MD_DA840                                                         
DA                                                               
MD DA840 Cheese - West                                           

MADISON, WI.  January 28, 2015 (REPORT 4)                        

WEST CHEESE                                                      

Western cheese market activity is light to moderate.  The undertone is 
unsettled to steady depending on location, variety and demand. Production 
trends have been steady to higher, reflecting the seasonally increasing milk 
supply in the region.  Some plants are running at higher levels, but there 
are no reported capacity issues.  Producers' inventories are at working 
levels and higher.  There are stocks to fill current domestic and export 
needs.  Prices for Western wholesale prices are lower for process and natural 
varieties; unchanged for Swiss.  National Retail Report-Dairy shows this 
week's U.S. weighted average advertised retail price for an 8 ounce pack of 
natural shredded cheese is $2.56, up $.02 from last week and $.25 higher than 
a year ago.  Cheese in 8 ounce shred packs averaged $2.87 in the Southwest 
and $2.89 in the Northwest.  According to NASS, cold storage holdings of U.S. 
total natural cheese on December 31, totaled 1.013 billion pounds, only 
marginally lower than November but only marginally higher than a year 
earlier.  On Wednesday at the CME, barrels closed at $1.4750, up $.0250 from 
last Wednesday and blocks at $1.4850, up $.0100 from week ago. 
                                                    
         2014 U.S. Cheese Imports (USDA-FAS)
                  (Million Lb.)       % Change From   % of 
                                      1 Year Ago      Yearly Quota

Dec. Quota Imports   28.9               + 69             10

Jan. - Dec.    
High Tier            29.8               +  9             N.A.
Quota Imports       200.0               + 17             67


                                                                 
WHOLESALE SELLING PRICES:  DELIVERED, DOLLARS PER POUND          
(1000 - 5000 POUNDS MIXED LOTS)                                  
                                                                 
Process 5# Loaf                              : 1.5750-1.8325     
Cheddar 40# Block                            : 1.6050-2.0500     
Cheddar 10# Cuts                             : 1.7850-2.0050     
Monterey Jack 10#                            : 1.7950-1.9550     
Grade A Swiss Cuts 6 - 9#                    : 3.6825-4.1125     


1530CT Butch.Speth@ams.usda.gov 608.278.4152
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