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Avian Influenza Outbreak Hits Three California Dairy Farms

Monday, September 2nd, 2024

Understand the impact of the recent avian influenza outbreak in California’s dairy farms. Discover steps to protect your herd and ensure safety.

Summary: The detection of highly pathogenic avian influenza (HPAI) in three dairy herds in California’s Central Valley has led to immediate quarantine measures and heightened biosecurity protocols. While no human cases have been reported, health authorities emphasize the importance of protective equipment for dairy workers. The state’s milk supply remains safe for consumers, with pasteurization effectively neutralizing the virus. The California Department of Food and Agriculture (CDFA) and the California Department of Public Health (CDPH) assure the public that the risk to human health is low, focusing their efforts on monitoring and assisting affected farms. The outbreak underscores the need for continued vigilance and preparedness among dairy farmers. For ongoing updates and resources, stakeholders must visit the CDFA’s official website.

  • Immediate quarantine measures and enhanced biosecurity protocols are in effect for affected dairy farms.
  • No human cases of HPAI have been reported in California linked to this outbreak.
  • Health authorities stress the importance of protective equipment for dairy workers to prevent infection.
  • California’s milk supply remains safe, with pasteurization effectively neutralizing the HPAI virus.
  • CDFA and CDPH assure the public that the risk to human health is low.
  • Affected farms receive continuous monitoring and assistance from state health authorities.
  • Ongoing vigilance and preparedness are vital for dairy farmers to combat potential outbreaks.
  • Stakeholders are advised to visit the CDFA’s official website for regular updates and resources.
avian influenza, HPAI epidemic, dairy producers, California, Central Valley, cows, symptoms, testing, biosecurity measures, personal protection equipment, farmers, workers, quarantine, virus spreading, pasteurization, safety measures, health and safety procedures, PPE, masks, gloves, face shields, safety goggles, avian influenza contamination, CDPH, raw dairy products, USDA grant, cross-species transmission, biosecurity protocols, financial assistance, compensating for losses, disease outbreaks

Imagine the unsettling news that highly pathogenic avian influenza (HPAI), a virus typically associated with birds, has breached your dairy herd. This alarming reality has now struck three dairy farms in California’s Central Valley. CDFA Secretary Karen Ross, with her eloquence, reassures, “We have been ready for this possibility since earlier this year when HPAI cases were confirmed on dairy farms in other states. Our extensive experience with HPAI in poultry has equipped us to handle this issue, with a primary focus on workers and public health. The confirmed presence of HPAI in cows in these locations is a pivotal moment for dairy producers, necessitating swift and decisive action. The agricultural community, already grappling with economic pressures, now faces an even greater sense of urgency due to this looming threat. While rare, the occurrence of HPAI in cattle underscores the importance for dairy producers to be vigilant and prepared.”

A Wake-Up Call for Dairy Farmers: HPAI Detection in California’s Central Valley

The highly pathogenic avian influenza (HPAI) epidemic has substantially affected dairy producers in California. On August 25, 2024, cows at three dairies in the Central Valley started to exhibit HPAI symptoms. This is especially serious since it might jeopardize dairy production and worker safety.

The California Department of Food and Agriculture (CDFA) quarantined the impacted farms. Authorities are working with local health agencies and the Centers for Disease Control (CDC) to undertake thorough testing and implement biosecurity measures. They also provide personal protection equipment (PPE) and assistance to concerned farmers and workers.

Urgent Quarantine Measures and Biosecurity Protocols: Keeping Dairy Safe Amid HPAI Outbreak

Detecting highly pathogenic avian influenza (HPAI) in three Central Valley dairy herds has immediate and severe consequences for dairy producers. The afflicted farms are now under tight quarantine, with ill cows separated and treated on-site to prevent the virus from spreading. Despite these challenging conditions, the CDFA has promised that healthy cows may continue transporting milk since pasteurization successfully inactivates the virus.

Despite the HPAI epidemic, the milk supply is stable and unaffected. Dairy producers may continue to operate with confidence that their products are safe for customers. However, adherence to biosecurity standards is critical. Farmers must collaborate closely with veterinary authorities to maintain isolation zones and avoid cross-contamination of healthy and sick livestock. These early efforts are essential to ensure public health and the dairy industry’s economic viability.

Essential Safety Measures: Protecting Dairy Workers from HPAI 

The recent identification of HPAI in dairy cows emphasizes the crucial significance of solid health and safety procedures. Experts advise adopting extensive personal protective equipment (PPE) to safeguard dairy workers. Masks, gloves, hats, face shields, and safety goggles are required while dealing with animals or materials contaminated with avian influenza. Adopting these precautionary measures protects the workers and helps to avoid future viral transmission.

The California Department of Public Health (CDPH) has encouraged safety precautions. Earlier this summer, CDPH provided safety equipment to dairy farm workers and anyone who handled raw dairy products. The campaign, which included slaughterhouse and commercial poultry farm workers, substantially influenced public health.

