Following a striking 7% year-over-year gain in the third quarter of 2024, fourth quarter is looking less impressive as data revealed a 9% fall in milk solid equivalents in November 2024, the second consecutive month of fewer exports.

Last year marked an unexpected, yet fulfilling, time for U.S. dairy exports as demand for U.S. product soared in 2024, reaching record levels. Such success is due in part to established and emerging global markets for U.S. dairy.

The USDA National Agricultural Statistics Service (NASS) released its Agricultural Prices report Dec. 31, 2024, which includes feed costs used to calculate the November Dairy Margin Coverage (DMC) program margins and indemnity payments. As expected, the margin fell to $14.29 per hundredweight (cwt).

The 2024 year ended with Class III prices showing more traction in December than in previous months as cheese and whey protein prices improved, and Class IV prices remained elevated to reflect strong market conditions.

U.S. dairy exports declined 2% year over year in milk solid equivalents (MSE) during the month of October, the result of slow sales to Southeast Asia despite another month of mounting cheese exports. Here’s Progressive Dairy’s 30,000-foot view of dairy-related export categories.

Here’s an update on interest rates from quarter three of 2024 as reported by Federal Reserve districts that share data impacting dairy finances.

The USDA National Agricultural Statistics Service (NASS) released its Agricultural Prices report Nov. 19, which includes feed costs used to calculate the October Dairy Margin Coverage (DMC) program margins and indemnity payments. The margin slipped to $15.17 per hundredweight (cwt).

As we look to the last month of the year, milk prices are trending lower than the previous months’ highs with milk production up year over year, new cheese plants online and holiday buying finishing up noted as a few influencing factors. Yet margins continue to look favorable.