Importance of Dairy Exports

Importance of Dairy Exports

The May 2017 Central Milk Marketing Order “Marketing Service Bulletin” had an interesting retrospective on dairy exports’ importance to the US dairy industry. The bulletin compared the change in total exports volume and dairy product categories since about 2003. Dairy solids exports for 2016 were 14.2% of total US milk solids produced compared to 5% in 2003. The value of dairy exports increased to $7.2 billion in 2014 falling to $4.8 billion in 2016. The 2003 value of dairy exports was approximately $1 billion. This change is even more dramatic when it is noted that before 2003, the US was a net importer of dairy.

The bulletin also points out the important products that are exported as well as the primary importers of US dairy products. Mexico accounts for 25.2% of US dairy exports, Southeast Asia 13.9% and Canada 13.1%. Just over 25% each cheese and nonfat dry milk account for the 2016 export value of US dairy exports. But on a percentage basis only 5.2% of US cheese production was exported while 57% of nonfat dry milk and skim milk powder were exported. Cheese export volume increased by over 5.5X from 2005 to 2016 while nonfat dry milk volume is 2X larger.

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Source: May 2017 Marketing Service Bulletin, Central Marketing Order

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Source: May 2017 Marketing Service Bulletin, Central Marketing Order

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Source: May 2017 Marketing Service Bulletin, Central Marketing Order

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Source: May 2017 Marketing Service Bulletin, Central Marketing Order

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Source: May 2017 Marketing Service Bulletin, Central Marketing Order

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