The CDPH continues to provide PPE assistance to farms with verified HPAI incidences. This endeavor is supported by a USDA grant, which provides financial help to growers who provide PPE to their workers. These materials are helpful to dairy producers during these difficult times.

Monitoring workers’ health is critical. Public health authorities collaborate with dairy owners to provide farm workers with the tools and information they need to preserve their health and safety. Regular evaluations and PPE are critical in reducing the risk of infection and maintaining a safe working environment. By putting workers’ health first, the sector protects its workforce and helps dairy operations remain stable throughout health emergencies.

Public Health Assurance: HPAI Poses Low Risk to Humans, Authorities Take Proactive Measures

The Centers for Disease Control and Prevention (CDC) and the California Department of Public Health (CDPH) have both said that the highly pathogenic avian influenza (HPAI) virus offers no significant public health risk. The danger to humans is modest, particularly affecting dairy workers who have direct contact with affected animals. CDPH, in partnership with the California Department of Food and Agriculture (CDFA) and local health agencies, is actively monitoring the situation. These agencies collaborate to provide timely clinical and public health responses, if necessary, and effective management and minimization of possible human exposure. Rest assured that the collaboration between these health agencies is intended to maintain strict safety and health regulations that protect both the public and dairy sector personnel.

Expert Voices on HPAI Preparedness: A Unified Front Against Emerging Threats

“We have been preparing for this possibility since earlier this year when HPAI detections were confirmed at dairy farms in other states,” Karen Ross, secretary of the CDFA, said. “Cheat vast experience with HPAI in poultry has provided us with adequate preparedness and expertise to handle this issue, with workers’ and public health being Cheat’s top concerns. Given the economic constraints they face in a volatile market, this is a difficult moment for our dairy farmers. Therefore, I want to tell them that we are handling this event with the greatest haste.”

Renowned virologist Rick Bright shared similar concerns: “The convergence of avian and human flu viruses poses a real threat as we approach the colder months.” We have carefully observed the situation and worked with several authorities to ensure that we are prepared to react quickly and efficiently.

These expert viewpoints show the collaborative efforts and thorough planning that underline the urgency with which authorities address the HPAI epidemic.

Understanding HPAI: The Ongoing Battle Against a Deadly Avian Threat

HPAI, or Highly Pathogenic Avian Influenza, is a significant issue for wild and domestic bird populations. Since 2022, wild birds in North America have been infected with the H5N1 virus. These migratory birds disseminate the virus across areas, sometimes causing spillover occurrences in domestic poultry and animals such as cattle.

In terms of history, the United States has had multiple HPAI epidemics. Because of the virus’s high fatality rate in poultry, early detections in wild birds raised worries. Domestic chicken farms suffered severe consequences, necessitating extensive regulatory and biosecurity precautions. Quarantines, killing diseased birds, and strict flock monitoring are among the procedures used.

Federal and state authorities worked closely together to address this issue. The USDA and CDC are critical players in monitoring and response initiatives. They collaborate with state agencies such as the California Department of Food and Agriculture (CDFA) to conduct regular testing and develop biosecurity measures to prevent and manage outbreaks.

Wild birds continue to be closely monitored as a main HPAI reservoir. Farmers, veterinarians, and public health authorities continue to install sophisticated biosecurity measures, especially in high-risk locations. These collaborative efforts aid in the early detection and mitigation of the virus, protecting both animal and public health.

Preventive Measures for Dairy Farmers: Practical Steps to Mitigate the Spread of HPAI 

As a responsible dairy farmer, I know that the threat of HPAI demands your full attention and proactive measures. Here are essential strategies to safeguard your herd and farm against this potentially devastating virus: 

Enhance Biosecurity Measures: 

  • Restrict Farm Access: Limit farm access to essential personnel only. Implement strict visitor protocols and maintain a visitor log.
  • Sanitize Equipment and Vehicles: Clean and disinfect all farm equipment and vehicles before they enter and leave your property.
  • Protective Gear: Ensure all workers wear appropriate Personal Protective Equipment (PPE), including masks, gloves, and coveralls.

Conduct Regular Health Checks for Livestock: 

  • Monitor Symptoms: Train staff to recognize signs of illness in cattle, such as reduced milk production, lethargy, and respiratory issues.
  • Health Screenings: Implement regular veterinary health check-ups to catch and address potential infections early.

Implement Rigorous Sanitation Practices: 

  • Disinfect Common Areas: Regularly clean and disinfect barns, feeding areas, and milking equipment.
  • Maintain Clean Facilities: Clean and dry bedding to minimize bacteria and virus proliferation.

Isolate and Test New Animals: 

  • Quarantine New Arrivals: Isolate new animals for at least two weeks before integrating them into the herd. This helps to identify any potential illness before it can spread.
  • Screen for Diseases: Conduct thorough health checks and diagnostic tests on new animals during quarantine.

