WASHINGTON, D.C. – U.S. Senators Marsha Blackburn (R-Tenn.) and Tammy Baldwin (D-Wisc.) introduced the Dairy Business Innovation Act to strengthen the Dairy Business Innovation Initiatives (DBII) to help more American dairy farmers and processors add value to their businesses, including creating new products, expanding their markets, and modernizing their production facilities:

“The dairy industry is an essential part of the American economy. It is crucial that we provide the resources that dairies in Tennessee need to expand and create new products,” said Senator Blackburn. “With many small Tennessee dairies struggling to remain open, this bill will allow these businesses to diversify and expand their market competitiveness.”

“My Dairy Business Innovation Initiative has helped Wisconsin dairy farmers, producers, and cheesemakers grow their operations, tap into new markets, and innovate new products,” said Senator Baldwin. “From expanding facilities and growing their operations to improving packaging and lowering their shipping costs, this program has helped Wisconsin businesses grow their bottom lines and create jobs in our rural communities. I’m fighting to expand this vital program so more farmers, cheesemakers, and dairy processors have the tools to innovate and drive our rural economy forward.”

DAIRY BUSINESS INNOVATION ACT:

• The DBII program was created in the 2018 Farm Bill, establishing multiple dairy business and innovation centers to serve producers across the country. These centers, in partnership with dairy farmers and processors, are spurring innovation in dairy businesses, fostering the development of new dairy products and modernizing existing dairy plants. As a result, the program has gone on to add value to the milk produced by American farmers and expand their market access.

• Each regional initiative is tasked with providing technical assistance and grants to farmers and processors, including:

• Supporting new and expanding dairy businesses—Centers provide assistance with business plan development, accounting, market evaluation, and strategic planning.

• Promoting innovation in dairy products—Dairy businesses receive assistance with product innovation, marketing and branding, packaging, distribution, supply chain innovation, food safety training and consultation, and dairy product production training.

• Assisting with dairy plant modernization and process improvement—Dairy businesses receive assistance with processing facility improvement, including assistance with plant upgrades, food safety modernization, energy and water efficiency, byproduct reprocessing and use maximization, and waste treatment.

• The Dairy Business Innovation Act builds on the support for regional dairy research and innovation centers across the country by raising the program’s annual authorization from $20 million to $36 million.

ENDORSEMENTS:

The legislation is endorsed by the Tennessee Farm Bureau Federation, University of Tennessee Institute of Agriculture, National Milk Producers Federation, Organic Valley, and International Dairy Foods Association. 

“Tennessee’s dairy farmers are an integral part of our rural economy and provide wholesome, nutritious milk products to consumers. We thank Senators Blackburn and Baldwin for filing the Dairy Business Innovation Initiative which will be a successful opportunity for dairy farmers to add value to their milk and increase on-farm profitability. Further investments into DBII can create increased opportunities for consumers to access local dairy products and support their regional agricultural economy.” – Eric Mayberry, President of the Tennessee Farm Bureau Federation 

“We are grateful to Senators Blackburn and Baldwin for their support of the Dairy Business Innovation Act. It has had a historic impact on our Tennessee dairy industry and the development of the new Center for Dairy Advancement and Sustainability at the University of Tennessee. These resources will continue to help UTIA provide Real.Life.Solutions. to producers and processors across the region. Additionally, it has provided us with new partnership opportunities around the country.” – Dr. Keith Carver, Senior Vice Chancellor and Senior Vice President of the University of Tennessee Institute of Agriculture 

“The Dairy Business Innovation Act continues to be a critical tool for dairy farms and processors across the Southeast region to overcome a history of low income, limited reinvestment into existing businesses, and high barriers to entry for new dairy businesses. As the program manager for the Southeast region, the University of Tennessee Institute of Agriculture (UTIA) strongly supports the continuation and expansion of this valuable assistance to producers, processors, and the allied industries impacted by them. Since 2021, over $17 million has been directly invested into 189 dairy businesses across the 12 states and 1 territory in our region. Within Tennessee, 40 awards totaling almost $3.4 million have supported existing dairy farmers, processors, and emerging value-added dairy ventures. The funding for administration and research around the dairy industry has resulted in 5 new dairy Extension positions across Tennessee, Kentucky, and North Carolina and has increased our understanding of consumer motivations around dairy. The new Center for Dairy Advancement and Sustainability at the University of Tennessee is a direct outcome of these grants, providing a unique hub of food, animal, economic, and consumer interaction to support the dairy industry.” – Dr. Elizabeth Eckelkamp, Southeast Dairy Business Innovation Initiative Program Director and Dairy Extension Specialist at the University of Tennessee Institute of Agriculture

“We thank Senators Baldwin and Blackburn for their continued bipartisan leadership in strengthening the Dairy Business Innovation Initiatives program. Dairy has a storied history of pioneering effective new products and practices as dairy farmers and their cooperatives work to supply the U.S. and the world with nutritious, sustainably produced food. This program helps support researchers and their industry partners working to drive this innovation forward.” – Gregg Doud, President and CEO of National Milk Producers Federation 

“Senator Tammy Baldwin and Senator Marsha Blackburn should be commended for a bill that enhances the assets and investments in the U.S. the dairy industry. Dairy is an economic engine in rural communities – we at Organic Valley know dairy processors who are doing more with support from this initiative and American farmers who are better positioned to bring milk to market because of it.” – Adam Warthesen, Vice President of Government and Industry Affairs at Organic Valley

“IDFA applauds Senators Baldwin and Blackburn for introducing the Dairy Business Innovation Act of 2025.  The bill promotes innovation in the dairy processing sector and will help industry members work together to address common challenges and create new market opportunities for healthy and nutritious dairy products.” – Michael Dykes, D.V.M., President & CEO of International Dairy Foods Association