California Dairy Adds $23.2 Billion to State GDP, Boosts Fresno Economy
A UC Davis study released November 24 found California’s dairy industry contributed $23.2 billion to state gross domestic product in 2024 and supported more than 151,000 jobs, underscoring dairy’s central role in Fresno County agriculture. The findings matter locally because dairy accounted for nearly half of Fresno County farm sales in 2024 and underpins thousands of jobs across related industries.
A University of California, Davis study released November 24 found California’s dairy industry generated $23.2 billion in contribution to the state gross domestic product in 2024, supported 151,859 total jobs, and produced roughly $87.5 billion in direct, indirect and induced sales last year. The study, funded by the California Milk Advisory Board and titled Contributions of the California Dairy Industry to the California Economy, 2023 and 2024, shows the sector remains a large economic engine even amid market turbulence.
Farm milk value in 2024 reached $9 billion, while processed dairy products contributed $29.1 billion, the study shows. California has led the nation in milk production since 1993, accounting for about 18 percent of U.S. milk, and nearly all milk produced in the state is processed locally into fluid milk, cheese, butter, whey, milk powders and ice cream. Bob Carroll, CEO of the California Milk Advisory Board, said, “California dairy remains an essential economic engine for the state and a source of livelihood for tens of thousands of families.”
The report has immediate relevance for Fresno County, the nation’s top farm county, where dairy accounted for nearly half of recorded farm sales in 2024. In Fresno, Kings, Madera and Tulare counties milk was the top farm commodity in 2024 with a combined value near four billion dollars according to The Business Journal’s Agricultural Commodities list. Fresno County agriculture’s total economic impact was estimated at 21.66 billion dollars in 2023, supporting about 108,000 jobs or roughly one in nine jobs countywide.
Beyond raw numbers the study maps linkages to feed production, packaging, logistics, energy and retail, indicating that dairy rhythms affect a broad swath of the local economy. The report notes challenges in 2024 including inflation and H5N1 related disruptions, while highlighting gains in efficiency, renewable energy adoption and expanding global market opportunities for processors. For Fresno residents those trends mean continued pressure and opportunity in wages, supply chain work, and land use decisions as dairy producers seek to produce more milk with fewer resources while meeting environmental expectations and global demand.
