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In the News

Markets in Action - The Rise and Fall of Milk

Graham Watson

4th November 2021

What is happening to the market for milk? This piece looks at the history of milk production in the US - and serves as a microcosm for other milk producers.

Demand for milk has fallen in part because of changing consumer tastes and preferences, but at the same time the supply of milk has also increased. This isn't how markets are supposed to work, although at the margin some farmers are shifting out of dairy farming because they are making sub-normal profits. There are still instances of farmers pouring milk away.

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