MD_DA840                                                         
DA                                                               
MD DA840 Cheese - West                                           

MADISON, WI.  November 16, 2016 (REPORT 46)                      

WEST CHEESE                                                      

Western dairy industry contacts say a lot of milk is going into cheese now. 
Cheese production is active and seasonal retail sales are strong. Manufacturers 
report good demand for branded cheese. Buyers are placing regular orders for 
fresh commodity blocks. Some manufacturers report inventories for fresh blocks 
are low or highly committed through the end of the year. Favorable pricing 
several weeks ago, and tight supplies in other international cheese producing 
regions have helped draw stocks down. Cheese inventories are still long for 
barrels. A few processors are carrying heavier amounts of cheese in their aging 
programs. The DMN National Retail Report-Dairy for the week of November 11-17 
shows the U.S. weighted average advertised retail price for an 8 ounce pack of 
natural shredded cheese is $2.09, down $.10 from last week. Packs average $2.39 
in the Southwest and $1.48 in the Northwest. One year ago, the national price was 
$2.39. For 8 ounce blocks, the U.S. price is $2.05, down $.07 from last week. 
Blocks average $1.99 in the Southwest and $1.33 in the Northwest this week. One 
year ago, the national price was $2.35. In the West, wholesale prices are up 
$.0425 for process, and up $.0950 for cheddar block, cuts, and Monterey Jack. 
Swiss cut wholesale prices are unchanged. This week, a cooperative export 
assistance program accepted requests for 1.609 million pounds (730 metric tons) 
of cheese. So far this year, the program has assisted member cooperatives who 
have contracts to sell 45.8 million pounds of cheese in export markets. In CME 
Group trading Wednesday, barrels closed at $1.6700, down $.1600 from a week ago 
and blocks closed at $1.8850, down $.0575. 

WHOLESALE SELLING PRICES:  DELIVERED, DOLLARS PER POUND          
(1000 - 5000 POUNDS MIXED LOTS)                                  
                                                                 
Process 5# Loaf                              : 1.9250-2.1825     
Cheddar 40# Block                            : 2.0275-2.4725     
Cheddar 10# Cuts                             : 2.2075-2.4275     
Monterey Jack 10#                            : 2.2175-2.3775     
Grade A Swiss Cuts 6 - 9#                    : 2.9050-3.3350     

1530CT Mike.Bandli@ams.usda.gov 605-557-7010
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