US Dairy Margins Set for Best Performance in a Decade Amid Tight Milk Supply and Favorable Feed Costs

U.S. dairy farmers are poised to see their best profit margins in a decade, thanks to favorable market conditions highlighted in a recent report from CoBank. A combination of rising milk prices and declining grain costs has opened a window for farmers to lock in profitable margins through futures contracts, with 2024 shaping up to be one of the top three years for milk prices.