Healthy growths in cheese and whey sales buoyed U.S. dairy product exports in June as nonfat dry milk and skim milk powder, lactose and milk protein concentrates took hits. At the midpoint of 2024, U.S. dairy product exports were down 1.7% in milk solids equivalent. Here’s Progressive Dairy’s 30,000-foot view at dairy-related export categories.

From lower bankruptcy filings and interest rates to slight increases in farmer sentiment and the Global Dairy Trade, news for the first week of August is fairly positive.

Prices for U.S. replacement dairy cows reached an all-time high in July, according to latest quarterly estimates from the USDA. Meanwhile, average cull cow prices increased in June, setting a new record high for a second consecutive month.

With Class III-IV milk prices mixed compared to a month earlier, high Class I milk utilization FMMOs should see the strongest blend prices for July milk marketings.

The USDA National Agricultural Statistics Service (NASS) released its Agricultural Prices report July 31, which includes feed costs used to calculate June Dairy Margin Coverage (DMC) program margins and indemnity payments. June’s margin was $11.66 per hundredweight (cwt).

Dairy cull cows marketed through U.S. slaughter plants lowest since July 2006 and may lead to increases in July milk production and cow numbers.

In the news this week, Colorado is mandating weekly bulk tank testing for HPAI in milk for all commercial dairy herds. More than 500 organizations call for action on the new farm bill and reports are released for dairy markets and beef-on-dairy.

Margin outlook has significantly improved from a few months ago as sustained high cheese and butter prices drive milk prices higher and lower feed costs all contribute to the positive outlook.

With a leap day adjustment in February 2024, monthly U.S. milk production has now been lower than the same month a year earlier for 12 consecutive months.