MD_DA840                                                         
DA                                                               
MD DA840 Cheese - West                                           

MADISON, WI.  November 22, 2016 (REPORT 47)                      

WEST CHEESE                                                      

West cheese production is active and a lot of milk is moving through western cheese vats. 
Cheesemakers report strong seasonal retail demand for cheese, but also note buyers are 
starting to push back against the higher prices. Although supplies of fresh blocks of 
American style cheese are low or at least committed, some end users see the passing of 
Thanksgiving, and the fast approaching winter holidays, as a signal to slow their 
purchasing. Inventories of blocks and barrels used for processing are readily available. 
Because manufacturers are eager to keep older blocks and barrels moving out of their 
warehouses, some end users are making buys at heavily discounted prices. The DMN National 
Retail Report-Dairy for the week of November 18-24 shows the U.S. weighted average 
advertised retail price for an 8 ounce pack of natural shredded cheese is $2.24, up $.15 
from last week. Packs average $2.44 in the Southwest and $1.88 in the Northwest. One year 
ago, the national price was $2.29. For 8 ounce blocks, the U.S. price is $2.15, up $.10 
from last week. Blocks average $2.10 in the Southwest and $1.54 in the Northwest this 
week. One year ago, the national price was $2.28. In the West, wholesale prices are down 
$.1200 for process, and down $.0350 for cheddar block, cuts, and Monterey Jack. Swiss cut 
wholesale prices are unchanged. This week, a cooperative export assistance program 
accepted requests for 1.517 million pounds (688 metric tons) of cheese. So far this year, 
the program has assisted member cooperatives who have contracts to sell 47.3 million 
pounds of cheese in export markets. 

WHOLESALE SELLING PRICES:  DELIVERED, DOLLARS PER POUND          
(1000 - 5000 POUNDS MIXED LOTS)                                  
                                                                 
Process 5# Loaf                              : 1.8050-2.0625     
Cheddar 40# Block                            : 1.9925-2.4375     
Cheddar 10# Cuts                             : 2.1725-2.3925     
Monterey Jack 10#                            : 2.1825-2.3425     
Grade A Swiss Cuts 6 - 9#                    : 2.9050-3.3350     


1100CT 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