By rigorously applying these preventive measures, you will protect your herd and contribute to the broader effort of controlling HPAI in the dairy industry. Stay vigilant, stay informed, and take proactive steps to secure the future of your farm. 

Frequently Asked Questions (FAQ) 

Can HPAI spread to other livestock? 

HPAI typically affects birds, although it may sometimes spread to other species, including animals like cattle, under certain situations. While less prevalent, the virus may be transmitted by contaminated equipment, humans, or intimate contact with infected animals. Dairy producers should be cautious and follow strict biosecurity protocols to reduce cross-species transmission.

What should I do if I suspect my herd is infected? 

If you suspect HPAI in your herd, notify your veterinarian and the California Department of Food and Agriculture (CDFA). Isolate any ill animals and increase biosecurity measures to prevent further spread. Quick action and coordination with authorities are critical for managing and controlling epidemics.

How can I apply for financial assistance or PPE grants? 

Dairy producers may apply for financial assistance and personal protective equipment (PPE) subsidies from the US Department of Agriculture (USDA). These subsidies may help them pay the expenses of obtaining PPE, adopting biosecurity measures, and compensating for losses caused by disease outbreaks. To learn more about eligibility and application procedures, visit the USDA’s official website or contact your local USDA office.

Is the milk from infected cows safe to consume? 

Yes, milk from diseased cows is safe to consume after pasteurization. Pasteurization efficiently kills the virus, and long-standing norms remove diseased cow milk from the supply chain. Dairy products, including pasteurized milk, continue to be safe for consumption.

What are the signs of HPAI in cattle? 

Cattle with HPAI may exhibit reduced milk production, thicker, concentrated colostrum-like milk, decreased feed intake, atypical feces, lethargy, dehydration, and fever. If you see any of these signs, call your veterinarian and the CDFA immediately.

Where can I find more information about HPAI in livestock? 

Dairy producers may get the most up-to-date information on HPAI in cattle by visiting the CDFA’s official website, especially the highly pathogenic avian influenza (HPAI) section. This website contains detailed information on monitoring, epidemic response, and preventative measures.

Resource Round-Up: USDA and CDPH Support for Dairy Farmers Navigating HPAI Challenges 

Dairy producers, critical resources, and assistance can assist you during this difficult time. The USDA offers several initiatives to help distressed dairy farms.  These include: 

  • Dairy Herd Status Program: This project offers critical information regarding your herd’s health status and guarantees that diseased animals are treated correctly.
  • Financial Assistance: The USDA provides financial assistance for heat treatment and disposal of milk, veterinary charges, personal protective equipment (PPE), milk loss offset, biosecurity planning and execution, and shipping cost offset for H5N1 testing.

Effective HPAI management requires tight biosecurity precautions and suitable PPE. The California Department of Public Health (CDPH) has been crucial in supplying protective equipment. Earlier this summer, the CDPH funded a one-time personal protective equipment (PPE) delivery to dairy farm workers. They continue to support farmers with verified cases by providing further PPE distribution while supplies persist. Affected farmers could also use USDA programs to help personnel purchase PPE.

For more comprehensive guidance, you can consult the following resources: 

Stay informed and leverage these resources to protect your herd and your livelihood.

The Bottom Line

Discovering highly pathogenic avian influenza (HPAI) in three Central Valley dairy cows has resulted in swift quarantine measures and cooperation efforts between local and national health authorities. Dairy workers are protected by essential safety measures, such as using personal protective equipment (PPE) and periodic health monitoring. Public health experts have guaranteed that the milk and dairy supply is safe since pasteurization efficiently inactivates the virus.

Dairy producers are asked to be attentive, keep updated on the latest developments, and regularly follow biosecurity rules to protect their cattle and personnel. Farmers may stay ahead of developing hazards by communicating regularly with veterinarians and health authorities.

Learn more:

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Bird Flu Undercounted in US Dairy Cattle: Farmers Avoid Testing Due to Economic Fears

Tuesday, August 20th, 2024

Why are US dairy farmers skipping bird flu tests? Learn how economic worries might be hiding the true number of cases. Curious? Read more now.

Summary: What’s really happening on America’s dairy farms? A startling undercurrent lurks beneath official bird flu numbers. Dairy farmers across the U.S. are avoiding tests, driven by fear of economic setbacks and skepticism about the real threat of the virus. Since March, the USDA has identified bird flu in 190 dairy herds across 13 states, but experts believe this is just the tip of the iceberg. Joe Armstrong, a veterinarian from the University of Minnesota, estimates the true number of affected farms could be three to five times higher due to widespread underreporting. With cases in states like Colorado, Michigan, and Minnesota likely being significantly undercounted, the lack of comprehensive testing poses a severe risk to both the dairy industry and public health. Terry Dye, a farmer from Colorado, confessed, “Sometimes it’s more convenient to not know.” The reluctance to test isn’t just about ignorance or distrust; it’s about survival. Farmers fear a positive result could mean devastating economic consequences, including quarantine measures that restrict their ability to sell milk or cattle. The FDA has found inactive bird flu virus particles in 17% of U.S. dairy products, though pasteurization ensures these products remain safe for consumption. As the USDA prepares to expand bird flu testing, the question remains: will farmers participate, or will economic fears continue to cloud the true scope of this outbreak?

