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Home » Topics » Special Topics » State of the Dairy Industry

State of the Dairy Industry
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Southwest: An eye toward the sky (and the bottom line)

Despite shared challenges and concerns, the future is being driven by capital.
March 1, 2023
Dave Natzke

Dairy producers in Texas and New Mexico continue to be on different trajectories. Preliminary USDA data indicates Texas milk production grew by more than 925 million pounds (about 6%) in 2022, topping 16.5 billion pounds.


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Organic dairy struggles abound

March 1, 2023
Dave Natzke

Few segments of the dairy industry have struggled more than organic producers in the Northeast, where market exits by Horizon Organic and Maple Hill Creamery resulted in the termination of more than 130 producer contracts.


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Central: Dynamic change in the ‘frontier’

Dairy's future in the region will require resiliency and processing capacity.
March 1, 2023
Dave Natzke

Geographically, the Central Federal Milk Marketing Order (FMMO) stretches across Oklahoma and Kansas, large portions of Colorado, Illinois, Iowa, Missouri and Nebraska, and into counties in Minnesota, South Dakota and Wisconsin.


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Appalachian: Similar concerns, diverse answers

Like Southeast and Florida FMMOs, the Appalachian FMMO is heavily dependent on the Class I fluid milk market.
March 1, 2023
Dave Natzke

Milk producers and handlers supplying the Appalachian Federal Milk Marketing Order (FMMO) cover five states: Kentucky, North Carolina, South Carolina, Tennessee and Virginia. Like their neighbors to the south, they share similar concerns and diverse outlooks.


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I-29 Corridor: Sustaining a stable and strong pulse

The region’s outlook is heavily dependent on two primary issues – feed availability and cost, and processing capacity.
March 1, 2023
Dave Natzke

Running through the heart of the north-central U.S. and bordering three of the nation’s 24 major dairy states, Interstate 29 (I-29) is a strong vein from which to measure the pulse of the industry.


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Exports: After a record year, 2023 will bring positives and headwinds

2023 may not bring another record year, but the U.S. continues to assert itself as a growing player in international dairy trade.
March 1, 2023
Dave Natzke

Mideast: Financial picture has an undercurrent

With ample water, the region has many advantages, creating opportunities for growth. Building on those strengths will require industry partnerships that can produce value and increase markets.
March 1, 2023
Dave Natzke

Beyond sharing Great Lakes’ shorelines, dairy producers in Indiana, Michigan and Ohio have a lot in common. Most were aided by the wave of higher milk prices in 2022, putting them in their best financial positions in years.


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2023 State of Dairy

The economic state of U.S. dairy: 2023 will differ from 2022

2023 will be different from 2022, particularly from a dairy farmer financial perspective. It will put further emphasis on the critical importance of producers making the fullest use of available risk management tools.
March 1, 2023
Peter Vitaliano

Production growth, dairy price inflation and the strength of exports will be key features of the 2023 dairy producer financial picture.


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Southeast: The future hinges on marketing changes

The continuing decline in fluid milk sales creates challenges for producers and processors alike. That’s amplified by higher costs and tight labor supplies, leading to fewer markets and lower production.
March 1, 2023
Dave Natzke

Milk produced and marketed in the 11 states in the southeastern U.S. is pooled on the Appalachian, Southeast and Florida Federal Milk Marketing Orders (FMMOs).


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Northeast

State of the Dairy 2022: Northeast: A brighter price outlook, but uncertainty abounds

March 10, 2022
Dave Natzke
The 2022 outlook for dairy in the Northeast is for much stronger milk prices but also lots of uncertainty, according to Christopher Wolf, Cornell University dairy economist.
Read More
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