Naerebout: Idaho Dairy Industry Cautiously Optimistic

After the challenges 2020 presented the farming community, many sectors are looking forward to better days ahead. Count the Idaho dairy industry as one of those encouraged about the future. Rick Naerebout, CEO of the Idaho Dairyman’s Association said 2020 was a turbulent year with tremendous volatility.

“But at the end of the day, our average dairy producer made a little bit of money in 2020, so we fared OK.  And right now, we’ve seen real strength in the cheese and whey and butter markets, and even to some degree the powder markets so we’re seeing some healthy milk prices out there that are above breakeven.  So there’s a certain level of optimism within the dairy industry, but there’s also a fair amount of caution as well.”

Naerebout said increasing feed costs as well as the speed of the recovering are fueling that caution.

So, is the worst behind the dairy industry and the farming community in general? Naerebout does not think there’s ever really clear sailing in agriculture, so producers must be proactive and prepared.

“Right now, we’re on the upswing, but if you look at history it would tell you in the next couple of years we’re going to have a down swing.  So, I think most of our dairy producers recognize that and they know and they’ve figured out how to try to take advantage of the upturns and make the best of them so they’re best prepared to weather that downturn.”

If you have a story idea for the PNW Ag Network, call (509) 547-1618, or e-mail gvaagen@cherrycreekmedia.com