  • Dairy farmers across the U.S. are avoiding bird flu tests due to economic fears and skepticism about the virus.
  • The USDA has identified bird flu in 190 dairy herds in 13 states since March, but experts believe that number is significantly underreported.
  • Joe Armstrong from the University of Minnesota estimates the actual number of affected farms could be three to five times higher.
  • Inactive bird flu virus particles have been found in 17% of U.S. dairy products, though pasteurization ensures safety for consumption.
  • Farmers fear a positive test result could lead to severe economic setbacks, including quarantine measures and restrictions on selling milk or cattle.
  • The USDA is planning to expand bird flu testing among dairy cattle, but it’s uncertain if farmers will comply due to economic concerns.
  • Comprehensive testing is essential to accurately understand the outbreak and implement effective control measures to protect public health.
avian flu, dairy cattle, underreported, economic concerns, decreased monitoring, farms, affected, infected, testing, United States, capacity, potential human spread, fear, mistrust, misconceptions, economic hardship, positive test, early diagnosis, milk sales restrictions, cow sales restrictions, farmers, testing techniques, incentives, distrust, government incentives, financial assistance, losses, perception of risk, avian flu pandemic, severity, figures, limited testing, farmer reticence, control the spread, public safety, bird flu testing, change approach, dairy cattle, states, Colorado, mandatory raw-milk testing, identify outbreaks, contain effectively

Have you ever wondered why avian flu in dairy cattle isn’t making as much news anymore? The truth may startle you. Farmers around the United States are skipping testing owing to economic concerns, resulting in a significant undercount of cases. While we have 190 official positive herds, there are many, many, many more farms that are impacted or infected that are just not testing. The results of testing restricted government incentives, and decreased monitoring undermined the United States’ capacity to react to possible human spread.

StateReported HerdsUndercounted EstimateComments
Minnesota927-45Likely 3-5 times higher than reported
Michigan2736+Undercount by at least a third
Colorado63UnknownState officials implemented weekly testing
Wisconsin0UnknownDairy farmers unlikely to test
Oklahoma1UnknownDelayed testing confirmed the outbreak

Fear, Mistrust, and Misconceptions: The Real Reasons Behind Farmers Shunning Bird Flu Testing

Why would farmers risk the health of their herds and the public by not testing for bird flu? The answer could be more straightforward. 

  • Economic Hardship: For many farmers, the financial consequences of a positive avian flu test exceed the advantages of early diagnosis. When an epidemic is verified, milk and cow sales restrictions might last many weeks, if not longer. This stop in sales may result in a heavy financial load, making it impossible for farmers to continue operations. Many farmers are hesitant to test their herds due to the possibility of economic hardship.
  • Distrust in Government Incentives: Farmers distrust the government’s compensation plans. Many believe the incentives and financial assistance do not fully compensate for the significant losses sustained due to testing and possibly positive findings. Farmers are skeptical of government help and hesitate to employ testing techniques even with incentives.
  • Perception of Risk: Another significant component is how people perceive the infection. Some farmers do not believe the avian flu poses a substantial danger to their dairy cows. This attitude is based on disinformation, the absence of observable signs in their cattle, and a historical emphasis on bird populations as the major worry. As a result of this view, many people avoid testing because they believe the dangers are minor or nonexistent.

Industry Experts Warn: The True Extent of the Bird Flu Outbreak in Dairy Cattle Might Be Alarmingly Underreported 

Industry experts have expressed grave worries about the understated severity of the avian flu pandemic in dairy animals. These experts encourage a deeper look at the figures concealed behind limited testing and farmer reticence.

Joe Armstrong, a veterinarian and cattle specialist at the University of Minnesota, provides a sharp viewpoint.

‘While we have nine certified positives, there are many, many more farms harmed or infected that are not being tested.’ Armstrong’s findings show that the number of infections may be substantially more significant than reported, maybe three to five times the statistics in Minnesota alone.

Phil Durst from Michigan State University has similar ideas. He believes that Michigan’s statistics are likely an underestimate.

‘Michigan’s 27 positive herds are likely an undercount of at least one-third.’ This troubling disparity demonstrates a more significant trend of underreporting and the need for more stringent testing standards.

Jenna Guthmiller, an associate professor of immunology at the University of Colorado, concurs, citing significant gaps in the reported instances.

‘Colorado’s 63 positive herds are also likely an underestimate.’ Guthmiller’s findings emphasize the urgent need for more monitoring and openness.

These expert viewpoints provide light on the vital issue of avian flu underreporting in the dairy business, implying a far more significant problem than current data indicate.

