MD_DA830                                                         
DA                                                               
MD DA830 Cheese - Midwest                                        

MADISON, WI.  January 14, 2015 (REPORT 2)                        

MIDWEST CHEESE:   

Midwest cheese manufacturing is hunkered down, moving milk through 
the plants.  Inventory levels and sales vary plant to plant.  Some 
plants have lower sales than recent weeks, which resulted in 
inventory levels increasing.  Other plants feel milk intakes are 
balanced with output and are comfortable with the current 
production/sales/inventory situation.  Spot milk supplies and 
discounts are less evident although some plants are balancing extra 
milk into cheese manufacturing.  Most production schedules are back 
closer to normal as the holiday weeks fade into the past.  Early year 
uncertainty about 2015 market price signals now must process the 
first CME Group cheese price decreases of 2015 Wednesday, sharp 
decreases, with barrels down 15 1/4 cents to $1.4425 and blocks down 
12 cents to $1.4700.   The sudden magnitude of lower prices is not an 
unexpected trend considering present conditions and factors looking 
ahead.  The National Retail Report - Dairy (DMN) found that January 9 
to 15th  Midwest ads for 8 ounce shredded cheese have a weighted 
average advertised price of $2.25, 34 cents lower than the national 
average, $2.59.  One year ago the national average price was $2.39.  
The Midwest price range is $1.49 to $3.00.  For 8 ounce blocks, the 
Midwest average price is $1.99, 37 cents lower than the national 
average price, $2.36.  One year ago the national average price was 
$2.29.  The Midwest price range is $1.49 to $3.00.  Wisconsin 
wholesale prices for 1,000 to 5,000 pound mixed lots of process 
cheese increased $.0625, Swiss is unchanged and the remaining 
varieties increased $.0425.  
                                                              
WISCONSIN WHOLESALE SELLING PRICES:  DELIVERED,                  
DOLLARS PER POUND (1000 - 5000 POUNDS MIXED LOTS)                
                                                                 
Process American 5# Loaf                   : 1.6500-2.0100       
Brick And/Or Muenster 5#                   : 1.9525-2.3775       
Cheddar 40# Block                          : 1.6575-2.0750       
Monterey Jack 10#                          : 1.9275-2.1325       
Blue 5#                                    : 2.2200-3.2075       
Mozzarella 5 - 6# (Low Moisture, Part Skim): 1.7975-2.6925       
Grade A Swiss Cuts 6 - 9#                  : 3.6225-3.7400       


100C eric.graf@ams.usda.gov
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: www.ams.usda.gov/dairymarketnews
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-home