Kozak non-committal on another herd retirement

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Dairy producers attending the Western United Dairymen Convention in Modesto, Calif., last week asked Jerry Kozak, chief executive officer for the National Milk Producers Federation (NMPF), when the next herd-retirement program would be announced.

Kozak said that NMPF can’t indicate if they are considering a specific time period to announce a herd-retirement program. However, he did mention that it is something they look at every month.

The business plan was to remove 240,000 cows in a two-year period. Currently they are paying back the line of credit that was taken out to perform the three herd-retirement programs in 2009. The herd-retirement of late 2008, plus the three herd-retirements in 2009 removed more than 250,000 cows from the nation’s dairy herd.

Kozak indicated that the line of credit should be paid off by the end of the month and they will start accumulating funds again. “If we do not spend any money between now and the end of the year, we should accumulate $80 million,” he noted.

He also noted that revitalization of the CWT program is part of the new Dairy Producer Income Protection Program that NMPF is working on.


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