State dairy product export declines reveal part of overall price problems

A down year for U.S. dairy exports was mirrored in individual state export totals in fiscal year (FY) 2009 (see Table 1), according to latest estimates from USDA’s Economic Research Service (ERS).

Wisconsin retained its No. 1 state exporting position, with sales estimated at $494.7 million. Even though it is the leading milk-producing state, California remained No. 2 in exports, with $458.3 million.

Those two states alone saw the value of dairy exports decline from about $1.789 billion in FY 2008 to just $953 million in FY 2009, a decline of $836 million (47%).

Overall FY 2009 U.S. dairy exports declined 43% compared to FY 2008, a decline of $1.76 billion. Total U.S. and most individual state export estimates were the lowest since FY 2006.

Other major dairy product exporting states in the Eastern DairyBusiness readership area, and their export estimates ($ million) for FY 2009 included: New York, $197.6; Minnesota, $109.9; Pennsylvania, $81.5; Ohio, $41.4; Iowa, $37.2; Vermont, $21.3; Illinois, $13.9; New Jersey, $5.5; Tennessee, $3.4; and Missouri, $2.4.

Other major dairy product exporting states in the Western DairyBusiness readership area, and their export estimates ($ million) for FY 2009 included: Idaho, $140.7; New Mexico, $103.1; South Dakota, $39.2; Utah, $22.7; Texas, $13.4; and Oregon, $0.4.

Another $548.6 million was listed as “unallocated” by ERS.

Starting in FY 2007, ERS began making export share estimates based on each state’s dairy product production, instead of using data from shipping locations. ERS said ag commodities are frequently produced in inland states, but were previously credited to states where the products began their export journey.

For more information, visit www.ers.usda.gov.

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