Dairy Imports and Exports

Can Butter's Recovery Continue?

Wed, 10 Jun 2026 14:32:13 GMT

Last week, the USDA released the monthly Dairy Products Report. Most products reported higher production from last year with the most notable decline in production in whey protein concentrate, coming in at 38.8 million pounds produced, a reduction of 11 percent from 2025.

Total cheese output excluding cottage cheese was 1.27 billion pounds, which was 4.2 percent above last April and 0.3 percent above last month. Italian type cheese production totaled 556 million pounds which was 4.2 percent above April 2025 and 2.5 percent above March 2026. American type cheese production climbed 1.2 percent above last year at 490 million pounds, 0.4 percent less than March 2026.

Cheese production is sufficient to keep up with demand as of now. Usually, we see a small reduction in inventory by late summer, however milk supply is plentiful especially now that schools have let out for the summer. Manufacturers should have plenty of milk to keep production steady.

Butter production totaled 224 million pounds which was 4.5 percent above April 2025 however, 1.8 percent below March 2026. Seasonally, this is the time of year for butter demand to begin to increase as buyers look get aggressive ahead of summer demand. Therefore, one could read into these numbers from April and give reason why the market has begun to bounce back from the May lows. These low prices have given buyers the opportunity to purchase more than their needs and are expected to fill inventory at these levels.

Not only is the price of butter low for U.S. buyers, but the United States remains well below the world average, keeping export expectations high for the remainer of the year. There is also opportunity to increase overall dairy exports as speculation regarding the 17-billion-dollar trade deal announced with China last month begs the question if dairy will be included in their purchases from the United States.

China has been missing from our export program over the past couple of years and we have been able to grow exports despite this. On a 10-year average, dairy products accounted for $558.98 Million worth of exports to China. That is a total volume of 367,416 metric tons of product. While small in the big picture of a $17 billion deal, it could be huge for an already thriving export program in dairy.

With butter prices finding a 5 year low in January with a small comeback this quarter, the last half of the year could bring some hope as the United States is the most competitive on the world front. If China comes back to boost an already strong export market, the growing milk production forecast may not be as bleak for the balance sheet as it seems.

Sarah Jungman is a commodity broker with AgMarket.Net and AgDairy, the dairy division of John Stewart & Associates Inc. (JSA). JSA is a full-service commodity brokerage firm based out of St. Joseph, MO. Sarah’s office is located in Winterset, Iowa and she may be reached at 515-272-5799 or through the website www.agmarket.net .

The thoughts expressed and the basic data from which they are drawn are believed to be reliable but cannot be guaranteed. Any opinions expressed herein are subject to change without notice. Hypothetical or simulated performance results have certain inherent limitations. Simulated results do not represent actual trading. Simulated trading programs are subject to the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. There is risk of loss in trading commodity futures and options on futures. It may not be suitable for everyone. This material has been prepared by an employee or agent of JSA and is in the nature of a solicitation. By accepting this communication, you acknowledge and agree that you are not, and will not rely solely on this communication for making trading decisions

The New Math of Today's Modern Milk Check

Tue, 02 Jun 2026 12:15:05 GMT

For nearly a century, the metric of success on the American dairy farm was simple: total pounds of milk in the bulk tank. The goal was volume, and the 100 lb. cow was the gold standard of operational excellence. But as the industry moves forward, a seismic shift is occurring — a changing of the tides that is fundamentally redefining what we produce, how we process it and where it goes.

We are no longer just a fluid milk nation. We have become a global powerhouse of nutrient-dense components, fueled by a massive boom in processing infrastructure and an aggressive pivot toward international markets.

The Component Boom: Quality Over Quantity

The most significant shift in the dairy landscape in 2026 is the change in milk components. According to Farm Journal’s 2026 State of the Dairy Industry Report, a staggering 89% of producers are now actively and surgically adjusting their rations to target specific milk components — fat and protein — rather than just total volume.

This isn’t just a trend; it is a response to a market that is hungry for solids. As the domestic fluid milk market continues its long-term decline, the demand for cheese, butter and high-value protein powders has skyrocketed. For the modern producer, the milk check is no longer driven by the weight of the water, but by the percentage of the components.

Producers are leveraging high-precision metrics, bypass fats and amino acids to push butterfat levels toward 4.5% and 5% — numbers that were once the exclusive domain of small Jersey herds but are now being achieved by large Holstein operations. This component boom allows a farm to produce more value with fewer cows, a critical strategy in an era where land and labor costs are hitting record highs.

The Processing Renaissance: Stainless Steel in the Ground

The milk produced on these high-efficiency dairies has to go somewhere, and the American landscape is currently seeing a processing renaissance. From the High Plains of Texas to the rolling hills of Idaho and the heart of Kansas, massive amounts of capital are being poured into new, state-of-the-art processing plants.
These aren’t the bottling plants of yesterday. They are high-tech manufacturing centers designed for the global market. We are seeing the emergence of plants capable of processing millions of pounds of milk a day into cheese, ultra-filtered milk and specialized whey ingredients.

This boom in processing infrastructure is the bridge between the farm and the world. It provides the home for the increased production and allows the U.S. to compete on a scale that was previously impossible. In 2026, the industry is no longer limited by how much milk we can produce, but by how much stainless steel we have in the ground to convert that milk into exportable goods.

“If there is a market signal for milk, the American farmer will come through,” says Michael Dykes, president and CEO of International Dairy Foods Association.

The Export Engine: The World’s Pantry

This leads us to the third pillar of the great pivot: the global market. The U.S. dairy industry has moved past the era where exports were a relief valve for surplus milk. Today, exports are a primary pillar of the business model.

As traditional dairy powerhouses like Europe and New Zealand face increasing regulatory constraints and land-use restrictions, the U.S. is uniquely positioned to become the primary supplier for a growing global middle class. Whether it is milk powder for Southeast Asia or high-end cheese for Latin America, the “Made in the USA” label is becoming the global standard for reliability and quality.

“We are in a unique moment. While our competitors in Europe and New Zealand are facing regulatory constraints that limit their growth, the U.S. is investing $11 billion in new dairy-plant infrastructure,” says Gregg Doud, president of National Milk Producers Federation. “We need to look five to 10 years ahead and realize that the world is looking to us to be the reliable supplier.”

The Cow Number Paradox

Perhaps the most interesting part of this story is the cow number paradox. Historically, more milk meant more cows. But in 2026, we are seeing a decoupling of those two metrics. While total milk production and total components are up, cow numbers are remaining relatively stable — and even declining in some regions.

“For the first time in history, the dairy industry is growing its output while the heifer supply is at a 20-year low,” says Phil Plourd, president of Ever.Ag. “We are seeing a ‘new math’ where the value of the components — not the number of head — is the only metric that matters. Producers are doing more with less because they have to.”

This is the result of massive leaps in genetic precision and herd management. The modern cow is a marvel of efficiency, producing more energy-corrected milk on less feed than ever before. Furthermore, the beef-on-dairy revolution has allowed producers to be even more selective with their replacements. By breeding only their top-tier genetics to produce the next generation of milkers, they are creating a smaller, but significantly more powerful, national herd.

The Change of Attitude

Beyond the data and the steel, there is a fundamental change of attitude among the people driving the industry. The 2026 report notes a decline in general optimism, yet 45% of producers still plan to grow.

The modern producer is moving away from the lifestyle mindset of the past and toward a high-precision management mindset. They are businessmen and women who understand resilience isn’t just about weathering a storm; it’s about out-managing it. They are trading cash for time in their labor models, volume for value in their bulk tanks and tradition for technology in their parlors.

The New Tides of Dairy

The change of the tides in 2026 is clear. The U.S. dairy industry is transforming from a domestic fluid provider into a global nutritional manufacturer. We are milking smarter, processing faster and exporting further than at any time in our history.

We may be working harder for less in terms of immediate margins, but we are building a more durable, resilient and essential industry. Driven by the immense responsibility and the profound honor of feeding an ever-growing world, the U.S. dairy farmer is proving while the tides may change, the mission remains the same. The future of dairy isn’t just about the milk — it’s about the grit, the science and the vision to see the world as our market.

NMPF’s Gregg Doud on the Future of Dairy: Trade Enforcement, Biosecurity and the $11 Billion Boom

Fri, 22 May 2026 17:10:23 GMT

For decades, the narrative of U.S. dairy was defined by survival — a gritty endurance test marked by consolidation and shrinking margins. But today, the hum of the milk parlor is being joined by the roar of a massive industrial renaissance. Across the heartland, a quiet revolution is unfolding as state-of-the-art processing facilities rise from the dirt, fueled by a staggering $11 billion-plus investment in new capacity. This isn’t just an expansion of the status quo; it is the birth of a sophisticated global protein powerhouse. The industry has moved far beyond the kitchen table, evolving from a local commodity into a high-stakes pillar of international food security, ready to feed a world with an insatiable appetite for U.S.-made nutrition.

At the center of this transition is the National Milk Producers Federation (NMPF), led by president and CEO Gregg Doud. With a background as a former chief agricultural negotiator, Doud views the dairy sector through the lens of global trade and industrial policy. He describes this era as a period where the industry is reinventing its economic foundation through innovation, genetic strategy and a newfound cultural relevance.

The $11 Billion Momentum

The most visible evidence of this revolution is the sheer scale of investment in processing. From the Texas Panhandle to the Upper Midwest, the $11 billion infusion into new plants is a bet on the future. These facilities are designed to turn raw milk into high-value powders, proteins and fats that can be shipped anywhere in the world.

“This is a billion-dollar success story that is happening quietly,” Doud notes.

The surge in capacity is a direct response to a fundamental shift in consumption. The industry is moving away from a reliance on fluid milk and toward a diversified portfolio of dairy products. This infrastructure ensures when the global market calls for U.S. dairy, the industry has the pipes in place to deliver.

The TikTok Effect and the Protein Pivot

While infrastructure provides the hardware, consumer trends are providing the software for this growth. One of the most unexpected drivers of the dairy renaissance is what has been dubbed “The TikTok Effect.” In an era where digital trends move at lightning speed, dairy has found a second life among younger demographics. Viral recipes featuring cottage cheese, high-fat butter and Greek yogurt have rehabilitated dairy’s image, positioning it as a superfood for the modern, health-conscious consumer.

The data supports this cultural shift. Domestic consumption of dairy fats and proteins is hitting record highs. However, the growth isn’t limited to the U.S. border. Nearly 18% of all U.S. milk production is now exported. The U.S. dairy farmer has effectively transitioned into a global protein provider, feeding a world that increasingly views dairy as an essential part of a high-protein diet.

The Beef-on-Dairy Paradigm Shift

Innovation isn’t just happening in processing plants; it’s happening in the genetics of the herd. The beef-on-dairy trend has emerged as a critical economic hedge for producers.

This strategic shift provides a secondary revenue stream that helps insulate farms from the traditional volatility of milk prices. It is a sophisticated management of genetics and markets that allows dairy operations to function more like diversified protein businesses. In Doud’s view, this synergy between the dairy and beef sectors is a testament to the industry’s adaptability and its ability to find value in every aspect of the operation.

Trade Enforcement and USMCA

With his background in international trade, Doud is uniquely positioned to guide the industry through an increasingly volatile global landscape. A cornerstone of this strategy is the enforcement of the United States-Mexico-Canada Agreement (USMCA). For the U.S. dairy industry, USMCA is more than just a trade deal; it is a vital framework for market access that requires constant vigilance.

Doud has been vocal about the friction with Canada regarding their dairy obligations, particularly the administration of tariff-rate quotas (TRQs). He highlights this issue has reached the highest levels of government.

“I can tell you from my experience, the U.S. Trade Representative, Jamieson Greer, knows this issue of dairy in Canada very well,” Doud says. “I know the president is aware that there is a big issue with Canada and dairy. This is going to be a really difficult conversation with Canada. I think it’s going to be sorted out at the top, and that’s going to be later on.”

For U.S. producers to thrive, these rules of the road must be followed. Doud’s approach is one of firm diplomacy, ensuring the market access promised in trade agreements translates into actual sales for American farmers.

Biosecurity and the Screwworm Threat

As the industry looks toward global expansion, it also faces emerging biological threats that could jeopardize the progress made in the livestock sector. One of the most pressing concerns on the horizon is the southward threat of the New World screwworm (NWS). This devastating parasite, which was eradicated from the U.S. decades ago, has seen a resurgence in Central America, moving through Panama, Costa Rica and into Nicaragua.

