Following record returns in 2014, the U.S. dairy industry is now entering its fourth year of marginal to no profitability.
Lenders appear to be tightening credit standards, vendors appear to be tightening payment terms, processors are reluctant to take on additional milk production, and futures markets themselves signal no real end in sight that would lend to higher milk prices and stronger profit margins.
Producers can hear about the 2019 outlook and learn strategies to help your dairy survive in two sessions at the Central Plains Dairy Expo in Sioux Falls.
Dairy market analyst Sarina Sharp, will give her outlook for milk production in the U.S. and other major dairy nations and examine global dairy demand.
She will also offer her expectations for the feed and beef markets and look ahead to what dairy markets might bring in the rest of 2019.
Her talk is scheduled for 10:30-11:30 a.m. Wednesday, March 27 on the floor of the Denny Sanford Premier Center.
As a dairy, livestock and grain market analyst for the Daily Dairy Report and the risk manager for her family’s dairy and farming operations, Sharp is familiar with the risks and opportunities in our increasingly global dairy markets.
Dairy consultant Jay Joy will present “The Levers to Pull and Buttons to Push: Navigating through a financial downturn in dairy farming,” twice during the expo.
The breakout session is set for 9-10 a.m. Wednesday, March 27, and 12:30-1:30 p.m. Thursday, March 28, in Convention Center Meeting Rooms 6-7.
Joy is a member of the GPS Dairy Consulting team and the leader of Milk Money LLC, a financial consulting and “CFO for Hire” service founded in 2012.
Prior to founding Milk Money, he spent several years as a commercial banker providing financing to large dairies, commercial cattle feeders, and grain companies located primarily in the High Plains region.
In addition to his banking and consulting experience, Joy has served as the general manager for an 8,000 cow dairy and large farming operation in western Kansas, and as the CFO for a 9,000 acre family-owned corn and alfalfa hay producer/broker in north central Kansas.
Joy’s works with his clients to help grow and develop their understanding of accounting, financial reporting, banking and financial decision-making, with the ultimate goal of improving the profitability and cash flow of his client’s dairy farming and related businesses.