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Dairy farmers are losing the battle over ‘milk’
A dairy cow stops to look up while feeding at a dairy farm in Ashland, Ohio December 12, 2014. FARMACEUTICALS-VETS/ REUTERS/Aaron Josefczyk
A dairy cow stops to look up while feeding at a dairy farm in Ashland, Ohio. FARMACEUTICALS-VETS/ REUTERS/Aaron Josefczyk

The word “milk” may be a misnomer.

Just a few years ago, your grocery store’s dairy aisle had a handful of milk choices — skim, 2%, whole, and maybe soy and almond, if you were lucky.

Now, the list has grown to include plant and nut-based “milks” like hemp, flax, hazelnut, coconut, oat, sunflower, cashew, macadamia nut, and pecan, just to name a few.

But the US Food and Drug Administration (FDA) defines “milk” as coming from actual animals. Milk is the “lacteal secretion…obtained by the complete milking of one or more healthy cows.” The word “milk” also includes goat, sheep and water buffalo milk.

Various types of milk are seen at the Safeway store in Wheaton, Maryland February 13, 2015. REUTERS/Gary Cameron
Various types of milk are seen at the Safeway store in Wheaton, Maryland February 13, 2015. REUTERS/Gary Cameron

In response to all of these non-milk milks, Democratic Congressman Peter Welch of Vermont and Republican Congressman Mike Simpson of Idaho wrote a letter to the FDA, urging it to actually implement its own definition of “milk.” They were joined by 23 other members of Congress.

“Our call on the FDA is to enforce its own regulation. These seed, plant and nut-based beverages are fine drinks, but they’re not milk. They’re right in the dairy aisle so a lot of people incorrectly assume that the nutrients associated with dairy milk are the same,” Welch told Yahoo Finance.

This fight appears more of a marketing battle than a health argument, as many non-dairy alternatives claim to be just as nutritious as milk. Moreover, many Americans can’t drink milk in the first place and are actively eschewing dairy. Plus, it would be difficult to market delicious “soy water” to have with your coffee or cereal.

The plight of dairy farmers in America

This “milk” labeling issue is part of Welch’s larger effort to bring attention to the plight of dairy farmers in Vermont. With the milk of 131,000 cows producing $504.9 million last year, dairy farming is the largest chunk of the state’s agricultural economy.

But over the last few years, the situation has been dire for the dairy farmers across America, as people simply aren’t drinking milk as much anymore. Total fluid milk sales have hit a 40-year low. There has been a 9% decline in milk sold over the last five years alone.

Fluid milk sales by product, 1975 – 2015 (millions of pounds)

Sources: USDA Agricultural Marketing Service, California Dept of Food and Agriculture, selected other State Departments of Agriculture, and USDA National Agricultural Statistics Service
Sources: USDA Agricultural Marketing Service, California Dept of Food and Agriculture, selected other State Departments of Agriculture, and USDA National Agricultural Statistics Service

According to data from the Nielsen Company, almond milk is America’s top substitute for dairy milk. Over the last five years, almond milk sales have grown 250% while the total milk market has shrunk by more than $1 billion during that same period.

Whether plummeting milk consumption is correlated with or caused by booming sales of non-dairy products, it’s leaving dairy farmers in the lurch.

The situation has been so grim that in 2014, the USDA introduced a voluntary insurance plan, called the Dairy Margin Protection Program, that provides dairy producers “catastrophic coverage” for an annual $100 administrative fee. It will be effective through the end of 2018. In conjunction with this program, the government also requires the USDA to purchase dairy products for donation to food banks and feeding programs.