Dairy Prices Climb $3.00 Higher

Dairy prices have rebounded after the September downtrend and a nearly two-week price low. Losing nearly $2.75 since the May high, dairy prices have recouped $3.00 to reach a price high of $19.99. Strong demand has supported the price rally, both domestically and abroad. U.S. dairy exports totaled 232,150 metric tons, up over 26,000 (13%) from last summer and 1.5% higher than just last month. As the holidays approach, sales of butter and cheese trend higher, leading analysts to believe the higher prices could linger through the end of 2021. Also contributing to higher prices is a decrease in actual milk production. Florida, Kansas, New Mexico and Pennsylvania reported drops in milk production by as much as 12.5%. However, Wisconsin, California, Michigan, Minnesota, New York and Iowa added to production, creating a steady national average with little movement from last month. Read more on dairy prices and cow numbers here.

Do the ever-changing milk prices still leave you uneasy? Dairy Revenue Protection can help safeguard your dairy against unexpected declines.