Beverage milk consumption fell by the largest level in over 30 years. That's according to data just released by USDA's Economic Research Service (ERS). Overall, the average American drank 159 pounds or 18.5 gallons of milk last year. Just one year earlier, U.S. consumers were drinking 165 pounds. The last time a 6-pound reduction occurred in one year was in 1982 when fluid milk fell from 230 to 224 pounds.
Canada has experienced a similar drop-off in retail sales. Data shows per capita milk consumption fell 18 percent from 1995 to 2014 to settle out at 74 liters (19.5 gallons). That analysis is based on Statistics Canada, which is that country's equivalent of USDA. During that same exact window, U.S. beverage milk sales were off 22.4 percent and stand 1 gallon under Canada.Changing demographics in both countries have been working against fluid milk. As populations age, milk consumption generally drops. Additionally, ethnic population shifts and even the rise of veganism have worked against fluid milk.
When looking at specific beverage milk categories, whole milk was the lone bright spot. The full dairy fat category posted its first uptick since 1999. Overall whole milk sales rose 48 million pounds in 2014.
Even with this good news that has extended into 2015, whole milk sales are a far cry from their former self. In 1986, the whole milk category was double that of 2014 sales.
As mentioned earlier, the sales of all other fluid milk products were down: 2 percent milk (-3.1 percent), 1 percent milk (-2.1 percent), skim milk (-11.1 percent) and flavored milk, mostly chocolate (-5.3 percent).
(c) Hoard's Dairyman Intel 2015
October 26, 2015
