Volatility sign.
November 19, 2016

U.S. Milk Production Climbs Another 2.5% in October

 |  By: Jim Dickrell

The United States Department of Agriculture reported milk production climbed 2.5% over year-earlier levels in October with cow numbers also up 15,000 head. Cow numbers did dip 2,000 head from September.

More striking, California milk production surged 1.8% over a year ago, the first time in 23 months that milk production was up year-over-year. The gains came on the strength of more milk per cow in the Golden State, because cow numbers are still down an estimated 11,000 head from a year ago.

Texas reported the largest jump, with milk production up 8.2% from a year-ago and cow numbers up some 26,000 head. These larger herd numbers might still be the result of fallout from last winter’s blizzard. Producers there are still waiting to see if cows will recover from the blizzard in their next lactation, and are still holding on to large numbers of heifers in case they don’t.

Kansas was also up 7.7% in October, with cow numbers up 5,000 head (+3.5%). Of the major dairy states, Wisconsin was up 2.2%, Idaho, +4.0%; New York, 4.7%; and Pennsylvania, 2.2%. Michigan was up 4.9% (with cow numbers up there 12,000) and South Dakota, up 4.4%.

Read the full report here.