Earlier quoted context omitted.
If anyone can out-Walmart Walmart, it's Aldi. When Aldi came to Dallas a few years ago (I'd like to say 2010-2011ish), they started a price war over milk that resulted in milk prices in Dallas plummeting to 1960 levels. Edit: Source: http://www.wfaa.com/story/money/consumer/2014/08/10/13621020...
I do wonder what the effect of this is on dairy farmers.
Your basic economic forces take it from there. Dairy farmers are like any other business in that many can stand to be more efficient.