Page 22 - Dairy Dimension - Jan
P. 22

| Volume 1 | Issue 2 | Jan-Feb 2025


           U.S. Dairy Market Faces                             consumer demand trends and international trade                     first half of 2025. This situation has resulted from
                                                               developments.                                                      slowing consumer demand, driven by economic
           Price Volatility, Regulatory                        UK Scientists Experiment                                           constraints and changing dietary habits.

           Challenges, and Labor                               with IVF Breeding to Reduce                                        With a declining birth rate and an increasingly cost-

           Shortages                                           Dairy Methane Emissions                                            conscious consumer base, dairy consumption in China
                                                                                                                                  has seen a slowdown, forcing smaller dairy farmers out
           The U.S. dairy industry is struggling with increasing                                                                  of business. In response, the government has advised
                                                               In a groundbreaking initiative, UK researchers are
           challenges, particularly volatile cheddar pricing, federal                                                             dairy producers to adjust herd sizes by culling older
                                                               developing in vitro fertilization (IVF) breeding techniques
           regulatory changes, and labor shortages. Peter Hardin, a   to reduce methane emissions from dairy cattle. This         cows. While production levels have stabilized, oversupply
           seasoned dairy market expert, recently addressed dairy   project, part of broader sustainability efforts in the dairy   issues are expected to persist until mid-2025.
           farmers in Wisconsin, emphasizing the critical role of   industry, focuses on selective breeding to enhance traits     Australian Dairy Farmers
           cheddar pricing in the state's economy. Wisconsin
                                                               that lead to lower methane production.
           processes nearly 90% of its milk into cheese, making it                                                                Acquire Largest Farm at
           highly dependent on stable pricing.                 The strategy involves using advanced genetic selection
                                                               methods to breed cows that naturally produce less                  Woolnorth
           Market uncertainty is exacerbated by unpredictable
                                                               methane during digestion. This could significantly reduce          Experienced dairy farmers Harper and Oonagh Kilpatrick
           supply-and-demand fundamentals, which Hardin claims   the dairy sector's environmental impact. While the
           are being ignored. Furthermore, labor shortages have   initiative has received support from climate-conscious          have made a significant acquisition by purchasing a 717-
           made it difficult for dairy operations to maintain   organizations, some critics argue that genetic                    hectare dairy farm at Woolnorth from Van Dairy. This
           efficiency, with many farms unable to find skilled   modification may raise ethical concerns and unintended            sale marks the largest land deal at the historic property,
           workers to manage herd sizes and milk production.                                                                      which had been on the market since April 2024.
                                                               consequences.
           Meanwhile, new federal regulations on milk production                                                                  The Kilpatricks, who previously managed a large dairy
           standards and environmental compliance are adding   U.S. Dairy Industry Turns to                                       farm in Victoria, see this acquisition as an opportunity to
           another layer of complexity for dairy businesses.   Biogas as a Sustainability                                         expand their operations. Meanwhile, Van Dairy                                           GLOBAL NEWS
           Farmers are urging policymakers to introduce measures                                                                  continues to seek buyers for its remaining 9,000
           that stabilize milk prices and provide support for   Measure                                                           hectares of land, which includes seven rotary dairies and
           sustainable dairy farming practices.                More large-scale dairy farms in the United States are              key infrastructure assets.
                                                               investing in biodigesters, which convert cow manure into           UK Doorstep Milk Deliveries
           Arla Maintains January 2025                         biogas. This process helps reduce methane emissions

           Milk Prices for UK Farmers                          and provides dairy farms with an additional revenue                Make a Comeback Amid
                                                               stream by selling renewable energy.                                Eco-Friendly Trends
           Danish dairy cooperative Arla has announced that its   However, critics argue that these biodigesters may serve
           milk prices for January 2025 will remain unchanged for   as a form of greenwashing for industrial dairy                Milk &More, a traditional doorstep milk delivery
           British farmer suppliers. This decision comes amidst a   operations. They claim that while the technology reduces      company in the UK, is experiencing a resurgence in
           fluctuating market environment.                                                                                        demand. The business, which has been around for over
                                                               methane emissions, it does not address the broader
           For January, Arla will pay 48.54 pence per litre (ppl) for   sustainability issues associated with intensive dairy     a century, is witnessing a rise in eco-conscious
           conventional milk and 58.53 ppl for organic milk. The   farming. Opponents suggest that promoting pasture-             consumers who prefer milk in reusable glass bottles
           cooperative noted that global milk supply has seen a   based dairy farming and regenerative agricultural               rather than plastic packaging.Indian News
           slight increase, and retail sales continue to grow, though   practices would be more effective in the long term.       The company is signing up over 1,000 new customers
           at a slow pace. However, commodity markets are                                                                         every week and plans to expand delivery services to
           weakening following the seasonal peak during the    China's Dairy Industry                                             additional regions, including London, West Sussex, Kent,
           Christmas holidays.                                 Faces Persistent Oversupply                                        Derbyshire, Hertfordshire, and the West Midlands. The
           Arla has cautioned that while retail dairy demand   Challenges                                                         shift towards sustainable packaging solutions is
           remains stable, the overall market outlook for the year                                                                expected to drive continued growth in doorstep milk
           appears uncertain. The cooperative expects moderate   China's agriculture ministry has projected that the              delivery services.
           price adjustments in the coming months, depending on   country's milk oversupply issue will continue into the




           22                                                                                                                                                                                                                      23
   17   18   19   20   21   22   23   24   25   26   27