME cheese barrel and block prices moved within a narrow, stable range.

FLUID MILK HIGHLIGHTS: Summer temperatures continue to have a negative impact on milk output and component levels. Contacts say milk production remains higher than this time last year. In fact, some contacts say that this is the best year for milk production in some time. Class I demand continues to increase as educational institutions return from summer break. Class II demand is decreasing. Ice cream manufacturers are slowing production as demand decreases. Class III manufacturing remains strong. Cheese makers continue busy production schedules. Spot milk availability is lower but still available. Spot loads of milk are selling from $3 under to $2 over Class price. Class IV production varies by region. Some facilities are purchasing cream to keep the churns full, while others are taking advantage of the higher multiples and selling cream to other producers. Spot purchases of cream are readily available in most areas. Condensed skim production remains heavy. Many cheesemakers are purchasing spot loads of condensed skim to fortify production. Condensed skim is selling $0.20 - $0.30 over Class price.

DRY PRODUCTS HIGHLIGHTS: The top of the Central and East region price range for low/medium heat nonfat dry milk (NDM) moved lower this week, but prices are unchanged at the bottom. The low/ medium heat NDM price range held steady in the West. High heat NDM prices declined across the range in the West, but increased at the top in the Central and East regions. Dry buttermilk traded across a tighter range in the Central and East regions, as prices declined at the top while increasing at the bottom. In the West, dry buttermilk prices were unchanged at the bottom of the range and increased at the top. Dry buttermilk inventories are tight in all regions, but contacts in the Central and East regions say spot availability is slowly increasing. Prices decreased at both ends of the dry whole milk price range. The price ranges for dry whey in the East and Central regions were unchanged at the top, but prices increased at the bottom. Both ends of the West dry whey range moved lower. Whey protein concentrate 34% continues to trade across a wide range, but the bottom of the range increased by 3 cents while the top was unchanged. Lactose prices increased at the top of the range. Contacts report demand for lactose is strong, and inventories are tight. The price ranges for both acid and rennet casein were unchanged.

INTERNATIONAL

WEST EUROPE: The UK's dairy sector is facing an escalating workforce crisis, according to a recent survey that shows most dairy farmers are struggling to recruit staff and retention is proving increasingly difficult. France is battling a rapid outbreak of lumpy skin disease which has cut milk production and triggered trade restrictions. 

EAST EUROPE: Ukraine is investing in several new or modernized dairy farms, mainly in central and western regions considered safer for development. 

OCEANIA: AUSTRALIA: Dairy Australia recently released export data for Australia showing milk export volumes from July 2024 - June 2025 were down from the same time period a year earlier. 

NEW ZEALAND: Following Global Dairy Trade (GDT) event 385, a group in New Zealand that forecasts milk prices increased their milk price forecast for the 2025/2026 season. A recent report from the USDA Foreign Agricultural Service (FAS) projects New Zealand milk production to increase in 2025. Favorable weather conditions led to improved pasture growth so far this year and higher returns are expected to allow farmers to continue improving pasture conditions. 

SOUTH AMERICA: Milk production in South America is strong. Cooler winter weather is positively affecting cow comfort and milk components. Feed prices remain affordable and strongly contribute to production margins. In general, there is an increase in year-over-year milk production in South America.

US NATIONAL RETAIL REPORT: The week 33 retail dairy survey contained fewer conventional ads and total organic dairy ads are down. Total ads for the most advertised conventional dairy product, cheese, are down. Organic milk is the most advertised organic dairy product this week, despite a 25 percent decline in ads from last week. Organic cheese was not featured in any surveyed ads this week but was present in the prior survey.