The Economic Impact of Veganism on Dairy farmers
Claire Mistele
The United States has been known for its Got Milk campaign encouraging kids and all consumers to drink more milk. However, this campaign has been challenged by the growing societal trend of veganism. Many substitutes for milk and dairy are being produced to fill these needs by society. “United States still produces over 200 billion pounds of milk every year.” (Erica Sanon). Dairy, especially milk is a very important product in the United States. In the past there has been a very consistent demand for milk. However, the economic impact on dairy farmers (who are now losing money) is detrimental. This blog post will talk about how this economic trend, which has been affected, and even raised suicide rates in dairy farmers.
In case you weren't aware of what veganism is, it is a diet in which participants cannot consume any dairy or meat products (anything that comes from an animal). Vegan Bits states that, “[Currently] only half of one percent of the United States population — or 1.62 million— is vegan.” Although this makes up a small percent of the US, it is substantial because it’s a large amount of people and is growing rapidly. Veganism directly competes with agricultural farmers, dairy farmers, and even consumers. Currently in the United States “The value of U.S. livestock production output (dairy products, milk; meat animals; miscellaneous livestock; and poultry and eggs) contributed $167.4 billion of this sum, about 1.0% of GDP” (Lee Shultz). Although these numbers may seem small, once again they make up a big part of the United States economy as they bring in money from the consumers back to the government and the farmers themselves. This money is necessary as the farmers need to be financially supported. Also this money is used by the government in subsidies that may also go back to the farmers. By trying to make the change away from all non vegan foods so suddenly could cause economic instability.
The graphs above illustrate the shift from animal-product based food to plant-based food. Over three years the sales (of vegan food) have increased significantly with a growth rate of around 10-20% each year. This is because non-animal based products are gaining traction, and are being demanded due to these products being marketed as a healthier lifestyle, saving the environment, and movement away from livestock abuse. This increase can be hypothesized to continue to increase at a substantial rate over the next 5-10 years. As plant-based milk skyrockets, regular milk drops significantly as the interest for milk shifts to other substitutes.
Farmers don’t make a lot of money; they typically make about $10-$18 dollars per 100 pounds of milk they produce and sell. However, although it would seem like no one wants to go into this profession, according to the economic department at Iowa State University, “ In 2012, 16.5 million full and part-time jobs were related to agriculture, about 9.2% of total U.S. employment.” Due to the number of people switching over to a vegan diet, this results many budget cuts by these milk or animal based producing companies. This includes laying people off (approximately 11 million farm jobs have been lost recently).
As mentioned earlier, the suicid rates of dairy farmers has increased over the years, The Badger Harold states, “The increase in suicides among dairy farmers can be seen as a byproduct of several economic hardships in the state, many of which stem from the low milk prices. Farmers aren’t getting a fair price for what they produce, The milk prices are the worst they’ve been in ten years”. Dairy farmers have one of the highest suicide rates records from all occupations. Something needs to be done to help regulate the changing dairy and meat market, as well as, something needs to be done to stop suicide attempts due to economic instability.
Works Cited
Admin. “Beyond Meat Is Just the Beginning - Dairy Alternative Firms Are Set to Boom to a $38 Billion Market.” Food Next.Africa, 6 Aug. 2019, www.foodnextlive.com/news-articles/beyond-meat-is-just-the-beginning-dairy-alternative-firms-are-set-to-boom-to-a-38-billion-market/.
Baker, Ben. “Economic Hardships Lead to Skyrocketing Suicide Rates among Wisconsin Farmers.” The Badger Herald, 26 Feb. 2019, badgerherald.com/news/2019/02/26/economic-hardships-lead-to-skyrocketing-suicide-rates-among-wisconsin-farmers/.
Johnson, Marie. “The Land of Milk and Money: Dairy Farmers Cope with Chronically...” Agweek, 5 July 2018, www.agweek.com/business/agriculture/4468598-land-milk-and-money-dairy-farmers-cope-chronically-low-milk-prices.
Kuper, Arthur, et al. “Vegan Demographics: How Many In The US & In The World?” Vegan Bits, 3 Oct. 2019, veganbits.com/vegan-demographics-2017/.
Liz. “The Dairy Case Is More Competitive Than Ever.” American Farm Bureau Federation - The Voice of Agriculture, 29 Aug. 2018, www.fb.org/market-intel/the-dairy-case-is-more-competitive-than-ever.
Professor, Lee SchulzAssociate. “Would a Sudden Loss of the Meat and Dairy Industry, and All the Ripple Effects, Destroy the Economy?” Would a Sudden Loss of the Meat and Dairy Industry, and All the Ripple Effects, Destroy the Economy? | Department of Economics, www.econ.iastate.edu/node/691.
“Scholarship @ Claremont.” Site, scholarship.claremont.edu/.
I find this interesting because I never thought about the impact veganism could have on dairy farmers. I didn't realize how many people are actually giving up meat and dairy products. Farming is a very important industry and it's sad to see that it's slowly dying. Many meat substitutes are outrageously expensive so I don't see the meat industry fading away. However, as more people turn to becoming vegan, this could be a problem for the economy.
