Volatile dairy markets leaves farmers in lurch

American dairy farmers are being squeezed by a triple-headed monster of overproduction, decreased milk consumption and increased consolidation among processors.  “Farmers are caught in a Catch-22 game of margins and a worldwide glut of overproduction and over-saturated inventories of dairy products,” said Julie Walker, who works with Ag Central Farmers Cooperative in Eastern Tennessee. “Each individual farm is trying to generate enough money to keep bills paid from milk sales at a wholesale price level,” Walker said. “To have enough total money to pay bills, they must sell as many pounds as possible.  When they produce those pounds of milk, they keep contributing to the world overproduction.”