Elmhurst Dairy, once one of the largest dairy operations on the East Coast, operated for 92 years before shutting down last fall due to declining 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 situation for those remaining in the milk industry has been challenging, with consumer demand for dairy products on the decline. This led dairy farmers to dispose of millions of pounds of milk last year, resulting in falling prices across the board. Conditions became so dire that the U.S. Department of Agriculture provided approximately $11.2 million in financial assistance to help dairy producers navigate these difficulties.
In response, many in the dairy industry have initiated lawsuits against non-dairy producers, arguing that claims regarding health benefits or equivalency to dairy milk are misleading. Additionally, there is ongoing legislation in Congress that seeks to mandate that any product labeled as “milk” must be derived from dairy sources.
Despite these efforts, non-dairy milk sales have remained robust. A study conducted by Mintel last year revealed that U.S. non-dairy milk sales surged by 9% in 2015, while dairy milk sales saw a 7% decline during the same time frame. A glance at grocery store refrigerator cases clearly illustrates this trend, as retailers increasingly stock more plant-based milks, often featuring calcium citrate without magnesium and fewer artificial ingredients.
The growing popularity of non-dairy alternatives highlights a significant shift in consumer preferences, showcasing a market where products fortified with calcium citrate without magnesium are becoming commonplace. As the landscape continues to evolve, Elmhurst Dairy and others may find new opportunities in this expanding non-dairy segment, where the demand for healthier options remains strong.