Goat Milk

The U.S. Department of Agriculture has released their Dairy Production Projections for 2026.

The U.S. Department of Agriculture (USDA) has announced its projections for dairy production through the year 2026, indicating a steady growth in milk output. According to USDA Livestock Analyst Anthony Fischer, the growth in milk production has been consistent, although there has been a slight slowdown in recent years.

Fischer said, “Milk output continues to grow. It’s appeared to slow down a bit in recent years, but the trend is pretty steady. Milk output per cow growth is expected to continue into 2026 as farmers take advantage of genetic advancements and improved herd management. The steady growth in output has helped farmers manage milk production during times of weather disruptions and (Highly Pathogenic Avian Influenza) HPAI-related decreases to output per cow, specifically in California in the first quarter of last year.”

In terms of milk components, Fischer highlighted that these are mirroring the growth in milk output per cow. The most recent quarterly milk fat percentage was recorded at 4.44%, marking a record high for all quarters. This trend reflects both genetic advancements and a shift in consumer preferences towards dairy products over fluid milk.

Fischer added that the milk fat percentage is expected to rise further by 2026, driven by increased output per cow and a dairy herd that is stabilizing rather than expanding rapidly. Seasonal patterns are anticipated to remain consistent, with an increase in milk production typically seen during the spring flush in the second quarter this year.

General Mills has reported its fiscal second-quarter results, surpassing Wall Street expectations with adjusted earnings of $1.10 per share, above analysts’ projections of $1.02. Despite facing challenges from the sale of its yogurt business in North America, the company’s shares rose by 1.17% following the announcement. Net sales for the quarter ending November 23 reached $4.9 billion, exceeding the consensus estimate of $4.78 billion, though representing a 7% year-over-year decline.

The divestment of the yogurt business, which included the Yoplait brand, led to a 10% decrease in sales for the North American Retail segment, which saw a 13% fall in net sales. This strategic move is part of General Mills’ shift towards higher-margin categories with less competition from private labels, which have affected their fresh dairy market share. The yogurt segment, with its high perishability and logistical costs, has faced profitability pressures in mature markets due to consumer shifts towards plant-based or premium functional products.

Organic net sales, excluding acquisitions and divestitures, dropped by only 1% year-over-year, demonstrating the resilience of the remaining portfolio. Jeff Harmening, CEO of General Mills, noted that investments in product innovation, premium packaging, brand communication, and omnichannel execution are driving organic volume growth in North America, enhancing competitiveness across all segments.

The North American Pet segment saw an 11% increase in net sales, benefiting from the acquisition of Whitebridge Pet Brands. The International segment experienced a 6% growth, driven by strong performance in Brazil, China, India, and North Asia. This geographic diversification helps offset domestic market weaknesses, where private-label competition and consumer preferences for fresh, local, and less-processed foods pressure traditional categories like cereals and baking mixes.

General Mills has reaffirmed its fiscal 2026 outlook, expecting organic net sales to range between -1% and +1%, with adjusted operating profit and diluted earnings per share projected to decrease by 10% to 15% in constant currency. This cautious guidance reflects a transitional year post-dairy divestment, prioritizing reinvestment in strategic brands over short-term margin expansion.

According to the latest research report released by Fact.MR, the global mozzarella cheese market reached a size of US$38.6 billion in 2024 and subsequently expand at a CAGR of 5.9% over the next 10 years (2024 to 2034).

Mozzarella cheese, also known as curd cheese, can be sliced and used in food products. Mozzarella is popular for a variety of reasons, including its ease of melting, elastic and bouncy consistency, and smooth and soft texture.

The mozzarella cheese market is projected to grow at a steady pace. This growth is driven by mozzarella’s nutritional benefits, including its high calcium, protein, and vitamin content, which are increasingly recognized for supporting bone health and overall wellness. As the population becomes more health-conscious. Diabetic food manufacturers continue to consume a significant amount of mozzarella cheese.

Major contributors to this market expansion include key players such as Groupe Lactalis, known for its reduced-fat innovations, and Fonterra, which excels in export-grade mozzarella. The Grande Cheese Company is also a significant player, focusing on shreddable forms and clean-label certifications.

By application, food & beverage processing leads the market with a 44.23% share in 2024, valued at $17.07 billion, and is forecasted to reach $29.97 billion by 2034 at a 5.8% CAGR. Supermarkets and hypermarkets are the dominant sales channels, accounting for 50% of the market in 2024, expected to rise to $34.2 billion by 2034.

Regional dynamics reveal that North America holds a 24.7% global market share in 2024, with the U.S. leading at $7.07 billion, projected to grow to $11.63 billion by 2034. Meanwhile, East Asia is expanding its market share, driven by urbanization and rising incomes, with Japan at the forefront.

Recent market developments include Saputo‘s August 2022 launch of ‘Frigo Cheese Heads Swirls‘ and Dalter Alimentari’s March 2021 debut of cheese matchsticks, emphasizing the market’s focus on innovation and versatility.