MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. August 31, 2016 (Report 35)

With the reopening of schools, milk standardization is adding to 
regional cream supplies. In addition, Class II processors, especially 
ice cream makers, are pulling less cream intakes. As a result, butter 
churning is ongoing in the Central region. However, butter production 
is intermittent in a few processing plants as cream continues tight in 
those facilities. Meanwhile, some regional churn operators are running 
production schedules at full capacity to meet the upcoming Q4 needs. 
Bulk butter microfixing is active. Print butter demands from 
restaurants and many retail outlets are strong. The butter market 
undertone is firm. Inventories are mixed throughout the region. Bulk 
butter prices reported ranged from market to 6 cents over the market, 
with various time frames and averages used. The DMN National Retail 
Report-Dairy for August 26-September 1 noted the national weighted 
average advertised price for a 1 pound package of butter is $3.00, 
$0.41 below one week ago and $0.16 lower than one year ago. The 
regional weighted average prices in the Midwest and South Central are 
$3.08 and $3.48 respectively. Wednesday at the CME Group, Grade AA 
butter closed at $2.0800, up $.0025 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/map/da-home