Robust domestic demand and surging exports drive unprecedented growth, signaling a strong start to summer.
The US dairy sector showcased an impressive performance in April, particularly driven by record-breaking cheese usage and robust production across key categories. According to the latest USDA figures and industry analysis, American cheesemaking plants have been operating at or near full capacity, a testament to strong underlying demand. This surge in activity has led to significant increases in both domestic consumption and export volumes, reinforcing the sector’s resilience amidst a complex global market.
April data highlights remarkable growth in dairy production. American-style cheese production saw a notable year-over-year increase of 6.1%, while Italian-style cheese climbed 2.2%. Overall milk production for the month rose by 1.6%, supported by near-record high milk component levels, providing processors with the flexibility needed to maximize output. This robust supply, combined with strategic resource allocation by manufacturers, has fueled optimism regarding dairy product stock levels heading into the crucial summer months.
Domestic demand for dairy products has been a key driver of this growth. April saw domestic cheese utilization reach an all-time high of 1.2 billion pounds, marking a 1.5% increase from April 2024. Domestic consumption characteristically accounts for approximately 90% of total usage, underscoring the strong consumer appetite within the United States. Furthermore, butter disappearance also hit a record high for April, soaring by 24.4% to 209.9 million pounds, largely propelled by the Easter holiday’s impact on consumption.
The strength of US dairy exports in April was equally impressive. Despite broader trade tensions, cheese exports cleared 49,000 metric tons for the second consecutive month, representing a 7% year-over-year volume increase. This growth was widespread geographically, with significant gains to key markets including Japan (+29%), Central America (+31%), Australia (+42%), and Southeast Asia (+37%). This export momentum, alongside strong domestic demand, underscores the global competitiveness of US dairy products and their expanding international footprint.
In summary, April’s performance for the US dairy industry reflects a powerful combination of efficient production, surging domestic consumption, and resilient export markets. Cheesemaking plants operating at full tilt, coupled with strong butter sales and diverse international demand, paint a highly positive picture. This robust start to the warmer months positions the dairy sector favorably, signaling continued strength in dairy economics and a promising outlook for agribusiness stakeholders.
Source: The Scottish Farmer: US dairy hits record April cheese usage
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