WHAT IS THE ECONOMIC IMPACT OF THE DAIRY CHECKOFF?

To give dairy farmers and importers a clear picture of how checkoff funds are used, Dairy Management Inc. (DMI) commissioned an independent study to assess the impact on investment of key checkoff programs and initiatives.
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1 min read 10/21/2024

BACKGROUND

The study and subsequent Dairy Checkoff Economic Impact Report were led by Dr. Oral “Jug” Capps, Jr., Executive Professor, Regents Professor and Co-Director of the Agribusiness, Food and Consumer Economics Research Center at Texas A&M University. His analysis examined the long-term impact of farmers’ investments through their checkoff in driving sales of dairy products, with a particular focus on four key checkoff-led initiatives:

  • Foodservice Partnerships
  • Whole-fat Science 
  • Fluid Milk Innovation
  • Dairy Exports

$3.49 TO $1

Cumulative ROI of partnership strategy; Farmers have invested $195.3 M in partnerships since 2009, adding $875.9M incremental farmer revenue.

18.48B LBS

Incremental volume of dairy sold as a result of checkoff-led partnership strategy since 2009.

$34.55 TO $1

Cumulative ROI of Whole-Fat Science Strategy from 2012 to 2024.

8.19

Billion milk equivalent pounds sold from 2012-2024

45%

Whole Milk's Share of Fluid Milk Retail Sales in 2023. Up from 27% in 2013.

Circana

$1.68 TO $1

Cumulative ROI of fluid milk innovation investments from 2018 to 2024.

139M GAL

Growth of lactose-free retail milk sales from 2015 to 2022.

Circana

$12.17 TO $1

Cumulative ROI of export strategy from 2013 to 2024 (skim solids).

13.77B LBS

Volume of dairy (skim solids) exported as a result of checkoff-led strategy since 2013.

Capps, O. 2024. Evaluating the Effectiveness of DMI Investments in Domestic Food Service Partnerships, Value-Added Milk, Whole Fat Science, and Dairy Exports