Dairy Consumption Good News and Bad News

One of the more well-known consumer trends is a decline in per capita milk consumption. Americans drank 250 pounds per person in 1975, but consumption has steadily dropped over the decades, reaching only 130 pounds in 2022.

However, Agricultural Economic Insights says the news isn’t all bad for dairy. Per capita consumption of yogurt and cheese has increased over the last few decades. Compared to 2000, per capita yogurt consumption has more than doubled, and cheese has also posted big gains, including American cheese up 28 percent since 2000, and mozzarella is up 40 percent. Yogurt and cheese have been the clear winners, while milk and ice cream have struggled.

But AEI economists point out that different activity measures could lead to different conclusions about the magnitude of consumer shifts. While per capita consumption data is important, consumer prices and a larger population could also affect the dairy market.

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