Fluid Milk and Cream Review - Central USDA - Thu Aug 05, 3:24PM UTC MD_DA230
Fluid Milk and Cream - Central U.S.
Report 31 - Released on August 05, 2021
Milk yields continue their seasonal slide, as farm milk output drops week to week. Milk is
still available for all uses. School districts' orders in the southern portion of the region
and East/Southeast have begun to pull fluid milk loads from the Midwest and mid-Atlantic,
and those pulls are expected to strengthen over the next two weeks. Naturally, cheesemakers
report spot milk availability has tightened up. Spot loads are still discounted, but offers
are beginning to be reported at Class and even at premiums to Class III. With the fluid milk
demands in the Southeast and new cheese plants in the upper Midwest, milk availability is
showing its first signs of a potentially tightening market. Cream availability is not
exhibiting the same signals that fluid milk is, at least at this point in the season. Cream
is available for all uses and butter plant managers report clearing loads at multiples in
the low 1.20s still. Ice cream manufacturers' demand for cream, according to contacts,
peaked earlier in the year than normal and has not really bounced back. Although some
reports of continued dryness in areas of the Central region are indicating less-than-
excellent corn and bean conditions, some contacts say fields in their respective areas are
in fine shape this week. Upper Midwestern contacts have said that one field to the next can
vary widely, particularly regarding cornfields.
The DMN monthly average of the range price series for Upper Midwest Class II cream during
July was $2.2554, compared to $2.3705 in June.
Price Range - Class III Milk; $/CWT; Spot Basis: -4.00 - -2.00
Trade Activity: Moderate
Midwestern U.S., F.O.B. Cream
Multiples Range - All Classes: 1.2300 - 1.3400
Price Range - Class II; $/LB Butterfat: 2.0947 - 2.1929
Multiples Range - Class II: 1.2800 - 1.3400
Information for the period August 2 - 6, 2021, issued weekly
Published by:
Dairy Market News - Madison, WI
ISRAEL WEBER, 608-422-8601
Email: israel.weber@usda.gov
Additional Dairy Market News Information:
Dairy Market News (DMN) by Phone: (608)422-8602
DMN Website: https://www.ams.usda.gov/market-news/dairy
DMN MARS (My Market News): https://mymarketnews.ams.usda.gov
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