Pa. dairy farmers see potential opportunities amid trade tensions as a new Chobani plant promises increased demand, offering hope for future industry growth.
HARRISBURG, Pa. — Pennsylvania dairy farmers gathered in Harrisburg Wednesday to discuss the future of the industry as changing U.S.-Canada trade policies and a new Chobani processing facility bring both uncertainty and potential new opportunities for milk producers.
The Trump administration is set to ban certain Canadian dairy imports at the end of the month, adding to tensions between the two countries. But dairy economists say the changes are unlikely to have a major impact on Pennsylvania farmers or milk prices.
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“The U.S. exports 17% of its milk production in terms of dairy products and ingredients around the world,” said Corey Geiger, a dairy economist with CoBank. “We are a surplus nation, so from that standpoint, we should be fine.”
Industry officials do not expect the trade changes to significantly affect dairy prices, meaning consumers could continue to see relatively stable prices at grocery stores.
At the same time, Pennsylvania farmers are looking toward a potential boost in demand from Chobani’s planned facility in Allentown, which is expected to open in 2027.
The new plant could provide another market for milk produced by Pennsylvania dairy farms at a time when the industry has faced stagnant growth.
Jayne Sebright, executive director of the Center for Dairy Excellence, said changing consumer demand is creating new opportunities for dairy producers.
“If you look back 10 years ago, the product demand was focused on those traditional dairy products like fluid milk, cheese, ice cream and butter,” Sebright said. “And now, we are really seeing a lot of emerging products like the Chobani-type products but also like the ESL that are coming online, the higher protein, more nutraceutical-type foods, and that creates this huge opportunity.”
For farmers, increased processing capacity could mean a stronger market for the milk they produce and more opportunities for younger generations to remain in the industry.
“It just gives a greater outlook for the next generation to see that there is a market for our milk,” Reid Hoover, a Lebanon dairy farmer said. “And, you know, it’s exciting to see that there’s opportunity out there, room for expansion.”
As Chobani’s Allentown facility moves toward its planned 2027 opening, farmers will be watching to see how much the additional processing capacity increases demand for Pennsylvania milk.
For an industry facing uncertainty in international trade and long-term growth, farmers say new sources of demand could provide greater stability and a stronger outlook for the future.