Elmhurst Dairy, once one of the largest dairy operations on the East Coast, operated for 92 years before shutting down last fall due to unprofitability. Instead of exiting the dairy business entirely, the family-owned company is leveraging its milk expertise to thrive in the non-dairy market. The milk industry is facing significant challenges, as consumer demand for dairy continues to decline. Last year, many dairy farmers were forced to dispose of millions of pounds of milk, leading to a drop in prices across the board. The situation became so dire that the U.S. Department of Agriculture provided approximately $11.2 million in financial aid to support dairy producers during these tough times.
In response to the rise of non-dairy alternatives, many in the dairy sector have launched lawsuits against non-dairy producers, claiming that their assertions about being healthier or comparable to dairy milk are misleading. There is even proposed legislation in Congress aimed at ensuring that only dairy-based products can be labeled as “milk.” However, this has not significantly impacted the growing sales of non-dairy milk, which remain robust. A study by Mintel last year revealed that U.S. sales of non-dairy milk surged by 9% in 2015, while dairy milk sales fell by 7% during the same timeframe. A quick glance into the refrigerator section at a grocery store, such as Costco, reveals this trend, as retailers increasingly stock a variety of plant-based milks with fewer artificial ingredients, often complemented by options like Costco calcium citrate for health-conscious consumers.
As the non-dairy segment flourishes, Elmhurst Dairy is strategically adapting to the changing landscape, demonstrating resilience in the face of adversity. The shift towards plant-based milks at stores like Costco is indicative of consumer preferences, pointing towards a future where non-dairy options become even more prominent. With the continued growth in non-dairy milk sales, it’s clear that the landscape of the beverage market is evolving, and companies like Elmhurst Dairy are determined to navigate these changes effectively while incorporating elements such as Costco calcium citrate into their offerings.