Cost

In 1970, a quart (roughly a litre) of milk cost 19 cents, or $2.47 when adjusted for inflation. In 2020 the same litre costed $2.60, a negligible increase. This figure may have changed differently over time were it not for variable Australian government dairy subsidies which, despite being officially removed in the late 1990s, have continued as “less visible and more politically palatable” funding streams (but we will still call them ‘subsidies’ here). As the subsidies come from Australian taxpayer money, the cost a consumer pays for milk comes to around $4.06 in 2020 (considering a farming average subsidy of around 56%). Those who do not consume dairy products still pay around $1.46 per litre every time someone else buys a bottle as all taxpayers pay the subsidy.

What do we mean though, when we ask what a bottle of milk costs? Most would respond with a similar simplified dollar-value answer as that in the first paragraph. However we might also consider the conditions of the production of dairy through which we arrive at these figures.

Dairy farmers and their employees work 365-days-a-year. Even if we don’t buy into the statement that farmers care about their animals, they do still need to tend to them every day. Over half of dairy farmers have openly reported a mental health issue, almost three-times the rate for Australians, however there are underreporting issues with mental health statistics so it may actually be higher. Transport workers also face serious mental health issues.

The largest cost of life, though, might be burdened by the animals who produce dairy. The mothers who are forcibly impregnated over and over again, and their babies who are taken from them after only a few hours, the males to be killed for veal and the females entered into the pregnancy cycle.

How might the cost of what an animal gives (or, has taken from them) and what workers endure compare to what a consumer pays at the supermarket? The average weekly income in Australia in 2022 is around $1376, and given that Australians drink an average of 1.8 litres each week their investment in dairy comes to around $7.31 (including the cost of taxpayer subsidies) each week.

Alarmingly, one farmer dies of suicide every ten days and around 9,600 cows are killed in Australian dairy production each week. Combined, they burden the significant cost of dairy, not the consumers.

As we have roughly calculated, the consumer pays around $2.60 and the taxpayer an additional $1.46 in subsidies. The approximate value of a human life is between $US1-10 million. If we were to take the lower figure in the range, around $AU1.4 million, this would mean that, each of us should pay an additional 5 cents per lite, or 9 cents each week. The higher value in the range (around $AU14 million) would bring the cost to an additional 50 cents per litre, or 90 cents each week. Adding the value of an animal’s life depends on many factors and the value ranges from around $40 each to millions of dollars each depending on the animal.

When asked what they would be willing to pay for a litre of milk, people responded with varying amounts ranging from “a few pence” more to up to five dollars a litre. If we were to begin calculating in the actual cost of life, it may depend on who it is who has suffered or died. The families of the farmers will certainly value their life much higher than a crude dollar value.

As a start, it might be worth considering that dairy consumers pay an additional fee at the checkout to increase the wellbeing of the animals involved in dairy production, and to decrease the amount of stress placed onto our valuable farmers. Ideally, the way to reduce this stress would be to invest the additional fee accumulation into removing all animals and farmers from dairy production and transitioning their properties and businesses into farming high-yield milk-alternatives such as soy or oat.

Milk prices have essentially remained unchanged to the consumer over the past fifty years, however the cost continues to increase by unnecessarily taking the lives of our families, friends, and animals. A cost which dairy consumers need to take significantly more responsibility for.

This week’s action:

There are many dairy alternatives available, including by the same companies who produce dairy products which means the taste remains quite similar to familiar dairy products. When you are next at the supermarket, take some time to explore them and find an alternative which suits you and your taste. It may take a few tries, but it is definitely worth the effort.

Be careful though, to avoid environmentally damaging alternatives such as those made with almond. Soy and oat are the best options, but again, try a few brands as they do differ in taste.