Production in the 24 for major dairy producing states last month totaled just over 18 billion lb. That’s up a fraction from June of last year. Production per cow was up about 1 lb. and the number of dairy animals in those 24 states now stands at 8.93 million. That’s 14,000 more than June of last year, but 20,000 less than May 2023.
“The biggest takeaway would be the decline in cow numbers,” says Robin Schmahl of AgMarket.net. “Low milk prices and high beef prices have led farmers to look for additional ways to generate some income. And that’s probably the biggest factor that’s going to influence milk prices as we go forward from here.”
Experts say the massive fire on a dairy farm in Texas a few months ago is reflected in these latest numbers from that state. Texas was down 13,000 cows with production down 5%.
Class I Pricing
In response to petitions from the dairy industry, the USDA says it will hold a hearing for a potential revision to the federal milk marketing order (FMMO) system. Dairy farmers know that system determines the price farmers receive for fresh milk. The hearing will take place on August 23 in the Indianapolis suburb of Carmel.
