There’s more milk on the world market as milk production grows in the U.S. and in the European Union and New Zealand, according to dairy economist Mark Stephenson. Meanwhile, demand for that dairy remains a question in 2023 because of the possibility of a recession.
Stephenson, former director of the Center for Dairy Profitability, has been enjoying retirement since November. He recently took some time to present the 2023 dairy outlook at the Renk Agribusiness Institute’s Outlook Forum and with Mid-West Farm Report.
In addition to painting the supply and demand picture for global and domestic dairy, Stephenson says he’s skeptical about milk prices in 2023, noting that the market could be $4.50 to $5.50 lower this year.
Milk production in Wisconsin during December 2022 totaled 2.66 billion pounds, up 1 percent from the previous December, according to the latest report from USDA’s National Agricultural Statistics Service.
The average number of milk cows during December, at 1.27 million head, was 1,000 below last month and down 5,000 from December 2021. Monthly production per cow averaged 2,095 pounds, up 20 pounds from last December.
Milk production in the 24 major milk-producing states during December totaled 18.1 billion pounds, up 0.9 percent from December 2021. Production per cow in the 24 states averaged 2,032 pounds for December, 8 pounds above December 2021. The number of milk cows on farms was 8.92 million head, 38,000 head more than December 2021, but 9,000 head less than November 2022.
Milk production in the whole U.S. during the October — December quarter totaled 56 billion pounds, up
1 percent from the October — December quarter last year. The average number of milk cows during the quarter was 9.41 million head, 4,000 head less than the July — September quarter, but 27,000 head more than the same period last year.
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