MD_DA840                                                         
DA                                                               
MD DA840 Cheese - West                                           

MADISON, WI.  February 11, 2015 (REPORT 6)                       

WEST CHEESE                                                      

The cheese market is tending to be steadier this week.  Pricing has been in a 
tight range.  Cheese production is trending higher with increasing milk 
supplies in the West.  Last week, milk was tighter for some processors than 
expected with a stronger pull from several plants and other utilization.  
This week, milk is longer and, in instances, being discounted to move.  
Cheese producers are fairly comfortable with current output levels, but are 
more unsettled with forecasted milk supplies and their ability to handle the 
spring milk flow.  Mozzarella output is steady to higher.  Inventories are 
indicated to be building.  Swiss cheese prices are trending lower, reflecting 
pricing points of two months ago.  Demand is fair to good from regular 
accounts.  Buying interest is good into aging programs.  Stocks are generally 
in good balance.  Western wholesale prices moved higher for process and 
natural varieties; but adjustments to Swiss tracked lower, reflecting recent 
months' cheese price declines.  The DMN National Retail Report-Dairy for the 
week of February 5 - 12 shows the U.S. weighted average advertised retail 
price for an 8 ounce pack of natural shredded cheese is $2.52, down $.04 from 
last week but $.34 higher than a year ago.  Packs averaged $2.73 in the 
Southwest and $2.76 in the Northwest.  On Wednesday at the CME, barrels 
closed at $1.4800, down $.0050 from last Wednesday and blocks at $1.5300, 
down $.0050. 
                                                                
WHOLESALE SELLING PRICES:  DELIVERED, DOLLARS PER POUND          
(1000 - 5000 POUNDS MIXED LOTS)                                  
                                                                 
Process 5# Loaf                              : 1.6150-1.8725     
Cheddar 40# Block                            : 1.6650-2.1100     
Cheddar 10# Cuts                             : 1.8450-2.0650     
Monterey Jack 10#                            : 1.8550-2.0150     
Grade A Swiss Cuts 6 - 9#                    : 3.4700-3.9000                                                        

2014 U.S. Cheese and Curd Exports, (USDA-FAS)
                 (Million Lb.)   % Change From 
                                   1 Year Ago
December            60.6              -  12

Total Jan.-Dec.    812.9              +  17
1 Mexico           182.1            unchanged
2 South Korea      156.7              +  44
3 Japan            123.5              +  80
4 Australia         39.3              +  47
5 Saudi Arabia      34.3              +  31






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