By Whit Weems
Most kids love roller coasters and can’t wait to get the chance to ride one. When they do, it always ends too soon. With the dairy industry, it’s a completely different story. Dairymen are ready to get off this ride. The severe ups and downs they currently face are having a major impact on their livelihoods.
Dairy has been the major agriculture enterprise in Erath County for more than 20 years. In 1990, Erath moved into the Number 1 milk-producing county in Texas and has remained strong for more than two decades. But what a roller coaster it has been.
Growing up in Erath County, I have seen major changes in the dairy business. Although I wasn’t actively involved when I was young, I couldn’t help but be aware of the major impact dairy had on this Central Texas region. The growth of the community continued well into the new millennium. Although much different than it was 20 years ago, dairy is still a major economic contributor to this region with over two-thirds of the cash receipts for agriculture in Erath County generated by milk sales alone.
The real question is, how long can the industry hang on? Being involved in dairy, I see the challenges farmers face first hand. And it’s not just an Erath County issue. It’s a dairy issue.
Dairy finance and milk marketing are two of the most difficult things I have every studied. I’ll be the first to admit I’m a long way from becoming an expert in either. The price for milk—the main source of income for a dairy farmer—has bottomed and costs much more to produce than what the farmer is currently receiving. In addition to high volatility in milk prices, the economic downturn in our nation is causing the values of cattle, facilities, real estate and equipment to drop significantly. Many dairy farmers are challenged to find additional funds to cover loans. Even worse, some banks are forced to foreclose and shut the doors on many facilities. Feed prices are also high.
In the ’90s, Erath County had over 250 dairies. Last month, the milk market administrator reported 75. In addition, we are trying to recover from one of the worst droughts in history. Last summer, dairy farmers and nutritionists were challenged with feeding cows due to the lack of forages. Hay was trucked in from as far as Canada and quality on many feedstuffs was very poor. Most of the hay and silage crops grown locally were lost and if a crop was made tonnage, it was very low and quality was poor.
But the wild ride didn’t end there. Heat stress was another factor. Dairy farmers work very hard to keep their cows comfortable and one major challenge last year was keeping them cool. Many research-based technologies are in place on dairies to reduce heat stress on cows, but last year challenged dairymen to look for additional sources to help keep cows cool. Add to all that the increasing fuel and energy costs, and the cost of production is much higher.
As we look into the future, it appears the roller coaster ride is far from over. Although we were able to get some relief with excellent winter forage crops, milk futures remain low and the summer heat is upon us. Equity is not increasing.
There is no doubt that dairy farmers will be challenged to think outside the box, pull together and work toward solutions to continue providing one of nature’s most perfect foods.
We all hope this wild ride will end soon, or you may just be asking yourself: “Where did my milk come from today?”
Editor’s Note: Whit Weems is a Texas AgriLife Extension Agent in Erath County and serves on the Texas Farm Bureau Young Farmer & Rancher Advisory Committee.
Visit the Texas Farm Bureau website at www.texasfarmbureau.org.
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5 Responses to “Where did my milk come from today?”
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Nature’s most perfect food? Nobody can say anything positive about milk other than it has Calcium. Can you? Actually, the USA, Australia, Switzerland, and the UK consume the most dairy AND have the highest instances of osteoporosis from lack of Calcium. That’s because dairy produces lots of acids when consumed and the body neutralizes these acids with… Calcium, and gets the Calcium from storage areas (the bones). An indisputable test is when someone consumes 200Mg of Calcium from a glass of milk, they always pee out more. Also, people who consume lots of dairy almost always have allergy problems, weight gain and less energy. Simply go cold turkey for 2 weeks and see how you feel.
I can say many positive things about milk. Here are nine:
* It contains calcium which builds healthy bones and teeth and maintains bone mass.
* It contains protein which serves as a source of energy and builds and repairs muscle tissue.
* It contains potassium which helps maintain a healthy blood pressure.
* It contains phosphorus which helps strengthen bones and generate energy.
* It contains Vitamin D which helps maintain bones.
* It contains Vitamin B12 which maintains healthy red blood cells and nerve tissue.
* It contains Vitamin A which maintains the immune system and helps maintain normal vision and skin.
* It contains riboflavin (B2)which converts food into energy.
* It contains niacin which metabolizes sugars.
Clay, I’ve never heard that claim before. Personally, I make it a point to drink/eat three servings of dairy a day. You’ll have to trust me on this, but my bones are strong and I don’t have any issues with allergies, weight or energy.
My wife suffers from some allergies, nut allergies mostly, not milk. I would not doubt there are some, though you’d have to prove to me it’s widespread. I stand by what I said in the previous blog. Much of the intense attack on our food is either nit picking or poltically motivated.
I don’t like the idea of using average cost of proucdtion, even though at this time our costs appear to be lower than average. Any figure that is picked to represent ‘average’ is going to be far below the actual cost of proucdtion for many producers. That ‘average’ cost is going to favor some regions over others.Just as in the past, when our pay price receives an artificial bump our suppliers will raise their prices to get a piece of the action. When our price goes down, suppliers don’t lower their prices. In the meantime, the noose of the federal gov’t just keeps getting pulled tighter.Connie