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CWT Still Short of Membership Goal

May 11, 2011
By: Jim Dickrell, Dairy Today Editor

To date, cooperatives and others representing 67% to 68% of the U.S. milk supply have signed up to participate in a scaled down version of the Cooperatives Working Together (CWT) program, says Jerry Kozak, president and CEO of the National Milk Producers Federation.

CWT officials have the goal of 75% of the nation’s milk signed up for the program to continue. “We’re still waiting for three or four larger volume co-ops to commit,” says Kozak. The NMPF Board meets in June, and will have to decide whether to continue the program if the 75% goal is not reached.
The CWT program is being scaled back to an export-only function, and will no longer buyout complete dairy herds to scale back milk production. The contribution to the program has also been scaled back to 2¢/cwt from 10¢.
Economic analysis of the Export Assistance suggests that for every dollar spent on assisting exports, $15.53 has been returned.  
In 2011, CWT has assisted more than 30 million lb. of Cheddar, Monterey Jack and Gouda cheese to 19 countries on four continents. The 10 rounds of herd retirements took 506,921 cows out of production from 2,802 farms since 2003.

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