Consumers Should Anticipate Higher Milk Prices

Nov 02, 2021

Milk and dairy prices are expected to jump early next year.

It comes as the Canadian Dairy commission recommended an 8.4 percent increase in farm gate milk prices. The commission says the price hike is meant to help dairy farmers offset rising costs for cattle feed and fertilizer. Chantal Paul, a spokeswoman for the Commission told the Canadian Press, we're seeing the cost of production going up quickly and the revenues are not following. The recommendation is expected to be approved by provincial boards in December and take hold in February.

It's unclear what the price hike at the farm gate will mean for consumers when the milk finally reaches grocery stores. Some analysts are suggesting it could mean an increase of 10 percent for dairy products, or even as high as 15 percent. The 8.4 percent being suggested by the commission is nearly double the previous record jump in farm gate prices which was 4.5 percent back in 2017. A spokesman for the dairy processors of Canada says these decisions have ripple effects so it's important the rationale is shared and understood.

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Video: Evolution of Beef Cattle Farming

The Clear Conversations podcast took to the road for a special episode recorded in Nashville during CattleCon, bringing listeners straight into the heart of the cattle industry. Host Tracy Sellers welcomed rancher Steve Wooten of Beatty Canyon Ranch in Colorado for a wide-ranging discussion that blended family history and sustainability, particularly as it relates to the future of beef production.

Sustainability emerged as a central theme of the conversation, a word that Wooten acknowledges can mean very different things depending on who you ask. For him, sustainability starts with the soil. Healthy soil produces healthy grass, which supports efficient cattle capable of producing year after year with minimal external inputs. It’s an approach that equally considers vegetation, animal efficiency, and long-term profitability.

That philosophy aligned naturally with Wooten’s involvement in the U.S. Roundtable for Sustainable Beef, where he served as a representative for the Colorado Cattlemen’s Association. The roundtable brings together the entire beef supply chain—from producers to retailers—along with universities, NGOs, and allied industries. Its goal is not regulation, Wooten emphasized, but collaboration, shared learning, and continuous improvement.