Milk Production Rises As Herd Expansion Continues Nationwide

Growing milk supply may pressure prices ahead.

dairy ag labor reform 1280.jpg

Market Day Report

WASHINGTON, D.C. (RFD NEWS) — Milk production increased in February as herd growth and improved yields continue to expand U.S. dairy output, adding pressure on prices but supporting export potential.

The U.S. Department of Agriculture (USDA) reports U.S. milk production at 18.3 billion pounds, up 2.9 percent from a year ago. In the 24 major states, production reached 17.6 billion pounds, up 3.1 percent. Output per cow also improved, with national averages rising to 1,899 pounds per head, reflecting continued gains in productivity.

Farm-Level Takeaway: Growing milk supply may pressure prices ahead.
Tony St. James, RFD NEWS Markets Specialist

Operationally, herd expansion remains a key driver. The U.S. dairy herd reached 9.62 million head, up 211,000 from last year and continuing a steady upward trend. Producers are maintaining larger herds while also improving milk components and efficiency, supporting overall production growth.

Regionally, expansion remains concentrated in key dairy states, including Texas, Idaho, and South Dakota, while some traditional regions show more modest changes. Increased processing capacity in growth regions is also supporting higher output levels.

Looking ahead, rising milk supplies could put downward pressure on domestic prices, but stronger export demand and competitive pricing may help balance markets.

Related Stories
RFD NEWS Correspondent Frank McCaffrey was in Mission, Texas, where state and federal officials addressed growers and producers at a round table event hosted at a citrus grower’s facility. He shows us how welcome news was all around.
A transition from traditional, technology-specific subsidies toward a performance-based, technology-neutral framework
Lower freight costs helped sustain export demand amid a challenging pricing environment.
Producers across the country spent the week balancing spring planning with tight margins and uneven moisture outlooks. Input purchasing stayed cautious, while marketing and cash-flow decisions remained front and center for many operations.
Income support helps, but farm finances remain tight heading into 2026.
Rebuilding domestic textiles depends on automation and vertical integration, not tariffs or legacy manufacturing models.

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:

Reliable canal infrastructure supports long-term access to global agricultural markets.
Corn export pace remains the bright spot, but stable ethanol export demand remains a critical support for corn markets.
Rail consolidation could affect grain basis, freight rates, and service reliability across major producing regions.
For communities that depend on agriculture as their primary economic engine, the recession is not defined by headlines on Wall Street. It is defined by the quiet disappearance of the businesses that once processed, serviced, and supported the crop.
Alan Bjerga of the National Milk Producers Federation discusses the Dairy Margin Coverage program, recent improvements, and what producers need to know ahead of this week’s enrollment deadline.
Higher output keeps milk supplies ample, reinforcing expectations for softer dairy prices even as feed costs remain favorable.