MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI.  June 3, 2015 (Report 22)

CENTRAL BUTTER

Butter production is starting to taper due to tightness in cream 
availability. Contacts report a concern about the volatility of the 
butter market and the price fluctuation. Buyers and sellers would like 
to see the price stabilize.  Manufacturers are reporting inventory 
levels are at comfortable levels. Bulk butter prices are at market to 
5 cents over the market, based on the CME Group and various indices. 
According to the DMN National Retail Report- Dairy, for May 29-June 4, 
the national weighted average advertised price for a 1 pound package 
of butter price is $3.18, a 41 cent increase from last week and 4 
cents higher than a year ago. The average price in the Midwest was 
$2.78, with a range of $2.00-3.50. The CME Group monthly average price 
for Grade AA butter during May was $1.9309, compared to $2.1713 a year 
ago. The Grade AA butter price at the CME Group closed Wednesday at 
$1.9375, a 6.75 cent increase from last Wednesday's close. 

2015 U.S. Butter and Milkfat Exports (USDA-FAS)
                 
                    (Million Lb.)     % Change From
                                      1 Year Ago
                              
April                   5.4             -   72

Total Jan. - Apr.      22.5             -   75
   1 Saudi Arabia       8.1             -   62
   2 Mexico             5.6             +   57
   3 Canada             1.8             -    6
   4 South Korea        1.6             +    4
   5 Iran               1.2             -   83 


1500CT Tara.Herbst@ams.usda.gov 608-557-7007 
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