I’m in NE KS and about three years ago I started going to a Baker’s grocery store in Omaha with a buddy of mine that drives there every weekend for work. The original enticement was cheap booze, but milk is also cheap. In the last three years the range has been $1.69 to $1.99/gallon. It’s pushing $5.00 at my local store and my mom told me that’s what it is in NE MO. This is the only thing I can find and it’s BS.
In my hometown, the supermarket chains have cut milk prices down to match WalMart/Costco/Aldi/etc. In other parts of the state, prices are different. Maybe they’re doing that in Omaha.
Omaha is (perhaps more accurately was) a major meat packing plant center-beef and pork mainly. Different end product than dairy cows.
I live here and I am not aware of a surfeit of dairy operations. I think it’s much more likely related to the brisk competition between major grocery store chains, with several recent new competitors who are angling for market share with loss leaders like milk.
My smart ass answer? Somehow our Gov. Pete Ricketts, or his family, make money off of milk prices or the manipulation thereof.
I’ll try. But if you see me in the bushes at 6:55 with a pizza box balanced on my head and a jug of milk in my left hand, please don’t call the cops on me!
As you also note, grocery stores have traditionally used several staples (most notably milk, meat/poultry, cereal, and soft drinks) as “loss leaders” – categories that they are willing to make little (or even no) money at, as they are products which most households buy regularly, and are often willing to switch stores for a better price on them. In other words, they’re pricing milk low, to get people to buy their groceries there (including, they hope, other groceries on which they’ll make more money). This’ll be particularly the case in a market where there’s a lot of competition for grocery shopping.
It must be the competition. We frequent two different Baker’s within 3 miles of each other and searching google maps for grocery stores in Omaha turns up 60 (10 of which are Bakers). Kroger owns Baker’s.