---
title: Limited Milk Supplies
description: Limited milk supplies are impacting butter consumption in the US, with milk output below prior years due to a decline in the milk cow herd. Learn how Datum FS can help anticipate commodity volatility.
---

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# [Limited Milk Supplies](https://datumfs.com/en/maloni-intelligence-chart-of-the-week/limited-milk-supplies)

 Written by [David Maloni](https://datumfs.com/en/maloni-intelligence-chart-of-the-week/author/david-maloni) | Aug 22, 2024 3:36:02 PM

So what's the story with butter? Well, for one, butter consumption is on the rise with domestic consumption growth tracking in the double digits. But limited milk supplies are also playing a part. Milk output in the US has been tracking well below prior year in 2024 in part to a decline in the milk cow herd. And part of the blame lies in the cattle-beef industry. The limited animal supply has pushed milk cow prices at the slaughter markets to record highs providing the incentive for dairy farmers to liquidate parts of their herd.

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