August 1, 2022

Ag Economy

Dairy Industry Snapshot

Avg. Price per Cwt.

2020

2021

2022 F

2023 F

Boston Blend Price1

17.10

17.84

24.72

21.58

Avg. WNY Blend2

16.00

16.85

24.77

--

USDA All-Milk Price3

18.24

18.69

26.15

24.15

 F=forecast

  • May 2022 U.S. milk production decreased -0.7% from 2021. The national dairy herd decreased by 102,000 head to 9.41 million cows. Per-cow productivity rose by 0.4%. 
  • On a state-by-state basis, in May, there were decreases in production in most major producing states, including California (-1.7%), Idaho (-0.3%), Minnesota (-1.0%) and Michigan (-1.7%). In the Northeast, New York was flat, while other states saw decreases, including Pennsylvania (-1.1%), and Vermont (-0.9%).4
  • Long-term futures foresee some softening in milk prices in 2023, bringing the average milk price next year down by about $2-3. 
     

1  Agri-Mark Price Forecast
2 Upstate Niagara Price Forecast
3 USDA World Agricultural Supply and Demand Estimate (WASDE)
4 USDA NASS Milk Production Report

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