Impact of Hired Foreign Labor on Milk Production and Herd Size in the United States

Foreign labor has become increasingly important component of U.S. agriculture. Disruption in the supply of agricultural labor has been argued to significantly affect agricultural production. This study analyzes the impacts of foreign labor shortages on the dairy industry using national survey data. The results suggest that a 30 percent hired foreign labor shortage will result in 10.1 billion pound decline in total U.S. milk production. This is equivalent to a loss of 458.9 thousand dairy cows. One of the key implications of this study is the need for immigration or labor policies that help maintain consistent labor availability and stability of the dairy farm workforce