
07/22/07, 03:15 PM
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Join Date: Nov 2003
Location: Verndale MN
Posts: 1,130
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We're exporting more dairy to India, Japan and China. Demand for cheese has went up as these countries become more Westernized. Australia usually has the dairy products market in that area, but their production is down because of years of drought.
There's been enough customer demand for BGH free milk that some processors are requiring no BGH use or paying premiums for BGH free milk. Whatever bad things BGH does, it also can increase milk production 8% - 12%. So there is a drop in actual pounds produced there.
AND... I guess this is an open secret in the dairy industry... there was a CWT herd buyout this spring that was supposed to reduce the national herd by (I think) 10%. CWT is a co-op that buys herds for slaughter in order to decrease production & hopefully increase price. So there was a lot of cows taken out of production there.
Yesterday I was in line at the scrap metal dealer's, buying a pulsator, and got to talking with a dairy farmer. I asked him what he was getting now, and he said, "$22 a hundred. All last year, it was $10... it's an expensive hobby..." and the guy choked up. That jump in milk prices probably saved his farm and livelihood.
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