mpo-latest-news-featured image

Large dairies expand despite low prices

The number of large dairy farms, those with 1 000 cows or more, is increasing rapidly in the US.  This is despite the fact that farmers across the country are feeling the pinch of tight milk prices. Some are coping by getting bigger.

 

According to a report released by Rabobank recently, the number of large dairy farms, those with 1 000 cows or more, has grown and continues to increase. This is due to what some analysts say is the fact that many large farms use risk management strategies to smooth out the volatility of the milk business. Brian Doherty, a strategist with Stewart Peterson, says big producers have both the time, and the resources and energy to really understand the marketing aspect of the dairy business.

 

Doherty says some large farms have even been able to pay down debts and build working capital despite the global glut of milk. However, small and mid-size farms are feeling the squeeze. To read more, click HERE.

Published on Monday, 4th April 2016 - 13:27

Recent Posts

CHURN YOUR WEEKEND INTO A WEST COAST CHEESE AND WINE FESTIVAL

12 April 2022 Over the weekend of Saturday 23 to Sunday 24 April, the historic Groote Post Wine Estate, world-renowned for its award-winning wines, will play
Read More

HEAVY RAINFALL, ROADS CLOSURES PUT STRAIN ON KZN’S AGRICULTURAL SECTOR

MEDIA RELEASE                                                                                                                   14 April 2022 The exportation of produce and importation of agricultural related goods has been significantly affected by the recent severe weather conditions
Read More

INTERNATIONAL FARMER PRICES AND DAIRY PRODUCT PRICES AT RECORD LEVELS

MPO POINTER 2/8 April 2022 In Europe, the average farmer price of unprocessed milk is up by 20%. Indeed, a new price regime developed after numerous
Read More

FOOT-AND-MOUTH DISEASE BIOSECURITY STRATEGY FOR THE MILK PRODUCER

FOR IMMEDIATE RELEASE | 31 March 2022   Since 1 March 2022, eight new outbreaks have occurred in four South African provinces. Limpopo              2             11 March
Read More

disclaimer