# Higher Milk Production Forecasts Temper Dairy Price Outlook - Dairy Producer

> USDA's June dairy outlook raises its 2026 U.S. milk production forecast to 236.4 billion pounds and its 2027 forecast to 237.0 billion. Growth comes from a larger dairy herd and higher milk yields per cow, with April output 2.7% above a year earlier. Weaker dairy product prices are pulling down milk price forecasts.

- Date: 2026-06-23 · published 2026-06-23T12:00:00.000Z
- Category: report · region US · magnitude medium
- Page: https://feedsoft.ai/events/18807-higher-milk-production-forecasts-temper-dairy-price-outlook-dairy-producer
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Rising U.S. milk supply combined with softer product prices points to lower milk prices ahead, which weighs on Class III milk futures. Lower feed costs are helping producer margins, which should keep herd growth going.

## Read by commodity

- MILK: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2021-06-25 | [As Higher Milk Production Forecasts Settle In, Can Export Demand Help Save Prices? - Dairy Herd](https://feedsoft.ai/events/46748-as-higher-milk-production-forecasts-settle-in-can-export-demand-help-save.md) | -2.6% | -3.6% |
| MILK | 2025-03-13 | [USDA Lowers 2025 Dairy Product, Milk Price Forecasts, Also Reduces Milk Production Forecast](https://feedsoft.ai/events/25582-usda-lowers-2025-dairy-product-milk-price-forecasts-also-reduces-milk.md) | -0.5% | -7.2% |
| MILK | 2026-01-16 | [USDA Hikes 2026 Milk Production Forecast; Dairy Product Price Forecasts Mixed - Cheese Reporter](https://feedsoft.ai/events/21068-usda-hikes-2026-milk-production-forecast-dairy-product-price-forecasts-mixed.md) | -0.3% | +2.2% |
| MILK | 2026-07-11 | [Cheese production higher, milk prices lower - Dairy Star](https://feedsoft.ai/events/18337-cheese-production-higher-milk-prices-lower-dairy-star.md) | +0.4% | +7.1% |
| MILK | 2025-04-11 | [USDA Hikes 2025 Milk Production Forecast, Lowers Dairy Product Price Forecasts - Cheese Reporter](https://feedsoft.ai/events/25122-usda-hikes-2025-milk-production-forecast-lowers-dairy-product-price-forecasts.md) | +0.8% | +6.8% |

## Sources

- dairyproducer.com: https://dairyproducer.com/dairy-market-outlook-june-2026-milk-production-prices/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.