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July 2024 Dairy Exports Surge, Setting Records and Outpacing Previous Year’s Performance

Explore how U.S. dairy exports are breaking records and surpassing last year’s numbers. How will these trends impact your dairy business? Learn more now.

Summary: This year has been nothing short of impressive for U.S. dairy exports. Despite fluctuations in some categories, overall growth remains strong, with cheese, whey, and nonfat dry milk all showing significant year-over-year increases. Cheese exports reached 88.7 million pounds in July, marking a new monthly high for the sixth time in 2024. Whey exports saw a 22.4% increase driven by Chinese demand, and nonfat dry milk exports hit a 14-month high, bolstered by record shipments to Mexico and an 80% surge to the Philippines. The sustained growth in these areas signals the U.S. dairy industry’s strength and presents promising opportunities for development and investment. However, the outlook for milk powder exports remains uncertain due to rising global prices and fluctuating U.S. output.

  • U.S. dairy exports vigorously grow across several categories, including cheese, whey, and nonfat dry milk.
  • Cheese exports hit 88.7 million pounds in July 2024, setting new monthly highs multiple times this year.
  • Whey exports increased by 22.4%, mainly due to rising demand from China.
  • Nonfat dry milk exports experienced a 14-month high with significant growth in markets like Mexico and the Philippines.
  • The U.S. dairy industry demonstrates robust potential for investment and expansion, offering promising opportunities for growth and development. This optimistic outlook is sure to inspire hope and confidence in the industry’s stakeholders.
  • Despite the overall positive trends, it’s important to note that milk powder export forecasts remain clouded by rising global prices and inconsistent U.S. production levels. This cautionary information is crucial for stakeholders to be aware of potential risks and make informed decisions.

By 2024, dairy exports aren’t just staying afloat—thriving. Month after month, U.S. dairy exports are making headlines and surpassing new benchmarks despite market ups and downs. This resilience underscores the strength of the U.S. dairy sector and should inspire confidence among all stakeholders. Diving into recent trends in dairy exports, mainly focusing on cheese, whey, and nonfat dry milk, we’ll explore why this matters. Understanding these patterns will help you make informed business decisions and possibly tap into emerging markets. In July, the U.S. shipped 88.7 million pounds of cheese abroad, marking a 9.4% increase from the previous year, according to USDA’s Global Agricultural Trade Systems. Keep reading to discover how this surge in dairy exports could impact your business and shape the global path for U.S. dairy products.

Export CategoryJuly 2023July 2024% Change
Cheese (million lbs)81.188.79.4%
Whey (million lbs)33.240.622.4%
Nonfat Dry Milk (million lbs)118.5130.310%

Dairy Export Trends: 2024 Marks a Year of Remarkable Growth 

With relation to dairy exports, 2024 looks to be a historic year. The most recent USDA Global Agricultural Trade Systems numbers show startling expansion in some dairy product categories.

July 2024 saw a significant milestone in U.S. dairy exports, with 88.7 million pounds of cheese being sent overseas, marking a 9.4% rise over the previous year. This increase, setting new monthly records for the sixth time this year, is a clear indicator of the growing demand for U.S. dairy products in the global market and a testament to the potential of the U.S. dairy industry.

In July, exports also saw a remarkable increase, rising by 22.4% yearly. The dramatic 34% increase in exports to China was a significant contributor to this spike, highlighting the increasing demand in Asian markets. This surge in exports to China clearly reflects the growing global demand for U.S. dairy products.

Notfat dry milk (NDM) also grew noticeably. In July, exports reached a 14-month high, surpassing last year’s level by 10%). Notably, sales to Mexico established a monthly record, up 20% from July 2023; exports to the Philippines jumped by an impressive 80%.

The vitality in these numbers emphasizes the worldwide performance of American dairy products, reflecting their quality. Cheese continues its strong performance, whey has mostly recovered, and NDM is still a necessary export good with great potential for expansion.

