U.S. Milk-Fat Tests Update – Jan ’20
U.S. milk-fat tests finished higher on a YOY basis for the 50th consecutive month during Nov ’19, reaching a record high monthly level throughout the month. U.S. milk-fat tests typically reach seasonal high levels throughout the months of November and December. U.S. milk-fat tests have increased significantly throughout the past several years, following largely flat growth rates experienced throughout the 1980s, 1990s, and 2000s. U.S. milk-fat tests have increased by a compound annual growth rate of 0.8% throughout the past ten years, following a period of zero percent annual growth exhibited throughout 1980 – 2010. On a 12-month rolling average basis, U.S. milk-fat tests have reached record high levels throughout 50 consecutive months through Nov ’19. Of the top ten milk producing states, Texas has experienced the highest milk-fat tests throughout the first 11 months of 2019, followed by Washington and Minnesota. Milk-fat tests experienced throughout New Mexico, Michigan and Pennsylvania were the lowest experienced over the period. 2019 YTD milk-fat tests have increased most significantly on a YOY basis throughout New Mexico, Minnesota and Texas, while California and Michigan milk-fat tests have declined on a YOY basis throughout the first 11 months of 2019. Growth in milk-fat production, as defined as milk production volumes multiplied by milk-fat test rates, has continued to outpace growth in total milk production volumes over 50 consecutive months through November. The deviation in growth rates reached a three year low level, however, as growth in milk-fat tests has decelerated over recent months.