Worldwide milk production is projected to jump 19% to 827 million tons by 2020, according to PMMI’s “Dairy Industry Marketing Assessment,” released in September at PACK EXPO Las Vegas 2013. That jump comes despite a drop in fluid milk consumption in the United States. Feedback from 50 dairy professionals interviewed for the report suggests the rise stems from enhanced operational efficiencies, access to higher quality feed and the increasingly large herds kept by larger dairy producers.

Industry consolidation

Because of consolidation, the number of licensed U.S. dairy farmers has dropped by 61% since 1992, and just last year, 57% of milk produced came from farms with at least 500 cows. The consolidation has meant steeper competition for smaller farmers, who watch their larger, more technologically-advanced competitors take advantage automation and other efficiency-driving technologies.

To compete in this market, dairy producers of all sizes must continue to implement operational and production line changes to foster future growth, and indeed, 91% of study participants identified increasing production volume and operational efficiency as key goals, and 80% indicated they are evaluating their equipment needs to support production goals.

Suppliers are designing new machinery that will meet evolving dairy processor demands and comply with current and future food safety regulations. As these and other new technologies emerge to enhance efficiency and maximize output, it’s critical that dairy processors continue working closely with suppliers to troubleshoot potential challenges in the early stages of production line development or renovations. PACK EXPO International 2014 (November 2-5, McCormick Place, Chicago, IL) will provide opportunity for suppliers and producers to meet and to exchange ideas, and with 2,000 exhibitors and 1.2 million net square feet of exhibit space, it will also be the ideal spot for sourcing new technologies to advance their businesses. For information about next year’s show in Chicago, visit packexpo.com and sign up to be notified when registration opens. A copy of the 2013 “Dairy Industry Marketing Assessment,” is available free to PMMI members and for $3,500 to non-members. The Executive Summary of this report is available at no charge at PMMI.org (click “Research and Trends”).

PMMI is a trade association representing 600+ packaging and processing supply chain companies that provide a full range of packaging and processing machinery, materials, components and containers. PMMI actively brings buyers and sellers together through its a range of programs, including: The PACK EXPO family of trade shows, packexpo.com, PMT Magazine, PACK EXPO Show Daily, networking events and educational programs.

PMMI organizes the PACK EXPO trade shows: PACK EXPO International, PACK EXPO Las Vegas, PACK EXPO East, EXPO PACK México and EXPO PACK Guadalajara, connecting participants in the packaging and processing supply chain with their customers around the world. Coming Up: PACK EXPO International 2014 at McCormick Place in Chicago; Nov. 2-5, 2014, PACK EXPO East at the Pennsylvania Convention Center in Philadelphia, February 2-4, 2015; EXPO PACK Guadalajara, at EXPO Guadalajara, in Guadalajara, Jalisco, Mexico, March 18-20, 2015. Learn more about PMMI and the PACK EXPO trade shows at PMMI.org and Packexpo.com.