NASHVILLE, Tenn. (RFD-TV) — U.S. milk production is expected to expand again in 2026, outpacing most major exporters and reinforcing America’s role as the primary driver of global dairy growth, according to the USDA’s latest Dairy: World Markets and Trade report. USDA forecasts U.S. milk production at 106.2 million metric tons, up 1.2 percent from 2025, accounting for most of the net increase among major exporting countries.
The growth reflects continued herd expansion and rising processing capacity in the United States. Strong cheese demand and solid export performance are pulling more milk into plants, encouraging producers to add cows despite higher capital and labor costs. U.S. output gains more than offset modest production declines expected in the European Union and New Zealand.
Outside the U.S., production trends are mixed. Argentina is forecast to post the largest percentage gain, up 4.0 percent in 2026, as pasture conditions and feed availability improve following drought impacts in 2024.
Australia is expected to rebound 1.8 percent, supported by improved rainfall in southern dairy regions and relatively low feed costs, though long-term industry consolidation continues to limit expansion. Conversely, New Zealand output is projected to decline 0.5 percent, as declining cow numbers offset strong milk prices and export demand.
European Union milk production is also forecast to decline by 0.5 percent for the second consecutive year, as environmental regulations, disease pressure, and herd contraction outweigh gains in milk per cow.
Collectively, milk production among major exporters is expected to be 0.4 percent higher in 2026, with the United States accounting for most of the increase.
Farm-Level Takeaway: U.S. dairy producers remain the primary growth engine globally, while tightening supplies in Europe and New Zealand could support export demand for American dairy products.
Tony St. James, RFD-TV Markets Specialist
Approximately 42,000 birds were affected in the outbreak, officials said.
October 03, 2025 10:50 AM
·
Dr. Beetham outlined the background of the EU’s decision to modernize seed regulations and where the process stands today, and its impact on global agriculture and food security.
October 02, 2025 01:24 PM
·
“It, all of a sudden, says that tracking and fighting hunger is not a priority, apparently, at the federal level.”
October 02, 2025 01:22 PM
·
In a final rule published in the Federal Register, the Department states that it will no longer base wage rates on the Farm Labor Survey.
October 02, 2025 11:20 AM
·
Trump’s upcoming talks raise hopes for U.S. soybeans, but China’s record purchases from Brazil and Argentina show America’s market share remains under heavy pressure.
October 02, 2025 10:27 AM
·
USDA’s report shows wheat strength overall, with winter wheat yields setting records, while spring wheat and rye saw declines. Oats and barley remain constrained by record-low acreage despite stable or rising yields.
October 01, 2025 04:24 PM
·
Bigger-than-expected corn and wheat stocks are bearish for prices, while soybean figures were neutral. Farmers may face additional price pressure as harvest accelerates.
October 01, 2025 04:02 PM
·
“MAKE SOYBEANS, AND OTHER ROW CROPS, GREAT AGAIN!”
October 01, 2025 02:53 PM
·
The U.S. pork industry is staying vigilant in keeping its supply safe from foreign animal diseases like African Swine Fever.
October 01, 2025 01:09 PM
·
