By Ed Maltby, NODPA Executive Director
The weather dominates the discussions amongst producers in the Northeast. After a very wet spring, the summer has been extremely dry and very warm. Since the beginning of August, drought developed and intensified in Maine, New Hampshire, Vermont, and New York. National Integrated Drought Information System and National Oceanic and Atmospheric Administration reports confirm what we can all see, that streams are running much below normal and groundwater levels are lowest in coastal areas of Maine and western New York. In typical weather forecasting, they write that: “Over the next three months, above-normal temperatures are favored with equal chances for above-, below-, and near-normal precipitation. Drought conditions are expected to improve or be removed this fall.”
The drought is affecting production especially for Grass-Fed operations with lower production and many feeding conserved hay and haylage during August. Forage harvesting was very mixed this year depending on the soil type and drainage with widely variable quality. No shortage of hay for bedding, though.
What concerns some farmers is how to describe their grazing decisions to their certifier because some are not grazing in August or only once a day or just at night. Producers are varying their grazing decisions based on whether there is enough material in the pasture to keep ahead of their Dry Matter Intake (DMI) needs. Certifiers and inspectors will need to remember that the regulations do not mandate that time on pasture is measured from when the first livestock go out to pasture to when the first animals come off pasture, regardless of which group they are in or stage of lactation and age of animal. The USDA NOP states that “DMI is to be calculated as an average over the entire grazing season for each class and type (stage of production) of animal. The length of the grazing season is determined by climate patterns and weather events for a geographical location and availability of irrigation. The grazing season must be at least 120 days and does not have to be continuous. This provides flexibility to make adjustments when inclement weather, season, and or climate conditions arise which causes breaks in a continuous grazing period, due to poor growing conditions, for example.”
Buyers are actively soliciting new producers. Reports from producers in NY and Ohio are that Origin Milk is holding ‘kitchen table’ meetings to talk to producers about moving their businesses. They are offering $50 plus per cwt but require more certification and A2A2 cows. Origin is still a relatively new comer to the market with a short track record, which is one of the issues being raised at meetings.
Horizon Organic and Wallaby were acquired by Platinum Equity in 2024 because they saw an opportunity in the growth investment area of premium dairy categories. They are now rebranding themselves as Horizon Family Brands. "We are excited to nurture and grow the two terrific brands that we have in Horizon Organic and Wallaby, while also actively pursuing the addition of other better-for-you brands that align with the portfolio we aspire to build," said Tyler Holm, CEO of Horizon Family Brands. "Ideally, in the next three to five years, our portfolio will consist of additional similar brands." Horizon Family Brands states in its press release that: “Horizon Organic will continue to thrive as the largest organic milk and dairy brand in the U.S., and as a leader and innovator in the organic space. Today, Horizon Organic products can be found on the shelves of more than 45,000 stores coast-to-coast.” They use data from ‘Circana OmniMarket Core Outlets, 52 Weeks Ending Feb 25, 2024’ to justify their claim as the largest dairy brand.
From an investment perspective, fluid sales in organic dairy are seen as an area for growth and profit taking. According to market intelligence agency Circana, plant-based dairy apparently has seen better days. Dollar and unit sales in the US softened in 2024 with sales declining 2.8% versus a year ago. In the year to date, plant-based dairy dollar (2.8%) and unit (3.9%) sales were down versus a year ago. According to Circana, milk alternatives deliver the bulk of sales (60%) in the US, followed by cream & creamers (15.2%), yogurt (7.4%) and ice cream (5.0%) making these the top 4 categories in US plant-based dairy.
USDA Reorganization
On July 24, 2025, US Secretary of Agriculture Brooke Rollins released a memo describing the planned reorganization of the US Department of Agriculture (USDA) staff. While the reorganization plan does not directly include planned layoffs or reductions in force (RIF), USDA has already lost at least 18,000 staff since January 2025. If the reorganization moves forward as planned, it will likely result in the loss of experienced staff and institutional knowledge, plus delayed research as facilities relocate. There are many areas of the USDA cutbacks and reorganization that will directly affect farmers and ranchers at the county and state level.
Organic dairies need a well-staffed and proactive National Organic Program. The integrity of the USDA organic seal is what organic dairy farms rely on to maintain their market and farm income. NOP employees are responsible for overseeing the certification process, auditing certifiers, fraud prevention, and ensuring fair competition for organic farms and businesses. Current information is that the total number of NOP employees has dropped from 85 to 57 with 22 working in the DC offices. Further staff losses resulting from this reorganization could severely weaken the USDA's ability to safeguard organic integrity. After swift bipartisan pushback to the proposed reorganization, USDA opened an impromptu and unofficial public comment opportunity. You can submit comments regarding the reorganization to USDA at reorganization@usda.gov by September 31, 2025 or by going to: https://www.nationalorganiccoalition.org/blog/2025/8/13/take-action-comment-on-usdas-reorganization-plans-by-august-26. There is no postal address to send comments to.
Organic Certification Cost Share Program (OCCSP)
The One Big Beautiful Bill (OBBB) did extend the program, allocating $8 million through fiscal year 2031. Congress has provided that authority and USDA FSA is committed to implementing it. USDA has recognized that the federal fiscal year is ending in a month and has committed to make it retroactive for the 2025 fiscal year. BUT don’t expect anything soon. They first need to complete some bureaucratic tasks, for example, close out the 2024 program, publish rule making, and assess whether the available money matches the program need at the current reimbursement rate. OCCSP funds are provided through two separate authorizations: National OCCSP funds and Agricultural Management Assistance (AMA) OCCSP funds. National OCCSP funds are available for producers and handlers in all eligible States and territories and for all scopes. AMA OCCSP funds are only available for producers in 16 States and are limited to payments for the scopes of crops, wild crops, and livestock. All Mid-Atlantic and Northeast states are eligible for AMA OCCSP but there is no news on availability of that program.
