DAIRY MARKET REPORT VOLUME 28 | ISSUE 6
6/25/2025
OVERVIEW Strengthening domestic sales of yogurt, butter, cheese and dry skim milk drove higher gains in overall domestic commercial milk use from February through April. Dairy exports dropped back during that period, as losses in dry skim milk and whey protein exports more than offset gains in butter and cheese exports. U.S. milk and milk solids production growth is accelerating, with milk production up 1.2% year over year during the period, milk solids production up by twice this rate, and milkfat production up almost three times faster. New U.S. cheese processing capacity is drawing heavily on the growing milk supply, with cheddar cheese production up 8.1% annually in April. The monthly NDPSR survey product prices and the Class III and Class IV prices were all higher in May than a month earlier. And a milestone to note: USDA in May announced its first price reports calculated using the updated Federal Milk Marketing Order formulas announced in January. Note: The tables below for commercial use, trade, and milk and dairy product production show actual quantities; only the annual percentage changes are adjusted for the 2024 leap year.
COMMERCIAL USE OF DAIRY PRODUCTS Overall U.S. domestic commercial use strengthened during February-April. Yogurt, butter, cheese and dry skim milk all showed stronger year-over-year gains, while
DOMESTIC COMMERCIAL USE
fluid milk sales were down again in April, by 1.8%. Fluid’s most recent month of gains was February, when sales increased by 1.3% on a leap year-adjusted basis.
FEB-APR 2025
FEB-APR 2024
2024-2025 CHANGE
PERCENT CHANGE
(million pounds) Total Fluid Milk Products
10,458
10,654
-196
-0.7%
Yogurt
1,347
1,256
91
8.5%
Butter
568
521
46
10.1%
American-type Cheese
1,336
1,334
2
1.3%
All Other Cheese
1,962
1,987
-25
-0.2%
Total Cheese
3,298
3,321
-23
0.4%
Dry Skim Milk
250
152
98
66.6%
All Products (milk equiv., milkfat basis)
52,633
53,343
-710
-0.2%