Milk Prices – Historical Graph

Real-time chart of historical daily milk prices. The prices are down in U.S. dollars per CWT.

The current price is and is last updated on .
  • The average price in the past 3 days is
  • The average price in the past 7 days is
  • The average price in the past 30 days is
  • The average price in the past 365 days is

Milk Prices Explained

Milk prices decreased by 5.4% at the start of 2024 due to low supply and lousy demand from the international market. Additionally, dairy farmers struggle with high production costs and warmer climates which make milk manufacturing even more difficult. 

Why are milk prices fluctuating?

Milk prices are getting volatile in the market recently. It is quite evident in the weekly and monthly price variation. Here are the top contributing factors:

1. Supply and Demand

For years, the market has seen an imbalanced supply and demand for milk. For instance, the market value of milk increased to 39% in 2022, an equivalent of $7.40 per hundredweight.

However, milk’s marketability takes a slow pace in the first weeks of 2024 due to customers looking for value in their purchased products because of inflation.

2. Production Costs

The declining milking capacity of cows due to increasing feed value, labor, and transportation costs resulted in a large exit of dairy farmers.

Additionally, the USDA reported a steep decline in cow numbers to 134,000 numbers from May to December 2020 causing a 0.1% decrease in milk production.

Thus, this created a huge gap in milk production efficiency and kept milk price hikes.

3. Seasonal Variations

The spike in milk prices is particularly high during winter months as cows produce less milk in this season causing low production, increased demand, and increased prices.

4. Butter and Dry Milk Products

The increasing demand for butter and other milk powder products is paving the way for a milk price hike as natural milk is the key ingredient in making butter and other dry processed dairy products.

Which variables impact the price of milk?

  • Supply and Demand
  • Production Costs
  • Seasonal Variations
  • Butter and Dry Milk Products
  • Global Market Conditions
  • Government Policies

Where did the milking process originate?

Generally, milking is an ancient practice of extracting milk from cows. This practice is a reliable source of food and an essential substitute for crops, especially in places where crop cultivation is hard.

Also, this process started in the Neolithic age, specifically in Britain and Northern Europe according to unearthed potshards discovered by scientists.

Furthermore, the introduction of cattle to Baja California in 1679 by the Spanish Jesuit Priest, Eusebio Kino made way for cattle farming in the U.S. Additionally, in the early 19th century, milk production started growing across the state along with the alcohol distillery business.

Today, 24% of global milk production comes from India, the largest milk producer in the world. The remaining percentage of production comes from the U.S., Pakistan, Brazil, China, and Russia.

What is the future price of milk?

Milk production is constant throughout the year however, there are specific recorded seasons where supply and demand are its lowest and highest.

As a result, its prices soar during winter ( due to low production ) and decrease in summer as cows produce more milk during this season.

The global demand for milk due to the extensive use of commercial dairy products fuels its market. Powdered milk, protein shakes, and other specific formulations require milk as their base ingredient.

Thus, this sets the prices of milk. Overall, market analysts expected elevated milk prices in 2030 at $19.35 per hundredweight.

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