ReplyDeleteClaire, I really like how you incorporated the fundamentals of supply and demand in a way that anyone could understand the problem form the dairy farmers point of view. Talking about the decrease in demand hitting an already low paying profession and how it impacts suicide was a superb way to incorporate feelings of empathy into the piece.
ReplyDeleteBasically, ya dun gud.
I think that it is crazy how much the shift was increased in Market Share Non Dairy products, how it has gone up 10-20% over each year. However,. I do think it makes sense because like you stated, because the products are being marketed as healthier and it moves away from livestock abuse. I also agree that the curve is going to continue to increase in the non dairy products because they already have been increasing in the past few years, and I don't see them decreasing anytime soon. I feel bad for the farmers because this is what they do for a living and since more people are switching to non dairy products there isn't much of a need as many farmers.
ReplyDeleteI never really thought of how much veganism is affecting a farmer’s life in such a way. I thought that veganism was kind of a cheap way of living because when you don’t have to spend money on expensive animal products and you might be living better. But then I learned that being vegan is really difficult so difficult than many new vegans end up stopping because the way you have to get your food is way more pricey than buying things off the shelf.
ReplyDeleteWow Claire, I've never thought about this! It's unfortunate that the suicide rate for dairy farmers is so high and I did not know that becoming vegan could cause so much economic distress. It's interesting how although becoming vegan benefits the environment, it hurts the economy... so the real question is, what's more worth the consequence: becoming vegan and saving the environment (but hurting the economy), or continuing a normal diet and benefiting the economy (but hurting the environment)? Thank you for making me think about this, I'm so intrigued!
ReplyDeleteBased in the rate of growth will vegan products be more popular than animal products in the next 10 years? Lets say vegan foods are more popular than animals products in the next 10 years, what happens to our farmers, they have already been reporting suicides because their business is dwindling but how does this effect our market as well as the farmers themselves. Living in Wisconsin farming and agriculture is a big thing, imagine Wisconsin being known for the Vegan cheese state instead of just the cheese state, Wisconsin's economy revolves around our farmers and what they produce, so if we don't have that what will happen to Wisconsin's economy and the cities within. I am all for eating healthier but it seems there are going to be opportunity costs that come along with it.
ReplyDeleteI agree with your perspective that something needs to be done about the suicide rates in dairy farmers. However, I don’t agree that something needs to be done to regulate the meat and dairy markets. I am not a vegetarian, but I understand why vegetarians and vegans eat the way that they do. People who live a vegan lifestyle generally do it either because of religious views, to eat healthier, or to protest against animal cruelty. I try to remain impartial when it comes to vegans and omnivores, but we can’t force someone to eat/drink something that goes against their beliefs. That would be against our first amendment rights. I understand that dairy farmers are committing suicide because of economic instability, but trying to regulate the meat and dairy market isn’t the answer. Instead, the dairy farmers should move away from dairy farming because a contemporary idea is that animals are treated cruelly.
ReplyDeleteThis topic has obviously been becoming more and more relevant today, as we’ve seen a drastic shift in veganism. I think it’s important to understand all aspects of how our decisions affect the economy. Like you talked about, the demand for milk is decreasing and the demand for milk substitutes is increasing due to consumer tastes and advertising. Additionally, it’s shocking to hear that the sucide rate for dairy farmers has been increasing over the years. Looking into the future, it’s concerning to think that trends might continue and dairy farmers with economic instability already, will struggle more.
ReplyDeleteWhen I saw your blog post, I was very intrigued because I love the vegan diet and I am slowly moving towards it myself. I am doing this because it is so much healthier and also saves animals and protects the environment. I can image that there is a huge layoff of farmers because of all of the people who are becoming vegan and I also agree that this will continue to increase. Whenever I go on social media I find adds for vegan foods or people who are talking about being vegan. Even when I went to the grocery store yesterday, I noticed vegan versions of food everywhere and I can tell that veganism is really growing. Something that I found extremely shocking and my jaw literally dropped at, was when you said how much suicide rates have increased for farmers. I can imagine that being a farmer is already hard, but with the decrease in demand for dairy products, farmers must be loosing a lot of business and their already low salary must be extremely low. I think that veganism is great for the environment and our bodies, but I feel horrible for the farmers and people loosing jobs over it. I predict that in the future, the number of farmers will decrease significantly and I think that the vegetarian diets such as veganism are going to be one of our solutions to environmental issues.
ReplyDeleteThis article is interesting to me because often times people who choose to be vegan think that they are only benefiting the world by advocating for non-violent treatment of animals or trying to lessen the pollution of slaughter houses. However, in actuality it seems that this choice of becoming vegan is also harming human lives, as you stated in the article that dairy farming has one of the highest suicide rates of occupations. Additionally, with this switch of lifestyle, thousands of dairy farmers may lose their jobs and or receive low wages. I thought it was beneficial to include this view of what's happening as often times it is overlooked, especially by people with the lifestyle choice of being vegan. All in all it comes down to what's more important the environment or human lives, the answer may not be as obvious as some would initially think and could be a great debate idea.
