# State of the dairy economy in 2026 | Ag Proud

> US and global dairy markets began 2026 under pressure from strong milk output among major exporters. Milk output from the US, EU, New Zealand, Australia and Argentina rose 4.5 percent in the second half of 2025, the largest annual gain since 2014. US Class III and IV prices are running well below last year.

- Date: 2026-03-06 · published 2026-03-06T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/4604-state-of-the-dairy-economy-in-2026-ag-proud
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Abundant global milk supply keeps downward pressure on dairy product prices, with recovery depending on supply cuts or stronger demand. Protein demand supports some products, but surplus butterfat and weak cheese consumption cap gains.

## Read by commodity

- MILK: bearish ▼

## Sources

- agproud.com: https://www.agproud.com/articles/62965-state-of-the-dairy-economy-in-2026

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