Sustained Growth in Cheese Exports: A Harbinger of Industry Strength 

Regarding cheese exports in 2024, we see a challenging trend to overlook. Comparatively to July 2023, July alone witnessed a startling 88.7 million pounds of U.S. cheese transported overseas—a 9.4% rise. These statistics represent the strength and resiliency of the U.S. dairy industry, not simply data on a chart.

More impressive, perhaps, is that, particularly to vital markets south of the border, this represents the 14th straight month of record-breaking exports. This steady rise emphasizes the growing worldwide demand for U.S. cheese and the sensible tactics American producers have used to satisfy it. Setting a new high every month shows U.S. cheese’s volume, quality, and dependability, which consumers all across like.

These figures should also be a sign of hope for dairy farming specialists. The rising trend presents opportunities for development and investment, opening doors to new markets. The regularity of these record-breaking months also points to a strong basis and implies that this trend is sustainable. As you review your company strategy, take advantage of this increase in cheese exports. How do you see this? Please let others know about your observations and experiences. This potential for business expansion and investment should inspire optimism and motivate industry professionals to seize these opportunities.

U.S. Whey Exports: 2024 Highlighting a Robust Recovery 

Considering the low 2023 standards, U.S. whey exports in 2024 have improved. The July exports jumped by 22.4% year over year. The 34% rise in exports to China is a notable engine of this expansion. This increase points to a noteworthy comeback and rising demand from one of the most significant worldwide marketplaces.

Export figures in 2021 and 2022 still fall short of those peak years. Still, the path of recovery shows a good change in 2024. Many elements probably help to explain this increase. First, whey is vital as high-quality protein products are increasingly sought after worldwide. Furthermore, the deliberate efforts of the U.S. dairy sector to improve traceability and quality have made U.S. whey a premium commodity.

This development has consequences beyond current sales numbers. First, it increases industrial confidence in reaching the Asian markets. Moreover, a steady increase in whey exports might open the path for more consistent pricing and help offset home supply changes. Professionals in dairy farming and related businesses should track these developments to modify their plans and seize the growing market prospects.

U.S. Nonfat Dry Milk Exports: A Rising Tide in the Global Market 

A notable increase in U.S. nonfat dry milk (NDM) exports has created ripples in dairy worldwide. With a 10% increase above the previous year’s volumes, July was a 14-month high in NDM exports. This represents the increasing demand for U.S. dairy goods and strategic orientation in critical global markets, not just a statistic. This increasing demand for U.S. dairy products should make all industry professionals proud and accomplished.

Mexico is still great; July exports show an all-time high—a stunning 20% rise from the previous year. This significant increase emphasizes solid trade ties and the demand for superior American dairy products.

The Philippines is another vital market with an 80% increase in NDM imports from the United States. This significant increase can be attributed to the expanding taste for American dairy products in Southeast Asia, indicating a growing market for U.S. NDM in the region.

Examining more general patterns, the U.S. NDM has a more significant advantage worldwide. Rising global pricing and China’s increasing purchases at recent Global Dairy Trade (GDT) auctions point to a decrease in milk powder stockpiles among important exporters and importers. This offers a unique opportunity for American goods to close the gap more clearly.

Still, there are some obstacles just waiting here. Reduced U.S. milk powder production might have restrictions; another element to watch is the recent rise in spot NDM pricing. U.S. milk powder pricing for German skim milk powder (SMP) and GDT SMP stayed throughout last year about 10ȼ below benchmark levels. However, recent rises in spot NDM rates have closed this difference and heightened the competitiveness for new businesses.

Stakeholders have to be alert even if chances for ongoing development abound. Quickly using these benefits and negotiating challenges will depend on closely observing market dynamics and world developments.

Mixed Signals in U.S. Milk Powder Export Forecast 

U.S. milk powder exports show mixed possibilities and difficulties in their projection. Rising worldwide pricing and higher Chinese buys at recent worldwide Dairy Trade (GDT) auctions point, on the one hand, to declining milk powder supplies of essential players. Under this situation, U.S. exporters could have fresh opportunities to fill the void.

