According to the 2017 International Dairy Foods Association (IDFA) economic impact study, the US dairy sector generated approximately 60,000 new jobs, raised average pay by 11%, and improved its total effect on the US economy by $41 billion.
According to IDFA’s 2023 Economic effect Study, the aggregate effect of the dairy industry — encompassing the milk, cheese, ice cream, cultured dairy products, and ingredients sectors — was $793.75 billion in the United States. The research, which was presented at the start of National Dairy Month, is done every two years to assess the industry’s influence on local, state, and national economies.
According to recently disclosed data, the dairy business in the United States today supports:
- 3.2 million overall employment, up from 1.018 million in 2021, including 1.078 million in dairy product production.
- Workers in the dairy business will earn $49 billion in direct salaries, up from $42 billion in 2021.
- $72.0 billion in federal, state, and municipal taxes (excluding consumer sales taxes), up from $67.1 billion in 2021 3% of U.S. GDP
“The United States dairy industry is expanding to meet intense global demand, which means more jobs, higher wages, more tax breaks, and more economic growth for communities across the country,” said Michael Dykes, D.V.M., IDFA president and CEO. “Consumers in the United States and around the world recognise U.S. dairy products for their nourishing and delicious qualities, and they are purchasing record amounts of U.S. dairy products.” In turn, American dairy enterprises provide economic advantages to the areas in which they operate.”
The paper also shows how several dairy product categories contribute directly to the US economy, such as:
- Cheese has a direct economic effect of $64.5 billion and supports 59,538 dairy sector employment.
- Milk has a direct economic effect of $50.9 billion and supports 67,995 dairy sector employment.
- Dairy Ingredients: Has a direct economic effect of $20.4 billion and supports 16,552 dairy sector employment.
- Ice cream has a direct economic effect of $11.4 billion and supports 27,066 dairy sector jobs.
- Yoghurt and cultured products have a direct economic effect of $8.3 billion and sustain 10,867 dairy sector employment.
The increase in employment and economic effect comes as demand for American dairy continues to rise. The USDA announced in September 2022 that per capita dairy consumption in the United States increased by 12.4 pounds per person in 2021, following a 50-year increasing trend that began in 1975, when the USDA began measuring yearly consumption.