Doud emphasizes the importance of maintaining the flow of commerce even in the face of such a threat. Regarding the potential arrival of the parasite, Doud stated:

“We have to see and work with USDA and APHIS on the protocols, assuming this thing crosses the border with regard to the transportation of cattle, etc. We have a lot of dairy heifers and newly freshened dairy heifers in the Texas Panhandle. I hope that thing doesn’t get that far north, but if it does, we want to make sure that we have the protocols so we can still move these where we need to move them.”

For an industry increasingly reliant on the beef-on-dairy pipeline, the reintroduction of the screwworm would be catastrophic. It threatens animal health, increases production costs and could trigger severe trade restrictions. Doud and the NMPF are working closely with federal authorities to ensure biosecurity measures and eradication efforts in the region are fully funded and prioritized. Protecting the U.S. border from this pest is not just a veterinary issue; it is a vital economic priority for the entire livestock value chain.

Ultimately, the transformation of U.S. dairy is the story of an industry that refused to be left behind. By leaning into its new role as a global protein leader, the sector has effectively decoupled its future from the limitations of the past. The massive infrastructure investments, the strategic genetic shifts and the high-stakes trade diplomacy are all parts of a single, unified engine driving the industry forward. As the quiet revolution continues to gain volume, it is clear U.S. dairy is no longer just responding to the world’s needs — it is shaping them. With a steady hand on the tiller of trade and a watchful eye on biosecurity, the industry is poised to turn this era of investment into a legacy of global dominance.

Cheese Exports Hit All-Time High in March as Global Appetite Grows

Tue, 12 May 2026 13:00:00 GMT

Records were broken with over 63,435 MT exported in the month of March of cheese alone, an all-time high for single month exports, jumping over 29% from March of 2025. Butterfat and AMF exports also set a single month record at 17,074 MT shipped, 109.9% higher than March of 2025.

The world wants U.S. cheese with a shift in desire for western-style foods, more restaurant and food service demand at a competitive price not found in other countries due to our abundance of supply available her in the United States. Cheese exports are trending higher, with the first quarter of 2026 totaling an increase of 23.2% higher year over year.

Meanwhile, butter production was up 1.2% in March while butter exports year-to-date are up nearly 93.2% from the same quarter last year. Which raises the question if the U.S. can keep up with the export demand despite the increasing production. Churns are running seven days a week with growing milk and cream supply and spring flush is here with outstanding weather for cow comfort.

(USDA)

While cheese and butterfat are the stars of the show, milk powders are the most vulnerable in the export category. Nonfat dry milk (NFDM) and skim milk powder (SMP) broke their four-month year over year growth streak with a decline of 8% lower volume in the month of March 2026 when compared to the extremely high volume traded in March of 2026. All is not lost though, March 2026 was still the highest export volume we’ve seen in five months, it’s comparison to March 2025, being the highest export volume of the whole year, makes the year over year data look poorer than it is.

(USDA)

When looking at the dairy export data, the volume is certainly impressive, however the economic impact is outstanding. The value of dairy products exported reached the high dollar amount of $892.4 million in March, the highest monthly value seen in nearly four years. This is an increase of 6% more value year over year as reported from the USDA’s Foreign Agricultural Service.

The biggest markets for U.S. exports of dairy products in total value during the first quarter of the year were Mexico at $675.4 million, up 10% YoY, Canada who declined 19% YoY still came in second with total dollars purchased coming in at $295.4 million, Japan at $156.4 million, up 8%; South Korea at $145.5 million, up 19%; and China dropping 24% in 2026 with ongoing trade negotiations coming in at $123.9 million. All other major customers were under $100 million with anywhere from Colombia up 77% YoY to Philippines down 10% with most showing big increases YoY.

So, while the market wants to focus on the massive amount of production the United States is producing, the export program continues to be a bright light. World demand is continuing to increase, and we have the supply to feed it.

Sarah Jungman is a commodity broker with AgMarket.Net and AgDairy, the dairy division of John Stewart & Associates Inc. (JSA). JSA is a full-service commodity brokerage firm based out of St. Joseph, MO. Sarah’s office is located in Winterset, Iowa and she may be reached at 515-272-5799 or through the website www.agmarket.net .

The thoughts expressed and the basic data from which they are drawn are believed to be reliable but cannot be guaranteed. Any opinions expressed herein are subject to change without notice. Hypothetical or simulated performance results have certain inherent limitations. Simulated results do not represent actual trading. Simulated trading programs are subject to the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. There is risk of loss in trading commodity futures and options on futures. It may not be suitable for everyone. This material has been prepared by an employee or agent of JSA and is in the nature of a solicitation. By accepting this communication, you acknowledge and agree that you are not, and will not rely solely on this communication for making trading decisions.

Global Demand Lifts U.S. Dairy Exports to Near-Record Levels

Tue, 03 Mar 2026 15:05:04 GMT

Every week, dairy news articles circle the impact of the growing milk production in the United States and what factors could possibly help support prices despite the looming supply. The one bright spot helping to elevate the massive supply issue is the extreme growth in exports we’ve seen over the last few years.

In 2025, the United States approached near record export values at a whopping $9.51 billion in dairy products exported. Second to 2022 in dollars of products shipped to other countries. That equates to a 15% increase year over year from 2024 in dollars and 5% more in total volume of dairy products exported.

Currently, the U.S. sells to 143 countries which saw the biggest increase in demand from a wide range of buyers in the Middle East, South Asia, North Africa and South America. We are third largest exporter of dairy products in the world.

In 2025, the U.S. saw a huge increase in butter and milk fat shipments, up over 165% from 2024. Whole milk powder also saw a massive increase, coming in 56% higher than 2024. Cheese and butter product demand is strong both domestically and abroad.

Globally, milk supply is plentiful with the U.S., New Zealand, and the European Union increasing steady. It can be seen when comparing prices as the World Milk Price which has been falling since early last June.

With supply being plentiful and exports strong, the world has all eyes on the conflict in the Middle East. Over the weekend, tensions between Iran and the United States led to strikes on U.S. bases in Bahrain and buildings in Dubai. While not a direct impact to the dairy industry, the tensions can be felt throughout.

For shipments, insurance and freight costs will be a factor, especially near the Strait of Hormuz. Most cargos will see increased cost with the added risk as well as some energy cost spikes, given the impact on crude oil. Insurance companies either drop coverage or increase prices enough to discourage travel through those areas as we saw with the Russian/Ukrainian war. Bottlenecks in logistics may also be a factor going forward.

As far as changes that will directly affect dairy, it is too soon to tell but something the United States, EU and New Zealand are keeping a close eye on. Butter so far has not factored in a risk to demand as Monday trade was higher on the day. Volatility is to be expected whether it comes directly in the futures markets for dairy products or indirectly from the impact seen on the stock market. This can create marketing opportunities, especially in the deferred months which have surpassed the $18 mark in Class III Milk futures for June and beyond.

Sarah Jungman is a commodity broker with AgMarket.Net and AgDairy, the dairy division of John Stewart & Associates Inc. (JSA). JSA is a full-service commodity brokerage firm based out of St. Joseph, MO. Sarah’s office is located in Winterset, Iowa and she may be reached at 515-272-5799 or through the website www.agmarket.net .

The thoughts expressed and the basic data from which they are drawn are believed to be reliable but cannot be guaranteed. Any opinions expressed herein are subject to change without notice. Hypothetical or simulated performance results have certain inherent limitations. Simulated results do not represent actual trading. Simulated trading programs are subject to the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. There is risk of loss in trading commodity futures and options on futures. It may not be suitable for everyone. This material has been prepared by an employee or agent of JSA and is in the nature of a solicitation. By accepting this communication, you acknowledge and agree that you are not, and will not rely solely on this communication for making trading decisions.

U.S. Dairy Exports Surge to $9.51 Billion in 2025

Fri, 20 Feb 2026 17:50:01 GMT

The U.S. dairy industry closed 2025 just shy of an all-time export record, signaling strong global demand and growing diversification across international markets.

According to calendar year 2025 data released by USDA, U.S. dairy exports reached $9.51 billion, narrowly missing the record $9.54 billion set in 2022. That total is up 15% from 2024, showing how U.S. dairy continues to gain ground in global markets.

In addition to higher value, export volumes also increased. According to the International Dairy Foods Association (IDFA), U.S. dairy exports totaled 2.8 million metric tons in 2025, up 5% from the previous year. Growth was driven largely by expanding demand in the Middle East, North Africa, South Asia and South America, regions that are playing an increasing role in strengthening and diversifying U.S. dairy exports.

“This near-record year demonstrates that U.S. dairy exporters are succeeding in diversifying both markets and product portfolios,” says Michael Dykes, IDFA president and CEO. “Growth across North Africa, South Asia, the Middle East, South America and the European Union reflects a deliberate strategy to reduce concentration risk, deepen customer relationships and compete in emerging and established markets alike. Today, U.S. dairy exports reach 143 countries, and our product mix spans consumer-ready foods, high-value ingredients and specialized nutrition products — a level of diversification that strengthens long-term export resilience.”

Regional Growth Highlights

Export growth in 2025 was broad-based, with several regions posting double- and even triple-digit gains. The following breakdown from IDFA highlights how U.S. dairy exports performed by region:

North Africa — Exports surged 107% by value and 69% by volume, reflecting accelerating demand across the region.
Middle East — Exports grew 48% by value and 19% by volume, driven largely by processed cheese, sweetened milk powder, whey protein powder and concentrate, lactose and natural milk products.
South Asia — Exports grew 63% by value and 25% by volume, led by strong growth in India, Pakistan and Sri Lanka. U.S. dairy exports to India alone increased 71% by value and 31% by volume.
South America — Exports grew 14% by value and 7% by volume.
Central America — Exports grew 19% by value and 13% by volume.
North America — Exports grew 6% by value and 2% by volume.
East Asia — Exports grew 14% by value and 2% by volume.
European Union — Exports increased 61% by value and 69% by volume.
Sub-Saharan Africa — Exports grew 9% by value.

Higher-Fat Products Help Drive Momentum

Demand for higher-fat dairy products saw a sharp increase in 2025, contributing to overall growth in U.S. dairy exports. Global export volumes rose by approximately 165% for butter and milk fat and by 56% for whole milk powders, reflecting shifts in global purchasing patterns and increased use of these products in both consumer foods and food manufacturing.

Several other categories also posted solid gains. Dairy spreads, whey protein concentrates and cheese were among the stronger-performing products, indicating continued demand for both value-added ingredients and consumer-ready dairy products across a range of markets.

Combined with broader regional growth, higher export volumes and near-record export value, U.S. dairy continues to expand its role in international markets.

“Looking ahead, our industry is poised for even greater growth,” Dykes says. “A renewed trade agenda that expands market access, strengthens enforcement and opens new opportunities in Southeast Asia, Latin America, North Africa and the Middle East will allow U.S. dairy exporters to compete and win in markets around the globe.”

With momentum already built in 2025, the outlook for 2026 points toward continued export gains fueled by expanding opportunities.

New Year, Same Bearish Dairy Market

Wed, 07 Jan 2026 17:32:16 GMT

December was a month of catch up for the government to resume some of the final reports missing from the market since the government shut down. The Cold Storage Report was one of the most awaited reports, released December 23^rd. This brought the market up to speed on what inventory was on hand for most for butter and cheese as well as some frozen meat, fruit and vegetables.

Cheese stocks were down 1 percent from the previous report but up 2 percent from November 2024. Swiss cheese was the only product with more on hand than last month but interestingly enough, it was the only product with less than a year ago. Butter stocks were down 8 percent from last month and down 1 percent from 2024.

To put in in perspective, when comparing to 2023 stocks, butter was down 1% from 2023, while cheese stocks were down over 5 percent from two years ago. Therefore, the report could have been perceived as somewhat friendly, unfortunately, it just wasn’t enough to get the market excited, given the surplus of production seen in 2025.

While milk production has been declining from the summer highs, it is still seen to be well above previous year’s production throughout most of 2025, with the most recent report showing production up 4.5% in November when compared to 2024. Even if the market continues to slow production, the total production for the year still exceeds any domestic or foreign demand seen today.

Exports Grow, but at the Cost of Price

Foreign demand has been a bright spot in the U.S. dairy market, despite the lack of Chinese demand, there has been increases in export demand across most dairy sectors with butterfat showing the largest gains in 2025 with 150 percent increase from 2024 as of the September data released mid-December. This extra demand is a direct correlation of falling butter prices with the surplus of domestic product. Cheese sales also set a new monthly record with a 35 percent increase in export demand year over year in the month of September.

