The U.S. dairy industry stands on the brink of transformative change, poised with promising opportunities for farmers. At a National Milk Producers Federation Young Cooperators Progressive panel, held live at World Dairy Expo, four dairy leaders shared insights into their daily routines and how they allocate their time effectively.
1. The Promise of Beef-on-Dairy
Megan Schrupp, co-owner of NexGen Dairy in Minnesota, highlights the integration of beef into the dairy sector as a significant opportunity. The concept isn’t new, but it continues to evolve, offering an exciting avenue that could enhance the industry’s sustainability and profitability. This integration reflects the dynamic nature of dairy farming, where innovation meets traditional practices.
Dan Basse, president of AgResource Company says beef-on-dairy is not a fleeting trend but a long-term solution in an industry seeking stability.
“I don’t think we can get enough mama beef cows to come forward,” Basse says.
The 2025 Farm Journal State of the Dairy Industry report echoes this view, with three-quarters of operators engaging in beef-on-dairy methods such as breeding and raising. There’s evidence in semen sales too, with figures showing a 317,000-unit increase in the U.S. by 2024, as reported by the National Association of Animal Breeders (NAAB).
2. Connecting with Consumers
For Laura Raatz, co-owner and herd manager at Wagner Farms Inc., the quintessential opportunity lies in strengthening the bond with consumers. As less than 2% of the population is responsible for feeding the world, gaining consumers’ trust and showcasing pride in product transparency and sustainability is crucial. Engaging with consumers aligns closely with advancing animal welfare and reinforcing the industry’s commitment to quality.
“If we don’t have consumers behind us that believe in our product and trust where their products come from, I think that we’re going to be in big trouble,” she says. “If we can combine people, innovation and sustainability together, I think that dairy is not just going to survive, it’s going to thrive for decades to come.”
3. Advances in Technology and Innovation
There’s a resounding consensus among experts that technology and innovation hold the key to the industry’s future. From genomics enhancing cattle efficiency to leveraging technology for better management, these advances could revolutionize farming methods. Ron Fowler, a first-generation dairy farmer from Michigan, underscores the role of genomics, which could radically shorten generational gaps and innovate breeding practices.
“I think these cattle are going to continue to get way more efficient,” he says. “I think these cows are going to get so much more efficient with feed and genomics.”
In fact, the 2025 Farm Journal State of the Dairy Industry report highlights how two-thirds of dairy farms have embraced at least one form of feeding technology. Among these, health monitoring collars and ear tags stand out as the most widely adopted innovations. These tools enhance the ability to manage livestock more effectively, promoting healthier herds and thus boosting overall productivity.
4. Sustainability and Efficient Practices
Sustainability remains a cornerstone of future opportunities. Joel Eigenbrood, CFO for several Michigan dairies, and others recognize the importance of integrating sustainable practices through the use of by-products. Transforming these by-products into economically viable products such as jet fuel or vodka, though niche now, points to a future ripe with possibilities for making more from less.
“The genetic side of cows are so efficient today,” he says. “The number of components that we’re able to get out of these cows, and with feeding by-products and all these other things, so it just becomes more and more sustainable.”
Encouragingly, over half of survey respondents (63%) reported participating in at least one sustainable practice. This trend is indicative of a growing societal shift toward environmental responsibility. Interestingly, larger operations, particularly those with substantial herd sizes and extensive acreage, tend to embrace sustainability more comprehensively. This trend is most pronounced in the Western region.
5. The Role of People and Farm Culture
Building motivated and skilled teams is another critical opportunity echoed by these leaders. By cultivating strong farm cultures, the industry can attract new talent and foster an environment that supports innovation. This focus is on people aligning with enhancing sustainability and integrating new technological advancements into daily farm operations.
The Farm Journal report highlights that non-family members consist of at least 50% of their workforce. With evolving labor-related aspects indicating enduring challenges, the industry must explore viable solutions to continue thriving.
Farmers must continue to balance the integration of technology with human labor, ensuring both aspects work in harmony to drive growth and productivity.
As the dairy industry navigates these potential avenues, it’s clear using a combination of innovation, consumer engagement and sustainable practices will be pivotal. The future of dairy farming holds the promise not just to survive but to thrive, pushing boundaries and setting new standards in agricultural excellence.
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