Minnesota had 146 fewer dairy farmer permits this month than at the beginning of the year.
Minnesota lost 58 dairy farm permits in November, a devastating blow to a farm sector already drained by contraction.
“We have some seasonality to this. In October, November and December, you’ll always see some herds go,” Lucas Sjostrom, executive director of the Minnesota Milk Producers Association, said. “But I have not seen [a monthly declines in permits] over 50 for a long time.”
The end of the year is typically a time to see more farmers opt out of milking cows, either permanently or temporarily, as producers put up silage or feed for the coming year.
But Sjostrom says last month’s numbers underscore the razor-thin financial margins for dairy farmers under a crush of economic pressures, such as high input costs and low commodity values, just a year after dairy enjoyed higher prices for milk, cheese and butter in the aftermath of the pandemic.
Sjostrom said at least farmers aren’t going bankrupt. He credited safety-net programs such as Minnesota’s Dairy Assistance, Investment and Relief Initiative for aiding producers during crashes in milk prices.
“I would guess Minnesota has, due to that program, the least amount of unplanned exits,” Sjostrom said.
In sum, Minnesota has 146 fewer dairy farmer permits this Christmas than the state did at the beginning of the year, according to the Minnesota Department of Agriculture.
