![]() ![]() Even though processed cheese like Velveeta isn't considered cheese under FDA regulations, its manufacturers start with cheese and add ingredients to create the finished product. Millennials and other Americans are shifting away from processed cheese, which could be contributing to the stockpile. The administration's plan to compensate farmers for lost trade won't make dairy producers whole because it provides only $127 million in aid, the group said. Trump's trade policies have cost dairy farmers about $1 billion, according to the National Milk Producers Federation. Those tariffs imposed by China, Canada and Mexico in retaliation for Mr. As dairy farmers produced more and more milk, stockpiles. Wisconsin, for instance, saw a number of recent dairy farm bankruptcies, likely because its smaller dairies are less able to weather downturns and challenges, the Fed said in its analysis. The government purchased the milk dairy farmers couldn’t sell and began to process it into cheese, butter and dehydrated milk powder. Your mild cheddar will become a sharp cheddar the longer it sits in inventory."Ī surge in farm bankruptcies includes dairy farmers filing for protection from creditors, according to a Federal Reserve analysis of Chapter 12 filings from farmers. "The problem with cheese is that it ages, and that changes the flavor profile. "Our sales to Mexico have dropped off about 30 percent since the tariffs were put into place," said Nate Donnay, director of Dairy Market Insight at INTL FCStone Financial. More recently, President Donald Trump's trade war has taken a slice out of the cheese trade due to China's, Canada's and Mexico's retaliatory tariffs on American cheeses, which have cut U.S. Millennials are turning up their noses at processed cheese products like Kraft Singles and Velveeta. ![]() The problems facing American producers include curdling tastes for certain types of cheese. Held by cheese makers in warehouses designed to store cheese, the stockpile works out to 4.3 pounds of cheese for every adult and child in the U.S. Cheesemakers have stockpiled 1.4 billion pounds of the stuff, the biggest cheese hoard since the government started keeping records a century ago. America wants to move its cheese, but market forces aren't complying. ![]()
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