June 8, 2010

With value of US$4.6 billion, the dairy production and processing industry in west central Minnesota remains a powerful force up to the entire state.

According to the 2009 Minnesota Dairy Industry Profile from the state Department of Agriculture, there are about 4,700 dairy farms in the state producing about 8.8 billion pounds of milk each year.

The state is home to about 470,000 head of dairy cows, about 5% of the nation's herd. The state has grown its dairy cow numbers for the past five years while other, larger dairy states have decreased cow numbers.

On average, a Minnesota dairy cow produces 6.1 gallons of milk per day, which is more than 2,236 gallons, about 19,000 pounds per year, according to statistics from the Midwest Dairy Association. Cow productivity has increased about 34% over the last two decades. In 1990, the average per cow production was 14,000 pounds per year.

Minnesota ranks sixth in the nation, behind California, Wisconsin, New York, Idaho and Pennsylvania in milk production, according to USDA statistics.

Dairy is the state's second largest livestock sector, second only to the US$7 billion swine production sector which includes about 35% of livestock receipts.

Dairy contributes 24% of the state's total livestock cash receipts, which is slightly ahead of cattle and calves' 23%. Poultry contributes 17% of the annual receipts.

Dairy production in the state consumes 44 million bushels of corn, about 4% of the annual crop, and 141,699 tonnes of soy meal, about 15% of the crop.

The state's dairy industry includes both dairy production and processing with a combined total annual output of US$4.6 billion and the creation of almost 40,000 jobs in the state.

According to the state Department of Agriculture dairy report, Minnesota is the fifth-largest exporting state. In 2007, the state exported US$113 million worth of dairy products including 80% of its dry and condensed milk, 15% of its cheese production and 6% of its butter.