Since 1970, average milk production per cow in the US has increased by
2321 kg. During this time, the number of cows has decreased by 2,010,
000, and the number of farms with milk cows is less than one-third the
previous level. These trends are likely to continue. Although increas
ed productivity has made US producers among the most efficient in the
world, many challenges will emerge in the near future. Reduced governm
ent involvement that is partially due to budget constraints will contr
ibute to greater price variations than in the past; international trad
e may offer new opportunities for increased sales if current trade neg
otiations are successful; and environmental concerns, animal welfare i
ssues, and consumer preferences will continue to challenge the industr
y. Basic and applied research, technology transfer, and responsible le
gislation will be needed to assist the industry in meeting these chall
enges. Most of all, active producer participation in setting research
priorities and the legislative agenda is necessary for the industry to
progress.