The road ahead isn’t apparent, however. U.S. milk powder production has been somewhat poor, and the rise may hamper future sales in spot pricing for nonfat dry milk (NDM). U.S. milk powder costs were around 10ȼ below those for German skim milk powder (SMP) and GDT SMP for a good period—between September 2023 and July 2024—which gave it a competitive advantage. But that margin has dropped because of a late-summer surge in spot NDM prices.

This price rise compromises the competitive pricing edge, which makes it more difficult for American companies to get new contracts in a market growing competitive. Therefore, even if there are chances, especially with declining global stocks, U.S. exporters must carefully negotiate through these possible hazards. Strategic planning is thus essential for maximizing these trends without running into the related hazards.

The Bottom Line

When we consider the critical 2024 data points, it is evident that the U.S. dairy export industry is seeing excellent expansion in many different sectors. Cheese exports are setting records, indicating worldwide strong demand. However, whey sales to China and significant rises in nonfat dry milk exports to Mexico and the Philippines suggest other growing markets.

However, the milk powder export projection is still up for debate. While declining global stock and increasing prices should provide advantageous circumstances, changing U.S. production and competitive pressures could create difficulties.

What does all this mean for experts in the dairy business and farmers? There are chances for development and possible obstacles to negotiating in a developing export market. Leveraging these changes will depend primarily on being informed and flexible.

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How Dairy Farmers Can Benefit from Embryo Surrogacy

Boost your income with embryo surrogacy. Could renting your cows’ uteruses be your farm’s following ample cash flow?

Summary: Embryo surrogacy offers a promising way for dairy farmers to earn extra income by using dairy cows as surrogate mothers for beef cattle embryos, solving the beef industry’s excess embryo problem and achieving higher conception rates. Farmers benefit from premium prices for these calves, potentially boosting the commercial beef herd and requiring excellent management. In Ohio, Jake Osborn and his son Wyatt partnered with a dairy farm, turning leftover embryos into six live newborns, showcasing this method as a viable extra cash source.

  • Dairy cows can be surrogate mothers for beef cattle embryos, turning a surplus problem into a profitable solution.
  • Utilizing dairy cows for embryo surrogacy can yield higher conception rates compared to traditional methods.
  • Farmers receive a premium price for embryo calves, offering a potential boost in income.
  • This practice can contribute to rebuilding the commercial beef cattle herd in the U.S.
  • Successful implementation requires excellent management and knowledge of nutrition and calf care.
  • Innovative collaborations, like the one between Jake Osborn and an Ohio dairy farm, demonstrate the viability of this method.
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What if I told you that your dairy farm might make additional money by “renting out” its cows? Yes, you read it correctly. Consider your cows as surrogate moms. The current income trend for dairy farms is to get into embryo surrogacy, a relationship that offers high financial rewards. Intrigued? You should be. “Right now, there are so many more embryos sitting in tanks than sitting in cows,” said show stock photographer J. Brad Hook, host of the “Genuine JBH” podcast.

From Manure to Methane: The Creative Ways Dairy Farmers are Cashing In 

Have you ever wondered how dairy farmers generate additional money besides selling milk? They are investigating new income sources, such as making composted manure a viable commodity for gardeners and farmers. It benefits the environment as well as their pocketbook.

Then there’s the increase of beef-cross calves. Farmers are capitalizing on the increased demand for meat by mating dairy cows with beef animals. These crossbred calves are reasonably priced, offering another revenue stream.

Not to add, some farms are becoming innovative with their resources. Consider producing methane-powered energy from cow poo! These farms are decreasing waste and lowering energy costs, with some even selling excess power back to the grid.

Have You Ever Thought About Renting Out Your Cows’ 

Have you ever wondered how dairy farmers make extra money besides selling milk? They are looking at additional revenue streams, such as making composted manure a marketable item for gardeners and farmers. This helps both the environment and their wallets.