Farmer Reluctance: Delaying the Inevitable

A Colorado farmer, Terry Dye, encountered the unpleasant reality of avian flu when his two dairies were afflicted this summer. His first efforts to handle the matter privately to prevent governmental action were unsuccessful. “Sometimes it’s more convenient not to know,” Dye confessed. Eventually, state agricultural inspectors discovered the diseases and confined his animals, implementing the steps he intended to avoid.

In Kansas, Jason Schmidt expressed a perspective that many in the sector shared. “There’s plenty of dairy farms that I’ve heard about that just don’t believe it,” he told me. This skepticism about the virus and its consequences adds to a reluctance to do testing, prolonging the cycle of underreporting.

Meanwhile, veterinarian Mark Hardesty summed up a typical attitude among dairy farmers in Ohio with a harsh saying. “The long-standing proverb is that the remedy for fever is not to take a temperature. So, if we don’t test, we aren’t positive,” he said. This approach reflects a larger aversion to proactive testing and the difficulties in determining the exact scope of the epidemic.

The Long-Term Economic Impacts of Ignoring Comprehensive Testing

Ignoring the requirement for extensive testing may save some short-term expenditures, but have you considered the long-term economic consequences? Failure to detect and manage avian flu early on may result in bigger, more destructive epidemics. These outbreaks may shut down whole dairy-producing areas, affecting farmers and supply networks.

  • Widespread Quarantines: Imagine mandatory quarantines that prevent the movement of milk and cattle. This scenario isn’t just a nightmare for individual farmers; it has the power to weaken regional economies.
  • Decreased Consumer Confidence: Consumer confidence could plummet if word gets out that bird flu is rampant in the dairy industry. Lower demand leads to lower prices, affecting everyone from farm owners to grocery store suppliers.
  • Market Volatility: Sudden outbreaks can lead to unpredictable market conditions without proper surveillance. Prices can fluctuate wildly, making planning and managing farm operations challenging.
  • Regulatory Consequences: Governments might impose stricter regulations and testing requirements, leading to higher farm operational costs and potentially driving smaller operations out of business.

Consider the broader picture: it’s not just your farm at stake but the entire dairy industry’s stability. Procrastination on proper testing could turn manageable issues into industry-wide crises.

Revolutionizing Bird Flu Surveillance in Dairy Cattle: The Path Forward 

There’s a clear need to change how we approach bird flu testing in dairy cattle. To better control the spread and ensure public safety, the following measures should be considered: 

  • Mandate Raw-Milk Testing: More states must follow Colorado’s lead and implement mandatory raw-milk testing. This would help identify outbreaks sooner and contain them more effectively.
  • Increase Compensation: Higher compensation for farmers is crucial. It can offset the economic hardships they fear when testing positive, making them more likely to participate in testing programs.
  • Improve Education: Better education efforts are needed to address farmers’ distrust and misinformation. Clear, factual information about the risks of bird flu to cattle and humans can help build trust and cooperation.

Learning from Global Leaders: How Other Countries Effectively Manage Bird Flu in Dairy Cattle 

The U.S. is not alone in grappling with the challenges of monitoring and controlling bird flu in dairy cattle. Other countries have faced similar outbreaks and have adopted different strategies to manage the situation more effectively. 

  • European Union: The EU has strict regulations for monitoring and controlling bird flu among livestock. These include mandatory regular testing and rigorous biosecurity measures. The EU compensates farmers adequately to encourage timely reporting and transparency. These measures have helped EU countries maintain tighter control over the spread of the virus.
  • Japan: Japan experienced significant bird flu outbreaks and responded by implementing comprehensive monitoring systems, including mandatory testing and culling infected animals. The Japanese government works closely with local farmers to provide financial support and education on best biosecurity practices, fostering a culture of cooperation and compliance.
  • Australia: Australia proactively approaches managing livestock diseases, including bird flu. They leverage advanced technology for real-time surveillance and state-wide reporting systems to track outbreaks quickly. Farmers receive substantial compensation for economic losses, encouraging them to report and test without fearing financial ruin.

These international examples illustrate how coordinated efforts between governments and farmers, strong financial incentives, and robust surveillance systems can lead to more effective management of bird flu outbreaks. The U.S. could benefit from adopting similar strategies to enhance bird flu surveillance and control measures.