As we follow trends, we can see that U.S. cheese had more product sold in foreign markets in the first nine months of 2025 than was sold in any single year outside of 2024. Butter has been impressive to watch despite the tensions with Canada. While sales to our northern neighbor have declined, sales to The Netherlands, Australia and Saudi Arabia have exploded. Although new foreign demand was prevalent, it came at the cost of lower prices in order to open opportunities in those foreign markets.

In terms of foreign markets, the question asked most today is what impact the capture of Venezuela’s President could have on dairy markets, if any. To answer that, it is more complicated than looking at today’s import volumes. For example, the United States is the leader in supplying whey product and SMP to Venezuela, however Columbia and Brazil dominate most of the supply for liquid and condensed milk products being shipped into the country.

Venezuela’s Growing Role in U.S. Trade

When looking over the past five years, the United States has seen a large increase in demand for its products in Venezuela, becoming the second largest supplier of agricultural products for their country. Dairy and pet food have grown the most, although still a small portion of the products we ship to Venezuela. The most notable agricultural product shipped to Venezuela is soybean meal as we are their biggest supplier. For the cattle industry, our genetics have been in high demand as they work to improve their herds.

President Trump has stated that the U.S. will run Venezuela for the short term which could be beneficial to support cost effective trade with the country for many agricultural products. For dairy, they have a modest demand in the big picture for our country. Increase soybean meal demand could cause more issues for the U.S. Dairy farmers as it could increase cost of production. All of this is speculative in these early stages. What we do not know is how much instability this could bring to the Venezuelan economy or what global backlash could come in the next few months.

In conclusion, the U.S. dairy industry is fighting over supply and looking for a story to help eat through the surplus of product getting produced. While there is no near-term solution, there are a lot of unanswered questions in world trade as we navigate through tariffs, geopolitical conflict and strong global demand.

Sarah Jungman is a commodity broker with AgMarket.Net and AgDairy, the dairy division of John Stewart & Associates Inc. (JSA). JSA is a full-service commodity brokerage firm based out of St. Joseph, MO. Sarah’s office is located in Winterset, Iowa and she may be reached at 515-272-5799 or through the website www.agmarket.net .

The thoughts expressed and the basic data from which they are drawn are believed to be reliable but cannot be guaranteed. Any opinions expressed herein are subject to change without notice. Hypothetical or simulated performance results have certain inherent limitations. Simulated results do not represent actual trading. Simulated trading programs are subject to the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. There is risk of loss in trading commodity futures and options on futures. It may not be suitable for everyone. This material has been prepared by an employee or agent of JSA and is in the nature of a solicitation. By accepting this communication, you acknowledge and agree that you are not, and will not rely solely on this communication for making trading decisions.

U.S. Loses Global Competitiveness on Butter

Wed, 24 Dec 2025 14:36:20 GMT

This holiday season has been anything but typical when it comes to butter, a time of year when prices tend to spike. However, this year, CME spot butter prices reached their annual high in July, then dropped precipitously between August and November, putting in a bottom of $1.43/lb. on November 25, then leveled out in the mid-$1.40s, before taking another step lower on December 19.

“Throughout 2025, U.S. butter has been the lowest-priced product among global dairy exporters, and as a result, the United States has seen an uptick in international butter sales. In fact, the United States moved from being a net importer of butterfat in 2024 to being a net exporter by 41.8 million pounds through September 2025,” said Betty Berning, market analyst with the Daily Dairy Report. “However, international butter markets have been eroding of late, and the U.S. price advantage is shrinking.”

In Europe, butter prices in June averaged $3.90/lb., their 2025 monthly high. The monthly average through the first half of December had dropped more than 40% to $2.31/lb., making European butter much more competitive with U.S. product.

“The timing of Europe’s butter price descent has been different than that which occurred in the United States, with the largest losses in Europe occurring between September and December. In fact, U.S. butter held a large discount of more than $1.40/lb. to European butter in August and September. But then as the fourth-quarter milk supply began to swell on the continent, European prices plunged, and the U.S. discount fell to 81 cents per pound, the closest the two prices had been in at least a year,” Berning said.

A similar situation occurred in New Zealand. Global Dairy Trade (GDT) butter prices peaked in May at $3.59/lb. and have since dropped 35% averaging $2.31/lb. at December’s auctions. While prices decreased throughout the second half of 2025, they plummeted between October and December. In December, butter from New Zealand sold for only 84 cents per pound more than U.S. product—after holding a premium of $1.40/lb. in October.

“Looking ahead to 2026, U.S. butter exports should continue their strong pace, given that most sales are booked about three months in advance, and deals for January and February would have been struck when the U.S. discount was still quite large,” Berning said.

“However, as prices converge, U.S. butter exports will likely slow, returning to more historical levels.”

Over the past two years, U.S. butterfat production has grown at a breakneck pace, and while exports are a small part of total demand, the increase has absorbed some of the surplus cream in the United States.

“As export sales slow, butter will pile up more than it already has,” Berning said. “Class IV futures prices have been quite dismal, yet further deterioration in prices to maintain U.S. export flow could greatly crimp on-farm finances, but losing the exports altogether would be even worse.”

Is Dairy Headed Into Another Down Year?

Mon, 22 Dec 2025 18:04:22 GMT

Milk prices remain flat heading into 2026, with no clear sign of a sustained recovery as strong supplies keep buyers on the sidelines.
Milk production continues to climb, driven by larger herds, higher output per cow and incentives from strong beef-on-dairy calf prices.
Demand is steady but not strong enough to significantly reduce inventories, keeping pressure on margins despite solid cheese and butter exports.

Dairy producers don’t need a futures chart to know conditions are challenging. Milk prices have leveled off, margins remain tight and the outlook offers little sign of quick improvement. According to dairy analyst Robin Schmahl of AgMarket.net, the industry is likely heading into another tough year without a clear driver for stronger prices.

Looking at the price structure, Schmahl says the market is basically flat out through the first quarter of 2026. What troubles him most is not just the level of prices but the lack of urgency from buyers.

“The buyers of cheese, buyers of butter and dairy products are not concerned about supplies,” he says. “So, they don’t have to be aggressive. They can just wait. That’s the bottom line.”

Milk supplies are abundant, and that’s weighing heavily on prices. Production continues to climb, with more cows in the herd and higher output per cow, leaving the market well-stocked and buyers in no rush to secure more milk.

“On the last milk production report, we’re running 3.7% higher than the previous year,” Schmahl notes. “We’ve got over 200,000 more cows, and those cows are producing around 20 lb. of milk more than last year. We have a lot of milk.”

Demand is Good, But Not Good Enough

On the demand side, the picture is more complicated. Cheese and butter markets have held steady and exports are providing some support, especially with U.S. prices remaining competitive globally.

However, even with these positives, demand isn’t strong enough to make a meaningful dent in the large milk surplus. Domestic consumption is steady rather than growing, and while exports help, they can’t fully absorb the extra supply that continues to build.

“Cheese demand has been steady and even picked up a little,” Schmahl says. “International demand is very strong and holding well, largely because U.S. prices remain lower than world prices.”

Butter tells a similar story.

“Butter plants are running seven days a week,” Schmahl adds. “Cream supplies are very large, and world butter prices are about a dollar higher than U.S. prices. That price gap has fueled strong butter exports.”

However, global signals aren’t offering much optimism. The Global Dairy Trade auction, which tracks international dairy prices, dropped another 4.4% in its latest update. That’s the ninth decline in a row, showing buyers around the world are pulling back. This means lower global prices make it harder to sell milk overseas and harder for the domestic market to work through the extra supply.

Even positive developments, like the return of whole milk to school lunch programs, are unlikely to be game changers near term. Still, Schmahl calls it “real positive news,” noting that when whole and 2% milk were removed in 2012, “consumption in the schools went down because students didn’t like the skim and 1%.”

“It’s looking like it will be a lower year price wise,” Schmahl adds. “Demand exists, but not at levels that can chew through inventories and turn the price tide.”

Why are Butterfat Premiums Disappearing?

Processors are changing their priorities when it comes to milk components. For years, farmers focused on breeding and feeding strategies to boost butterfat because it was in high demand and paid well. Now, processors are pulling back, and the premiums for higher butterfat have all but disappeared.

“We’ve seen record butterfat production for about a year,” Schmahl says. “For a long time, processors encouraged higher fat levels. Now they’re capping it — anything over 4.5% they’re not going to pay for.”

This cap affects producers who have invested in genetics, crossbreeding and feed strategies to increase milk components.

“What producers have worked toward for years is now becoming a disadvantage,” Schmahl says. “It seems like processors expect cows to adjust instantly, but that’s not realistic.”

This change takes away one of the few tools producers had to earn more for their milk without increasing output.

Is Beef-on-Dairy Changing the Game?

Even though the market doesn’t need more milk, dairy cow numbers continue to see an increase. One reason is the growing beef-on-dairy trend, which has changed how producers make culling decisions. Strong calf prices have created an incentive for farmers to keep cows that might otherwise be culled.

“We do need more beef,” Schmahl adds. “That demand pushed calf prices higher, which in turn drove up heifer prices, so dairy farmers have started to think differently. Instead of buying a $4,000 replacement heifer, they could keep a cow that produces less milk, breed her to a beef sire and sell the calf for around $1,000. Plus, that cow will produce another calf down the road.”

He describes the beef-on-dairy trend as a modified Black Swan event. While it hasn’t appeared suddenly, it’s still unprecedented for the industry. Because there’s no historical model to draw from, analysts are finding it difficult to predict its long-term impact on herd management and milk supply.

That uncertainty is part of what makes the current cycle so tricky. As long as a 3-day-old beef-on-dairy calf can fetch $800 to $1,000, producers have a strong incentive to hang on to older, lower-producing cows. The result is elevated cow numbers that keep milk flowing even when milk price signals would traditionally force a contraction.

Risk Management in a Flat Dairy Market

Schmahl says the biggest risk many dairies are taking going into 2026 is doing nothing.

“Producers don’t want to do anything, because they think we’re at the low,” he says. “It may stay here for a little bit, but the upside potential is there. I’m concerned … about what could happen in the first quarter, or maybe first half of the year if our production trajectory follows what it is.”

On milk price protection, Schmahl favors options over DRP at current levels.

“I firmly believe that a put option strategy is the best way to go,” he said. “With Dairy Revenue Protection (DRP), you automatically give up about 5% of your insured price —usually around 80¢. That means your floor starts lower than the current market.”

By comparison, he says a well-structured option plan can keep your protection closer to today’s price. On inputs, Schmahl advocates taking advantage of relatively cheap corn and soybean meal.

“You’ve got a lot of year ahead — to just guess the market is not a good way to manage risk,” he adds.

Pressure Persists, Opportunities Remain

Looking ahead, 2026 is shaping up to be another challenging year for dairy. Milk supplies remain strong, and prices are expected to stay under pressure, leaving producers with tight margins. However, there are still some bright spots.

Export demand for cheese and butter continues to provide support, and U.S. prices remain competitive globally. Domestic programs, like the return of whole milk to school lunches, could help boost consumption over time.

While the market isn’t signaling a quick turnaround, disciplined risk management and careful planning can help producers navigate the year ahead and position themselves for opportunities when conditions improve.

Grim Reality: Global “Wall of Milk” Weighs on Dairy Markets as Production Surges

Wed, 03 Dec 2025 19:12:59 GMT

A “wall of milk” is building across global dairy markets, and the surge in production is already showing up in price signals for U.S. farmers, says Lucas Fuess, senior dairy analyst for RaboResearch Food & Agribusiness, based in Chicago.

“It is exceptionally rare to see the growth numbers that we are experiencing right now,” Fuess says, pointing to months of near 4% year-over-year U.S. milk production growth and expectations for above-average strength into 2026. “U.S. farmers are doing everything possible to maximize that output right now, but we’re tipping the scales a little bit into an oversupplied situation, and that weighs on prices.”

We’ve Tipped the Scale Into An Oversupply Situation Now

That unprecedented growth has led to a serious pressure on prices. Fuess says the price board makes the argument plain.

“If you look at a year ago, milk prices are $22 to $23, and right now the Class IV futures curve is in the $13 range,” he says. “That is well below cost of production. It is a clear market signal that we have enough milk right now in the U.S.”

How did we get here? He says last year’s profitability helped set the stage for the current supply burden.

“A year ago, profitability is really good for farmers,” Fuess says. “There is a market signal that says, ‘Make more milk. We need this product, and you’re profitable.’”

But the normal dairy lag is catching up, and dairy producers saw the signals last year to produce more milk.

“We can’t just shut off the cows overnight,” he says. “Now that we have these cows in milk, we deal with the supply through the next several months until we can readjust the overall situation.”

It’s Not Just The U.S.

