By Jamie Martin
Four months following the initial bird flu cases in U.S. dairy cattle, milk prices and demand remain stable. This stability persists despite 160 cow herds across 13 states testing positive, as reported by the U.S. Department of Agriculture. The dairy industry, encompassing over 24,000 farms, has not experienced significant disruptions.
Chuck Nicholson, an agricultural economics professor at the University of Wisconsin-Madison, notes that the impact on the broader dairy market has been limited. "We haven't seen major impacts yet," he said, expressing hope that this trend continues despite the unpredictable nature of epidemiological events.
The milk from infected cows is withheld from the market for a few weeks due to the production of thickened, discolored milk during illness. Most animals recover within 30 days, although milk production may lag in recovery.
Market analysts suggest that even a small decrease in milk production can significantly affect prices. However, current industry prices, as of May, stand firm at $22 per 100 pounds.
Efforts to manage the spread include increased testing in states like Iowa and Michigan and compensatory measures by the USDA, which now offers to cover 90% of the value of the lost milk, akin to crop insurance.
Despite the challenges, the dairy industry remains resilient, with Tasha Bunting of the Illinois Milk Producers emphasizing the safety of dairy products due to rigorous health checks and pasteurization processes.
This reassurance is vital as overall milk consumption trends decline, though the demand for other dairy products like cheese continues to rise.
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Categories: National