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Dairy producers continue to face challenges
An Indiana dairy producer says consolidation in the industry, tight margins, and high costs of production led to the tough decision to close his dairy farm.
Joe Kelsay is with Kelsay Farms.
“The dairy industry is certainly in a state of change or a state of transition with some of the new developments that have happened and some of the consolidation and the changing face of the market that hasn’t been extremely positive,” he says. “In some cases the market is either limited, restricted, or non-existent and it’s just a challenging time.”
Kelsay was one of more than 100 dairy farmers in eight states that lost milk contracts with Dean Foods this spring.
He says many farmers are getting out of the dairy business because of continued low prices and more than 50 dairy farms in Indiana have closed since January.
Kelsay tells Brownfield that despite everything, he remains confident in the U.S. dairy industry.
“My heart goes out to the folks that are in this business because they’re great people, hardworking people that are facing some real challenging times,” he says. “It’s difficult but there is some great opportunity: world markets, new product innovation, the health that a choice from dairy can deliver.”
Walmart recently opened one of the industry’s largest milk-processing plants in northeast Indiana.
The sixth-generation farmer says his family will continue with its row crop operation and Kelsay Farm Tours.
Audio: Joe Kelsey, Indiana farmer
At least his pain and stress is over unlike all dairy producers that remain in.Andreas Hansen Deerfield Wi. To stupid to throw in the towel,