The leader of the state's dairy checkoff program is not only touting Wisconsin's recent success in exporting a record amount of products abroad, but he also sees a future with no limits as to how much more it can grow. During Wednesday's episode of the Dairy Signal, Dairy Farmers of Wisconsin CEO Chad Vincent said building customer demand overseas starts with establishing relationships.
"The question is often asked 'when is the best time to plant a tree? The answer is 10 years ago. So when is the second best time? It's now,'" Vincent said on the online program, which is sponsored by the Professional Dairy Producers of Wisconsin. "There has been an effort to make these 'plants' in different parts of the world to sell our dairy products and it's starting to bare fruit."
He adds that one of the contributing factors for the recent surge in international sales is the need for protein by people in other countries who may not have been able to afford these types of foods in the past.
"People should understand that global demand for dairy has increased 3.1 percent, with domestic demand [here in the U.S.] also going up one percent. Remember, 95 percent of the world's population lives outside the United States. The people around the global want to increase the amount of dairy goods they consume to meet their protein needs. They understand the importance of it and it's important for us to supply that demand."
Wisconsin Agriculture Secretary Randy Romanski was also a guest on the program. He reported that the state saw a record level of agricultural exports during the past year, and said 2022 is already surpassing those trends.
"We're America's Dairyland and we're darn proud of it," Romanski said. "Our dairy industry is global here in Wisconsin. Last year, we shipped an all time high of nearly $4 billion worth of agricultural products. During the first two quarters of this year, those exports are already up by 14 percent over 2021, and dairy product exports are 37 percent above the same time a year ago."
Romanski and Vincent both agreed that a successful strategy for Wisconsin going forward is to continue establishing new markets, while maintaining the level of service to those already in place.
"China is a big partner of ours. But it's always a queasy moment when things start going rocky with China," Vincent cited as an example. "That's why we are also planting flags in places like North Africa, Europe, Latin America, and other nations around the globe so when one country goes down, we're not finding ourselves in an 'oh my gosh, now what's going to happen?' moment."
When asked what the potential is for the future of Wisconsin's dairy exports, Vincent said "sky is the limit"--especially when traditional dairy competitors such as New Zealand and the European Union are having difficulties (both environmentally and politically through increased regulations) growing their dairy industries.
He concluded by saying Wisconsin has another advantage in that the state is the top manufacturer of specialty cheeses.
"That means overseas customers cannot necessary shop for the best price, as these products are not common commodities that can be purchased anywhere."
The Dairy Farmers of Wisconsin and Department of Agriculture have worked together in various capacities to host international buyers, as well as sponsoring trips abroad to meet with potential customers in an effort to build the Wisconsin brand for quality products.
Categories: Wisconsin, Livestock, Dairy Cattle