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MIF Testifies in Support of Keeping Class I Definition Unchanged

IDFA Chief Economist Bob Yonkers, PhD, testified on behalf of the Milk Industry Foundation (MIF) at the U.S. Department of Agriculture's (USDA) hearing last week about the federal Class I fluid milk product definition, stating that there is no data that demonstrates a need to change the definition. USDA held the hearing to examine 11 proposals to change the Class I definition within Federal Milk Marketing Orders, primarily aimed at including all milk and milk ingredients used in any beverage products such as new milk-based drinks.

"MIF believes that the proponents of such amendments carry the burden of coming forth with solid data and analysis demonstrating both the need for a change and that the proposed amendment will address that need," testified Yonkers. "Anecdotal evidence or broad suppositions do not suffice."

He outlined USDA's long-standing approach in requiring proponents of changing federal orders to come forward with sound research to justify their proposals, citing cases in 1988 and 1998 where USDA specifically rejected proposals due to lack of scientific foundation. In addition, Yonkers outlined the data pieces that would be necessary to adequately analyze the economic impact of a definition change.

USDA has been reviewing this issue since August 2003, when Dairy Farmers of America (DFA) submitted a petition to expand the Class I definition. (For background information, click here.) DFA was on-hand at the recent hearing to testify in favor of the National Milk Producers Federation's (NMPF) proposal to alter the Class I definition by removing the reference to 6.5% nonfat milk solids and replacing it with a 2.25% milk protein standard.

In his testimony, Yonkers noted that MIF has "consistently maintained that the market for beverages containing milk and dairy-derived ingredients is in its infancy" and that proponents failed to make their case for change.

Now that the hearing has concluded, USDA must weigh the testimony and announce its decision. No timeline has been announced for that process. To read MIF's full testimony, click here. (.pdf)

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Posted June 27, 2005