LUBBOCK, Texas (RFD NEWS) — Milk prices are entering 2026 under heavy pressure as global and domestic production continues to outpace demand, raising concerns about how quickly the market can work through a growing surplus.
According to analysis from Ben Laine of Terrain, the all-milk price fell to $20 per hundredweight in October, more than 20 percent below a year earlier.
U.S. milk production has expanded sharply, with output up more than 4 percent year over year late in 2025, driven by the largest milk cow herd in decades and higher per-cow productivity. At the same time, milk output has increased across the European Union and New Zealand, flooding global markets and intensifying price competition for exports.
Product markets adjusted quickly. Butter prices led the downturn, followed by cheese, as ample cream supplies and expanded processing capacity collided with weaker global pricing. Nonfat dry milk declined more modestly, while whey remained comparatively firm due to strong protein demand.
Despite lower prices, production may be slow to respond. Beef-on-dairy revenues and risk management coverage have softened the immediate financial signal for some producers. Still, higher slaughter rates suggest adjustment has begun.
Tryston Beyrer, Crop Nutrition Lead at The Mosaic Company, examines planning trends as producers weigh corn and soybean plantings for 2026.
December 01, 2025 03:27 PM
·
Brooks York with AgriSompo joins us to offer an update on what agents are prioritizing as the calendar year winds down.
December 01, 2025 03:06 PM
·
The newly elected Executive Vice President of the Tennessee Cattlemen’s Association (TCA), Dale Parker, joins us on-set to share his vision for his state’s cattle industry.
December 01, 2025 02:47 PM
·
SDRP Stage 2 now helps producers recover shallow, uninsured losses from major 2023–2024 disasters, with streamlined sign-ups open through April 30.
December 01, 2025 11:16 AM
·
Tyson’s capacity cuts weaken local basis, tighten kill space, and heighten dependence on imports, signaling more volatility for producers.
December 01, 2025 11:09 AM
·
Low farmer shares reflect deep consolidation across the food chain, keeping producer returns thin even as retail food prices remain high.
November 25, 2025 03:02 PM
·
The National Milk Producers Federation will launch a new advocacy campaign to secure a final vote, urging House lawmakers to approve the bill as soon as they return from the Thanksgiving recess.
November 25, 2025 01:09 PM
·
Tyson’s Nebraska plant closure and falling Cattle on Feed numbers send cattle markets tumbling. Analysts warn of tighter supplies, weak margins, and rising global competition.
November 25, 2025 12:05 PM
·
A regional snapshot of harvest pace, crop conditions, logistics, and livestock economics across U.S. agriculture, prepared by RFD-TV Markets Specialist Tony St. James, for the week of Monday, November 24, 2025.
November 24, 2025 02:56 PM
·
