California Business Minute™

Hi, I am Tim Johnson and welcome to the California Business Minute.

Californians should be bleu.  While the state’s cheese processors have been
quickly gaining on the nation’s leader-Wisconsin, the forecasts by the experts
that the state will overtake Wisconsin is at least in the near term unlikely. The
two states have been in a proverbial grudge match since 2000, agriculturally
speaking, given that over 50 percent of the nation’s cheese production comes
from the two states.

California and our ‘happy cows’ have been doing a yeoman’s job, but unfortunately
processing plants in the state are maxing out. Cheese production in the two states
moved in opposite directions – Wisconsin’s went up and California’s went down. 
Wisconsin’s lead came within less than 6 million pounds of California’s in July of
last year. But the gap started growing again reaching 30 million pounds in March. 
The shift is due to two plants closing in California while two opened in Wisconsin. 
Dairy Farmers of America closed in Corona and Lactalis USA closed in Turlock.

California has 61 plants compared to Wisconsin’s 124.  California’s plants are larger
and are operating at full capacity while Wisconsin has surge capacity in their plants.
California makes larger quantities of fewer cheeses while Wisconsin makes small
amounts of specialty cheeses.

I am Tim Johnson and this has been the California Business Minute.

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                                                Bob Slobe
                                                Businessman
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