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US Dairy Industry Seeing Near Record Numbers, Rise in Production Demands

By Ryan King Oct 7, 2025 | 7:36 AM

The U.S. dairy industry is starting to see record growth, with producers investing more than $11 billion in new and expanded processing facilities across 19 states, according to the International Dairy Foods Association.

This surge is driven by rising consumer demand for nutritious, high-protein foods such as yogurt, milk, cheese, and whey protein products. More than 50 new construction and expansion projects are planned between 2025 and 2028, as milk production is expected to grow by 15 billion pounds by the end of the decade.

Investments are particularly strong in states like New York, Texas, and Wisconsin, which together account for over half of the total spending. The largest investments are focused on cheese, milk, and cultured dairy products, reflecting the sharp rise in U.S. per-capita dairy consumption. Exports are also climbing as global markets increasingly turn to American dairy for safe and reliable nutrition.

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