MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. March 15, 2017 (Report 11)

Butter producers in the Central United States are seeing no shortages of 
cream. Some producers say Class II interest is increasing, but cream is 
still available and at prices favorable to butter makers. Butter production 
is active, and butter inventories are building when demand allows. Reports 
on butter orders are increasing as spring approaches. Some contacts point to 
heavy inventories and question whether current demand, although strong, is 
adequate enough to keep stocks manageable. However, other Central contacts 
suggest demand is strong enough, and inventories are comfortable for late 
summer/early fall ordering rushes. The butter market tone is steady. CME 
butter prices averaged $2.1675 last week, $.1865 higher than the same week 
in 2016. DMN National Retail Report-Dairy for March 10-16 noted the national 
weighted average advertised price for a 1 pound package of butter is $3.18, 
$0.14 above one week ago, but $0.25 lower than one year ago. The weighted 
average regional prices in the Midwest and South Central were $2.80 and 
$3.74, respectively. Bulk butter prices reported ranged from 1 to 7 cents 
over the market, with various periods and averages used. Wednesday at the 
CME Group, Grade AA butter closed at $2.1500, down $.0475 from last 
Wednesday.


1530CT Israel.Weber@ams.usda.gov (608)422-8601
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: www.ams.usda.gov/dairymarketnews
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-
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