FAQs: Common Concerns and Misconceptions about Bird Flu in Dairy Cattle 

  1. Can bird flu jump from birds to dairy cattle? 
    Yes, it can. Since March, the U.S. Department of Agriculture has confirmed the presence of bird flu in about 190 dairy herds across 13 states. The virus is usually transmitted through contact with infected birds or contaminated environments.
  2. Is bird flu in dairy cattle a severe health concern for humans? 
    Limited evidence suggests that bird flu in dairy cattle poses a severe health risk to humans. However, its potential to adapt and spread among humans heightens concerns. As of this year, 13 cases of workers infected with bird flu have been reported. 
  3. Why are farmers reluctant to test their herds for bird flu? 
    Farmers often avoid testing due to the economic consequences of a positive result, such as restrictions on selling milk or cattle. Some also doubt the virus’s severity or find that government incentives do not sufficiently offset their expected losses.
  4. Does pasteurization kill the bird flu virus in milk? 
    Yes, pasteurization effectively kills the bird flu virus in milk. The FDA has confirmed that milk and other pasteurized dairy products remain safe to consume despite inactive viral particles in some products.
  5. How can farmers protect their dairy herds from bird flu?
    1. Implementing robust biosecurity measures, such as limiting contact between cattle and wild birds.
    2. Regularly testing raw milk supplies to detect the virus early.
    3. Working closely with veterinarians to observe and quickly address any signs of illness in the herd.
    4. Participating in government-supported testing and compensation programs.
  6. What should be done if a dairy herd tests positive for bird flu? 
    Farmers should notify state agriculture officials immediately to manage the outbreak effectively. Infected herds typically need to be quarantined, and affected farmers may qualify for compensation for veterinary care and lost milk production. 

The Bottom Line

The underreporting of avian flu in dairy cattle is a time bomb. Farmers’ reluctance to test, motivated by economic concerns and mistrust, might have far-reaching implications. It is time for the sector to take proactive steps to protect our food supply and our communities’ well-being. How will you defend your herd and your livelihood?

Learn more: 

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EU Dairy Sector Faces Production Declines Amid Policy Changes and Trade Developments

Monday, July 22nd, 2024

Learn why EU dairy production is expected to drop due to policy changes and new trade agreements. Will cheese production continue to grow while other dairy products decline?

Milk output is predicted to decrease from 149.3 million metric tonnes in 2023 to 148.9 MMT this year. Dairy professionals must understand these changes and their ramifications. This minor decrease is more than simply a figure; it represents more profound industry shifts impacted by rules on cow numbers and milk production efficiency. These developments are not isolated; they are part of a more significant revolution fueled by legislative shifts, economic constraints, and environmental obligations. The Common Agricultural Policy (CAP) and EU Green Deal programs influence farm economics and production decisions.

Meanwhile, regulations such as the Autonomous Trade Regulation, enacted in reaction to geopolitical crises, can affect feed pricing and supply. Understanding these factors is essential for grasping opportunities in the face of change. Join us as we discuss these critical problems facing the dairy business.

ProductProduction in 2023 (mmt)Production in 2024 (mmt)% Change
Milk149.3148.9-0.3%
Cheese10.5610.62+0.6%
Butter2.352.30-2.1%
Non-Fat Dry Milk (NFDM)1.721.62-5.8%
Whole Milk Powder (WMP)1.281.23-3.9%

The Intricate Weave of Policies Shaping the EU Dairy Sector 

The complex web of rules in the European Union is transforming the dairy industry. The Common Agricultural Policy (CAP) and the EU Green Deal are at the forefront of this transition. Revisions to the CAP, spurred by farmer protests in early 2024, are changing output incentives and operational standards. While these modifications improve sustainability, they also constrain dairy producers’ ability to keep or grow cow numbers. Parallel to the CAP, the EU Green Deal aims to reduce greenhouse gas emissions directly affecting cattle production. The Green Deal’s provisions for reducing animal numbers to decrease methane emissions have resulted in smaller dairy herds. According to an impartial analysis, these climatic objectives would reduce cattle productivity by 10-15%. 2024 EU milk output is predicted to fall from 149.3 million metric tons by 2023 to 148.9 million. This emphasizes the difficulty of reconciling sustainability with the economic realities of dairy production. As the industry navigates these constraints, regulatory compliance and production sustainability will determine the future of EU dairy. This interaction between policy and production necessitates reconsidering how agricultural and environmental objectives might promote ecological and economic sustainability.

USDA GAIN Report Signals Minor Dip in EU Milk Production Amid Policy-Induced Shifts

According to the USDA GAIN research, EU milk production is expected to fall slightly, from 149.3 million metric tonnes in 2023 to 148.9 million metric tonnes in 2024, owing to regulations impacting cow numbers and milk yield. The research also anticipates a 0.3% decrease in industry usage consumption. While cheese output is forecast to increase by 0.6% to 10.62 million metric tons, other essential dairy products will likely fall. Butter is expected to decline by 2.1%, nonfat dry milk by 5.8%, and whole milk powder by 3.9%, underscoring the industry’s more significant issues and adjustments.

Cheese Production: The Cornerstone of the EU Dairy Processing Industry 

The EU dairy processing business relies heavily on cheese production to meet high consumer demand in Europe and beyond. Cheese, deeply rooted in European culinary traditions, is a household staple in various foods. Its extended shelf life compared to fresh dairy products offers logistical advantages for both local and international commerce. Cheese’s versatility, ranging from high-value aged sorts to mass-market variants, enables manufacturers to access a broader market segment, enhancing profitability.

