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Surplus Milk Dumped in What Is Called a Short-Term Problem


by Bev Berens

Published: Friday, May 29, 2015

A flurry of early morning social media activity last week sounded the alert that some milk produced on Michigan dairy farms did not have a place to go for processing that day.

It appears that an increase in cow numbers and production, coupled with the seasonal spring swell in milk production, is the main culprit for the spilled milk.

The National Agriculture Statistics Service report for May 20 showed that Michigan dairies produced 804,000 pounds of milk in April, up 6.5 percent from the previous year. The report estimates the state's herd size at 403,000, a 20,000-head increase over the previous year.

Growth in cattle numbers within the dairy herd is occurring nationwide. However, the substantial growth within Michigan's herd accounts for 26 percent of the entire national growth.

"Processing has increased in Michigan over the last several years, but milk production has increased more," said Ernie Birchmeier, Michigan Farm Bureau livestock and dairy specialist. "This is all happening at a time when the school season is coming to an end, which means less fluid milk consumed by students who would normally have it as part of their breakfast/lunch program."

Both Michigan Milk Producers and Dairy Farmers of America admit there is a significant milk surplus in the Great Lakes marketing region, particularly in Michigan, and processing plants are bursting at the seams.

MMPA plants have processed record numbers of production in recent weeks, according to Sheila Burkhardt, member relations and public affairs for MMPA.

"Since milk is a perishable product and must be processed in a timely manner, there have been recent incidences where MMPA has elected to dispose of the excess milk to mitigate disruptions to our operations and business," Burkhardt said. "This decision is not made lightly and every opportunity to market the milk is pursued."

MMPA expects the surplus to be a short-term problem and continues to make decisions based on long-term marketing strategy for its members' benefit.

With processors at capacity, milk haulers find themselves waiting in line for hours to unload.

"Goshen is backed up 12 hours to unload. I arrived Saturday afternoon and didn't leave until three o'clock Sunday morning," said Holland area milk hauler, John Yonker, last week.

Bob Gehlke, DFA's plant manager in Goshen, agreed that wait times have been excessive for some haulers due to the surplus and holiday weekend.

"We value our haulers' time and understand the inconvenience," he said. "We are working with our staff to minimize impact to them as much as possible."

Bill Cummings, DFA chief operating officer, Mideast Area, said that no milk has been dumped to date at their facilities.

"However, if this does occur, our members will be compensated as we have a program in place to address these situations."

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