MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. August 26, 2015 (Report 34)

CENTRAL BUTTER 

Cream availability for churning is tight as the butterfat 
component in milk continues low. In addition, some processors 
prefer to sell cream as demand and multiples remain strong. 
Consequently, butter production is marginally lower. At this 
point, the market tone is unsettled. However, some manufacturers 
are expecting an increase in production during this fall to meet 
the seasonal high demand during Q4. Bulk output is lower as 
butter is increasingly moving to the print lines. Retail sales 
for print butter are steady to higher as the Labor Day holiday 
approaches. According to the DMN National Retail Report- Dairy, 
for August 21 - 27, the national weighted average advertised 
price for a 1 pound package of butter price is $2.98, a 13 cent 
decrease from last week, and 38 cents lower than one year ago. 
The weighted average price in the Midwest is $2.26, with a range 
of $1.99-$2.39. The NASS Cold Storage report noted U.S. butter 
stocks on July 31 were 254.5 million pounds, 1% lower than last 
month but 41% above a year ago. Bulk butter prices are at 6 
cents under market to 2 cents over market, based on the CME 
Group and various indices. The Grade AA butter price at the CME 
Group closed Wednesday at $2.2925, increasing 2.25 cents from 
last Wednesday.



1530CT Angel.Teran@ams.usda.gov 608.557.7011
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