Cheese manufacturing is consistent with the EU’s aims of sustainability and quality. The procedure allows for more effective milk consumption, and byproducts such as whey may be utilized in other industries, minimizing waste. Cheese manufacturing supports many SMEs throughout the EU, boosting rural employment and community development.

EU-27 cheese output is expected to reach 10.62 million metric tonnes (MMT) in 2024, up 0.6% from 2023. This rise not only indicates strong market demand but also underscores the importance of cheese in the EU dairy sector’s strategy. The predicted growth in cheese exports and domestic consumption provides confidence in the industry’s direction and its ability to meet market demands.

Declining Butter, NFDM, and WMP Production Amid Strategic Shifts 

Butter, nonfat dry milk (NFDM), and whole milk powder (WMP) output are expected to fall by 2.1%, 5.8%, and 3.9%, respectively, reflecting more significant developments in the EU dairy industry. These decreases indicate a purposeful shift toward cheese manufacturing, prompted by market needs and legislative constraints. Reduced butter output may impact local markets and exports, possibly raising prices. Similarly, reducing NFDM and WMP output may affect sectors like baking and confectionery, requiring supply chain modifications and altering global trade balances. These modifications may also reflect the EU Green Deal and amended Common Agricultural Policy (CAP) ideas. Prioritizing cheese production, which generates greater economic returns and corresponds to current consumer trends, is a practical technique. However, this move may jeopardize dairy industry sustainability initiatives, emphasizing the need for continual innovation. The reduction in production in these dairy divisions influences global economic dynamics, trade ties, and market competitiveness. Adapting to these developments necessitates balancing quality standards, environmental compliance, and shifting customer choices that prioritize animal care and sustainability.

A Promising Trajectory for Cheese Exports and Domestic Consumption 

Forecasts for the rest of 2024 indicate a robust trend for EU cheese exports and domestic consumption. This expansion is driven by strategic export efforts and shifting consumer tastes, with cheese remaining fundamental to the EU’s dairy industry. Domestically, cheese is becoming a household staple, reflecting more excellent animal welfare standards and sustainable techniques. On the export front, free trade agreements and market liberalization, particularly after Brexit, create new opportunities for EU dairy goods. Cheese output is expected to exceed 10.62 million metric tons, demonstrating the sector’s flexibility and relevance in supplying local and international demand. As cheese exports increase, the EU may improve its market position by employing quality assurance and international certifications. Increased demand is anticipated to encourage more innovation and efficiency in the business, keeping the EU dairy market competitive globally.

Striking a Balance: Navigating Strains and Sustainability in EU Dairy Policies 

Stringent rules under the Common Agricultural Policy (CAP) and the EU Green Deal provide considerable hurdles to the EU dairy industry. Due to these rules, dairy producers suffer financial constraints, which require expensive investments in sustainable techniques without corresponding financial assistance. The Green Deal’s decrease in greenhouse gas emissions necessitates costly modifications to agricultural operations, such as improved manure management systems, methane-reducing feed additives, and renewable energy investments. These financial pressures are exacerbated by market uncertainty, making farmers’ livelihoods more vulnerable.

Farmers claim that the CAP’s emphasis on lowering animal numbers to fulfill environmental standards jeopardizes the profitability of dairy farming, especially for small, family-run farms that need more resources to make required improvements. The emotional toll on these families, many of whom have been in business for decades, complicates the situation. Furthermore, there is a notion that these policies ignore regional agricultural traditions and the diverse effects of environmental rules between EU member states.

In reaction to major farmer protests in March 2024, the EU Commission has proposed CAP reforms that aim to strike a balance between environmental aims and economic viability. These include excellent financial help for sustainable activities, such as grants and low-interest loans for environmentally friendly technologies, and flexible objectives considering regional variances. The reformed CAP also aims to increase farmer involvement in policymaking, ensuring that future policies are anchored in reality. By addressing these challenges, the EU hopes to build a dairy industry that is robust, sustainable, and economically viable.

The EU Green Deal: A Pivotal Force Driving Environmental Transformation in the Dairy Sector 

The EU Green Deal seeks to align the European Union with ambitious climate targets, emphasizing changing the agriculture sector, particularly dairy. This effort focuses on lowering carbon footprints via severe laws and incentive schemes. According to external research, meeting these criteria might result in a 10-15% drop in livestock numbers. The larger context of sustainable agriculture needs a balance between economic vitality and environmental purity. The EU Green Deal requires the dairy industry to embrace more organic and pasture-based systems, shifting away from intensive feeding techniques. This change has implications for farms and supply networks, altering feed pricing and logistics. The EU’s commitment to mitigating climate change via the Green Deal presents difficulties and possibilities for the dairy sector, encouraging new practices and changing established production models.

The Double-Edged Sword of EU Free Trade Agreements: Navigating Dairy Market Dynamics

The EU’s free trade agreements are critical to the survival of the dairy industry, bringing both possibilities and problems. These agreements seek to increase the worldwide competitiveness of EU dairy products by creating new markets and lowering tariffs. However, they also need a delicate balance to safeguard indigenous companies from international competition, often resulting in strategic industry reforms.

