This sounds like a really interesting idea to me. Where is the distributor’s territory? Our family goes through at least 10 gallons of milk, 3 quarts of yogurt, a pound of butter, and a pound of cheese a week. We would very much like to move to a small farm and get our own cows. I do meet many people — including one dairy farmer friend — who are trying dairy-free diets. And I know that the conventional dairy industry is going through massive changes right now. Conventional small dairy farmers can’t break even. Wholesale prices are crazy low and demand is plummeting, But there are bright spots too. In particular, organic dairy prices are strong, and demand for organic and grass-fed dairy — which are what our family consumes — is increasing steadily. So a dairy distributor, if you’re in the right place, might not be as crazy as it sounds at first. You might be able to refer to the overall dairy industry statistics when bargaining for a low purchase price, but if you could partner with the right niche producers, you would weather the trends. Tell us more about the territory and product lines!

There is a well-written article (linked below) just published that chronicles the broader challenges of the industry. A family friend owned a food distribution company that was heavily tied to a major dairy company and after decades in the business, the changes recently forced them to sell to the diary company at an extremely depressed value. My recommendation is to proceed with caution.

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