Fuess says the bigger problem is the same output response is happening across the world’s key exporting regions — tightening the competitive squeeze.

“It’s not just the U.S. It’s essentially any of our key exporting areas around the world right now,” he says. “If you look at the European Union, there is massive milk production growth. Into South America, some countries are close to 10% growth versus the prior year. Even New Zealand could have a record milk production season.”

The “wall of milk” production entering the system is monumental, and it’s not just in the U.S., but around the globe.

(Rabobank)

“When you consider this all in sum, there is really no part of the world that is slowing down on milk right now, and that exacerbates the situation,” he adds.

The growth in the EU has been even bigger than what most were forecasting. Analysts say the expectation was production in Europe would grow, but not this much.

What’s behind the global growth? It’s a similar incentive structure: strong prices.

“It is very much milk-price driven,” Fuess says. “When the market signals that, farmers respond with additional milk supply.”

Cow Numbers Hit 30-Year Highs

It’s not just that producers are seeing more milk per cow. Fuess says another layer to the supply story is the expansion in the U.S. milking herd — bigger-than-normal swings.

“Historically, there is probably around a 150,000-cow swing that we are used to between highs and lows,” he says. “But between summer of 2024 and into fall of this year, cow numbers grow by more than 200,000 head. That is massive compared to what we are typically used to.”

He says the herd is now the largest since the 1990s, which is roughly 30-year highs. And the growth in cow numbers can also be attributed to profitability last year, plus beef-on-dairy economics that are incentivizing that growth.

“It reflects profits coming from that milk check, but also the beef-on-dairy trend,” Fuess says. “Farmers want to keep those adult cows in milk to capitalize on the value and revenue they get from cows right now.”

Tale of Two Demand Stories

Fuess says demand depends on where the product is headed.

“If you look at domestic U.S. demand — product we consume in country — we are maybe a little bit oversupplied right now,” he says. “That’s where we get some of these weaker price signals.”

He points to the product categories feeling the pressure.

“Products like cheese or butter are at multi-year lows on their prices,” Fuess says.

Still, he sees a major outlet continuing to do heavy lifting: exports.

“The good news is we could see a record export year for dairy products leaving the U.S. in 2025,” he says, following what he calls a “really good” 2024. “It’s another testament to how powerful exports are in removing excess product and capitalizing on growing global demand for dairy.”

Dairy Remains Largely Untouched By Tariffs

Even with trade tension in the news, Fuess says dairy exports have seen limited disruption, especially with the U.S.’s two biggest North American buyers.

“With all of the trade and tariff discussions, dairy has very minimal impact,” Fuess says. “Part of that is the USMCA agreement that allows products to continue to flow openly into Mexico and with some restrictions into Canada.”

He says there is a brief hiccup earlier this year for whey shipments tied to the U.S.-China tariff escalation, but he describes it as temporary.

“Overall, it is a very strong and solid year for our exports,” Fuess says. “That’s really good to talk about regardless of the back-and-forth in the headlines.”

Pressure Expected to Continue Into Early 2026, But Is a Mid-Year Recovery Possible?

Fuess says the start of 2026 could remain difficult as demand seasonally cools and milk production builds toward spring flush.

“Into the first quarter of 2026, demand is falling a little bit after the holidays,” he says. “At the same time, milk production is growing toward seasonal highs — toward that spring flush. I’m not optimistic for milk price growth in the near-term months of 2026.”

But he expects some tightening later in the year as producers respond to economics.

“Into the middle of next year, I do think herd size starts declining as farmers take a look at how many cows they need,” Fuess says. “We expect a little bit of upside moving throughout the year. Milk prices are certainly not good right now, but I think it is short-lived before we see some recovery into 2026.”

Bridging Bridges and Driving Global Dairy Opportunities

Mon, 01 Dec 2025 17:51:33 GMT

The World Dairy Summit, recently held in Santiago, Chile, brought together industry leaders, dairy farmers and passionate advocates for U.S. dairy exports. Among those leading discussions were Krysta Harden, president and CEO of the U.S. Dairy Export Council (USDEC), and Charles Krause, a Minnesota dairy farmer.

The Global Stage for U.S. Dairy
Both Harden and Krause highlight the pivotal role that relationships and trust play in expanding U.S. dairy exports. They emphasize the importance of being present in international markets and establishing connections that go beyond simple transactions. As Harden points out, the commitment of U.S. dairy farmers and member companies is critical to overcoming the cultural, language and geopolitical challenges that arise in the global marketplace.

“Establishing those relationships, those pipelines of how they can see where products come from is crucial,” Harden says. “We bring people to the U.S., buyers and customers, to look at our dairy farms, to look at our processing facilities. It’s a process, but it pays off.”

Krause, who is deeply involved in fostering these international relationships, believes in engaging directly with farmers and consumers around the world.

“It’s all about relationships, and nothing beats these boots-on-the-ground opportunities,” he says. Krause smiled widely, sharing that while visiting Chilean grocery stores, he saw U.S. dairy products on the shelves, underscoring the tangible results of these efforts. “The reality is, two-thirds of every pound of milk produced in the U.S. needs to be exported for the industry to grow and thrive.”

Opportunities and Challenges
During the summit, discussions also focused on the opportunities and challenges facing U.S. dairy exports. Harden identifies Central America, Southeast Asia and parts of Africa as regions with significant growth potential.

“We have a lot of opportunity,” she says. “We’re starting to see real growth in in Central America and the Dominican Republic. All of Latin America always excites me.”

However, geopolitical issues, such as trade tensions with China, present ongoing challenges that require strategic diversification and adaptability.

“We do have a few challenges, obviously China and the trade situation between governments, it’s hard to replace the size of a population and a market like China,” she says. “You don’t do that with just one other country. That’s why we have to have diversity in our markets. We have to be looking around the corner for what’s next, who’s next, who can grow, who can take advantage of our great, high-value products.”

Strategic Vision and Farmer Involvement
The summit’s sessions, such as the farmer roundtables, provided invaluable insights and fostered collaboration among dairy producers from around the globe. These discussions revealed both common challenges and shared opportunities, reinforcing the importance of global collaboration in sustaining and expanding dairy markets.

Harden says this is her fourth time attending the World Dairy Summit and she loves making connections with dairy people from all over the globe.

“Each summit is better because you know more people and the connections; you’re coming home to see friends in some places, especially the farmers,” she says, noting the deep discussions that unfold, talking about both the opportunities and challenges on the radar. “We can’t do it all ourselves, and I think that sometimes it’s forgotten by our own industry. We have a loud voice. There needs to be a lot of echoes, too.”

Both Harden and Krause also underscore USDEC’s commitment to exploring new markets and facilitating pathways for U.S. dairy exports. The organization works diligently with member companies to open doors and bolster market access, ensuring the high-quality standards and values upheld by U.S. dairy farmers reach consumers worldwide.

Harden applauds Pennsylvania dairy farmer and Dairy Management Inc. chair, Marilyn Hershey, who was recently elected to the board of the International Dairy Forum, the host of the World Dairy Summit, on the farmer seat.

“She’s the only farmer on that board, and so we have a voice front and center,” she says.

Farmers in attendance, like Krause, returned home with enriched perspectives and a stronger resolve to advocate for the U.S. dairy industry’s global presence.

For those unable to travel globally, Krause reassures that: “Exports matter because they bring value back to our local farms.”

The World Dairy Summit not only celebrated the accomplishments of U.S. dairy exports but also emphasized the continuous journey of growth and collaboration necessary for future success. As the summit concluded, the commitment to building and nurturing international relationships was clear, leaving participants inspired and hopeful for the expansive opportunities ahead.

The Dynamic State of Dairy: Growth, Exports and Regional Trends

Fri, 03 Oct 2025 18:27:55 GMT

As the dairy industry navigates another year of extraordinary growth, understanding its driving forces and future outlook becomes imperative. The industry’s beat remains positive, marked by thriving cow numbers, milk production and exports.

Milk Production Surges
Milk production in 2025 has exceeded expectations, with growth numbers surpassing 4%. Comparable to the robust growth seen in 2021, these numbers are partially attributed to weaker previous years. As the market responds to the abundance of milk, producers are seeing significant growth in yield, driven by multi-decades of high cow numbers. This surge is expected to continue as domestic demand combines with increasing exports.

“There’s no turning off this milk now that we have it,” says Lucas Fuess, senior dairy analyst for RaboResearch.

Beef-on-Dairy: A Key Revenue Driver
The surprising rise in cow numbers is largely due to strategic management by producers. Keeping cows in the herd longer and focusing on breeding programs have become crucial. Producers continue to leverage “non-milk” revenue streams, such as beef-on-dairy, which constitute a growing percentage of their revenue. The availability of technology and tools further aids farmers in executing these strategies effectively.

“Farmers are very dialed in and strategic about their breeding and reproductive programs right now, just because it’s so critical to making sure that you can pay the bills — but making sure that you can drive that revenue from beef-on-dairy,” Fuess shares.

With milk prices on the softer side and input costs declining, beef-on-dairy has become an essential component of farm revenues. In fact, Fuess shares these cross calf sales are projected to make up 5% to 10% of dairy revenue this year, with prices climbing steadily. Favorable feed costs, owing to large corn and soybean harvests, also support the financial viability of maintaining high cow numbers.

Eyes on Exports: The Global Demand for U.S. Dairy
The United States continues to play a significant role in global dairy exports. Mexico remains a top customer, breaking records in cheese exports. Other regions like East Asia, Southeast Asia and the Middle East also present growth opportunities as European milk production declines. New Zealand, while experiencing record production, shows limited long-term growth prospects, placing a spotlight on U.S. exports.

“Cheese exports in 2024 were record high. We might set yet another record high this year,” Fuess says. “It’s just been a really good story as Mexico’s trade situation hasn’t been interrupted due to any of the tariff discussions this year.”

Emerging Regional Trends: New York’s Ascendancy
New York is emerging as a key player in the dairy sector, previously overshadowed by states like South Dakota and Texas. With significant investments in processing facilities, including upcoming plants from Fairlife and Chobani, New York is poised for substantial growth. Current projections indicate these new facilities could handle half of New York’s milk production once fully operational.

“Current projections show that if those two plants run at full capacity, based on what they both stated, they will ramp up to almost half of New York’s current milk production, which is just a crazy number,” Fuess shares, noting that likely New York dairies will expand with the addition of new green sites dairies being added to help fill these production needs.

“People are very happy for that processing investment,” he says. “Just like in the center of the country, for years, we’ve been happy to see processing investment.”

A Bright Outlook for Dairy
The overall sentiment within the dairy industry remains optimistic. Strategic growth in cow numbers, innovative revenue streams and expanding export markets signify a promising future. Stakeholders eagerly anticipate processing investments, expected to benefit dairies and regions alike. As investments continue to pour into the sector, the dairy industry stands on the cusp of unprecedented growth and opportunity.

Listen to Lucas Fuess conversation with Chip Flory on AgriTalk:
https://omny.fm/shows/market-rally/agritalk-10-2-25-lucas-fuess

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Economic Insights: Navigating the Shifts in the Dairy Industry

Wed, 01 Oct 2025 20:17:30 GMT

Phil Plourd, president of Ever.Ag Insights joined Chip Flory on “AgriTalk” live at World Dairy Expo to shed light on the current market dynamics, emphasizing how the agricultural landscape is shifting. Farmers have enjoyed farm profitability over the past few years, but uncertainty looms on the horizon. While export sectors remain strong, there’s a heightened focus on domestic production and wellness trends that play into evolving consumer demands.

Impact of Beef Cross Calves
The growth in beef cross calves has also been transformative, with increasing profitability and minimal associated costs. This change is propelling the industry into a new era, offering unprecedented opportunities and challenges. It poses significant questions on how producers will adapt their strategies concerning dairy and beef balance.

Plourd says beef prices are so high now that even a major retreat would still leave dairy producers with much more beef income than they enjoyed seven or 10 years ago.

“We think financial incentives will continue to lean toward beef-on-dairy activity, even if it’s not quite as lucrative as today,” he says.

Navigating Consumer Demands
In the U.S., Plourd shares that restaurant performance mirrors consumer spending behavior, impacting dairy demand indirectly. While the cheese market remains robust, the restaurant sector faces a downturn, prompting questions on reaching individuals who opt for at-home dining instead. This presents both a challenge and an opportunity to innovate retail offerings.

Exports: A Bright Spot
Despite domestic challenges, exports have presented a silver lining. The industry’s ability to tap into global markets has, at times, offset slowdowns experienced at home. As the industry continues to grapple with consumer behavior fluctuations and restaurant declines, international trade remains an area of growth and focus.

