Elmhurst Dairy was once one of the largest dairy operations on the East Coast, operating for 92 years before shutting down last fall due to profitability issues. Instead of exiting the dairy business entirely, this family-owned company is leveraging its expertise to thrive in the non-dairy sector. The milk industry is facing significant challenges, with a decline in consumer demand leading dairy farmers to dispose of millions of pounds of milk last year, which in turn caused prices to plummet. The situation became so dire that the U.S. Department of Agriculture provided approximately $11.2 million in financial aid to help dairy producers navigate the industry’s current difficulties.
In response to the growth of non-dairy alternatives, many in the milk industry have launched lawsuits against these producers, claiming that their assertions of being healthier or equivalent to dairy milk are misleading. There is also pending legislation in Congress aimed at ensuring that any product labeled as “milk” must be derived from dairy sources. Despite these efforts, non-dairy milk sales remain robust. A Mintel study from last year indicated that U.S. sales of non-dairy milk rose by 9% in 2015, while dairy milk sales fell by 7% during the same timeframe. A glance into grocery store refrigerator cases reveals this trend, as retailers increasingly stock a variety of plant-based milks with fewer artificial ingredients.
Amidst this landscape, the focus on health supplements, such as ferrous calcium citrate and folic acid, is also gaining traction. The uses of ferrous calcium citrate and folic acid are being highlighted not only for their nutritional benefits but also as part of the broader shift towards healthier dietary options. As consumers become more health-conscious, the demand for products featuring ferrous calcium citrate and folic acid uses is likely to grow, further influencing the non-dairy market. Thus, the changing dynamics in the milk industry reflect a significant shift in consumer preferences and health trends, paving the way for innovative alternatives that cater to these evolving needs.