Texas Dairy Industry Set for Continued Growth amid Expanding Market

Texas is witnessing a surge in dairy production as milk and cheese prices rise, a trend expected to continue through 2025, according to experts from the Texas A&M AgriLife Extension Service.

Jennifer Spencer, Ph.D., and Juan Piñeiro, both from the Texas A&M Department of Animal Science, note that expanded processing capacity in Texas is driving this growth, with new cheese plants opening across the state.

Reports from the U.S. Department of Agriculture reveal an increase in Texas’ dairy cow numbers and production, despite a slight decline in the number of dairies. These factors are contrasted with a national dip in dairy cow numbers.

Spencer relates the rise in milk prices to inflationary pressures and increasing costs in feed and transportation, affecting the economics of the dairy market.

Industry experts like Piñeiro point to challenges such as the use of beef genetics in dairy and the ongoing impact of avian influenza. Nevertheless, the Texas dairy sector remains proactive in preparing for these challenges.