MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. June 21, 2017 (Report 25)

Butter's performance, in retail and food service, is outperforming previous 
years' and continues to keep production facilities busy. Butter producers 
report that they are attempting to focus production on late summer/early 
fall expectations, whenever not fulfilling current orders. Cream supplies 
are tightening for butter producers. F.O.B cream multiples for Class IV 
production are at or around 1.20, and butter makers report seeing fewer 
offers in that range. The butter market tone is healthy, and some contacts 
are bullish for the near term. Central contacts suggest that global milkfat 
demand continues to bolster domestic butter prices. Reported bulk butter 
prices are 4 to 7 cents over the market. Wednesday at the CME Group, Grade 
AA butter closed at $2.5850, down $0.1150 from last Wednesday. DMN National 
Retail Report-Dairy for June 16-22 noted the national weighted average 
advertised price for a 1 pound package of butter is $3.39, $0.07 below one 
week ago, but $0.23 higher than one year ago. The weighted average regional 
prices in the Midwest and South Central were $3.14 and $2.94, respectively.


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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