MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. October 19, 2016 (Report 42)
Butter production is active as moderate to heavy cream supplies 
continue clearing into churns. Many manufacturers are running 
operations at full capacity in order to meet current needs and 
the anticipated high demand during the Q4 holidays. Microfixing 
is active. Bulk butter stocks are heavy in most processing 
facilities. In order to lower inventory levels, some processors 
are selling bulk butter at competitive prices in the spot 
market. The current spot prices are enhancing the interest of 
several buyers. Print butter demand from retailers is strong, 
but steady from food service. Bulk butter prices reported ranged 
from one cent under market to 5 cents over the market, with 
various periods and averages used. The DMN National Retail 
Report-Dairy for October 14-20 noted the national weighted 
average advertised price for a 1 pound package of butter is 
$3.29, 6 cents above one week ago and 4 cents higher than one 
year ago. The regional weighted average prices in the Midwest 
and South Central are $2.86 and $3.06, respectively. This week, 
a cooperative export assistance program accepted 23 requests for 
export assistance to sell 859,803 pounds (390 metric tons) of 
butter. Wednesday at the CME Group, Grade AA butter closed at 
$1.7550, down 3.5 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/map/da-home