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Dairy products could become more expensive in 2027

Dairy products could become more expensive in 2027
Logistics, energy, and packaging costs are weighing on the dairy industry. Added to this is the summer drought. (File photo) / Photo: Daniel Vogl/dpa
From: Sachsen News
Milk prices are at a five-year low, while costs for producers are rising. Here's what that means for consumers.

According to industry sources, dairy products could become more expensive next year. The German Dairy Industry Association (MIV) announced at its annual conference in Dresden that 2026 has been a mixed year for the dairy sector so far. Whether prices will actually rise will depend on negotiations with retailers. 

After farmers were able to achieve the second-highest milk price ever in 2025—over 52 cents—this year saw a five-year low in prices, as MIV Chairman Detlef Latka said. Regionally, the milk price reportedly fell to as low as 30 cents for farmers.

Producers had at times supplied too much milk, which had driven down the price. At the same time, costs for logistics, energy, and packaging have risen for farmers and dairies. This has made higher prices necessary. In addition, farmers have faced additional strain due to the summer drought. In some regions, there had been an increase in cow slaughter.

High Demand for Protein Products

Sales of milk and dairy products are nevertheless going well both in Germany and internationally. For example, there have been higher sales volumes of quark and cheese in Germany, Latka said. Protein-rich dairy products, in particular, are selling well in Germany. This trend has been evident for some time now.

Number of Dairy Farmers Continues to Decline

While the number of cows in Germany—at around 3.6 million—remained stable compared to the previous year, according to the data, the number of dairy farmers continued to decline. In May 2026, there were approximately 1,500 fewer dairy farmers than in the previous year.

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