Dairy Processing - December 2021 - 57

industry. Even though milk production
continues to grow, as does consumption
and consumer demand, processors are
running into mounting issues, including
rising costs across the board, from raw
materials to transportation, that could
weigh on dairy product production in
coming months.
" As we look at our business and
the cold chain in general, seeing cost
escalations of anywhere from 13 to 20%
in terms of what labor costs are, and that
can be both direct labor and indirect labor
that's associated with benefits and just
recruiting activities in order to secure labor
to run operations. " Gayford said. " It's been
very clear that the labor shortages and
transportation charges just have required
our customers to look at how they manage
their distribution platforms differently to
ensure that they've got a contingency plan
behind them. "
IDFA Forms Supply Chain Task Force
The International Dairy Foods Association (IDFA), Washington, DC,
announced the formation of a Supply Chain Task Force to develop
policy recommendations to address severe supply chain disruptions
affecting the US dairy industry. The Supply Chain Task Force will
work across our industry with partners from other sectors of the
economy, the federal government, think tanks, and others to bring
actionable solutions to the table. IDFA's Becky Rasdall, vice president
of trade policy and International Affairs, and Donald Grady, director
of legislative affairs, will serve as IDFA liaisons for the new Supply
Chain Task Force.
Formation of the task force comes as the food and agriculture
sector deals with several mounting challenges including labor
shortages, steadily increasingly costs for inputs such as ingredients
and packaging, and major challenges moving products through sea
and land ports.
Supply chain challenges have worsened throughout 2021. When the
COVID-19 pandemic first disrupted supply chains, trade associations
and the federal government worked to reroute dairy foods from
shuttered restaurants to food banks across the country. Language in
the CARES Act also increase federal gross vehicle weight limits for a
120-day period to keep the supply chain intact.
DAIRYPROCESSING.COM | DEC 2021 57
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Dairy Processing - December 2021

Table of Contents for the Digital Edition of Dairy Processing - December 2021

Dairy Processing - December 2021 - Intro
Dairy Processing - December 2021 - 1
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