1. Dairy Market Situation and Outlook
Dairy Management Workshop
Minnesota Milk Producers Assoc.
February 16, 2018
Dr. Marin Bozic

2. Dairy Herd Size Stabilized when Exports Took Off2

3. But Now Exports Stabilized…3

4. Whole Milk, Nut Juices on the Rise4
Source: Dr. John Newton, AFBF

5. Milk Production: 2017 Growth Rates5

6. Consolidation Will Pick up Pace6

7. Policy Developments 7
Farm Bill Title I Program – Margin Protection Program for Dairy Producers
Reformed in February 2019 to reduce premiums for small producers (up to 200 cows) by 70%
Milk finally getting crop insurance programs:
Livestock Gross Margin for Dairy Cattle – no longer a pilot program
Dairy Revenue Protection – new area revenue insurance, currently under development
NAFTA: Losing market access to Mexico would be a major blow to U.S. dairy sector