MD_DA840                                                         
DA                                                               
MD DA840 Cheese - West                                           

MADISON, WI.  July 22, 2015 (REPORT 29)                          

WEST CHEESE                                                      

Manufacturers report some decline in milk production, but still note plenty of milk 
is available for processing needs. Cheese production is steady. Domestic cheese 
demand continues to be good. And cheese makers say that demand can be met easily with 
current inventories or production. However, industry contacts are still trying to 
assess a potential slowdown in domestic demand. There is some anticipation that 
private cheese holdings may be nearing capacity and that buyers may slow their 
purchasing through the end of the year. The DMN National Retail Report - Dairy for 
the week of July 17 - 23 shows the U.S. weighted average advertised retail price for 
an 8 ounce pack of natural shredded cheese is $2.29, down $.05 from last week and 
down $.29 from a year ago. Packs averaged $2.12 in the Southwest and $2.28 in the 
Northwest. For 8 ounce blocks, the U.S. price is $2.36, up $.08 from last week but 
down $.21 from a year ago. Blocks in the Southwest averaged $2.11, and in the 
Northwest, $2.17. Western wholesale prices are unchanged for Swiss cuts, down $.0025 
for process, and down $.0175 for all other types. According to the NASS Cold Storage 
report, U.S. stocks of cheese (total natural) at the end of June 2015 were 1.14 
billion pounds, up 3% from May 2015 and up 8% from June 2014. American stocks were 2% 
more, other natural stocks were 3% more, but Swiss stocks were 3% less than last 
month. In the West Mountain Region, American cheese stocks were 9% less than one year 
earlier but 5% higher than one month earlier. Pacific Region American cheese stocks 
were 11% less than one year earlier and 1% less than a month before. Also in the 
Pacific Region, other natural cheese stocks were 35% above a year ago and 7% above a 
month ago. In CME Group trading Wednesday, Barrels closed at $1.6450, up $.0350 from 
last Wednesday and Blocks closed at $1.6650, up $.0250. 

WHOLESALE SELLING PRICES:  DELIVERED, DOLLARS PER POUND          
(1000 - 5000 POUNDS MIXED LOTS)                                  
                                                                 
Process 5# Loaf                              : 1.7300-1.9875     
Cheddar 40# Block                            : 1.7550-2.2000     
Cheddar 10# Cuts                             : 1.9350-2.1550     
Monterey Jack 10#                            : 1.9450-2.1050     
Grade A Swiss Cuts 6 - 9#                    : 2.7875-3.2175     

1530CT mike.bandli@ams.usda.gov 608.557.7010
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