Record milk checks received by U.S. dairy producers was a principal reason that the smallest number of dairy famers left the dairy business since tracking of commercial dairy farms began in 1992. Only 1,631 farms exited the dairy industry which was the lowest total next to 2010's 1,800. On a percentage basis, only three years yielded lower losses - 3.3 percent, 2010; 3.4 percent in both 2005 and 2008. Overall there were 45,344 dairy farms in the U.S. last year.
That combination of fewer farms and steady cow numbers once again caused average herd size to climb to a new record. At 204 cows per herd, the average U.S. dairy farm grew by eight cows this past year. That growth in cows per dairy operation was just one off of the prior year's record of nine since the so-called survey on commercial dairy farms first took place in 1992.
Among states with over 1,000 dairy operations - exactly 10 - farm numbers fell only 3.1 percent compared to 3.5 percent nationally. When comparing those numbers to the remaining 40 states with under 1,000 dairy farms each, 4.9 percent exited the milk business last year. That accelerated trend has been taking place for some time in that group.
Nationally, average herd size has gone up 177 percent, from 74 in 1992 to 204 cows last year. Regionally, the West (+297) and the Midwest (+165) have seen the largest percentage gain in herd size since 1992.
Western herds added 47 cows per herd last year to bring its average to over 1,000 cows per operation for the first time. That growth in cows was on top of adding 33 and 49 cows each of the prior two years.
Meanwhile, the Midwest (+8) matched the national average growth in herd size. The Southeast's growth (+2) in herd size was six cows under the national average. On the other hand, Northeast herds treaded water, holding at 98 cows. From 2004 to 2014, gains ranged from 0 to 3 head annually in the Northeast which was the lowest in the nation.
Pennsylvania, which stood second to Wisconsin's 10,290 dairy farms, bucked the national trend and added 170 dairy farms to bring its total to 7,370 operations. All other states held steady or realized a reduction in dairy farm numbers.
To read a full report, along with state-by-state numbers turn to page 155 of your March 10, 2015, issue. If you are not already a subscriber, order a subscription here. If you order a new subscription and would like to receive the article, send an email to editors@hoards.com and we will be sure to get you the complete analysis on farm numbers.
February 23, 2015