The National Dairy Cooperative Trade Association is striving to enhance the countywide milk pricing and sales system in Wisconsin. Businesses in the state have been facing a difficult period due to the high levels of unemployment, and dairy farms and processing plants have not been exempt from this situation. Moreover, foreign markets for U. S.
dairy products have decreased due to the tariffs imposed by President Donald Trump on steel and aluminum. The new report reveals that dairy products remain a major part of Wisconsin agriculture, contributing nearly half of the state's annual industrial agricultural revenues and accounting for 16.4% of the total. The Federal Milk Marketing Orders were established in the 1930s to set a minimum price for milk and to stabilize the market for perishable products. This figure was based on a survey of milk prices in dairies in Minnesota and Wisconsin. The United States Department of Agriculture (USDA) sets its target price for milk produced in Eau Claire. All other dairies in the country then calculate their mileage from Eau Claire, put that number into an equation and calculate the price they should charge.
This price will increase the farther away the dairy product is. The global market has had a significant impact on the dairy industry in Eau Claire, Wisconsin. The tariffs imposed by President Trump have caused a decrease in foreign markets for U. dairy products, leading to a decrease in demand and prices for dairy products. Additionally, the Federal Milk Marketing Orders have been established to set a minimum price for milk and to stabilize the market for perishable products, but this has not been enough to offset the losses caused by decreased demand. In order to combat these issues, the National Dairy Cooperative Trade Association is working to improve the countywide milk pricing and sales system in Wisconsin.
This includes increasing awareness of local dairy products, providing incentives for local farmers to produce more milk, and creating new marketing strategies to increase demand for local dairy products. The global market has had a significant impact on the dairy industry in Eau Claire, Wisconsin, but with the help of the National Dairy Cooperative Trade Association, local farmers can continue to produce high-quality dairy products and remain competitive in an ever-changing global market.