Elmhurst Dairy, once one of the largest dairy operations on the East Coast, operated for 92 years before shutting down last fall due to a lack of profitability. Instead of exiting the milk business entirely, this family-owned company is leveraging its expertise in dairy to thrive in the non-dairy sector.
The milk industry has faced significant challenges, with consumer demand for dairy products declining. Last year, many dairy farmers resorted to discarding millions of pounds of milk, resulting in a widespread drop in prices. The situation became so dire that the U.S. Department of Agriculture stepped in, providing approximately $11.2 million in financial assistance to help dairy producers navigate these tough times.
In response, many traditional dairy producers have launched lawsuits against non-dairy companies, claiming that their assertions of being healthier or comparable to dairy milk are misleading. Additionally, there is legislation pending in Congress that would mandate that any product labeled as “milk” must be derived from dairy sources. However, these efforts have not significantly impacted the sales of non-dairy milk, which remain robust. A study by Mintel revealed that non-dairy milk sales in the U.S. surged by 9% in 2015, while dairy milk sales plummeted by 7% during the same timeframe.
A glance into grocery store refrigerator cases reveals this shift, as retailers increasingly stock plant-based milks with fewer artificial ingredients. In this evolving landscape, products like calcium citrate plus D3 have become popular among consumers seeking alternative sources of nutrients typically associated with dairy. As the 21st century unfolds, it’s clear that the non-dairy segment is here to stay, and traditional dairy producers must adapt to survive.