CWT Assists Sales of 108 Tons

10:21AM May 21, 2010
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Cooperatives Working Together (CWT) accepted one bid from Darigold and one bid from Land O'Lakes for export assistance on a total of 108.4 metric tons (239,000 pounds) of Cheddar and Monterey Jack cheese to the Middle East and Asia.  The product will be delivered in June and July 2010.
Since CWT reactivated the Export Assistance program on March 18, 2010, it has assisted members in making export sales of cheddar cheese totaling 15,652 metric tons (34.5 million pounds) to 17 countries on four continents.
The Export Assistance program was reactivated when economic analysis indicated that sizeable cheddar cheese inventories overhanging the market are hampering a recovery in producer milk prices. Assisting CWT members in exporting American-type cheeses provides the most immediate way to positively impact producer milk prices in both the short-term and the long-term.
CWT will pay export bonuses to the bidders only when delivery of the product is verified by the submission of the required documentation.
Cooperatives Working Together (CWT) is being funded by dairy cooperatives and individual dairy farmers, who are contributing 10 cents per hundredweight assessment on their milk production through December 2010. The money raised by CWT's investment is being apportioned between two supply management programs that strengthen and stabilize the national all milk price. For more on CWT's activities, click here.