Matanuska Creamery's effect on local industry remains uncertain

Published Wednesday, June 11, 2008

Owners of a Delta Junction dairy processing plant are uncertain how the recent opening of Matanuska Creamery near Wasilla will affect their business. At the same time, some grain farmers in the Tanana Valley are optimistic that the creamery could increase demand for dairy cattle in Alaska, thereby boosting the feed market.

“We need more animals in the state,” Delta grain farmer Gary Sonnichsen said. “We have a hard time marketing grain. I’m real hopeful for the new dairy down in the Matanuska Valley.”

The state owned the former Matanuska Maid processing plant from the mid-1980s until closing it down in December 2007. The dairy was transferred to private hands and began processing cheese earlier this year as Matanuska Creamery.

Lois Lintelman and her husband, Donald, own and operate Northern Lights Dairy Inc., the state’s only other processing plant. In operation since 1978, the Lintelmans raise Holstein cattle, noted for milk production, and Jersey cattle, which generate rich cream. Feed is purchased from local grain farmers.

Their cows plus milk from a few area dairy farmers drives production of about 1,600 gallons of milk every other day, Lois said. When the state-owned Matanuska Maid processing plant shut down, the Lintelmans picked up some of the slack.

“We took on what we could when Mat-Maid shut down,” Lois said, adding that some farmers in the Mat-Su Valley were still dumping milk on the ground.

Northern Lights continues to accept about one 3,000-gallon load of milk each week from dairy farmers in the south, she said, acknowledging that could taper off with the opening of Matanuska Creamery. However, the Lintelmans are hopeful other Delta-area farmers have enough cows in production to offset any reductions in milk arriving from the Mat-Su Valley.

Phil Kaspari, an agriculture agent with the University of Alaska’s Cooperative Extension Service in Delta Junction, said it’s hard to say whether the reopening of a second Alaska creamery will boost dairy cow counts.

“It would be wonderful if some more dairy cows came online. That would help the whole agriculture industry,” Kaspari said. “But, I don’t know that is necessarily going to happen.”

More cows could stabilize the barley industry, which has something of a surplus following several strong growing seasons and lower demand from livestock producers, he said. Without the guarantee of milk processing, some farmers culled their cattle herds, decreasing the demand for feed, he said. Rebuilding a herd can take years.

“Hopefully, hopefully now, with this private entity, things will stabilize,” Kaspari said. “People are still kind of holding their breath. Hopefully (owner) Kyle Beus and his Matanuska Creamery can really get a good, strong foothold and be sustainable.”

The Lintelmans have no plans to expand Northern Lights at this time. The processor is meeting retail demand in the Fairbanks and Delta Junction areas with current production levels, Lois Lintelman explained.

Northern Lights supplies Fort Wainwright and Eielson Air Force Base and its products are sold at area grocery stores and some convenience stores. The milk is also used at several local restaurants and coffee stands.

Community Discussion

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  1. Dirk
    6/11/2008, 12:53 a.m.
    Suggest removal

    Until we taste a better, fresher dairy product, we're Northern Lights Dairy buyers and consumers.

    Keep up the good work, Northern Lights. Your 2% milk has better flavor than most large commercial dairies' whole milk.

  2. akguy
    6/11/2008, 5:13 a.m.
    Suggest removal

    agreed, dirk - Northern Lights is great!

  3. NativeAlaskan
    6/11/2008, 7:07 a.m.
    Suggest removal

    I ONLY buy Northern Lights!!! YUM!

  4. domstead
    6/11/2008, 9:23 a.m.
    Suggest removal

    Ditto... I've been telling my friends for years that Northern Lights is the only milk they should buy. My family from the Lower 48 look forward to it when they come to visit... this from my Dad who was raised on a dairy farm!

  5. akprincess72
    6/11/2008, 11:39 a.m.
    Suggest removal

    It IS true, their 2% milk tastes wonderful!

  6. CassiaCalhoun
    6/11/2008, 12:27 p.m.
    Suggest removal

    That's all I buy, and the drive to the dairy is SO worth their strawberry and chocolate ice cream.

  7. whatsgoingon
    6/11/2008, 11:57 p.m.
    Suggest removal

    The Lintleman's are the hardest working family around! They got the short end of the stick when it comes to favors given. The new governor Palin appointed Board Of Agriculture funneled a million dollars of equipment ripped out of MatMaid and gave it to the new Matanuska Creamery for a pittance of a lease. Funny how they all are her neighbors and one even was her childhood babysitter. The Lintleman's were also shut out of getting any of the $650,000 Federal grant given by the Alaska office of the USDA. Lintleman's helped out the MatSu farmers by buying most of their milk for 5 months until they were up and running. Now word has it that the new dairy in Wasilla is wanting to charge the Lintleman's an exhorbitant amount for the plastic jugs they are making to be sold to Northern Lights Dairy. Does it appear that the Matanuska Creamery is systematically snuffing out Northern Lights Dairy so they can be the sole dairy in the state?
    The Lintleman's did not get a cent of help and this new dairy in Wasilla had the start up money and all the equipment and trucks and milk cases they needed without spending one dime. Support Northern Lights Dairy---these people are as honest as they come and deserve our support!

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