Exports Account for a Growing Share of U.S. Milk Disappearance

13:00PM Aug 14, 2014

CDI AMikhalevsky 1 12 100 Copy( Catherine Merlo, Dairy Today )

U.S. commercial dairy exports increased an average of 11.8% per year between 1995 and 2013.

Source: USDA-Economic Research Service

U.S. commercial exports of dairy products have grown since 1995, accounting for an increasing share of the total commercial disappearance of U.S milk production.

On a milk-equivalent skim-solids basis (a method of adding up quantities of diverse milk products based on their skim-solids content), U.S. commercial exports grew on average 11.8% per year between 1995 and 2013, with their share of total commercial disappearance rising from 3.4% in 1995 to 18.7 percent in 2013.

Commercial exports of nonfat dry milk (NDM) and skim milk powder (SMP) played a major role in this increase. In recent years, major U.S. markets for NDM and SMP have been Mexico, China, Philippines and Indonesia.

Domestic commercial disappearance serves as a proxy for U.S. consumption, calculated as a residual after accounting for production, on-farm use, imports, exports, and changes in stocks.

The commercial data also exclude USDA net removals (price support purchases plus subsidized exports minus sales to the commercial market) which were significant in earlier years but a minor factor since 2004. Find these data in the new commercial disappearance dairy product tables provided in Dairy Data