Dairy Board Endorses National Dairy Promotion Structure Plan
ARLINGTON, Va. - In an effort
to provide the dairy industry with a
single, national promotion and
research program, the National
Dairy Promotion and Research
Board, at its Jan. 21 to 22 meeting
in Monterey, Calif, reviewed and
unanimously supported a national
promotion structure plan.
The promotion structure plan,
which is a modification of the
National Milk Producers
Federation plan, was developed
after numerous meetings with
national dairy industry leaders.
The key provisions of the plan
provide for the following:
• a method to maintain a funding
level of $llO to $l2O million for
national promotion and research
programs.
• a method to establish a
“partnership” between the
National Dairy Board and state
and regional promotion groups
which can function to coordinate
programs.
• a method to unify the dairy
industry behind a single national
organization with one CEO and one
staff.
NDB Chief Executive Officer,
Joe Westwater said that the Board
is prepared to discuss the modified
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structure plan with all segments of
the industry.
“The time is right to workout the
necessary details of this plan to
better unify dairy farmer funded
promotion and research efforts,”
saidWestwater.
“Dairy farmers, however, must
maintain the existing national
funding level of $llO to $l2O million
which they have established
through the expanded promotion
programs authorized by the Dairy
and Tobacco Adjustment Act of
1983. This level of promotional
commitment by the nation’s dairy
farmers has played an important
role in increasing total milk
commercial disappearance by
over 10 percent in three years. It’s
important to retain this progress
and build for the future.”
In other action, the Board ap
proved funding to establish an
“institute” for nutrition/
biomedical research, extend a
national spring cheese promotion
and expand its research efforts for
listeria monocytogenes.
The Board authorized a com
mitment, over three years, of $3.9
million for the establishment of a
“Nutrition, Hypertension and
Cardiovascular Disease Research
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This action constitutes a major
milestone in nutrition/biomedical
research and indicates the dairy
industry's new direction toward
focused research. The Board plans
for the institute to become a
prototype for future research
efforts in other areas including diet
and heart disease, especially fat in
the diet since this is currently the
most pressing research need. The
Board’s objective is to lead the
dairy industry into areas of
research that can provide more
direct and positive aspects of fats
as related to health.
In the area of advertising, the
Board authorized the conversion of
$1.5 million in cheese continuity
advertising to support the spring
“Build A Perfect Cheeseburger”
cheese promotion. NDB’s network
advertising support will extend the
promotion. The program is being
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coordinated by the American
Dairy Association and state and
regional promotion groups. It is
also supported by $600,000 from the
Beef Industry Council and
designed to cross-sell cheese and
hamburger beef.
The Board’s work to increase
dairy product sales through the
military market will expand
during 1987. A program was ap
proved to place point-of-sale
materials in about 230 military
commissaries throughout the
continental U.S. Three promotions
will be installed in commissaries
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by coordinating with state and
regional dairy promotion groups.
The military market is the sixth
largest retailer with annual sales
over $6 billion.
Additional research, centered
around listeria monocytogenes,
was authorized by the Board. The
action brings the Board’s financial
commitment to over $500,000 for
listeria research.
The Board will also begin to
develop its budget for the fiscal
year ending April 30, 1988. A
meeting is scheduled in February
to begin this process.
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