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The South Dakota Dairy Association, founded in 1904, played a key role in advancing the state's dairy industry. It promoted dairy farming practices, supported producers, and contributed to the sector's economic impact. The association was governed by a board including a president, vice-president, and secretary-treasurer, ensuring strategic direction. Since 1976, South Dakota State University has hosted the South Dakota Dairymen’s Conference, later renamed the Dairy and Forage Conference. Annual conventions facilitated industry collaboration and policy discussions. In 1993, the association merged with the North Dakota and Minnesota dairy promotion councils to form the American Dairy Association and Dairy Council.

In 1881, farmers in Yankton County organized the first alliance in Dakota Territory, inspired by Milton George, editor of the Western Rural, who condemned discriminatory railroad practices and advocated for the National Farmers’ Alliance. A sharp drop in wheat prices in 1884 fueled widespread unrest, prompting mass meetings in Clark, Huron, Mellette, and Redfield, where farmers called for railroad regulation. In response, a territorial railroad commission was established in January 1885, but opposition rendered it powerless to set freight rates. The movement strengthened in February 1885, when delegates from eleven counties convened in Huron to form the Dakota Farmers’ Alliance, affiliating with the national organization. By mid-summer, the number of local alliances in the territory had tripled, demonstrating the growing influence of the farmers’ movement.

Journalist Isaac Newton Gresham founded the Farmers Educational and Cooperative Union in Point, Texas, in 1902 to protect and promote the interests of family farmers. The organization expanded nationally in 1905.

The Farmer’s Union was introduced to South Dakota around 1914 by former members of the Nebraska Farmers Union who had relocated to the state. Early organizational efforts in South Dakota were driven by Farmers Union officials from Nebraska.

On March 16, 1917, the South Dakota Farmers Union was officially established as a state unit during its first state convention in Mitchell. The convention brought together 268 delegates representing 14 counties, reflecting the organization's growing presence. By this time, 134 local chapters had been formed across the state.

Education has been a cornerstone of the South Dakota Farmers Union, pioneering programs that were later adopted by other state units. In its early years, the Union played a crucial role in collective purchasing, helping farmers acquire essential supplies such as flour, coal, and twine.