November 2, 2007

Strong growth may drive US dairy export to US$2.4 billion this year

Strong export growth during the first six months of 2007, have fuelled speculation that US dairy exports could top US$2.4 billion this year as international markets continue to provide profitable outlets for US dairy producers.

From January through July, US dairy exports increased 32 percent from a year ago. Exports now represent more than 11 percent of US milk production, up from 9.3 percent for 2006.

Leading the charge is the US Dairy Export Council which sells US dairy products to customers around the world. USDEC's work helped double the annual value of US dairy exports in the past 12 years. Exports have increased from US$982 million in 1995 to US$1.89 billion in 2006.

Through USDEC, the checkoff partners, the USDA and about 60 cooperative, processing and manufacturing partners develop and expand international markets for US dairy products and ingredients.

In 2006, nearly half of US-produced whey and 43 percent of US-produced milk powder was exported. This compares to 2002, when only 28 percent of whey was exported.