The dairy industry is starting to feel the impact of the Coronavirus outbreak. Milk prices are dropping again after a brief rebound from a five year stretch of low prices.
What kind of an effect is the outbreak having on the industry?
“High Tides raise all ships,” said Joe Osterkamp, dairy producer.
Osterkamp is a fourth generation dairy producer and was one of hundreds of other dairy producers who attended the High Plains Dairy Industry in Amarillo on Tuesday and Wednesday. Dairy producers and many others who work in the dairy industry keep an eye on the markets. Milk prices have taken a hit in January and in February of 2020, due to the outbreak of Coronavirus.
“When one thing happens in one part of the world, it affects all of us and with as global as our economy is with those exports, the markets the way they are today, anything in the world can have an effect,” said Osterkamp.
The viral outbreak is a potential hurdle as the dairy producers wait to see if China makes good on the agreement to purchase at least $40 billion of agriculture goods from the United States.
The Bovine Coronavirus that gets into cows, dogs, cats and swine is something that has been around for years and veterinarians have treatment options to deal with that strain of Coronavirus.
“You can vaccinate and it’s very successful program,” said, Ralph Zimmerman, New Mexico State University veterinarian. “The young calves you can vaccinate their moms before they’re born. They get enough immunity through the colostrum that will get them over the worse edge of diarrhea as youngsters.”
The dairy farmers who attended the two-day conference tell ABC 7 News when they leave they will depart with newfound knowledge that will best prepare them for the challenges that lie ahead.
“It lets you know that you’re not alone out there and other people are going through the same thing you’re going through,” said Osterkamp. “It provides more of a perspective of what’s going on around you.”
Like so many who export goods to a foreign country, it’s a wait and see approach as long as the virus spreads it will feed more trade uncertainty.
The United States is one of largest milk producers. Most of the milk exported goes to China and Mexico. If China stops importing milk for months because of the Coronavirus it will drive the price down further.
Source: abc7amarillo.com