Plourd’s discussion on “AgriTalk” at World Dairy Expo encapsulated the essence of navigating an evolving market. As the conversation continues, it’s clear that embracing innovation and understanding consumer shifts remain critical. Whether through increased protein offerings or tapping into export markets, the dairy industry is poised to adapt and thrive amid challenges.

To listen to the full conversation between Plourd and Flory, go to:

Global Market Cannot Absorb Growing Milk Production

Thu, 25 Sep 2025 11:13:44 GMT

With milk production rising in nearly all major dairy exporting regions, something’s got to give in milk markets. Looking at the top-five export markets, year-to-date output through July is up about 1%, relative to the first seven months of 2024, according to calculations by Betty Berning, market analyst with the Daily Dairy Report.

That means there’s approximately 3.7 billion pounds more milk this year than last, highlighting the huge growth occurring globally. Berning adds that the increase is enough to make 370 million pounds of additional cheese, or 150 million to 200 million pounds of additional butter, assuming 4.3% butterfat and 82% fat butter.

“While dairy demand is rising in the developing world, this increase in milk volumes is more than these markets can absorb and will continue to overwhelm the balance sheet until producers somewhere cut back on production, or prices get low enough to spur additional buying,” Berning says. “Historically, during times of surplus, milk production has not adjusted overnight or even in a month, and given that the Southern Hemisphere is headed toward peak and U.S. producers are still making money, the tidal wave will likely continue to grow through the end of 2025 before a correction occurs.”

Impressive global supplies are exacerbating price decreases as milk collections swell. In the EU-27, year-over-year milk volumes rose between April and July, and July’s 0.8% gain, pushed year-to-date totals into positive territory, according to CLAL data. In New Zealand, with three months of data reported in the 2025-26 season, milk solids were up 4.25% compared to the same three months in 2024. And this year’s output in Argentina was up nearly 11% through August compared to last year’s poor showing. Among the major milk exporters, only Australia has posted lower output.

“At some point yet this year, markets will likely have to adjust, although it seems more likely that this will happen in other parts of the world because U.S. producers have some cushion in their cash flows,” Berning says. “In Europe, producers could exit or retire due to increased regulations. Some Aussie producers have already switched to beef, and that trend will continue, while New Zealanders will likely feed less palm kernel expeller and cull earlier if profitability wanes. And U.S. producers could eventually take advantage of high cull cow prices and adjust the herd downward from its current multiyear high.”

According to the Dairy Margin Coverage program’s income-over-feed-cost calculation, margins have ranged from $13.85 to $10.40 per cwt, but these strong levels are forecast to drop to an average of $9.80 per cwt next year, based on futures prices and USDA forecasts. The cost of labor and replacements will absorb most of the income over feed costs, but the money producers are making from crossbred calves and cull cows has provided dairy producers with an estimated $4 per cwt in additional income, Berning calculates.

“That means producers could maintain the current upswing in production longer if profitability is sustained,” she says.

For U.S. producers to truly feel the pinch of lower milk prices, Berning calculates the average All-Milk price would need to drop to $16 per cwt, which would equate to Class III and IV prices between$12 and $14 per cwt. And that means, for example, that CME spot Cheddar blocks would need to drop to $1.4 per pound with whey priced at about 50¢ per pound for the Class III price to drop to $13.10 per cwt. And for Class IV to drop to $14.07 per cwt, CME spot butter would need to fall to $1.80 per pound and nonfat dry milk would need to be priced at about $1.10 per pound.

“While this may not seem plausible relative to where current futures prices are trading, fundamentals are in a state of disequilibrium, and the problem could get worse before it gets better,” Berning says.

Your Next Read:
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A Glimmer of Hope on the Horizon for Dairy Markets

Mon, 15 Sep 2025 17:24:25 GMT

As dairy markets appear to be in a free fall with no bottom in sight, we compare numbers from Friday’s WASDE report to see if there are encouraging signs for the future.

Last week, the USDA released the September WASDE report with a few hidden gems that show promise for 2026. While 2025 prices are struggling to find support, a new trend is starting to appear to give some hope for rising use in U.S. Dairy products.

To recap what the market is facing currently: Production numbers are high, and this month’s report did not help that projection, increasing production 800 million pounds from last month’s report. That trend is projected to continue as temperatures are starting to fall across the country, outside of the last few days. Lower temperatures help increase cow comfort and therefore produce a greater volume of milk.

USDA also increased production from 2025 to 2026, which is following the trend seen on the last few quarterly milk production reports due to not only an increase in milk production per cow but also a slowly growing herd size. The increasing herd size is interesting, indicating that as commercial beef herds are decreasing and cattle prices are at an all-time high, the dairy industry can continue to grow in that environment.

From a financial perspective, dairy on beef bulls makes more sense in the short term, as the value of that calf currently outweighs the risk of uncertainty with milk prices and bringing a heifer to milk production stage. On a long-term decision, 2026 is showing an increase in demand that may be timed just right as heifers are brought to production.

Exports seem to be the beacon of hope for fat-basis and skim-solid basis products. While fat-basis products are currently experiencing lower domestic demand, exports increased from the August report by 1 billion pounds, projected at 15.6 billion pounds. For 2026, USDA is currently estimating 13.9 billion pounds of exports, up 1.1 billion pounds from last month’s report. While lower than 2025, it is still 2.1billion to 3.4 billion pounds higher than 2023 or 2024.

For skim-solid basis products, exports are at 48 billion pounds for 2025, 300 million pounds higher than August projections. While this is still lower than 2023 or 2024, it is projected to increase into 2026, matching the values seen last year.

Skim-solid basis products have another story developing, as domestic use is increasing as well. 2025 is projected to reach 187.3 billion pounds of usage, up 1.5 billion pounds from last month’s report. There is also a 1.3-billion-pound increase in 2026 domestic usage from August, now reported at 188.9 billion pounds, which is over 5.7 billion pounds higher than 2024.

From these numbers, there is some optimism for 2026. While production is increasing, demand is slowly growing as well, projected to rise higher than the increase in supply. So, while 2025 demand is slow to react to the increase in supply, hope is on the horizon if USDA projections are correct.

As for the current market, the holiday season is coming, and the current price trend is counter-seasonal but warranted due to the increase in production. So, watch closely for a shift in buyer interest for holiday products.

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Dwindling Irish Butter Imports Helping to Lap up U.S. Surplus

Mon, 11 Aug 2025 14:02:45 GMT

The dairy industry, like many industries, is caught in the crosshairs of President Donald Trump’s tariff policy, and the uncertainty of today’s trade policies, has caused at least one foreign dairy company to shift sales to other markets. In an April earnings report, Ornua, the manufacturer of Kerrygold butter, said it had already sold most of its stockpiles slated for export to the United States in an effort to frontload sales ahead of potential tariffs.

“Americans can’t get enough Irish butter, but they may soon have to make do with less,” said Sarina Sharp, analyst with the Daily Dairy Report. “Last year, Kerrygold reached a record number of U.S. households, and for several years, Kerrygold has ranked second in U.S. butter sales, behind domestic favorite Land O’Lakes.”

In November 2024, the United States imported a record-shattering 17 million pounds of butter from Ireland, primarily the Kerrygold brand. While U.S. imports of butter from Ireland remained well above average monthly volumes through January 2025, they plunged to less than 3 million pounds in April and less than 2 million pounds in May—the smallest monthly volume since 2019. “And there is reason to believe that imports will remain low,” said Sharp.

(Fran Howard)

In late July, Trump and European Commission President Ursula von der Leyen announced the loose terms of a trade framework between the world’s two largest economies in which the European Union agreed to import U.S. goods tariff-free, while the United States said it would levy 15% tariffs on all imports from the bloc. However, each EU member state still needs to ratify the agreement for it to become effective. Last year, the EU-27 sent 141 million pounds of butter to the United States. If 15% tariffs are levied, the price consumers will have to pay for Kerrygold and other EU butters will almost certainly rise.

Ornua Chief Executive Officer Conor Galvin told a recent panel in Dublin that while the United States remains a key market, “the rules of the game have changed,” and the company will need to diversify sales away from the United States.

“A setback or even a pause in the growth of Irish butter imports would present a rare opportunity for U.S. buttermakers who have tried but failed to capture some of Kerrygold’s market share,” Sharp said. “American consumers have been willing to pay more for Kerrygold because it boasts as much butterfat as other European-style butters, while not skipping the salt. And while U.S. buttermakers can mimic Kerrygold’s fat and salt content, they have been unable to replicate its Emerald Isle aura, with Gaelic prominently featured on its distinctive gold packaging.”

If Kerrygold plays less prominently in dairy cases, some consumers could turn to one of the U.S. brands that have long struggled to compete with the iconic Irish import, Sharp said. And the vast spread between U.S. and EU butter prices could convince these converts to stick with American products when and if Irish butter imports rebound, she added.

“Lower imports and greater demand for domestic butter brands are already helping to lap up some of the United States’ rapidly growing butterfat supplies,” Sharp noted. “Currently, domestic demand is just strong enough to stay ahead of butter production, but any shift in the trade balance could quickly disrupt this equilibrium.”

A New Dawn for U.S. Dairy: The Trade Breakthrough with Indonesia

Thu, 24 Jul 2025 16:05:25 GMT

The landscape of international dairy trade recently witnessed a significant milestone with the announcement of a comprehensive new trade framework between the United States and Indonesia. This landmark agreement promises to open new horizons for American dairy exports, signaling a new era of trade opportunities and partnerships in Southeast Asia.

Industry Leaders Applaud the Move
Several prominent dairy organizations, including the U.S. Dairy Export Council (USDEC), National Milk Producers Federation (NMPF), the Consortium for Common Food Names (CCFN), and Edge Dairy Farmer Cooperative have applauded this development. The agreement sets a powerful precedent by eliminating tariffs on the vast majority of U.S. exports to Indonesia and pledges to dismantle longstanding nontariff barriers that have previously hindered American dairy products from entering this thriving Asian market.
Gregg Doud, president and CEO of NMPF, expresses his optimism.

“This looks like it will be a significant win for U.S. dairy,” he states, emphasizing the potential benefits this deal brings for American dairy farmers and pointing out the significance of such an agreement in fostering trade growth in one of the world’s most populous nations.

“We are pleased to hear this framework removes roadblocks to trade and will help grow dairy sales in one of the world’s most populous markets. NMPF looks forward to reviewing the details of the agreement and working with the administration to ensure Indonesia upholds its end of the bargain,” he says.

A Fair and Transparent Approach to Trade
The framework has been outlined meticulously in a White House fact sheet, which highlights Indonesia’s commitment to removing tariffs on nearly 99% of U.S. exports. Additionally, the agreement includes recognizing U.S. regulatory oversight, listing all U.S. dairy facilities and implementing a transparent mechanism for handling geographical indications (GI) — a crucial element for the protection of common cheese names like Parmesan and feta.

Krysta Harden, president and CEO of USDEC, remarks on the crossroads this deal represents for U.S. dairy exporters.

“This deal is poised to strengthen our long-term partnership with Indonesia while giving U.S. dairy companies a better shot at competing fairly,” she says. “While verification that Indonesia honors its commitments will be necessary, the removal of both tariff and nontariff barriers is precisely what our industry needs to create new momentum for U.S. dairy exports and deeper collaboration with a key Southeast Asian partner.”

Commitment to Fair Practices and Common Names
Jaime Castaneda, executive director of CCFN, emphasizes how the significance of maintaining common food names in the global market cannot be understated.

“We commend the U.S. negotiators for prioritizing this issue, particularly at a time when European Union is attempting to expand their GI abuse in growing dairy markets and shut out the United States. We will work diligently with the U.S. government to hold Indonesia accountable to their commitments on common names,” he stated.

Moreover, the agreement signals a commitment to a fair and balanced approach to GIs — a move that is expected to resonate across global markets and aid in long-term sustainability and competitiveness for U.S. dairy.

A Bright Future for U.S. Dairy Exports
Heidi Fischer, Edge board president, expresses enthusiasm for the trade framework and its potential implications for U.S. dairy farmers. With expectations of improved market access in Indonesia, there is anticipation of a rise in global demand for American dairy products.

“We are encouraged by the trade framework between the U.S. and Indonesia and what it means for dairy farmers,” she said. “By improving market access in Indonesia, we hope to see a rise in the global demand for U.S. dairy products.”

Last year, the U.S. exported $246 million worth of milk powders, whey products, cheese and other dairy ingredients to Indonesia — cementing it as the seventh-largest U.S. dairy export destination. This agreement is set to complement ongoing initiatives by NMPF and USDEC to integrate school milk into Indonesia’s new Free Nutritious Meals program, fostering greater collaboration and cementing strong trade relationships.

