This fact sheet summarizes the key findings from the report analyzing the contribution of the dairy industry to Wisconsin’s economy using census data from 2022. It covers economic contributions, employment trends, historical shifts, and regional impacts.
Key Economic Contributions (2022)
Metric
Value
% of State Total
Industrial Revenues
$52.84 billion
6.5%
Employment
120,700 jobs
3.3%
Labor Income
$7.89 billion
3.2%
Total Income
$13.71 billion
3.4%
Sector Breakdown (2022)
Sector
Industrial Revenues
Employment (Jobs)
Share of Total Dairy Impact
On-Farm
$15.2 billion
48,800
30%
Processing
$37.1 billion
70,200
70%
Note: Cheese production consumes nearly 90% of Wisconsin’s milk, driving much of the processing activity.
Historical Trends in Dairy Farms
Year
Number of Dairy Farms
% Change from 2017
Dairy Cows
Milk Production (billion lbs)
% Change in Milk Production
2017
9,304
–
1,280,395
30.333
–
2022
6,533
-29.78%
1,264,272
32.123
+5.90%
Farm Closures: The number of dairy farms decreased by 29.78% between 2017 and 2022.
Milk Production: Despite the decline in farm numbers, milk production increased by 5.90%.
Employment and Income Trends
Sector
Average Income
Employment Multiplier
Total Employment Impact
Dairy On-Farm
$35,500
2.87
48,786 jobs
Dairy Processing
$82,070
2.64
78,940 jobs
All Dairy Employment
–
2.73
127,726 jobs
Employment Multipliers: For every on-farm dairy job, 1.87 additional jobs are supported. In processing, 1.64 additional jobs are supported for each direct processing job.
Regional Economic Impact
Region
Total Economic Impact
% of Region’s Total Economic Activity
Dairy Dependency
East Central
$13.3 billion
8.1%
Moderate
Southwest
–
–
18.1%
East Central is the largest contributor to dairy’s economic impact, while the Southwest region is the most dependent on dairy for its economic activity.
Conclusion
The dairy industry remains integral to Wisconsin’s economy despite the challenges posed by consolidation and farm exits. The expansion of dairy processing, especially cheese production, continues to drive employment and income, contributing to economic resilience across the state.
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