ELKO NEW MARKET, Minn. (RFD News) — Growing consumer demand for protein is pushing the U.S. dairy industry to increase protein levels in the nation’s milk supply.
CoBank Industry Analyst Abbi Groves joined us on Friday’s Market Day Report to discuss the trend and its impact on dairy processors and exports.
Groves said U.S. milk currently has a protein-to-fat ratio of about 0.77, below the roughly 0.8 ratio sought by cheesemakers. She said competitors including the European Union and New Zealand have more favorable ratios, creating an additional challenge for U.S. dairy exports.
Looking ahead, Groves expects protein demand to remain strong as producers make genetic advancements and the industry invests in new processing capacity.
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