As the U.S. dairy industry savors this momentous achievement, there is anticipation for the prosperous journey ahead, underpinned by shared growth and collective success in global markets.

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Boost in U.S. Milk Production: The Reasons Behind June’s Impressive Surge

Dairy Exports Strong Despite Lingering Trade Negotiations

Tue, 22 Jul 2025 15:09:11 GMT

Recently, dairy has been a beacon of shining light when it comes to exports especially when looking at the massive trade deficit U.S. Agriculture is facing as reported by the USDA in the latest Outlook for U.S. Agricultural Trade. In 2024 alone, the U.S. dairy industry bolstered a $2.8 billion trade surplus. In 2025, as of the May U.S. Dairy Trade report rang in new records in cheese exports and strong gains in butterfat up 150% from this time last year. The USDA has forecasted an over $3 billion trade surplus for 2025 and it appears like we are on the right track to make that happen.

There are a few factors that have caused so much demand in U.S. cheese and butterfat products. Mainly, price is a huge determining factor. The U.S. is one of the most competitively priced products in the world right now. The U.S. is the lowest priced product among the top three dairy exporters, under the EU and New Zealand currently. Mostly because U.S. herds have chosen to cull fewer cows based on USDA slaughter data. This causes a surplus in butterfat availability or supply. There has also been a recent decline in usage in the United States, most notably in pizza sales resulting in a surplus of cheese available for export. On the other hand, the EU has struggled to maintain herd size, losing more than 700,000 head from 2023 to 2024 from varying factors but disease has been an issue.

This positive trade balance has not come without struggle. The recent trade negotiations with China have left a massive hole in Dry Whey product demand. India is in turmoil over proposed trade agreements and it makes one wonder what the U.S. dairy export program could have been without hostilities from the Asian market. China is the world’s number one dairy product importer and has been a long standing importer of U.S. Dairy products, accounting for a monthly total varying from 14 to 22% of export volume of U.S. dairy products. In the month of May, we saw low protein whey drop nearly 70% on volume shipped to China compared to May of last year. Skim solids and NDM have been hit hard. In 2024, China accounted for 43% of low-protein why exports alone and 14% of all U.S. dairy products exports.

India’s dairy farmers are concerned with negotiations as the proposed trade deal could lead to a drastic drop in milk prices and a surplus of product in their country. Protestors believe there could be as much as a 15% drop in local milk prices due to an increase in milk imports by over 25 million tonnes. While positive for the U.S. dairy, this is a major hold up of the U.S./India trade deal. India also sites help concerns over GMO’s being introduced to their market. The U.S. in turn has raised formal objections at the World Trade Organization over the dairy certification system India uses. The belief is they cause unfair and unnecessary trade barriers.

Another pain point for U.S. trade, Mexico saw a decline in demand, reducing purchases 12% year-over-year. But increases in cheese demand in Japan and South Korea have more than made up for the deficit.

The future of the U.S. dairy export program has a lot to look forward to. Despite hostile relations with some of our major consumers, we have managed to diversify our availability of markets, shipping more butterfat and cheese in history and to countries we have not seen this type of volume before. Should a trade deal with India or China be accomplished, we have a lot of look forward to but with an air of caution. The reward from high exports has been derived from low U.S. prices compared to the rest of the world and a surplus of whey with no demand is weighing on the farmer’s bottom line. Without a trade deal especially with China, we could see a drop in milk price due to a massive amount of low protein whey, clogging the pipeline with nowhere to go, caused by the huge production of cheese. Luckily, the U.S. dairy industry in innovative and much like us diversifying our exports to new frontiers when faced with the hurdle of trade wars, who knows what solution we will find to the looming whey problem.

Sarah Jungman is a commodity broker with AgMarket.Net and AgDairy, the dairy division of John Stewart & Associates Inc. (JSA). JSA is a full-service commodity brokerage firm based out of St. Joseph, MO. Sarah’s office is located in Winterset, Iowa and she may be reached at 515-272-5799 or through the website www.agmarket.net .

The thoughts expressed and the basic data from which they are drawn are believed to be reliable but cannot be guaranteed. Any opinions expressed herein are subject to change without notice. Hypothetical or simulated performance results have certain inherent limitations. Simulated results do not represent actual trading. Simulated trading programs are subject to the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown. There is risk of loss in trading commodity futures and options on futures. It may not be suitable for everyone. This material has been prepared by an employee or agent of JSA and is in the nature of a solicitation. By accepting this communication, you acknowledge and agree that you are not, and will not rely solely on this communication for making trading decisions.

Mexico Goes All Out to Grow Milk Production

Mon, 21 Jul 2025 16:00:00 GMT

Mexico has been trying to grow its dairy industry for years, with mediocre success. But the threat of 30% tariffs on top of a 10% base tariff appears to be the impetus the country needs to pick up its effort. That’s bad news for the U.S. dairy industry because Mexico is the largest foreign purchaser of U.S. dairy products, according to Sarina Sharp, analyst with the Daily Dairy Report.

“Mexico accounted for more than half of U.S. milk powder exports and more than one-third of U.S. cheese exports in 2023 and 2024. In each of the past three years, Mexico consumed more U.S. milk powder than the United States used domestically,” Sharp noted.

Amid uncertain trade relationships and food inflation, Mexico recently announced plans to spend $4.1 billion over the next five years to boost domestic milk production 13% by 2030. The country’s Ministry of Agriculture and Rural Development hopes domestic milk production growth will replace 30% of milk powder imports.

The ministry announced it will provide small- and medium-sized operations—97% of all operations—with subsidies, technical assistance, and infrastructure upgrades. Funding will also be provided to reopen and modernize dairy processing facilities. These new programs will be launched alongside the new Leche para el Bienestar, or Milk for Wellbeing, initiative. In this initiative, which is expected to benefit 7 million consumers this year alone, the government will directly purchase milk from producers in the poorest states and resell it to low-income consumers at a fixed price.

“Mexico will surely face some potholes on the road to self-sufficiency,” Sharp said. “Many nations, including the United States, have attempted to prop up small farming operations, but they’ve failed to forestall consolidation. In addition, Mexican processors will have difficulty competing on quality and cost by restoring manufacturing facilities that were mothballed decades ago.”

Even without government help, Sharp noted that Mexico’s dairy industry was expected to expand. According to a recent USDA Global Agricultural Information Network report, milk production in Mexico is expected to grow 1% this year compared to 2024 due to drought relief, less expensive feedstuffs, an expanding milk-cow herd, and continued consolidation. Since the report was published in May, Sharp added that drought conditions have improved and feed costs have continued to drop, indicating that growth in milk output could be even stronger.

“Even if Mexico’s milk production ambitions fall short, the focus on growth could have a significant impact on the U.S. dairy industry,” Sharp said. “For decades, a favorable trading relationship has cultivated a vital outlet for U.S. dairy output. But today, the relationship has started to sour, and the Mexican government is looking to replace American dairy with homegrown products.”

Why Now is the Time To Move Used Construction Iron in the Farm Equipment Auction World

Thu, 10 Jul 2025 13:51:25 GMT

Casey Seymour and Greg “Machinery Pete” Peterson agree now is the time when many farmers spend time shopping for what they call auxiliary machinery — things like wheel loaders, skid steers, track loaders and other compact and heavy utility equipment types.

“Skid steers are one of the first things that pop up when in my mind when I start thinking about that right now,” says Seymour, adding there is almost always a healthy supply of the versatile material movers in the used market.

Machinery Pete recalls skid steer values falling a bit last year due to that high supply, but this year is a different story. Values are trending up on used because, once again, the cost of a brand-new skid steer is high.

(Machinery Pete Facebook)

“Pifer’s Auction had a sale (recently), and I think it was a 2024 Deere 335 P-Tier with 275 hours on it, give or take, and I thought that sold really well at $94,000 hard cash,” Pete says.

Another notable transaction came out of Illinois, Pete recalls. At a Joel Everett Tractors & Auction sale, a 2009 John Deere 325 with under 300 hours sold for $36,000, which was well over the previous auction high of $28,500.

“It was interesting. When they got to the skid steer they paused and said, ‘Hey, folks, this 2009 model is loaded with every single option,’ which is unusual for a 16-year-old model,” Pete adds. “But again, it was palpable how many people wanted that thing, and you know, $36,000 is a big check — but for hardly any hours on it and what you’re going to pay for a new one?”

Pete and Seymour also discuss the firming up they are seeing with used values on some of the large construction equipment seen around the farm, including excavators, wheel loaders and bulldozers.

How Kerr Auctions is Unlocking Export Markets

Alex Kerr of Kerr Auctions joined the guys next to discuss how his auction house is carving out space in the export market.

Kerr says the company has capitalized on growing equipment demand overseas by creating specialized sales that cater to export buyers. These sales often feature equipment that may not have strong domestic buyer interest due to age or condition.

Kerr has established partnerships to help overseas buyers handle logistics and shipping, and the company made the decision to eliminate buyer penalties for high bidders. Both decisions demonstrate a level of transparency and trust that helps put buyer minds at ease, he thinks.

“Specialized sales do well,” Kerr says. “We got to thinking that the export buyers, they hate some of the auction things they deal with. They don’t speak the language; you’ve got to talk to them on WhatsApp, or they have an online only presence.”

Kerr Auction’s next big export-focused Inaugural Farmer/Dealer Consignment Sale is set for Aug. 14. Check out all the details here.

The Rest of the Episode

Shawn Hackett, president and CEO of Hackett Financial, joined the show for an update on where commodity markets sit today and row crop futures prices. Glen Birnbaum, principal with Sikich, came on to talk machine depreciation rates and upcoming changes to tax law.

And Aaron Fintel, used equipment specialist with 21st Century Equipment, gave his view on moving used compact construction equipment out on the western plains.

Head over to YouTube to watch the full episode , and give it a “Thumbs Up” and hit the “Subscribe” button to get every Moving Iron episode as soon as it drops.

Trump's Aggressive Trade Agenda Is Back On

Thu, 29 May 2025 20:40:20 GMT

The interruption to President Donald Trump’s trade agenda was short lived.

A federal appeals court has now granted the Trump administration’s request to temporarily pause the Wednesday lower-court ruling that declared an emergency law does not provide President Trump with unilateral authority to impose tariffs on nearly every country — a decision that would have blocked reciprocal tariff announcements dating back to February.

The original ruling was issued by a three-judge panel at The U.S. Court of International Trade. The judges said the sweeping tariffs and other global levies imposed under the International Emergency Economic Power Act were unlawful, which invalidates President Trump’s April 2 reciprocal tariff order. That order included 30% tariffs on Chinese imports, 25% tariffs on select goods from Mexico and Canada, as well as a blanket 10% tariff on most imported goods.

The Trump administration then filed a notice of appeal, which was granted on Thursday by a federal appeals court. The pause gives the Trump administration some additional time to prepare to argue the law empowers the president to unilaterally launch a global tariff strategy.

Before the appeal was announced, White House Press Secretary Karoline Leavitt slammed the U.S. Court of International Trade ruling on Trump’s tariffs. Leavitt said the judges were “overstepping their bounds.” You can listen to her comments below.

How could this ruling potentially impact trade? We asked Alan Brugler of Brugler Marketing that question before the appeals court weighed in. He says to answer that, you first need to ask two main questions.

“In the short run, not much. You have to assume the administration is going to appeal the ruling and the question is going to be ‘Will the appeals process result in a stay, either freezing the tariff implementation or allowing it to continue during the appeal process?’ That’s the first question,” Brugler says.

Brugler says his second question is how this could impact current trade negotiations. Just last week, treasury secretary Scott Bessent said he expects several large trade deals to be announced in the next couple of weeks.

“What does it do to the administration’s leverage on the deals that they said we were coming close to,” Brugler adds. “The EU is one example. For now, I think we have to take it with a grain of salt. We also need to remember that it does not affect some of the tariffs, such as the aluminum and steel. Those were implemented under a different section of law that had been used back in the 2017 and 2018 era. Those are still in place. So, it does offer some potential for a lot less aggressive tariff war. But again, this is probably just the first step in the overall process.”

Mike North of Ever.Ag doesn’t think this gives President Trump’s administration less leverage. Instead, he chalks up the ruling to the ongoing theme of federal courts trying to overturn any major action Trump tries to take.

“I think as you look at the landscape, he’s come into office very aggressively — trying to enact very quickly the promises he made in his campaign. Ultimately, as you look at the flow of things, we had to expect the court was going to weigh in on this tariff discussion at some point. There hasn’t been a thing he’s done that hasn’t resulted in some form of a lawsuit, court order, court filing, judgment or otherwise. This is just the natural next step in this discussion,” North says.

