MD_DA830                                                         
DA                                                               
MD DA830 Cheese - Midwest                                        

MADISON, WI.  August 05, 2015 (REPORT 31)                        

MIDWEST CHEESE:                                                  

Many industry contacts suggest the prices are defying the odds by holding at current 
levels. Trading is holding within a range and is bouncing back and forth. Milk 
production in the Midwest is declining somewhat, but without hot days and nights, 
manufacturers report the decline has been slow and steady. There is plenty of milk for 
manufacturing and spot loads of milk can be found at or slightly above Class prices. 
Production remains steady. Strong domestic consumer demand continues to provide a lift 
for cheese prices and is helping keep inventories at comfortable levels.

Midwestern wholesale prices are unchanged for Swiss cuts, up $.0350 for process, and 
up $.0300 for all other types. 

The DMN National Retail Report - Dairy shows that July 31 - August 6 Midwest ads for 8 
ounce shred cheese have a weighted average advertised price of $1.91, 30 cents lower 
than the national average. Midwest prices range from $1.49 - $2.50. One year ago the 
national price was $2.33. For 8 ounce blocks, the Midwest average price is $1.94, 28 
cents lower than the national average price. Midwest ads are priced from $1.49 to 
$2.50. Last year, the national price was $2.57. 

Dairy Products (NASS) reports June 2015 U.S. total cheese production, 959.0 million 
pounds, is 1.5% more than a year ago but is 3.1% below May this year. In the Central 
region, cheese production for June 2015 compared with June 2014 was: total cheese, 
+4.5%; American, +3.2%; cheddar, +1.8%; total Italian, +6.2%; and mozzarella, +4.7%.

The CME Group July 2015 monthly average price for barrels, $1.6313, is below $1.6690 
in June, and below $1.9970 in July one year ago. Blocks' July average price, $1.6659, 
is down from $1.7052 in June, and down from $1.9870 one year ago. 

In CME Group trading Wednesday, Barrels closed at $1.6750, down $.0150 from last 
Wednesday but Blocks closed at $1.7125, up $.0125.

WISCONSIN WHOLESALE SELLING PRICES:  DELIVERED,                  
DOLLARS PER POUND (1000 - 5000 POUNDS MIXED LOTS)                
                                                                 
Process American 5# Loaf                   : 1.7775-2.1375       
Brick And/Or Muenster 5#                   : 2.0725-2.4975       
Cheddar 40# Block                          : 1.8000-2.1950       
Monterey Jack 10#                          : 2.0475-2.2525       
Blue 5#                                    : 2.3400-3.3275       
Mozzarella 5 - 6# (Low Moisture, Part Skim): 1.8725-2.8125       
Grade A Swiss Cuts 6 - 9#                  : 2.7275-2.8450       

1300C mike.bandli@amds.usda.gov  608-557-7010
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: http://www.ams.usda.gov/market-news/dairy
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-home