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  • Global milk production slowdowns have helped provide some price recovery. However, the USDA’s latest milk production report indicates a large jump in U.S. cow numbers. This, combined with large cheese and butter inventories, has heightened the degree of price risk faced by dairy producers, according to Alan Zepp, risk management program manager at Pennsylvania's Center for Dairy Excellence (CDE).

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  • It’s not over the moon, but the number of cows in U.S. dairy herds has jumped to a two-decade high. Combined with increased output per cow, estimated August 2016 U.S. milk production was up 1.9 percent compared to the same month a year earlier, according to USDA’s monthly milk production estimates.

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  • If there’s a silver lining in declining U.S. dairy prices, it’s the closer relationship with global prices will make U.S. products more competitive on the export market.

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