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You can not find milk in Minecraft. Rather, you must craft a bucket and use it on a cow's nipples.
Milk milk milk sugar egg sugar wheat wheat wheat
You can craft cake, which needs milk, wheat, an egg, and sugar (from sugar cane (previously called reeds) here is how to craftM is milk, E is egg, W is wheat, and S is sugarM.M.MS..E..SWWW
Give the cafe owner milk and she'll give you the recipe.
It is three buckets of milk, two sugar, one egg and three wheat. The crafting recipe is: Bucket of Milk-M Sugar-S Egg-E Wheat-W M M M S E S W W W