Then there’s a surge in beef-cross calves. Farmers are capitalizing on the rising demand for meat by breeding dairy cows with beef animals. These crossbred calves are affordably priced, providing another money source.

Furthermore, some farms are becoming very resource-efficient. Consider generating methane-powered energy from cow dung! These farms are reducing waste and cutting energy costs, with some even selling extra energy back into the grid.

But you might be wondering why the beef industry needs this innovation. 

But you may be asking why the meat market needs this innovation.  According to J. Brad Hook, the supply of embryos has far outpaced the availability of beef recipient animals, particularly in today’s high-dollar-value beef sector. “Recip cows are now too costly to acquire. Custom beef recipient herds are fully booked and have significantly raised their rates owing to the worth of the animals,” he said.

Jake Osborn, a club calf producer from Lynchburg, Ohio, also contributes, emphasizing the financial benefits of this relationship. “At my location, a 20-30% fertilization rate on embryos was very normal, which is not favorable to producing money,” Osborn told me.” “Currently, we’re running 55-70% conception in the dairy cows, which is way better on IVF embryos than I’ll ever do at my house.”

Furthermore, Osborn highlights the practical advantages for dairy producers. “The dairy is capable of synchronizing a huge number of recipes simultaneously. “You can get a whole string of calves from the same mating, born just a few days apart,” he stated.

Embryo surrogacy is a possible answer to some of the beef industry’s most urgent issues, particularly the high cost and scarcity of meat-recipient cows. J. Brad Hook summarized it: “Right now, there are so many more embryos sitting in tanks than in cows.” This novel strategy has the potential not only to ease those concerns but also to generate new cash for dairy producers.

Jake Osborn’s Creative Collaboration: Turning Dairy Surrogacy into a Profitable Venture 

Jake Osborn’s collaboration with an Ohio dairy farm demonstrates the possibility of embryo surrogacy to improve dairy profitability. Osborn and his son Wyatt worked with an 800-cow dairy to repurpose leftover embryos. Beginning with a small experiment of nine embryos, they produced six live newborns owing to the dairy’s synchronized breeding cycle and strict care for the cows’ health.

Osborn stressed the benefits of cooperating with the dairy farm, citing a substantially higher conception rate—55-70% vs 20-30% on his farm. The dairy’s success stems from its precision breeding procedures. The resultant calves had no difference in development or conformation from their dam-reared counterparts, demonstrating the attentive care given by the dairy workers, whom Osborn rewarded with incentives depending on the calves’ selling price.

Financially, the venture was profitable for both sides. The dairy earned a much higher price for the embryo calves than for its beef-cross calves, giving a consistent extra cash source. Meanwhile, Osborn successfully brought excellent embryos to life, providing buying families with gentler, well-handled show calves ideal for young handlers. This partnership demonstrates how innovation in agricultural operations may result in win-win situations for all parties involved.

Why Embryo Surrogacy Could Be Your Farm’s New Cash Cow 

The advantages of using embryo surrogacy for dairy producers like yourself are many and considerable. One of the key advantages is that dairy cows have more excellent conception rates than average beef recipients. You may wonder why conception rates are crucial. Higher conception rates result in more successful pregnancies, calves, and, eventually, more money.

Furthermore, you may charge higher fees for calves born from these embryos. Osborn said the dairy earns more than the already healthy $800–$900 per head for beef-cross calves. This assures a consistent and profitable revenue stream, providing a valuable financial buffer to your conventional dairy business. It’s all about maximizing each cow’s potential in your herd, increasing their value.

So, if you’re seeking a strategy to increase your farm’s profitability and efficiency, embryo surrogacy might be the creative option you’ve been looking for. It’s a win-win scenario, with more results for the same work.

The High-Quality and Family-Friendly Calves Emerging from Embryo Surrogacy

The calves born via embryo surrogacy have shown exceptional quality and demeanor. Regarding development and conformation, Osborn’s calves are indistinguishable from those raised in dams. This high level of quality is mainly due to the meticulous care given by the dairy’s outstanding caretaker, who ensures that the calves flourish and achieve high standards.

