Milk Production Rises as Dairy Herd Expansion Continues Nationwide

Higher output keeps milk supplies ample, reinforcing expectations for softer dairy prices even as feed costs remain favorable.

herd of cows in cowshed on dairy farm_Photo by Syda Productions via AdobeStock_132201757.jpg

Photo by Syda Productions via Adobe Stock

WASHINGTON, D.C. (RFD NEWS) — U.S. dairy output strengthened early this year as herd growth and improved productivity pushed supplies higher across major producing regions.

USDA reported January milk production in the 24 major states totaled 19.1 billion pounds — up 3.4 percent from last year. Production per cow averaged 2,082 pounds, 24 pounds higher year-over-year, while cow numbers climbed to 9.15 million head, up 200,000 head from a year ago.

Farm-Level Takeaway: Expanding dairy herds continue to pressure the milk price outlook.
Tony St. James, RFD NEWS Markets Specialist

California remained the largest producer at 3.51 billion pounds, rising 4.7 percent. Wisconsin followed at 2.75 billion pounds, up 2.1 percent. Texas jumped 7.6 percent to 1.60 billion pounds, while Idaho increased 3.2 percent to 1.54 billion pounds. New York grew 3.4 percent and Michigan rose 3.6 percent. Kansas showed one of the sharpest gains — up 26 percent — while South Dakota rose nearly 11 percent as expansion continues in the Upper Plains dairy corridor.

Some regions declined. New Mexico dropped 3.8 percent, Pennsylvania fell 3.0 percent, and Washington slipped 6.1 percent, reflecting regional cost pressures and herd adjustments.

Higher output keeps milk supplies ample, reinforcing expectations for softer dairy prices even as feed costs remain favorable.

Related Stories
Domestic beef demand remains solid, with the strongest growth occurring through retail channels, according to consumers surveyed in the latest K-State Meat Demand Monitor.
The long-term viability of a ranching operation often hinges on how effectively its owners navigate the overlapping layers of IRS regulations, state tax incentives, and USDA disaster programs.
Fed cattle numbers are down two percent in February, according to the latest USDA report. Marketings fell 13 percent, signaling continued pressure on beef prices in 2026.
New details on the massive wildfire threatening farms and ranches in the Southern Plains.
The USDA Agricultural Outlook Forum highlights modest price support from tighter supplies across cotton, grains, dairy, livestock, and sugar into 2026.
The Ranger Road Fire spreads from the Oklahoma Panhandle into Kansas as high winds and red flag conditions persist

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Technology-driven lending decisions may shape the future availability of farm credit.
Logistics remain firm, but freight costs continue to rise.
Strong corn demand and cotton shipments support export outlook.
Fertilizer investigation may impact input costs and margins.
New research shows that most farmers do not have a formal resiliency plan in place. Devin Fuhrman highlights how Nationwide’s Farm Risk Ready initiative supports farmers in building stronger, more resilient operations.
Big oils-and-fats volumes can support crush demand, but fuel markets can quickly tighten supplies.