MD_DA810                                                         
DA                                                               
MD DA810 Cheese - Northeast                                      

MADISON, WI.  June 7, 2017 (REPORT 23)                          


NORTHEAST WHOLESALE CHEESE:                                      
                                                                 
As milk production declines in parts of the East, cheddar cheese makers 
still have more milk then needed, while trying to keep production tight. 
Stocks are adequate for overall slow to steady demand. Some freezing of 
mozzarella is taking place while cheddar continues to clear into aging 
programs. June Dairy month promotions are currently in effect and retail 
movement is occasionally improved. Food service orders are mostly steady.
The Grade A Swiss price declined $0.1225 following the release of the 
Announcement of Class and Component Prices. The DMN May 2017 Northeast 
monthly average price for cheddar blocks was $2.1890, compared to $1.8714 
one year ago, while the Processed 5# sliced average price was $1.8390, 
compared to $1.7919 one year ago. The CME Group May 2017 monthly average 
price for barrels was $1.4806, compared to $1.3529 a year ago and block 
average price was $1.66264, up from $1.3174 a year ago. Tuesday's CME 
Group daily cash prices saw barrels close at $1.4250, down $0.1150 from a 
week ago, and blocks closed at $1.6650, down $0.0650 from a week ago. 
The DMN National Retail Report-Dairy, for June 2-8, 2017, noted the 
Northeast weighted average advertised price for 8 oz. cheese blocks was 
$2.33, 16 cents above last week's price and 7 cents above the national 
average price. Northeast retail prices range $1.66-$3.50. The Southeast 
weighted average price for 8 oz. block was $2.21, up 9 cents from the 
previous week, but down 7 cents from the national average price. Surveyed 
retail prices for the region ranged $1.88-$2.50. The Northeast average 
advertised price for 8 oz. cheese shreds was $2.46, 18 cents above the 
national average price, with prices ranging $1.49-$3.49. In the Southeast, 
the average price for 8 oz. shreds was $1.82, a 30 cents drop from the 
previous week, with prices ranging $1.67-$2.19. 
DAIRY PRODUCTS: According to NASS, U.S. total cheese production in April 
2017 was 1.04 billion pounds, 3.7 percent higher than a year ago, but 2.1 
percent lower than last month. In the Atlantic region, total cheese 
production was 125.0 million pounds, 5.8 percent higher than a year ago, 
but 2.5 percent lower than the previous month. Total cheese production and 
percentage change, from last year for selected Eastern states are, New 
York 66.1 million pounds, +6.7 percent; Pennsylvania 34.7 million pounds, 
+1.4 percent; Vermont 11.5 million pounds, +7.6 percent, and New Jersey 
4.8 million pounds, +3.5 percent.


WHOLESALE SELLING PRICES: DELIVERED,                             
DOLLARS PER POUND (1000 - 5000 POUNDS MIXED LOTS)                
                                                                 
Cheddar 40# Block                            : 2.1875-2.4725     
Process 5# Sliced                            : 1.6650-2.1450     
Muenster                                     : 2.1725-2.5225     
Grade A Swiss Cuts 10 - 14#                  : 3.2000-3.5225     

The Foreign Agricultural Service (FAS) reports that April 2017 U.S. cheese 
and curd exports totaled 59.3 million pounds, a 27% increase from a year 
ago.

2017 U.S. Cheese and Curd Exports (USDA-FAS)

                 2017 Exports      % Change From 
                 (Million Lb.)       1 Year Ago

April                59.3             + 27

TOTAL, JAN - APR    236.0             + 15
 1 Mexico            68.4              ...
 2 South Korea       38.1             + 37
 3 Japan             21.1             -  6
 4 Australia         20.4             +121
 5 Canada             9.0             + 10



The Foreign Agricultural Service (FAS) reports that January-April 2017 
U.S. cheese and curd imports totaled 126.8 million pounds, a 16% decline 
from a year ago.

2017 U.S. Cheese and Curd Imports (USDA-FAS)
(Imports for Consumption)

                                           2017 Imports      % Change From
                                           (Million Lb.)       Last Month

April Imports
  TOTAL Cheese and Curd (H.S. Code 0406)       33.5              -  5
  Cheese, Except Fresh (H.S. Code 040690)      29.3              -  4
  Fresh Cheese (H.S. Code 040610)               2.3              -  5
  Cheese, Processed (H.S. Code 040630)          1.0              - 33
  Cheese, Blue-Veined (H.S. Code 040640)        0.7              + 12
  Cheese, Grated (H.S. Code 040620)             0.2              + 73

                                           2017 Imports      % Change From
                                           (Million Lb.)       1 Year Ago

TOTAL, JAN - APR                              126.8              - 16
1 Italy                                        22.8              -  5
2 France                                       13.7              -  4
3 New Zealand                                  12.8              - 37
4 Netherlands                                   9.4              + 18
5 Spain                                         7.8              -  1


1100CT Daniel.Johnson@ams.usda.gov  608.422.8605
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