2024 brought a changing tide for milk prices. After depressed prices in 2023, milk prices recovered this year, but as supply concerns come back into the picture, which was a wet blanket for prices in the final quarter of this year, what’s the outlook for 2025?
“The supply side has been the issue,” says Ben Buckner, dairy analyst with AgResource Company. “Demand looks really good, as far as we can tell. In terms of total disappearance, nothing remarkable there. And things like butter, it has been pretty remarkable. But it’s been supply the last two years from a very high level. We can see just generally no one in the world producing more milk than in the previous year. And that’s the driver you need to kind of spark fear in the marketplace.”
Buckner says the milk market has hit $25 twice in the past 24 months, but the reverse is happening now.
Tyne Morgan
January 10, 2025 09:11 AM
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