Cow numbers and milk trended differently
Supply and demand are often on a teeter-totter ride; when one goes up, the other goes down. This is certainly true for our dairy markets.
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Supply and demand are often on a teeter-totter ride; when one goes up, the other goes down. This is certainly true for our dairy markets.
Since 2018, the U.S. has experienced three extended periods of dairy cow liquidation. From January 2018 to July 2019, the national herd constricted by 118,000 cows; from May 2021 to January 2022, cow numbers shrunk by 140,000; and from March 2023 to the m
Dairy is testing historical market limits “We had 100,000 more cows year-over-year in December. That was the biggest year-over-year advance in some time,” shared Phil Plourd during USDA’s 97th Annual Agricultural Outlook Forum. “Its highest absolute cow numbers since the mid-1980s,” he said of the nation’s dairy cow herd. What impact could this large dairy cow herd have on milk prices? “We count 42 occasions going back to the year 2000 when we had daily milk production at 3% or more. In 34 of those occasions . . . 81% of the time . . . the Class III price was lower in the six su...