Dairy Industry News Roundup: Week of November 15-21, 2025

# Dairy Industry News Roundup: Week of November 15-21, 2025 Welcome to this week's roundup of the most important news and developments in the dairy industry. Here are the top 10 stories from November 15-21, 2025. --- ## 1. USDA Revises Milk Price Forecasts Downward Amid Increased Production The USDA lowered its all-milk price forecast to **$21.05 per hundredweight** for 2025 and **$19.25 per cwt** for 2026, citing higher milk cow inventories and robust milk production through the third quarter. Milk production in the 24 major states reached 18.3 billion pounds in September, up 4.2% from the previous year. Class III and Class IV milk prices were also revised downward, reflecting lower expectations for cheddar cheese, butter, and nonfat dry milk prices. While challenging for producers, the increased supply is expected to benefit dairy processors and exporters. *Read more:* [Ag Proud](https://www.agproud.com/articles/62196-usda-raises-2025-milk-production-forecast-but-lowers-class-iii-and-all-milk-price-projections) --- ## 2. CME Cheese Prices Hit 19-Month Low CME block cheddar closed the second Friday of November at **$1.54 per pound**, down 12 cents on the week—the lowest price since April 12, 2024. This represents a 15.25 cent decline from a year ago, putting additional pressure on Class III milk prices. In contrast, dry whey prices jumped to **78 cents per pound**, the highest CME price since December 13, 2024, and 12.5 cents above last year. The divergence in dairy commodity prices reflects shifting market dynamics and export demand patterns. *Source:* [USDA Dairy Market News](https://www.ams.usda.gov/mnreports/dywweeklyreport.pdf) --- ## 3. Industry Leaders Express Optimism Despite Price Pressures at Joint Annual Meeting U.S. dairy farmers gathered in Arlington, Texas, for the joint annual meeting of the NMPF, United Dairy Board, and United Dairy Industry Association. NMPF President and CEO Gregg Doud told attendees, "US dairy is well-positioned for growth. I love where we are in this industry right now," noting **$11 billion in new dairy-plant investment** currently underway nationwide. USDA officials outlined four priorities: incentivizing dairy consumption through updated Dietary Guidelines (expected December or early January), driving down input costs, facilitating processing investments, and expanding export markets. *Read more:* [Dairy Herd](https://www.dairyherd.com/news/business/driving-results-u-s-dairy-journey-innovation-and-trust) --- ## 4. New Trade Frameworks Announced with Latin American Partners The U.S. Dairy Export Council and NMPF praised new trade frameworks with Argentina, Ecuador, El Salvador, and Guatemala, which "collectively position U.S. dairy exporters for further gains in the Western Hemisphere." U.S. dairy exports to CAFTA-DR partners have nearly doubled over the past five years, making Latin America an increasingly important market for American dairy producers. *Source:* [Dairy Herd News](https://www.dairyherd.com/news) --- ## 5. Feed Costs Remain Low, Offering Margin Relief Dairy feed costs remained low or declining in 2025, with the trend expected to continue into 2026. Corn season-average farm price is projected at **$3.90 per bushel**—relatively low compared to prior years. Lower grain prices are helping producers offset some pressures from falling milk prices. However, fertilizer prices are likely to remain elevated in 2026, meaning crop producers face higher production costs that could eventually impact feed availability and pricing. *Read more:* [Ag Proud](https://www.agproud.com/articles/61560-dairy-market-outlook-2025-challenges-opportunities-and-policy-considerations) --- ## 6. Retail Dairy Performance Continues Strong Growth In week 46, conventional dairy ads increased 18% and organic ads rose 19%. Yogurt led conventional commodity advertising with total ads up 35%. Over the last 52 weeks, dairy products ranked in the **top 15 for growth** across 170 food and beverage categories, regardless of metric—absolute unit or dollar growth, percent volume growth, or fastest growing categories. Conventional gallon milk averaged $2.73 in retail, down 23 cents from the prior week, with conventional milk ads up 13% and organic ads up 45%. *Source:* [USDA Dairy Retail Report](https://www.ams.usda.gov/mnreports/dybretail.pdf) --- ## 7. Quality Holstein Dairy Cattle Prices Remain Strong at Auction Despite market uncertainties, quality dairy cattle continue commanding premium prices at auction. As of mid-November, 135 head sold in a strong market, with top loads of parlor/freestall milk cows averaging **$3,000-$3,650 per head**. Top quality Holstein springing heifers reached **$3,000-$4,400 per head**. High beef prices continue to provide supplementary income through strong cull cow values and strategic terminal breeding decisions. *Source:* [Premier Livestock & Auctions](https://premierlivestockandauctions.com/market-reports/) --- ## 8. Robotic Milking Systems: Cow Grouping Strategies Impact Performance Industry research highlighted this week shows that how cows are grouped directly influences how smoothly a robotic milking system runs. Proper grouping by production level, days in milk, and temperament can improve milk quality, reduce health issues, and maximize robot utilization rates. Farms transitioning to robotic systems should carefully plan grouping strategies before installation to achieve optimal return on investment. *Source:* [Dairy Herd Management](https://www.dairyherd.com/) --- ## 9. Milk Data Analytics Can Reveal Early Disease Before Clinical Signs Advanced milk data analytics are transforming herd health management. Milk yield, components, and udder health metrics can reveal early disease long before clinical signs emerge. Learning to interpret these signals allows farmers to transform routine milk data into proactive herd health interventions. Modern herd management software now integrates DHI testing data, inline milk monitoring, and activity sensors to provide comprehensive early warning systems for mastitis, ketosis, and other metabolic disorders. *Source:* [Dairy Herd](https://www.dairyherd.com/news) --- ## 10. Fi Europe 2025: Innovation Showcase Features Dairy Protein and Plant-Based Alternatives The dairy industry gathered at Fi Europe this week with major announcements from leading processors. Lactalis Ingredients showcased its portfolio of dairy proteins, milk, and whey powders, including a new high-protein bar concept designed for sports and active nutrition sectors. Meanwhile, The Time Travelling Milkman presented a plant-based dairy fat solution derived from oleosomes (natural droplets found in sunflower seeds), claiming superior texture and mouthfeel compared to existing plant-based creamers. *Read more:* [Dairy Reporter](https://www.dairyreporter.com/Article/2025/11/21/dairy-and-beyond-at-fi-europe-2025/) --- ## Key Takeaways for Dairy Producers **Market Conditions:** The week of November 15-21 showed a U.S. dairy industry experiencing higher production volumes and lower milk prices, but supported by low feed costs, strong retail performance, and major infrastructure investments. **Opportunities:** With $11 billion in processing capacity investment underway and expanding export markets, the industry's long-term outlook remains positive despite near-term margin pressures. **Risk Management:** Producers should focus on controlling costs, maximizing milk quality premiums, exploring revenue protection programs, and leveraging technology to improve operational efficiency. **Looking Ahead:** Industry leaders expressed optimism about long-term growth despite near-term challenges heading into 2026. The combination of strong consumer demand, infrastructure expansion, and export growth positions the industry for continued success. --- *Have news tips or stories you'd like to see covered in future roundups? Contact us at [greg@therio.ai](mailto:greg@therio.ai).* *Stay informed with Therio's Education Center—your source for dairy industry insights, best practices, and breaking news.*