California Depends on National Dairy Month
June 3, 2016
National Dairy Month Encourages Americans to Eat More Cheese
By Patrick Cavanaugh, Farm News Director
Across the country, National Dairy Month will be celebrated during the month of June to promote the consumption of dairy products. Though California is the number one dairy state, California dairy farmers have been experiencing a decline in dairy production amidst high labor costs, competition from other states and declining profit.
Founded in 1937 as National Milk Month with the goal of increasing milk consumption to stabilize the dairy surplus, the holiday was renamed National Dairy Month to encompass all dairy products.
Anja Raudabaugh, CEO of Western United Dairymen in Modesto, Calif., is hopeful that celebrating National Milk Month will educate more consumers about the health benefits of diary products, increase dairy consumption opportunities, open more markets and enable the lagging dairy industry in California to better compete with other states.
States such as South Dakota and Wisconsin have ramped up their milk production significantly, which has stressed California producers to even the gap. According to Raudabaugh, the term oversupply doesn’t necessarily apply to the dairy conditions in this state. She remarked, “We’re actually in a 17-month decline at the moment, which is the longest decline [in milk production] we have ever been in.”
The dairy industry has managed to be very competitive with wages, another stressor, but the high labor costs are hurting production companies. “As things get more and more competitive globally," said Raudaubaugh, "we are going to continue to struggle to figure out how those margins play out.”
"The margin is going to continue to shrink, especially as wages get more and more competitive," Raudaubaugh observed. "Being a worker on a dairy farm is certainly very wage-competitive throughout the agricultural industry. We cannot keep workers at anything less than about $16 or $15 an hour as it is, so it's a good time to be a worker in the dairy industry. It's a good craft and skill to have if you become a milker."
Given Western United Dairymen's mission to promote and administer programs and policies aimed at maintaining the longevity of the dairy industry on the West Coast, and as the milk industry struggles and continues to face tough times, Raudabaugh has a solution: “Eat more cheese.”
Enter: National Cheese Day every June 4! According to the California Milk Advisory Board website and California Department of Food and Agriculture (CDFA) 2014 data, California is the #2 cheese producing state—right behind Wisconsin—and the #1 producer of Monterey Jack cheese. An amazing 43% of California’s cow’s milk is used to make California cheese, which is produced by more than 50 California cheesemakers.
Even beyond cheese, Raudabaugh said, “There is a tremendous amount of diversity in the way people have exposure to dairy products they don't even know about. There are yogurts and sour creams, ice creams, and whey products." She believes market sectors should understand more about the dairy products consumers are exposed to every day to increase not only more milk consumption, but higher-value dairy as well.
“The diversification of the product line is really what has kept us in business,” reflects Raudabaugh, “It's what keeps us looking to the horizon and looking to the future optimistically, even in the face of some pretty bad milk prices right now.”
Remember California dairy producers, particularly, this month—National Dairy Month, and try a new dairy product. And discover a new cheese tomorrow, June 4, National Cheese Day!