MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. September 28, 2016 (Report 39)

In the Central region, cream supplies continue to be more available 
for churning. Consequently, butter production is ongoing and many 
processors are running operations near to full capacity. Print butter 
manufacturing is very active in order to meet current buyers' needs 
and the anticipated high Q4 demand. Some processors continue 
converting bulk into print butter by microfixing. As a result, bulk 
inventories are trending lower, but print butter supplies are 
building. Demands from many retail channels are strong. Bulk butter 
prices reported ranged from one cent under market to 7 cents over the 
market, with various periods and averages used. The DMN National 
Retail Report-Dairy for September 23-29 noted the national weighted 
average advertised price for a 1 pound package of butter is $3.19, 
$0.45 below one week ago and $0.05 lower than one year ago. The 
regional weighted average prices in the Midwest and South Central are 
$2.94 and $3.04, respectively. The NASS Cold Storage report noted 
U.S. butter stocks as of April 31, 2016 were 322.2 million pounds, up 
97% from last month and 152% higher from last year. One year ago, 
bulk stocks in all warehouses were 212.2 million pounds. Wednesday at 
the CME Group, Grade AA butter closed at $1.9200, down $0.0475 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