First, there is a well-known reason for the imbalance between supply and demand in the milk market. If there is an imbalance between supply and demand in the milk market, these suppliers can't make money, so milk can't be sold. This is to analyze this problem from the perspective of economics. If there is too much milk supplied by merchants in the American market in a short time, but there are not so many consumers in the market, it will lead to problems in this chain, so the demand will be greatly reduced. Then these dairy farmers will find that their products can't be sold, and at this time they can only pour their own milk.
Second, the logistics cost is high. If Bian Xiao's analysis above really happens, then these factories actually have other ways to solve these problems, such as selling the milk to people who can't afford it or selling it at a very low price. But if these manufacturers really sell milk at a very low price, it will lead to market deviation. At this time, the market is very chaotic, so these manufacturers are unwilling to sell their products at a low price or ship them out. Because the transportation cost in the United States is very high, there is no way to solve this problem, so they have to dump the milk underground.
Third, the psychology of capitalists In addition to the economic reasons analyzed by Bian Xiao above, in fact, the reason why these milk producers in the United States dump milk is also because of the psychology of capitalists. Because these businessmen also want to make money, they can't sell their products at relatively low prices, so this also has a certain impact.