Need for protein creates opportunities for Iowa dairies

(Radio Iowa) – The increased demand for protein-rich foods is creating some new opportunities for Iowa dairy producers. Iowa State University Extension Dairy specialist Fred Hall says the use of weight loss drugs is one of the drivers for more milk protein.

“When you use those products, you have to make sure your body has enough protein to go through the mechanics of making that product successful. They’re looking for high protein snacks,” Hall says. Hall says another factor is the 2025-2030 Dietary Guidelines for Americans increased recommended protein intake, and protein consumption is encouraged at every meal. Hall says the milk protein casein (Kay-seen) is a high-value dairy product that is added to salty snacks.

“Doritos just announced Doritos protein, where they’ll take a serving of Doritos and it’ll have to start with ten grams of dairy protein, of casein protein, and eventually work up to 17,” he says. Hall says the use of the medications has led to reduced spending on higher-fat dairy products, like butter, cheese, and cream. While yogurt, cottage cheese and the fermented milk drink kefir are benefiting from increased demand for high-protein, low-fat options.

“As the marketplace expands, that helps our dairies. We’re in a unique position where the processors are driving the demand as they’ve built these multi-million dollar facilities. They need to keep them running,” he says. Hall says Iowa alone, has more than 700 million worth of investment in dairy processing that needs raw milk. “Obviously that gives some marketing opportunities for dairymen who can service those plants and get some additional benefit, either a higher price or maybe a break on trucking,” Hall says.

Hall says the increased consumption of dairy components is a good thing, but dairy farmers are still facing significant financial headwinds tied to recent changes in federal milk pricing formulas.