MD_DA840                                                         
DA                                                               
MD DA840 Cheese - West                                           

MADISON, WI.  March 11, 2015 (REPORT 10)                         

WEST CHEESE                                                      

In the West, demand for cheese purchased by commercial buyers is good 
as they seek cheese for aging as well as current needs.  Steady demand 
from retail and food service customers is also noted.  With memories 
of cheese prices reaching the $2.40's a pound last year, many buyers 
are comfortable with increasing holdings in the $1.50's as a physical 
hedge against potential higher prices or supply needs.  Milk supplies 
available to cheesemakers are strong.  Manufacturers are retaining 
some production to strengthen inventories, including cheddar and hard 
Italian varieties such as parmesan and Romano.   The DMN National 
Retail Report-Dairy for the week of March 6 -12 shows the U.S. 
weighted average advertised retail price for an 8 ounce pack of 
natural shredded cheese is $2.67, up $.26 from last week and $.33 
higher than a year ago.  Packs averaged $2.71 in the Southwest and 
$2.75 in the Northwest.  Western wholesale prices are up $.0075 for 
process, Swiss is down $.4575 following the change in the Class III 
price, and the remaining varieties are up $.0075.  This week A 
cooperative export assistance program accepted requests for 8.483 
million pounds of Cheddar, Gouda, and Monterey Jack cheese during 
2015.  In CME Group cheese trading, barrels closed Wednesday at 
$1.5650, up $.0725 from Wednesday last week and blocks closed at 
$1.5700, up $.0200.  

WHOLESALE SELLING PRICES:  DELIVERED, DOLLARS PER POUND          
(1000 - 5000 POUNDS MIXED LOTS)                                  
                                                                 
Process 5# Loaf                              : 1.6150-1.8725     
Cheddar 40# Block                            : 1.6625-2.1075     
Cheddar 10# Cuts                             : 1.8425-2.0625     
Monterey Jack 10#                            : 1.8525-2.0125     
Grade A Swiss Cuts 6 - 9#                    : 3.0125-3.4425     


1530CT eric.graf@ams.usda.gov 608.278.4153
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