Organic Dairy Farmers Fly-in
On July 22, 2025, organic dairy farmers from across the country went to Washington DC to advocate for increased organic data, funding for the NOP, an Organic Dairy Safety Net, an Organic category within the Emergency Assistance for Livestock, Honeybees, and Farm-Raised Fish (ELAP) that can cover financial assistance with higher than normal organic feed or other input costs, a ‘skinny’ Farm Bill and other more regional programs. We were also able to thank Representatives for the 2025 publication of Organic Dairy Data Collection Act and advocate with Senators for the publication of the 2025 Organic Dairy Assistance, Investment, and Reporting Yields Act (O DAIRY) Act. The ODAIRY Act was published two days later!
The many meetings that the group was able to arrange with both Republican and Democratic members and ag committee aides, coincided with the voting on the Epstein inquiry so many representatives were in their offices and available to have a meet and greet, followed by substantive discussion with aides. Different members of the group started arrangements for farm visits in MN, NY and CA. Policy change takes years and the building of many different relationships. By putting a face to a name, hopefully a constituent that trust can endure over many years.
Without a Farm Bill, ‘skinny’ or not, it is difficult to introduce new programs for federal support and we must rely on every opportunity to include these new ideas either through Appropriations (where you can increase funding for a department to expand its work) or through an Omnibus Bill where many different ‘pet’ projects (commonly known as ‘pork’) are included through political leverage and deal making. Having champions for organic in Congress can ensure that every opportunity is available to provide necessary support for organic producers.
It was very good to meet these dedicated and knowledgeable organic dairy folks from across the country after years of zoom meetings, to have intelligent conversations on policy and some laughs, even exchange some gossip! Thanks to OFA and supportive organic dairy farm families for providing the organizational support and funds for the trip.
Organic Dairy Exemption from Class 1 payments
There is no further public developments with the petitions submitted by Aurora Organic Dairy Corp., Horizon Organic LLC, and Cooperative Regions of Organic Producer Pools D/B/A/ CROPP Cooperative, to USDA to exempt them from regulation under the FMMO system.
Biosecurity for Screwworm and H5N1
Biosecurity should always be part of protocols on an organic dairy farm, and its especially important as the H5N1 has become endemic and New World Screwworm (NWS) edges closer to Mexico’s northern border. Some practical tips are to minimize access of wild animals (birds, feral hogs, etc.) to cattle to the greatest extent possible; practice good biosecurity measures like frequently cleaning clothing, boots, vehicles, and equipment on your farm; pay close attention to any open wounds on livestock and humans.
On August 17, 2025, Mexico reported 5,086 cases of NWS in animals, marking a 53% jump from July, according to government data reviewed by Reuters. The outbreak, which includes 649 currently active cases, has hit cattle hardest but also affected dogs, horses, sheep and, in the US, one human. Screwworms, which burrow into living flesh after hatching from eggs laid in wounds, have spread north from Central America into Mexico since 2023 and are now confirmed at 370 miles from the U.S. border. The bigger concern is for cattle and other animals, where NWS can spread rapidly and kill even fully grown livestock in as little as 10 days if untreated, according to the UN Food and Agriculture Organization.
There is concern over transparency and information sharing about the human infected with NWS. It was the lack of transparency with H5N1 that saw the rapid growth before any quarantine was in place. Progressive Farmer’s Jennifer Carrico reported that “Bill Bullard, R-CALF USA CEO, is not only concerned about the NWS human case, but also about the sharing of information regarding the case. Though the case was confirmed by the CDC on Aug. 4, no information was released to the public until Reuters news agency reported on it over the weekend (8/25/2025).”
A new paper from a team of Cornell researchers shows H5N1 virus causes severe mastitis and decreased milk production in dairy cows, a drop-off that may extend beyond the clinical outbreak period. Economic losses due to decreased milk production, mortality and early removal from the herd were estimated at $950 per clinically affected cow. In a paper titled “The impact of highly pathogenic avian influenza H5N1 virus infection on dairy cows” published July 15 in the journal Nature Communications, the researchers found cows clinically infected with HPAI presented a significantly increased risk of death and of premature removal from a herd of 3,876 adult cows in Ohio. In July 2025, non-profit Farm Forward, published a report that the federal government has spent at least $80m in relief payments by January 2025 alone. Large-scale producers from major dairy-producing regions like California and Colorado received the largest payments (some being of nearly $1m), with Colorado-based Prado Dairy awarded more than $1.5m.
For a disease that is now widely considered endemic and with a total of 1078 operations in 17 states affected since March 2024, the H5N1virus continues to evolve and spread with continuing new outbreaks on dairy farms, especially in CA and CO. An Emory college research project has published a report in May 2025 that found that H5N1 viral RNA can be found in the air on farms and conclusively demonstrates that infectious H5N1 virus is present in the air during the milking process. The USDA has not followed up on their proposed different areas of investigation and research. In April 2025, the FDA suspended its testing program for milk, which would improve bird flu testing and milk safety. The administration also made sweeping cuts to an already limited staff responsible for testing, tracking, and controlling the virus; canceled plans for an H5N1 poultry vaccine; and cut funding for the development of a human H5N1 vaccine. With the positive development of a mRNA bird-flu vaccine for cattle, now is the time to fund and approve vaccination for cows to preempt the next round of infections rather than limiting available options until another major outbreak happens.
Posted: to Industry News on Fri, Sep 5, 2025
Updated: Sat, Sep 6, 2025