These trade agreements prioritize quality assurance and respect for international standards. Upholding tight quality standards and acquiring worldwide certifications help EU dairy products retain a robust global image, allowing for easier market access. Furthermore, the EU’s dedication to environmental and sustainability requirements demonstrates its dual emphasis on economic development and environmental stewardship.

The Autonomous Trade Measures Regulation (ATM), implemented in reaction to geopolitical concerns such as Russia’s invasion of Ukraine, influences the dairy industry by influencing feed pricing and availability. This, in turn, affects EU dairy producers’ production costs and tactics. As trade agreements change, the EU dairy industry must remain agile and resilient, using logistical knowledge and environmental stewardship to manage obstacles and capitalize on global possibilities.

The Ripple Effect of ATM: Strategic Imperatives for EU Dairy in a Tenuous Global Landscape

The Autonomous Trade Measures Regulation (ATM), adopted in June 2022, was a direct reaction to Russia’s invasion of Ukraine. This program temporarily attempted to liberalize trade for a restricted group of Ukrainian goods. This strategy has significant repercussions for the EU dairy business, notably regarding feed pricing and availability. The entry of Ukrainian agricultural goods has the potential to stabilize or lower feed prices, easing the burden on EU dairy producers facing growing production costs and severe environmental rules like the EU Green Deal.

The cheaper feed may assist in alleviating economic constraints and encourage farmers to maintain or slightly improve the milk supply. However, this optimistic forecast is tempered by persisting geopolitical uncertainty that jeopardizes continuous trade flows from Ukraine. The end of the war and establishing stable trade channels are critical to retaining these advantages. Any interruption might cause feed costs to rise, exposing the EU dairy industry to external shocks.

While ATM regulation provides immediate benefits, its long-term effectiveness mainly depends on geopolitical events. EU policymakers and industry stakeholders must remain watchful and adaptive, ensuring that contingency measures are in place to safeguard the dairy sector from future risks while balancing economic and environmental objectives.

The Bottom Line

The changing environment of the EU dairy business demands strategic adaptation among laws, trade agreements, and sustainability programs. Looking forward, dairy farmers must strike a balance between economic and environmental aims. Policies such as the Common Agricultural Policy and the EU Green Deal cause a modest decrease in milk output. Cheese production continues to be strong, with predicted growth in both output and consumption. Butter, nonfat dry milk, and whole milk powder output are expected to fall, indicating strategic industry movements. Adjustments like the Autonomous Trade Measures Regulation underscore the need for strategic planning. The EU’s approach to free trade agreements must strike a balance between market competitiveness and environmental integrity. Technological advancements, strategic relationships, and sustainable practices can help the industry succeed. Dairy producers must stay adaptable, knowledgeable, and dedicated to sustainability. Strategic planning and effort will allow the sector to thrive in this disruptive period.

Key Takeaways:

  • Milk Production Decline: EU milk production is forecasted to decrease from 149.3 million metric tonnes in 2023 to 148.9 mmt in 2024.
  • Policy Impacts: The reduction is influenced by policies affecting cow numbers and overall milk production.
  • USDA GAIN Report Insights: A 0.3% decrease in factory use consumption is anticipated in 2024.
  • Cheese Production Growth: EU-27 cheese production is expected to reach 10.62 mmt in 2024, a 0.6% increase from 2023.
  • Declining Production of Other Dairy Products: Butter, non-fat dry milk (NFDM), and whole milk powder (WMP) production are anticipated to decrease by 2.1%, 5.8%, and 3.9% respectively.
  • Rising Cheese Demand: Both cheese exports and domestic consumption are forecasted to rise in 2024.
  • Policy Challenges: The Common Agricultural Policy (CAP) and the EU Green Deal initiatives are influencing farmers’ production decisions.
  • Trade Dynamics: The EU is engaging in multiple free trade agreements, including concessions on dairy, while the Autonomous Trade Measures Regulation (ATM) could impact feed prices and availability.

Summary:

Milk output is expected to decrease from 149.3 million metric tonnes in 2023 to 148.9 MMT this year due to industry shifts influenced by cow numbers and milk production efficiency rules. These developments are part of a larger revolution driven by legislative shifts, economic constraints, and environmental obligations. The Common Agricultural Policy (CAP) and the EU Green Deal programs influence farm economics and production decisions, with Regulations like the Autonomous Trade Regulation affecting feed pricing and supply. The EU dairy industry faces significant challenges due to strict rules under the CAP and the EU Green Deal, which require expensive investments in sustainable techniques without financial assistance. Farmers argue that these policies ignore regional agricultural traditions and the diverse effects of environmental rules between EU member states. The EU Commission proposed CAP reforms in March 2024 to strike a balance between environmental aims and economic viability.

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