North points out there are ways to differentiate how President Trump can leverage this, specifically referencing the 1974 Trade Act.

“That ultimately has many parts and pieces to it, and to Alan’s point, allows him to take a lot of different angles here. So, I don’t think anything that’s come out over the last couple of days on this discussion is really going to change the course of much of anything — at least in the short run,” North says.

What is the U.S. Court of International Trade?
If you’ve never heard of the U.S. Court of International Trade (CIT), you aren’t alone. CIT is based in New York, and its purpose is to resolve disputes between governments, manufacturers, trade associations and other parties that may be privy to trade dealings.

According to the Court’s website, “from the time of its establishment, the United States Court of International Trade and its predecessor bodies have been designed to provide a comprehensive system for judicial review of civil actions arising out of import transactions and federal transactions affecting international trade.”

Mark A. Barnett, chief judge at CIT, says, “As the impact of international trade on the U.S. economy has expanded, there has been a corresponding increase in international trade disputes — involving governments, foreign and domestic manufacturers, workers’ unions, trade associations and individuals — and a continued need to provide consistent, fair and impartial adjudication of these disputes. While the nature of these disputes shifts between classification and valuation, unfair trade practices and various types of enforcement measures, the United States Court of International Trade continues to strive for the just, speedy, and inexpensive determination of every action and proceeding brought before it.”

Milking New Opportunities: U.S. Dairy Gains Market Access in Costa Rica

Wed, 28 May 2025 18:51:03 GMT

Under the leadership of U.S. Secretary of Agriculture, Brooke Rollins, the American dairy industry is celebrating a significant milestone as Costa Rica approves the first U.S. dairy facility under a new streamlined approval process. This progressive step is expected to enhance market access for U.S. dairy producers, signaling a positive trend in dissolving non-tariff barriers, a commitment upheld by the Trump administration.

Farmers First: Securing a $130 Million Market
With President Donald Trump’s administration emphasizing the “Farmers First” approach, Rollins lauds the achievement as a crucial victory for American dairy farmers. The newfound market access in Costa Rica opens a $130 million opportunity, paving the way for the U.S. dairy industry to expand its reach. Reflecting on this progress, Rollins expressed optimism about continuing efforts to dismantle trade barriers and unlock global markets for farmers and ranchers.

Streamlined Process: A Win for Collaborative Efforts
On May 22, Costa Rica’s National Animal Health Service (SENASA) granted official approval to the first American dairy cooperative for export, making it the inaugural U.S. facility under the reformed, simplified approval process. This development marks a key victory for the ability of U.S. dairies to meet the growing demand in Costa Rica, ensuring relationships and exports are not hindered by outdated processes.

USDA, in collaboration with SENASA, agreed on a streamlined registration protocol for U.S. dairy facilities. This move replaces the previously cumbersome and lengthy registration, which has historically been a hurdle. The successful transition was detailed in a USDA report published on May 23.

Building Bilateral Relations
The reflection of positive bilateral engagement between the U.S. and Costa Rica is celebrated by Krysta Harden, U.S. Dairy Export Council president and CEO. Her acknowledgment praises the partnership that fosters exportation of high-quality U.S. dairy products. Under the framework of the Central America-Dominican Republic Free Trade Agreement (CAFTA-DR), all dairy tariffs have been brought to zero, presenting compelling opportunities for U.S. exporters.

“We are proud of supporting the great work of the USDA Foreign Agriculture Service, USDA’s Agricultural Marketing Service, Food and Drug Administration and U.S. Trade Representative’s Office to painstakingly reach an understanding with Costa Rica to facilitate the export of high-quality U.S. dairy products,” Harden said.

Gregg Doud, president and CEO of the National Milk Producers Federation, highlights the important breakthrough facilitated by USDA and SENASA. The newly simplified process not only solidifies the trade partnership but also capitalizes on the zero-tariff environment beneficial for U.S. dairy exporters.

“Costa Rica is an excellent trading partner, due in major part to the successful U.S.-Central American Free Trade Agreement. This breakthrough between USDA and Costa Rica’s National Animal Health Service further cements that relationship and builds on the zero-tariff trading conditions for dairy exporters that began this year,” Doud said.

The successful outcome of this streamlined approval effort is a testament to years of dedication by USDEC’s Market Access and Regulatory Affairs team, in concert with the USDA Foreign Agricultural Service and the Costa Rican authorities. After extensive evaluation, SENASA concluded its review in 2025, approving the first U.S. dairy facility under the new protocol.

Prospects for Future Growth
As Costa Rica’s economy strengthens and its middle class expands, so does its demand for dairy. The improved access for U.S. exporters aligns with the increasing market needs, promising a vibrant future for both U.S. and Costa Rican dairy sectors. This development heralds a promising era for U.S. dairy, where breaking traditional trade barriers refuels the commitment to making agriculture great and global again.

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Global Cheese Appetite is Powering Growth for U.S. Dairy

Wed, 21 May 2025 19:27:56 GMT

William Loux, senior vice president of global economic affairs for the National Milk Producers Federation (NMPF) and the U.S. Dairy Export Council (USDEC), says the dairy industry is finally turning a corner. After years of market volatility, he sees growing stability on the farm and rising international demand, especially for cheese and dairy proteins, as encouraging signs of progress.

“I’m pretty optimistic about [the state of the dairy industry],” Loux says. “I’m not always the optimistic person as the numbers guy, I kind of give the ‘real’ talk, but in general, profitability on the farm looks good, and we’ve got a situation where demand, especially internationally, is starting to recover.”

He shared these insights in a recent appearance on “AgriTalk” where he discussed the current state of U.S. dairy and what is driving renewed optimism across export markets.

Cheese is Leading the Charge
While domestic cheese sales remain soft, global cheese demand is accelerating rapidly. Much of that growth is coming from international restaurant menus that are incorporating cheese in new and creative ways.

“I think a lot of that goes to work that the export council has done,” Loux says. “We have a whole cheese marketing program as part of that group internationally. And you can look at [these restaurants] adapting their menus to local tastes, but I think the big success that we’ve also had, for example in Korea, is looking at traditional restaurants, like Korean barbecue, that now has cheese dips as offerings at many of those restaurants. So it’s not just the U.S. coming in and saying, ‘here’s our [restaurant] companies, how do you adapt it.’ It’s the local companies that are also seeing opportunities [to add dairy].”

Loux says this growth in demand is broad-based and happening faster than before the pandemic.

“Over the last 12 months, 12 out of the top 13 global cheese markets have all increased their demand, and that is unusual,” he says. “We are growing at twice the speed we were pre-COVID. The U.S. is the one benefiting here first and foremost, we are growing faster than any other exporter in the world, but we aren’t the only ones. New Zealand and Australia both had record years, Europe is growing, too, so the competition isn’t evading. But at the same time, this demand is a bright spot for global dairy prices. We are seeing good cheese demand [internationally], which we desperately need right now, and that is a positive signal for dairy.”

Beyond cheese, other dairy products are gaining traction in international markets as well. Whey proteins and milk proteins, in particular, are seeing increased demand across Asia. Still, Loux acknowledges the market is mixed.

“When you look outside of the cheese market at everything else, non-fat is a little soft; dry whey — we have some trade issues with China,” he says. “But I look at this market and say, hey, we are finally starting to turn the corner on some of this global demand. There are plenty of risks ahead, but I look at the state of the industry and say that we’ve weathered through some pretty tough times, especially in 2023 and into 2024, and now I think with the capacity, there is a great opportunity for U.S. dairy moving forward.”

Exports as a Balancing Act
Exports play a crucial role in stabilizing and expanding the U.S. dairy industry. Loux points to two key advantages that exports provide.

“First off, it brings balance to your milk check,” he says. “Fundamentally, even as we see higher butterfat in our components, we’re not making pure cream out of the cow. So, we have to find opportunities to grow our skimmed side, and that’s our proteins and caseins. And internationally, folks are demanding more of that and are asking for it — 75% of our nonfat dry milk and 50% of our dry whey goes overseas. And we fundamentally need that to keep our prices balanced.”

Loux also sees exports as a vital engine for long-term industry growth.

“Over the last number of years, the U.S. has increased its cheese exports more than we have increased our domestic cheese consumption,” he adds. “Mexico in particular has been an incredibly strong cheese market for us over the last number of years, but even as they’ve slowed down, because we’ve emphasized being in multiple markets, particularly in Asia and elsewhere, U.S. cheese exports are still on pace for another record year.”

Much of this momentum is tied to protein’s growing popularity worldwide. Once limited to sports nutrition and infant formula, dairy proteins are now appearing in everyday products such as cookies and soups in Japan, signaling a broader shift in consumer demand across global markets.

Expanding Access into the UK
Following the recent announcement of a trade agreement between the U.S. and the United Kingdom, there is cautious hope for increased dairy exports to the region. But Loux urges a measured outlook.

“Right now, not a whole lot has actually been completed,” he says. “When we look at reading the fine print, it really looks like they’ve only agreed to keep talking, and I think they’ve avoided some of the tariffs within the reciprocal agreement. So, we aren’t seeing much access for dairy yet.”

Despite the lack of movement, Loux points out the UK does present significant potential for U.S. dairy exports, as it is the largest cheese-importing country in the world. However, roughly 90% of those imports come from European suppliers.

“As we look at opportunities, the UK buys, imports and eats a lot of cheese,” Loux states. “But they also need proteins, and that’s what the UK wants. And the U.S. is the fastest growing exporter of that product.”

Loux says that if a formal agreement can be reached, the U.S. dairy industry stands to benefit. Still, it all depends on the final details.

“We need to wait to see the fine print and figure out what this deal actually looks like,” he adds.

Tariffs: Short-Term Pain or Long-Term Gain?
When it comes to tariffs, Loux sees them as a necessary part of the conversation, but not a long-term solution.

“I’ll be honest with you, I’m a free trader,” he says. “I’m a fan of exports, but I’m also a fan of consumer choice. At least as it comes to within the U.S. and everything else, I’m fine with Kerrygold or whatever being on the shelves. But I also want the U.S. [dairy] to have access to Irish shelves, right?”

Lack of reciprocal trade, particularly with Europe, remains a major concern for Loux. In some cases, such as retaliatory tariffs on European butter and cheese, there might be justification. But Loux warns that blanket tariffs can have unintended consequences on consumer behavior and the broader economy.

“Ten percent tariffs certainly do have an inflationary aspect to them, and I think that is the risk,” he says. “I’m not going to get too much into the macro side, but if you see U.S. consumers stop going out to eat as much because they’re just in a worse financial position, that’s a risk for dairy markets.”

Rather than more tariffs, Loux advocates for trade agreements that promote open access and growth.

“What we’ve always advocated for in international markets is twofold,” he states. “When we go and have agreements with places like Korea or Japan or Central America, our argument is usually that lower tariffs actually can grow demand overall and benefit both the local industry as well as U.S. dairy exports. And as we look at this internationally, that’s where I’d like to see lower tariffs, not more tariffs. I want more demand and consumption for everybody.”

For Loux, the goal is simple.

“From an economic perspective, I kind of want more demand and more consumption for everybody,” he says.

Trade to India Remains Out of Reach
Recently, India has dominated the conversation when it comes to global trade. However, Loux believes U.S. dairy trade with the country will likely remain out of reach.

“It comes up in every trade conversation, and I think it is probably the most asked question, or most asked country I get asked about,” Loux says. “It’s the biggest dairy consumer in the world. It would make sense as an opportunity for U.S. dairy.”

But despite the sheer scale of potential demand, the barriers remain firmly in place.

“Between the non-tariff barriers and the political sensitivity around dairy, I have no expectations that we’re getting any sort of real access into India,” he explains.

This isn’t a new struggle.

“We have tried for 20 to 30 odd years to get access into India,” Loux adds. “The Kiwis have tried for 20 to 30 years to get access into India. Canadians, too. So far, no one has.”

He remains skeptical about any breakthroughs on the horizon.

U.S. Dairy Remains in a Strong Position
While dairy has certainly seen its fair share of challenges throughout 2025, Loux is encouraged by where U.S. dairy stands today. After years of volatility, he sees signs of recovery, especially as global demand for cheese and proteins gains momentum.

While hurdles like tariffs and trade barriers remain, Loux believes U.S. dairy is well-positioned for growth. He points to recent export success, expanding opportunities in markets like the UK, and the industry’s ability to adapt to shifting global demand.

