MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. October 14, 2015 (Report 41)

CENTRAL BUTTER 

Interest in bulk and print butter is rebounding, according to 
producers, as prices have retreated from the $3.00 mark. With the 
arrival of the baking season, end users are drawing upon existing 
contracts as well as negotiating additional purchases to cover usage 
through the end of the year. Retailers are boosting their orders into 
manufacturers as weekly ads feature single package and bundled butter 
offerings. Butter production is mixed. Some producers are actively 
using in-house cream volumes and also purchasing spot cream loads as 
they become available. Projections at those operations indicate they 
will need to continue purchasing cream through the near term. Other 
producers are carefully balancing weekly bulk butter production to 
keep inventories in balance with near term contract fulfillment. Bulk 
butter prices range from 2 cents under to 7 cents over the market, 
based on CME Group prices and various indices. The DMN National Retail 
Report-Dairy for October 9-15, noted the national weighted average 
advertised price for a 1 pound package of butter is $3.09, down $0.23 
from a week ago, and down $0.59 from a year ago. The weighted average 
advertised price in the Midwest is $3.14. The CME Group Grade AA 
butter market closed at $2.3500. This is down 2 cents from last 
Wednesday. 

1530CT Janet.Linder@ams.usda.gov 608.557.7003
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