Fluid milk sales in the United States showed their first year-over-year gain in 15 years during 2024, rising by 0.6% over 2023. 2024’s fourth quarter was a rather weak one for U.S. dairy exports, but cheese exports were a bright spot, reaching a new high for exports as a percentage of domestic production, at 7.9% for the entire year.
Following the first two months of last year’s fourth quarter with significant increases in U.S. dairy cow numbers, December’s number was only 3,000 head above the previous year’s, raising questions about what previously appeared to be an unambiguous and rather vigorous growth trend emerging in the national dairy cow herd. Total milk solids growth was almost a full percentage point higher than growth of liquid milk production during the quarter.
Overall retail price inflation ticked up again in January, up 3% from a year earlier. The CPI for all dairy and related products came close in January to matching the all-time high it reached in February 2023, but some major dairy products, including whole milk and cheese, remain below the records they reached late in 2022.
The December margin under the Dairy Margin Coverage (DMC) Program was $13.38/cwt.