CRISIL Ratings expects raw milk production growth to slow to 4% due to El Niño and high fodder costs. Higher production costs will push milk prices up 4-5% this fiscal, with dairy companies passing costs to consumers.
Raw Milk Price Trend Analysis 2026: Market Insights, Historical Prices, Price Drivers, Latest News & Supply Demand Analysis
Written BySiddharth David
Raw Milk Price Trend H1 2025
In the first half of 2025, raw milk prices showed a steady upward trend driven by several key factors. Across regions like the U.S., India, and Jersey, dairy processors and milk producers faced rising operational costs. These included increases in energy, packaging, freight, and labor, which were often passed down the supply chain. For farmers, the higher cost of production especially in the face of volatile market pricing created pressure for fairer compensation. This led to a rise in procurement prices from processors aiming to support farmers while balancing consumer affordability.
In the U.S., ongoing reforms in the Federal Milk Marketing Orders, including changes to "make allowances," sparked debate. With processors deducting more for production costs, farmer payouts were affected, prompting calls for greater pricing transparency. The proposed federal legislation to mandate biennial reporting of dairy processing costs reflected this push toward a more data-driven and equitable pricing model. Meanwhile, Indian and European markets like Jersey also adjusted milk rates, citing inflationary pressures and seasonal challenges such as early summer heatwaves.
Need latest Raw Milk price?
Get real-time price assessments, periodic trends, forecasts and price driver insights across key global markets.
Unlock Price Insights NowLatest Developments
Our Clients
Procurement Resource Database
Turn price intelligence into action with the Procurement Resource Database. Log in or subscribe to unlock live price trends, historical charts, supplier databases, cost curves, and analyst-backed insights across chemicals, agriculture, energy, packaging, and more. Use these tools to benchmark your contracts, plan budgets with confidence, and stay ahead of market moves on every product you buy.
Raw Milk Dashboard Inclusions
0
+Products
0
+Regions
0
+Subscriptions
In the second half of 2024, raw milk prices showed a mixed trend across global markets. In Asia, countries like India saw relatively stable prices, driven by strong local demand and steady production. However, in regions like Australia, prices came under pressure due to surplus milk supply and increased imports, which created a challenging environment for local farmers.
In Europe, prices remained mostly stable but showed some upward pressure in parts due to lower milk yields caused by poor weather conditions. Still, global market uncertainties and cautious processor strategies kept price movements limited. In North America, raw milk prices were steady as well. Farmers managed to slightly exceed production expectations, but rising feed and labor costs continued to affect their bottom line. Meanwhile, supply shortages and strong consumer demand for cheese and butter helped support the market during key seasonal periods.
Overall, the raw milk market in H2’24 was shaped by a balance of production constraints and firm demand, especially in the lead-up to the year-end holidays. Farmers faced profitability challenges due to higher input costs, while processors remained cautious amid shifting global dynamics.
About Raw Milk
Raw milk basically refers to unpasteurised milk, that is, the milk which has not been through the process of pasteurisation or homogenisation. It is a method of heating liquid foods in order to decontaminate them and kill microorganisms for safe drinking. The components of raw milk are safe for its consumption and other uses.
Raw Milk Product Detail
Industrial Uses
Cheese, Butter , Yoghurt, Ice Creams, Sweets, Custard, Cosmetics
Supplier Database
Nestle SA, China Mengniu Dairy Company Limited , Lactalis Group, Dairy Farmers of America, DMK Deutsches Milchkontor GmbH
Regional Coverage
Asia Pacific
China, India, Indonesia, Pakistan, Bangladesh, Japan, Philippines, Vietnam, Iran, Thailand, South Korea, Iraq, Saudi Arabia, Malaysia, Nepal, Taiwan, Sri Lanka, UAE, Israel, Hongkong, Singapore, Oman, Kuwait, Qatar, Australia, and New Zealand
Europe
Germany, France, United Kingdom, Italy,Spain, Russia, Turkey, Netherlands, Poland, Sweden, Belgium, Austria, Ireland Switzerland, Norway, Denmark, Romania, Finland, Czech Republic, Portugal and Greece
North America
United States and Canada
Latin America
Brazil, Mexico, Argentina, Columbia, Chile, Ecuador, and Peru
Africa
South Africa, Nigeria, Egypt, Algeria, Morocco
CurrencyUS$ (Data can also be provided in local currency)
Supplier Database AvailabilityYes
Customization ScopeThe report can be customized as per the requirements of the customer
Post-Sale Analyst Support360-degree analyst support after report delivery
Note: Our supplier search experts can assist your procurement teams in compiling and validating a list of suppliers indicating they have products, services, and capabilities that meet your company's needs.
Raw Milk Production Processes
Raw Milk, as secreted by mammals like cows, buffaloes and goats is free of micro-organisms. Raw milk is further processed and refined for commercial use. The milking enterprise complements other agricultural enterprises within a farming system.
About the Author
Siddharth David
Manager - Market Research
Delivering market research and procurement intelligence at Procurement Resource with a focus on economic forecasting, commodity analysis, and client advisory to help sourcing teams make data-backed purchasing decisions.
Our Price Analysis Methodology
Schedule a demo
Experience how Procurement Resource transforms raw material price data into clear, decision ready intelligence. Optimise your performance with reliable, expert market data and analysis. Schedule your demo today to experience a live walk-through where our experts will showcase interactive price charts, forecasted prices, and insights driving the prices for your key commodities, tailored to your workflows. Contact us now!
Our Team will be happy to assist you
We are just a text away
Still Need Help?
Other Related Reports
Aluminium Can Production from Two-Piece or Three-Piece Drawing
This report provides the cost structure of aluminium can by two-piece or three-piece drawing methods.
Milk Chocolate Production from Conching and Tempering
This report provides an extensive cost evaluation of Milk Chocolate production via conching and tempering processes.
Unlock full access to Procurement Resource's price databases, interactive charts, and short-term forecasts for thousands of commodities. Elevate your sourcing decisions by comparing prices across regions, downloading historical data, and layering in analyst-backed insights, all with our flexible plans that scale as your portfolio grows.
Still have any Questions
Contact Us
Price Trend Dashboard - What's Included
Price trends across a diverse portfolio of categories and products, spanning board to niche chemicals
Coverage extendable to grade-specific chemicals based on procurement requirements
Regular price tracking supported by robust historical datasets
News, policy updates, and key market drivers impacting price movements
Short-term and long-term price outlooks and forecasts
Supply-demand dynamics and capacity-driven market analysis
Related News
View All
Class III Milk Forecast Lifted to $17.00/cwt on Cheese and Whey Strength
.webp&w=1080&q=75)
Indian Household Budgets are Increasing As Price for Everything from Gasoline and Diesel to Vegetables, Oil, and Milk Skyrocket
The United States Saw a Sharp Rise in Its Exports of Non-Fat Dry Milk/Skim Milk Powder, Cheese, and Lactose in November 2021
Why Procurement Database
Commodity Market Intelligence
Track prices, market movements, supply-demand dynamics, and industry developments across hundreds of commodities through a centralized intelligence platform built for informed procurement decisions.
Price Forecasts & Market Outlooks
Understand market fluctuations using analyst-backed forecasts, historical pricing patterns, and evolving industry trends to strengthen sourcing strategies and budget planning.
Cost & Procurement Optimization
Leverage cost models, pricing benchmarks, and procurement insights to evaluate purchasing opportunities, improve negotiations, and enhance operational efficiency.
Global & Regional Market Insights
Access region-specific price trends, trade activities, capacity changes, and supply chain developments influencing commodity markets worldwide.
1/4