ReplyDeleteThe increase of those are who eat vegan is definitely affecting dairy farmers.I feel like some of those who do eat vegan are doing it because of the fact that it is gaining popularity. I had no clue that veganism is affecting dairy farmers this drastically.
ReplyDeleteI have to say that I'm not very surprised by these statistics. In the years that I have been a teenager, I have noticed a big change in more people switching over to non-dairy products. Although many people switch to these diets because of animal cruelty, many people also switch just to be healthier. Even my older brothers who have been drinking regular milk their whole lives, have recently switched to almond milk because of health benefits. Putting this into numbers though, with a 10-20% growth rate of vegan food a year, is astonishing. What I am most shocked about is the amount of suicides by farmers. It's crazy how others life decisions can impact someone else's life so much that they would kill themselves. Seems like we need a solution, fast.
ReplyDeleteI was aware of the increasing amount of the US population becoming vegan, but I was still very surprised by all of these statistics. It's crazy to think that even about 1% of the population not consuming dairy/meat products can have that much of an impact on the economy. I wonder if the market share of dairy is going down because consumers aren't purchasing as much dairy, or if investors are predicting that the number of vegans will continue to grow.
ReplyDeleteI would be interested to see what the numbers of dairy, plant and nut milk sales will look like in the next coming years. The first Gen Z'ers are graduating from college and getting jobs, and they are a very health conscientious generation, so I bet they will increase the sales on the alternative milk market. I think its disappointing that this shift in American culture to eating healthier could adversely affect our economy, but we could try to make up with growing more fruits and vegetables or even finding more alternatives for vegans or vegetarians and mass produce those as a country. I have never been a fan of milk or the milk alternatives, and try to eat as little meat as possible, but I hope that dairy farmers can start to get out of this whole and increase their profits.
ReplyDeleteThe thought of the impact on farmers due to veganism has never really crossed my mind. However, this has also raised a lot of other questions due to how veganism is slowly taking over. The main question I have now after reading this post is "what happens to the livestock after farms go under?" I realize this isn't really a part of the economic impact veganism is having on farmers but I have to wonder. Otherwise the statistics surprised me and the fact that suicide rates in dairy farmers have gone up is concerning. Very much so.
ReplyDeleteIt's concerning that dairy farmers are taking their own lives because of the rise of veganism. I never really thought about how this impacted dairy farmers' careers, I mean they already don't make that much money when veganism wasn't a thing. I wonder if this increase in the trend is going to continue into 2020.
ReplyDeleteI was really surprised when I read the fact that 9.2% of all U.S. employment is related to agriculture, as this number seems particularly high. Thus, it is clear how veganism can have a large economic effect on this field, increasing unemployment and budget cuts. However, it is interesting to hear about how so many of these workers have attempted suicide, and clearly the satisfaction rates within this field are low. While it would be hard to "stop" veganism, something needs to be done to help the economy and lower these suicide rates.
ReplyDeleteA vast majority of vegan individuals are making the switch to a vegan diet and boycotting dairy and other animal products because of the unethical treatment of the animals in the farming industry. Personally, I understand the reasoning behind veganism, but I also recognize how it negatively impacts the farmers who need consumers to continue buying their products to make a living. I would be curious to see if there is a way that for vegan individuals to continue their practices, while still supporting farmers who engage in ethical practices (whether it be through government funding, etc). With that being said, I wonder what that might do to the plant-based food market as well as the animal food market.
ReplyDeleteI appreciate the emotional aspect of your article by discussing the impacts it has on the farmers. The unemployment rate for agriculture is increasing and dairy farmers are struggling, you discuss the negatives extensively but what about the positives. Is the increase in employment in dairy alternative industries counteract the loss in dairy industries. If the alternative is creating more jobs than the dairy is losing, from a macroeconomic standpoint that would be a win. That could provide a interesting argument that would increase the complexity of your already impressive article.
ReplyDeleteI cannot believe the 1% of vegans have such an economic impact on farmers. I never would have thought of the implications of veganism to be so drastic, especially to the personal lives of dairy farmers to this extent. The loss of 11 million jobs as well as the countless lives since the suicide rate has increased are statistics beyond words. Though the lives vegans choose are for the sake of the environment, there are negative attributes that are beyond the scope of the environment, like the mental stability of these farmers. Thank you for sparking this conversation- I would have never thought of it myself.
ReplyDeleteRikspector@gmail.com
ReplyDeleteRight, so the meat and dairy industries convinced us that their products were healthy and that ,cows milk , meant only for calves was a great thing for human children and adults.
The concentrated levels of fat and other substances in milk and cheese guarantee early heart disease heart disease and obesity as well as diabetes , increasing in adulthood and leading to premature death.
I sympathize with the Agricultural community whose livelihoods are threatened, but the big lie that milk , dairy and meat are healthy, has been exposed.
The people who have and will suffer until the transition is accomplished is very sad but minimal compared to the millions whose quality of life has been destroyed by a Milk, dairy, and meat diet.