In the news affecting a dairy producer's bottom line:
- FARM Program opens comment period for version 2028
- Rabobank: Global dairy trade maintains 2% growth
- High input cost concerns weigh on farmer sentiment
- GDT index takes largest drop of 2026
- July FSA interest rates up again
- USDA launches new online scheduling tool
- Apply for a $1,000 National DHIA scholarship
- Land O’Lakes Inc. announces investment to expand dairy protein production in California
FARM Program opens comment period for version 2028
The FARM Program began its open comment period for both the Animal Care and Workforce Development programs’ proposed version 2028 updates to compile and incorporate farmer and industry feedback.
“Farmer involvement is critical to ensuring program standards are practical and achievable,” said James “Cricket” Jacquier, an Agri-Mark member-farmer and chairman of the FARM Animal Care Task Force. “Farmers who participate in the open comment period can provide feedback on practices and protocols that help promote U.S. dairy industry efforts in demonstrating our commitment to high-quality dairy products.”
All dairy industry stakeholders are invited to provide comments, feedback and concerns related to the proposed revisions by Oct. 2. Click here to view the proposed standard updates and complete the survey.
Key animal care directives include review of the evaluation process for injured tails and fitness to transport guidelines. The groups also reviewed calf nutrition, animal observations, documentation requirements and continuing education standards.
Proposed changes to the Workforce Development Program evaluation tool include wording adjustments to improve clarity and farm-level relevance of questions; restructuring certain questions and their response options to be less prescriptive (e.g., on timing of safety self-inspections); and exploratory additions to the evaluation to cover new topic areas.
The respective groups will review the survey feedback and submit proposed recommendations.
The National Milk Producers Federation board of directors will provide final approval on any and all recommendations. Once approved, FARM version 2028 will take effect Jan. 1, 2028.
Rabobank: Global dairy trade maintains 2% growth
Global dairy trade continues to grow at a steady pace of around 2% per year, but the underlying dynamics are shifting, according to a new report and the world dairy map from RaboResearch.
Europe remains the leading exporter but is gradually losing share to the Americas.
“Global dairy trade continues to expand at a resilient pace, but the balance of power is shifting,” says Tom Booijink, senior dairy specialist at RaboResearch. “We are seeing a gradual redistribution of export share away from Europe toward more competitive and less constrained producers in the Americas.”
Weakening Chinese demand is redirecting trade flows toward other emerging markets. Imports have declined significantly from their 2021 peak, driven by increasing domestic production and softer demand in key product categories.
“Exporters are increasingly looking to alternative growth markets, including Southeast Asia, the Middle East and Brazil,” Booijink adds.
At the same time, cheese is powering growth across product categories, and the U.S. and Argentina are increasingly positioned to drive future supply. Global cheese trade has increased by roughly 40% since 2017, supported by consistent demand as well as strategic investment in processing capacity.
Whey is gaining importance – not in volume, but in value. Rising demand for protein, driven by sports nutrition, health trends and the growing use of weight loss medications, is pushing up prices and increasing its strategic relevance for the industry.
“The future of dairy trade growth increasingly depends on who can deliver additional milk,” Booijink says. “At this stage, the U.S. and Argentina stand out as the most capable and competitive regions to meet rising global demand.”
Strong investment in processing capacity – particularly in cheese – combined with favorable production conditions is reinforcing the role of these countries in shaping future trade flows.
High input cost concerns weigh on farmer sentiment
Farmer sentiment decreased again from May to June, as input costs remain a top concern, according to the latest Purdue University/CME Group Ag Economy Barometer.
“High input costs were identified as the most important factor limiting improvements in financial performance,” said Michael Langemeier, the barometer’s principal investigator and director of Purdue University’s Center for Commercial Agriculture.
The percentage of producers who expected good times over the next five years was 32% in June, which is 17 percentage points lower than in the June 2025 survey results. There continued to be a large disparity in expectations between crop and livestock producers. Approximately 25% of respondents expected good times for crop producers, while 68% expected good times for livestock producers.
The Ag Economy Barometer provides a monthly snapshot of farmer sentiment regarding the state of the agricultural economy. The survey collects responses from 400 producers whose annual market value of production is equal to or exceeds $500,000. Minimum targets by enterprise are as follows: 53% corn/soybeans, 14% wheat, 3% cotton, 19% beef cattle, 5% dairy and 6% hogs. Latest survey results, released July 7, reflect ag producer outlooks as of June 15-19.