Furthermore, the temperament of these show calves has proven beneficial. Families that purchase these calves are especially impressed with their gentle attitude and willingness to lead, making them perfect for young caretakers. Osborn pointed out, “You can buy one for your 10-year-old without worrying about them getting hurt.” This temperament difference provides customers with peace of mind and distinguishes surrogate-born calves.

If You’re Wondering About the Bottom Line, Let’s Break It Down 

If you’re curious about the bottom line, let us break it down. Traditional beef-cross calves cost a reasonable $800-900 per head. However, the cost of embryo surrogacy is much higher. Consider Osborn’s business, for example. His carefully nourished embryo calves fetch prices that exceed this baseline, often at a premium to conventional procedures.

Let’s try some elementary math. The difference is startling if a typical beef-cross calf earns $850 on average and an embryo calf earns $4,000-$5,000 per head. Even at a lesser cost of $4,000, the income is over five times higher (4,000 / 850 = around 4.7). Multiply this by 150 calves, and your potential profits rise from $127,500 to an impressive $600,000. That’s before you factor in any extra expenditures.

The price per calf isn’t the only important aspect here; teamwork also results in more excellent conception rates and simplified operations. This increased efficiency and premium pricing make embryo surrogacy a feasible and perhaps transformational option for your dairy farm.

Weighing the Risks: Challenges Every Dairy Farmer Should Know About Embryo Surrogacy

Of course, every opportunity has its own set of problems and hazards. Embryo surrogacy is no exception. Let’s start with the initial investment expenses. While the rewards might be substantial, starting up may need a considerable initial investment. You will need to acquire high-quality embryos, which are not inexpensive. Not to mention the expenditures associated with hormonal synchronization and veterinary care. This may make some farmers afraid to enter this terrain.

Then, there’s the requirement for specialized expertise. If you’re considering embryo surrogacy, you should be prepared to learn new skills or employ someone who already does. The technological know-how used during embryo implantation may significantly impact the success rate. It’s not just about implanting an embryo in a cow; it’s about doing it correctly to increase your chances of a healthy pregnancy.

During the procedure, complications may emerge. Even with experienced hands at work, conception rates may be a problem. Mistakes in hormone delivery or timing might result in unsuccessful implantations. Furthermore, if the receiving cow has stress or health concerns, it may undermine the whole operation. Calves may not flourish as predicted, introducing another degree of danger. Embryo transfer is both an artistic and a scientific process.

The Sky’s the Limit: Unlocking New Horizons with Embryo Surrogacy 

Looking forward, the possibilities for embryo surrogacy business options are endless. Consider bespoke raisers that specialize in raising embryo calves from birth and developing them into high-quality show cattle. This might be game-changing for purebred cattle ranchers looking to expand their herds without the trouble of controlling pregnancies.

Another promising option is to use dairy cows to help restore the commercial beef cattle herd in the United States. Did you know the nation’s beef herd is now the lowest it has been in over 70 years? Dairy cows calving out beef embryos may provide a much-needed remedy. This methodology might increase beef output by giving a more consistent and efficient means of herd growth.

These prospects don’t simply benefit the cattle business. They’re also a lifeline for dairy farmers wanting to diversify their revenue sources in an age when every dollar matters. So, why not pursue this novel path? Your farm might be at the forefront of a whole new specialized industry in agriculture.

The Bottom Line

For dairy producers, diversifying revenue sources is more important than ever. From innovative methane-powered energy to beef-cross calves, new avenues are opening up for extra money. Embryo surrogacy, the newest game-changer, benefits the dairy and meat sectors. By taking advantage of dairy cows’ natural reproductive cycles, you may pay a premium over market prices for embryo calves. Consider how this may fit into your organization after seeing how Jake Osborn is benefiting from it. It’s not only about making additional money but also maximizing resource use and increasing the commercial beef cattle herd. Consider renting out your cows’ uteruses since this might be an untapped specialty.


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