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Dairy Farmers of America (DFA) will shutter its dairy ingredient facility in Pollock, South Dakota, as part of a broader initiative to optimise milk marketing and balancing across its cooperative network.

This decision will result in the elimination of 33 full-time and four part-time positions.

The closure follows a thorough analysis of current supply dynamics and shifting demand trends within the dairy industry.

DFA stated that the raw milk previously processed at the Pollock facility will be redirected to neighbouring plants, ensuring that customer needs continue to be met through its extensive network of ingredient facilities.

In its statement, DFA expressed appreciation for the contributions of the Pollock facility's employees, acknowledging their dedication to producing high-quality dairy ingredients.

The cooperative emphasised its commitment to supporting affected workers during this transition, underscoring the weight of decisions impacting livelihoods.

DFA operates 46 plants nationwide, with 13 located in the central area, which encompasses the Dakotas to Wisconsin. The Pollock facility was one of seven ingredient plants in this region, which includes additional operations in Minnesota and Wisconsin.

The cooperative's decision to close the Pollock plant reflects a strategic realignment aimed at maintaining financial viability and maximising returns for its family farm owners.

The closure comes at a time when South Dakota has experienced significant growth in dairy production.

According to Ag United for South Dakota, there are nine other dairy processing plants operating in the state, indicating a robust dairy sector despite the challenges faced by individual facilities.

Industry experts note that the closure of the Pollock plant may have broader implications for the regional dairy market, particularly as it follows the recent cessation of milk bottling operations by Prairie Farms in nearby Bismarck, North Dakota.

The Pollock facility was seen as a potential recipient for the milk previously processed by Prairie Farms, alongside other local plants.

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