Mass consolidation reshapes U.S. dairy as family farms shutter but milk output stays strong.
As National Dairy Month concludes, the U.S. dairy landscape reveals stark consolidation: from over 640,000 farms in 1970 to fewer than 28,000 today, large-scale operations now dominate milk production. This structural shift underscores both efficiency gains and the disappearance of many small- to mid-sized family dairies.
Beefed-up large dairies offer economies of scale and lower costs, enabling them to absorb production and meet consumer demand. However, smaller producers consistently struggle to compete when milk prices drop and are often forced to sell or close..
Despite these losses, family-land legacy endures: around 97% of remaining holdings are still family-owned, showing that production remains rooted in familial operations—even as farms grow in scale .
Milk production has remained resilient, as consolidation ensures total output stays stable or increases. Yet behind that resilience lie the closing of around 2,300 dairies per year since 2013—each representing generational farms shuttered and communities impacted.
The dairy industry thus faces a paradox: efficient large dairies secure supply and stability for consumers, but the wave of small-farm closures highlights challenges in sustainability, tradition, and rural livelihoods. The end of Dairy Month is a critical time to appreciate the families behind the milk and consider policies that balance consolidation with support for smaller producers.
Source: KHQA “Ag In an Instant: As dairy farms dwindle, family roots still remain strong” ↗️ https://khqa.com/weather/agriculture/ag-in-an-instant-as-dairy-farms-dwindle-family-roots-still-remain-strong
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