U.S. Dairy Farm Numbers Continue to Decline

Data from the USDA shows the number of licensed dairy operators in the United States continues to decline. USDA’s Milk Production report showed the fourth-largest year-over-year decline in the number of licensed dairy operations in the last 15 years. There were 2,550 fewer licensed dairy operations in 2020 than in 2019, when the number dropped by 3,261.

The overall number of licensed operations in the U.S. has marched steadily downward since data collection began, declining by more than 55% percent, from 70,375 in 2003 to 31,657 in 2020. Since the end of 2014, dairy farmers have struggled with low prices followed by an industry-disrupting pandemic that increased milk price volatility and rendered risk management tools mostly ineffective.

Of those losses nationally, 70 were from the Northwest, with Washington shedding 30 dairy operations, and Idaho and Oregon dropping 20 each.

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