Challenges with countries like India persist, but Loux is confident that with continued focus and smart trade strategy, U.S. dairy can keep gaining ground worldwide.

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The Path to Fair Trade: The Emerging U.S.-UK Dairy Agreement

Fri, 09 May 2025 18:07:32 GMT

The prospect of a U.S.-United Kingdom (UK) trade agreement has been long overdue, particularly in the dairy sector. This new framework for negotiations marks a crucial turning point as the U.S. seeks a level playing field with global dairy exporters.

Current Trade Imbalance
According to Gregg Doud, president and CEO of the National Milk Producers Federation, achieving a robust trade agreement with the UK is a vital step in correcting the current imbalances in the dairy trade. While the U.S. has heavily invested in its dairy processing capacity, amounting to more than $10 billion, it faces considerable challenges in accessing the UK market.

The trade disparity between the U.S. and the European Union (EU) is particularly stark. The U.S. imports $3 billion worth of dairy products from the EU yet exports a mere $167 million. This imbalance is underscored by the fact that U.S. cheese exports to countries like Guatemala significantly outpace those to the EU.

“It is an outrageous imbalance. We actually export 15 times more cheese to Guatemala than we do to the European Union,” Doud points out. “The United States and the United Kingdom are long overdue to strike a deal on trade. This agreement on a solid framework for negotiations over the coming months is an important step in the right direction.”

Strategic Importance of New Agreements
U.S. dairy products face additional hurdles in the UK market due to the EU’s duty-free, quota-free access and geographical indications that limit competition. Furthermore, the recent free trade agreements with New Zealand and Australia, set to eliminate UK dairy tariffs over five years, further complicate the landscape for U.S. exporters. These agreements allow competitors to access the UK market more freely, deeming their products “low risk” and certification-free.

Krysta Harden, president and CEO of the U.S. Dairy Export Council (USDEC), emphasizes the need for U.S. dairy exporters to gain similar advantages.

“Yesterday’s announcement of a U.S.-UK agreement on a negotiating framework for trade must be a first step in the work that’s needed to open market opportunities for U.S. dairy products to the UK, which imported $5 billion from the world last year,” she said. “The UK already has open trade with the world’s largest dairy exporter, the EU, and it will have fully open trade with two of the other largest exporters, New Zealand and Australia, in just three years. Duty-free, quota-free, certificate-free trade is what U.S. dairy exporters need to have a level playing field in this key market.”

The U.S.-UK framework for trade negotiations represents an important first step toward leveling the playing field for U.S. dairy products in the international market. With significant investments and a robust dairy processing capacity, the U.S. stands poised to enhance its global footprint, provided it navigates the challenges of fair market access. As negotiations progress, the goal remains clear: achieving a balanced, competitive trade environment that benefits U.S. dairy exporters and sustains industry growth.

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Tariffs Cast Chilling Effect Over Whey Sales

Thu, 08 May 2025 18:16:37 GMT

The U.S. trade war with China continues despite recent comments from President Donald Trump and members of his administration that suggest the U.S. could cut its current 145% tariff rate on goods from China by 50% or more. While these comments buoyed markets initially, an official from China’s Commerce Ministry called on Trump to eliminate tariffs altogether if he wants to negotiate with China.

Sarina Sharp, analyst with the Daily Dairy Report, says, “the damage high tariffs can do is very real. In the dairy complex, whey and lactose prices could be hardest hit. In fact, tariffs are having a chilling effect on both international and domestic whey sales. China is already turning to other suppliers for whey and lactose.”

In 2024, China bought 38% of all U.S. dry whey product exports and 25% of U.S. lactose exports, according to data from USDA. While early in the trade war, China granted tariff exemptions for U.S. lactose and some whey products, Beijing allowed those exemptions to lapse on Feb. 28. Today, China’s tariff on whey remains at 127%. Tariffs on food-grade whey protein concentrate are 140% and taxes on U.S. lactose products range between 130% and 135%.

“Any product that left the United States before April 9 and arrives in China before May 13 will not face these punitive border taxes, so it could take time for monthly trade data to confirm a setback in U.S.-China dairy trade volumes,” Sharp says. “Ahead of the tariffs, Chinese buyers stepped up imports of American whey products, and in March, Chinese imports of U.S. whey reached a nine-month high.”

Damage from the trade war has extended far beyond imports. Relations between Chinese buyers and American suppliers have soured, Sharp says.

“Amid growing anti-American sentiment, Chinese hosts have rescinded invitations to trade shows, and even the least patriotic buyers will eschew U.S. dairy products under the new tariff rates,” she adds.

China has turned to Europe as an alternative supplier, and as a result, European whey prices have been climbing, while U.S. prices have weakened. USDA’s Dairy Market News recently noted that U.S. buyers of whey feel a general lack of urgency to purchase whey because they are, “aware of the potentiality of more dry whey loads remaining,” in the U.S. In other words, buyers believe the steep slowdown in sales to China will provide plenty of opportunities to snap up whey at cheaper prices down the road, Sharp says.

The loss of whey exports is already having a negative impact on U.S. dairy producers’ milk checks, according to Sharp.

“Some dairy producers are buying liquid whey from cheese plants at steep discounts to feed to their cattle,” she adds. Before the tariffs, that whey was dried and shipped to China.

“As cheese and whey production climb, the U.S. dairy industry will need to maintain or grow exports to keep inventories in check,” she says. “If the U.S.-China trade war drags on, exports will suffer and whey and lactose values will likely drop again.”

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Strengthening Dairy Bonds: U.S. and Indonesia Chart a Cooperative Future

Mon, 05 May 2025 12:16:54 GMT

In a landmark move for the dairy industry, the National Milk Producers Federation (NMPF), U.S. Dairy Export Council (USDEC) and KADIN, the Indonesian Chamber of Commerce, have signed a memorandum of understanding (MOU). This pivotal agreement is poised to enhance the collaboration between U.S. and Indonesian dairy sectors, propelling trade, nutrition and cooperation to new heights.

A Framework for Enhanced Cooperation
The newly signed MOU outlines a robust framework aimed at amplifying dairy trade, fostering substantial commercial cooperation and enhancing public nutrition in Indonesia. Core aspects of this collaboration include:

Integration of dairy into Indonesia’s Free Nutritious Meals program.
Streamline regulatory procedures, such as dairy facility registration.
Sharing data on market trends and exchanging information on best practices.
Enhancing technical expertise in dairy production.
Coordinated public communication efforts to highlight the nutritional benefits of dairy.

Additionally, the agreement emphasizes supporting school milk programs, aimed at boosting child health and educational success.

Voices Behind the Agreement
Krysta Harden, USDEC’s president and CEO, expresses enthusiasm over this new chapter of trade cooperation.

“This agreement marks an exciting next chapter in U.S.–Indonesia cooperation on trade and dairy,” she remarks. “It builds on strong momentum from the U.S.-Indonesia Dairy Partnership Program that USDEC launched in January. It charts a pathway for U.S. dairy suppliers to more fully complement local Indonesian milk supplies during a critical time for U.S.-Indonesia trade relations.”

Echoing this sentiment, Gregg Doud, NMPF’s president and CEO, highlights the mutual goal of the collaboration.

“The United States and Indonesia share a mission of promoting dairy as a valuable source of nutrition,” he says. “The agreement signed today commits our industries to join efforts to grow the Indonesian market and support producers in both countries.”

The Road Ahead
The MOU is a testament to the strengthening bonds between the U.S. and Indonesian dairy industries. This relationship, initiated by Harden’s participation in a 2023 industry trade mission to Indonesia, is built on mutual trust and shared goals.

As the seventh-largest export market for U.S. dairy, Indonesia purchased $245 million worth of dairy products in 2024. With President of Indonesia Prabowo Subianto’s introduction of a new national school meals program, which includes dairy, the demand for U.S. dairy in Indonesia is expected to grow substantially.

Over the past year, USDEC has led initiatives under the U.S.-Indonesia Dairy Partnership Program. In January, the program’s first farmer education and training session took place in Indonesia. Collaborating with New Mexico and Wisconsin Agriculture Departments, New Mexico State University, and Indonesian partners, the project focuses on the dissemination of innovative educational materials. These efforts aim to empower Indonesian small-scale dairy producers to enhance both the quality and quantity of their milk, allowing U.S. dairy supplies to support Indonesia’s escalating dairy demands.

This MOU signifies a forward-thinking alliance that promises to bolster the dairy industries of both nations. As Indonesia gears up for a future enriched with dairy nutrition, the partnership between the U.S. and Indonesia shines as a beacon of cooperative potential and shared prosperity. The dairy industries stand united in nurturing the nutritional landscape of tomorrow.

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Navigating the Complex Waters of the Global Dairy Market

Thu, 01 May 2025 17:20:15 GMT

The global dairy market is a fascinating tapestry of interconnections and influences. From the impact of tariffs to the strategic importance of export markets, the intricacies of this sector demand strategic attention and planning. In a recent episode of “AgriTalk,” Chip Flory sat down with industry expert Matt Tranel from Ever.Ag to discuss the intricate dynamics of the global dairy market. The conversation delved into the factors influencing Class III futures, the importance of export markets like Mexico, and the domestic demand for dairy products.

The Impact of Tariffs and Global Competition
Tranel says tariff talk initially rattled the cheese markets, driving prices downward. Despite these initial setbacks, the U.S. remained a competitive value buy in the global cheese market.

“Regardless of having tariffs or not, we were a very good value buy from a cheese export standpoint,” he says.

This competitiveness fueled export orders, particularly in the second and third quarters, which impacted available cheese stocks and drove up prices in futures, Tranel says.

The global market dynamics are influenced by regional competitiveness, with New Zealand and Europe playing significant roles.

“New Zealand ... is in large part supplying the Chinese market,” Tranel says, highlighting the geographical advantage and tariff implications that shape trade flows. Meanwhile, European challenges, such as blue tongue disease and foot and mouth disease, create variables that can influence supply and demand dynamics.

Mexico’s Crucial Role in U.S. Dairy Exports
Mexico is the No. 1 importer of U.S. dairy products. In fact, according to the U.S. Dairy Export Council (USDEC), in 2022, Mexico was the first $2-billion U.S. dairy export market, with sales increasing 37% to $2.5 billion and volume up 9% to 556,497 MT. In 2024, U.S. dairy exports reached $8.2 billion, marking the industry’s second-highest level ever. Critical to this success is Mexico, who imported record values at $2.47 billion.

Tranel says with Mexico purchasing a significant portion of U.S. cheese exports, maintaining favorable trade relations is imperative. In fact, Mexico bought 33 million pounds out of the total U.S. cheese exports. This underscores Mexico’s strategic importance and the necessity of keeping this market engaged and satisfied.

Domestic Market Dynamics
Domestic dairy demand was another focal point, with Tranel pointing out varied trends across different products. While frozen pizza sales remain robust, reflecting economic pressures and consumer behavior, the overall cheese demand has been stable. Interestingly, the push toward real butter continues, though the increased butter production has led to price declines.

“Frozen pizza sales continue to be up pretty substantially through the end of 2024 into 2025,” Tranel says, noting that frozen pizza is an economical meal for a family. “A lot of times that can be a little bit of a barometer as far as where the economy has been or is, from a cheese standpoint, overall, it’s been okay. It’s actually performed maybe a little bit better in 2025 than maybe what some expectations would have been, just due to all of the new capacity that is and has come online.”

Big-Ticket Prices of Beef-on-Dairy
Innovative strategies such as the use of beef-on-dairy have evolved dairy business models by integrating beef production into dairy operations. Tranel points out that the $1,000 day-old beef-on-dairy calves and the price of cull cows is helping cash flow situations on dairies.

“The economics certainly suggest that we should be pushing that as hard as we can, and ultimately, that’s keeping a few more replacement animals out of the system and maybe some of the supply down the road,” he says.

Risk Management in a Volatile Market
Managing risk is critical in the current volatile market. Tranel advises employing protective financial strategies, such as using CME puts and leveraging other dairy-specific risk management tools. The objective is to maintain a floor on potential losses while staying open to top-side market opportunities.

“You got to protect the bottom, because you know you have to be the lowest price, but you got to stay open to the top side, because you’re going to see some volatility,” he emphasizes.

The global dairy market is characterized by its complexity and interdependence. From tariffs and export markets to domestic demand and innovative production strategies, navigating this landscape requires astute attention to market signals and strategic planning. As the sector evolves, staying informed and adaptable will be key to thriving in this dynamic market environment. To listen to the entire conversation between Chip Flory and Tranel, go to: AgriTalk-4-24-25-PM-Matt Tranel - AgriTalk PM - Omny.fm

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