Export Challenges and Cheese Surplus Weigh on Dairy Market

Trade uncertainty and rising cheese production are putting downward pressure on dairy prices. Sarina Sharp, a market analyst with The Daily Dairy Report, discussed these challenges with producers at the Central Plains Dairy Expo in Sioux Falls.  “Unfortunately, I think that lower is the more likely path, especially for producers in this Central Plains region who mostly get Class III milk revenue,” Sharp said. “We are starting to see count numbers tick up, and we have invested a lot in cheese production.”  Uncertainty surrounding trade policies is also affecting international demand. Sharp noted that while buyers are still purchasing, they are cautious about future commitments.