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American Cheese Surplus Reaches Record High

According to the U.S. Department of Agriculture, there's a 1.4 billion-pound cheese surplus. "The glut, which at 900,000 cubic yards is the largest in U.S. history, means that there is enough cheese sitting in cold storage to wrap around the U.S. Capitol," reports NPR. Americans managed to consume nearly 37 pounds per capita in 2017, but that wasn't enough to reduce the surplus. From the report: The stockpile started to build several years ago, in large part because the pace of milk production began to exceed the rates of consumption, says Andrew Novakovic, professor of agricultural economics at Cornell University. Over the past 10 years, milk production has increased by 13 percent because of high prices. But what dairy farmers failed to realize was that Americans are drinking less milk. According to data from the USDA, Americans drank just 149 pounds of milk per capita in 2017, down from 247 pounds in 1975.

Suppliers turn that extra milk into cheese because it is less perishable and stays fresh for longer periods. But Americans are turning their noses up at those processed cheese slices and string cheese -- varieties that are a main driver of the U.S. cheese market -- in favor of more refined options, Novakovic tells Here & Now's Jeremy Hobson. Despite this shift, sales of mozzarella cheese, the single largest type of cheese produced and consumed in the U.S., remain strong, he says. Novakovic also notes that imported cheeses tend to cost more, so when people choose those, they buy less cheese overall. The growing surplus of American-made cheese and milk means that prices are declining. The current average price of whole milk is $15.12 per 100 pounds, which is much lower than the price required for dairy farmers to break even.

2 of 398 comments (clear)

  1. Re:I will be glad to help by skam240 · · Score: 5, Interesting

    I made a trip to the UK a few years ago and found quite a lot of really fucking good cheese of all kinds and varieties for very affordable prices. Over here, anything other than the fundamental basics for cheese are a small fortune. It seems to me our Dairy industry is pretty dysfunctional and I suspect government subsidies are discouraging them from innovating in the context of their surplus milk.

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  2. Re:Cheese? by smoot123 · · Score: 4, Interesting

    The label says "pasteurized process cheese food".

    You're being too generous. IIRC, it's "pasteurized processed cheese food product". I don't know how a food is different from a food product and I'm pretty happy that way. I'll just stay away from the nasty stuff.

    (Well, except I have a recipe for a Velveeta-based chili cheese dip. It's appalling but really tasty after a few beers.)