MD_DA810                                                         
DA                                                               
MD DA810 Cheese - Northeast                                      

MADISON, WI.  April 06, 2016 (REPORT 14)                         

NORTHEAST WHOLESALE CHEESE:                                      
                                                                 
Milk volumes into cheese are backing full production schedules for 
both cheddar and mozzarella manufacturers. Existing price points are 
supporting movement of some cheese types. Food service leads buying 
interest. The market undertone is relaxed with buyers waiting to see 
where the market will level out. Wholesale cheese prices tied to last 
week's CME Group weekly average led to declines this week. Block and 
Munster prices fell $0.0225, and barrels retreated $0.0175. Domestic 
Swiss prices declined $0.0800, resulting from lagging adjustments 
following Wednesday's Class III price release. The March 2016 DMN 
monthly average price for Northeast cheddar blocks was $2.0357, 
compared to $2.0941 one year ago. Processed 5# sliced average price 
is $1.8933, compared to $1.9806 one year ago. The CME Group March 
2016 monthly average price for barrels was, $1.4530, down compared to 
$1.5290 a year ago; blocks' average price was $1.4877, down from 
$1.5549 a year ago. According to the DMN National Retail Report-
Dairy, for April 1-7 2016, the Northeast weighted average advertised 
price for 8 oz. cheese blocks was $2.29, 14 cents above the national 
average, but 19 cents lower than the previous week. The Southeast 8 
oz. block cheese price was $2.02, down 92 cents from the previous 
week. Tuesday's CME Group daily cash prices saw barrels close at 
$1.4425, unchanged from a week ago; blocks closed at $1.4500, down 
$0.0200 from a week ago. This week, a cooperative export assistance 
program accepted requests for 152,119 pounds of cheese.
DAIRY PRODUCTS:  According to NASS, unadjusted U.S. total cheese 
production in February 2016 was 956.2 million pounds, 7.8% higher 
than a year ago, but 4.7% less than the previous month. In the 
Atlantic region, total cheese production was 113.7 million pounds, 
4.3% higher than a year ago, but 9.5% less than the previous month. 
The total unadjusted cheese production and percentage change from one 
year ago for individual Eastern states are New York 60.0 million 
pounds, +1.2%; Pennsylvania 32.5 million pounds, -4.1%; and Vermont 
10.3 million pounds, +3.4%.  

WHOLESALE SELLING PRICES: DELIVERED,                             
DOLLARS PER POUND (1000 - 5000 POUNDS MIXED LOTS)                
                                                                 
Cheddar 40# Block                            : 1.8725-2.1575     
Process 5# Sliced                            : 1.6500-2.1300     
Muenster                                     : 1.8925-2.2425     
Grade A Swiss Cuts 10 - 14#                  : 2.9750-3.2975                                                                      

1100CT Daniel.Johnson@ams.usda.gov 608.557.7006
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