MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. May 24, 2017 (Report 21)

Cream remains available for butter makers in the Central U.S. Even with 
frozen yogurt/ice cream manufacturers starting to increase intakes, supplies 
of cream at recent multiples persist. Memorial Day weekend has some butter 
makers expecting flat market multiples by week's end. Butter churns are 
continuing at active levels. Retail butter orders are stronger than expected 
this week. Retail demand reports, in previous weeks, have varied from plant 
to plant. This week's reports on demand are generally bullish. Butter makers 
suggest demand may have been stimulated by the possibility of increasing 
market prices. Contacts suggest the market tone is healthy, as cash prices 
seem to be at a balanced point. Reported bulk butter prices are 2 to 7 cents 
over the market. DMN National Retail Report-Dairy for May 19-25 noted the 
national weighted average advertised price for a 1 pound package of butter 
is $3.21, $0.14 below one week ago and $0.08 lower than one year ago. The 
weighted average regional prices in the Midwest and South Central were $4.09 
and $2.99, respectively. The NASS Cold Storage report noted U.S. butter 
stocks as of April 30, 2017 were 292.3 million pounds, down 1% from last 
year, but up 7% from last month. Bulk stocks in all warehouses were 295.8 
million pounds last year at this time. This week, a cooperative export 
assistance program accepted requests for 220,462 pounds (100 metric tons) of 
butter. So far this year, the program has accepted assistance requests for 
2.31 million pounds of butter. Wednesday at the CME Group, Grade AA butter 
closed at $2.3800, up $0.0350 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-
home