Two Farmers From Opposite Ends of the Country Discuss Challenges Facing Their Dairies

Two producers on the opposite side of the country joined AgriTalk host Chip Flory recently for a special Farmer Forum to celebrate June Dairy Month. Dwayne Faber of Washington and Val Lavigne of New York spoke about the challenges facing their dairies that mimic challenges that other producers are facing.

Lavigne, who ships her milk to Agri-Mark Cooperative, stated that they’re feeling the pressures of the industry and the ups and downs of the markets in the Northeast.

“I feel like there was a lot of growth [in milk production] here in the Northeast over the last few years,” Lavigne says, although she notes that a lot of producers are under a quota system. “There has been a decrease in the number of farms here in the Northeast over the last 18 months.”

The New York dairy farmer states that while growth came over the last couple of years, the plant capacity did not necessarily come with that. 

“Farms out-produced the market capacity for actual processing in the northeast,” Lavigne says.

Faber concurs with Lavigne saying on the opposite end of the country, he too is seeing an oversupply problem due to high milk prices in 2022.

“We have oversupplied, there are stories of milk dumping going on throughout the U.S.,” he says. 

Faber is optimistic about alternative profit sources to help generate dollars for the bottom line. 

“Beef prices are high. Feeder cow price is skyrocketing. Low milk price cures low milk price. It gets ugly really quickly, even with the setback in grain prices,” he says. “I think we are going to see a max exit of cows that hopefully will right this ship by the fourth quarter.”

Faber ships to Darigold, which ships a lot of its products via exports. He also has a second dairy in Oregon, where he ships to Tillamook Cheese. He notes that 80% of their markets go into grocery stores. 

Lavigne agrees on the supply challenge to the current dairy economy. 

“There is a lot of milk and fewer farms,” she notes.

Faber notes that the Northwest is experiencing a good year for growing crops, especially compared to last year which gives him hope that he can somewhat control his feed prices.

“Sixty percent of our diet is made up from homegrown forages,” he says.

Lavigne shares that they too grow a lot of home-grown feed and feed more by-products versus purchased feed.

“We have access to different sources,” she says, noting her cows are fed chocolate, like junior mints and Rolo candy. 

Faber feeds his cows Brussels sprouts and carrots, along with brewer’s grains. 

To listen to the entire interview and to learn more about how these two dairy producers celebrate June Dairy Month, listen: AgriTalk-6-21-23-Farmer Forum - AgriTalk - Omny.fm