GDT index takes largest drop of 2026
The price index of dairy product prices sold on the Global Dairy Trade (GDT) platform is down 4.9% in the auction held July 7. This is the third consecutive negative trading event and the largest decrease in 2026.
Compared to the previous auction, prices for individual product categories were mostly lower. Cheddar cheese was down 12.3%, followed by skim milk powder, down 7%. Butter and whole milk powder were down by 5% and 4.4%, respectively, while anhydrous milkfat and lactose were down just under 4%. Buttermilk powder increased 8.2%, and mozzarella was up 3.8%.
The GDT platform offers dairy products from several global companies: Fonterra (New Zealand), Darigold, Valley Milk and Dairy America (U.S.), Inalpi (Italy), Arla (Denmark), Arla Foods Ingredients (Denmark), BMI (Germany), Kerry Dairy (Ireland) and Solarec (Belgium).
The next GDT auction is July 21.
July FSA interest rates up again
The announced interest rates on loans through the USDA’s Farm Service Agency (FSA) continue to tick upward from the previous month. As we begin July 2026, interest rates for operating and ownership loans (compared to June) are as follows:
- Farm operating loans (direct): 5.125%, up from 5%
- Farm ownership loans (direct): 6%, up from 5.875%
- Farm ownership loans (direct, joint financing): 4%, up from 3.875%
- Farm ownership loans (down payment): 2%, up from 1.875%
- Emergency loan (amount of actual loss): 3.75%, unchanged
The FSA also offers guaranteed loans through commercial lenders at rates set by those lenders. For more information, producers can contact their local USDA Service Center.
USDA launches new online scheduling tool
The USDA is offering a new option to schedule appointments online with the local FSA office. Following a successful pilot program, the FSA is now using a digital appointment platform across the agency to allow producers to make farm program or farm loan appointments online at their convenience.
Producers can schedule appointments through FSA’s digital platform, Microsoft Bookings, using a mobile device, tablet, laptop or desktop computer. To assist producers in finding their local FSA office to make an appointment, the FSA has also launched a new FSA county office locator that is searchable by state and by county. Each county office contact page has a unique link for producers to make an appointment online and shows contact information for the local FSA office and the farm loan team. Appointments may be in-person or virtual with the local FSA office depending on producer preference.
Producers still have the option to call or visit their local FSA office in person to make an appointment.
Apply for a $1,000 National DHIA scholarship
The National Dairy Herd Information Association (DHIA) is now accepting applications for its 2027 scholarship program. These scholarships, valued at $1,000 each, go to high school seniors and college undergraduate students.
Applicants must be full time, incoming or continuing students at a technical college or a two-year or four-year college/university. To be eligible for a National DHIA scholarship, the applicant must be a family member or employee of a herd on DHI test, family member of a DHI employee, or employee of a DHI affiliate. The DHI affiliate for the herd or affiliate employee must be a member of National DHIA.
Members of National DHIA include AgSource Dairy, Arizona DHIA, Capstone Dairy Data Services, Central Counties DHIA, CentralStar Cooperative Inc.-DHI Services, Dairy One Cooperative Inc., DHI Cooperative Inc., Eastern Wisconsin Dairy Herd Improvement Cooperative, Idaho DHIA, Indiana State Dairy Association, Lancaster DHIA, Minnesota DHIA, Rocky Mountain DHIA and United Federation of DHIAs.
The scholarship selection committee will evaluate applicants based on scholastic achievements, leadership, community activities, work experience, knowledge of and experience with DHIA, and responses to questions on the application.
Applications are due Oct. 31. Recipients will be announced at the 2027 National DHIA Annual Meeting and Leadership Session.
Land O’Lakes Inc. announces investment to expand dairy protein production in California
Land O’Lakes Inc. announced a strategic investment in its Tulare, California, dairy-processing facility to expand capabilities into high-value dairy protein production, positioning the cooperative to meet rapidly growing global demand for protein-rich nutrition, while also creating new opportunities for its farmer-owners.
The investment will enable production of ultrafiltered milk; unlocking greater value from member milk, providing growth opportunities for farmer-owners and strengthening Land O’Lakes’ ability to compete in a changing food landscape increasingly centered on protein.
As a farmer-owned cooperative, Land O’Lakes is focused on maximizing value for its member-owners. This investment creates new demand for member milk and the opportunity to maximize member returns by adding production for higher-value protein applications that support expanded market access and long-term cooperative growth. The investment also recognizes the strength of the Tulare-area dairy community, including about 100 dedicated, innovative farmer-owners and farm families whose operations help make the region one of the most important dairy-producing areas in the country.
