Dairy Farm Closures Rise in California
Although milk prices have risen slightly, grain prices remain too high for many dairy farmers in California to hold onto their farms. AgAlert author Ching Lee asked local farmers, accountants, and dairy economists about the future of dairies, their banks, and their customers.
Just in recent days, [dairy farmer] Joaquin Contente said he learned of at least 16 dairies within five miles of his operation in Hanford that have shuttered their doors or are in the process of doing so. He noted that while a good portion of those dairies were "at the end of their financial rope," others calling it quits are just fed up with the business and want to get out before they lose all of their equity.
"They don't see any light at the end of the tunnel, and I don't blame them," Contente said.