2024 US dairy: Cautiously optimistic amid uncertainty in the Midwest

Cow Milk

Dairy

United States

Market & Price Trends

Innovation & Technology

Published Mar 12, 2024

Tridge summary

Midwest dairy farmers are facing 2024 with a blend of uncertainty and cautious optimism due to high inflation, tight margins, and a delayed farm bill. Despite challenges such as depressed milk prices, a worker shortage, and disappointing policy updates, many farmers are managing risk and improving on-farm efficiencies, aided by Dairy Margin Coverage payments. The future of the industry looks promising with a new generation of farmers, increased use of technology, and a growing trend of collaboration with environmental groups. However, concerns remain over processing capacity, urban development reducing farmland, and the stability of the export market, particularly to Asia.

Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

Entering an election year with high inflation and input costs, tight dairy farm margins and a farm bill that has been punted into 2024 has left many in the Midwest feeling a mix of uncertainty and cautious optimism about what is to come this year. “I probably lost the most sleep over depressed milk prices and the worker shortage, but we’ve seen how quickly prices can change based on consumer demand, and tighter replacement numbers signal relief could be coming,” says Wisconsin dairy producer Brady Weiland. Travis Senn, director of public affairs with Edge Dairy Farmer Cooperative, would add “mild disappointment” to the list of emotions felt by dairy producers in the region. “Early fall projections placed milk prices at a strong level, but they have since come back to Earth,” Senn says. “Pair that with some disappointing policy updates over the fall and last spring’s flush period, and I think there are concerns in the countryside.” Dairy Margin Coverage (DMC) payments helped many ...

Source: Progressivedairy