I often wonder in conversations like this how many people have actual backgrounds in agriculture? Yes, in some states milk is price regulated and subsidized. Sometimes to keep prices low and sometimes to keep prices high (it kinda depends on the place - yes, screwy and in the same place people argue about the reasons). Messing with subsidies will raise input costs to a lot of businesses, much like rising truck transport costs.

Generally someone will pull out this local plots / in city farms and forget a lot of basic economic truths about mass production and transportation.