MD_DA410
DA
MD DA410 BUTTER - NORTHEAST 

MADISON, WI.   May 06, 2015 (Report 18)   


NORTHEAST BUTTER:   

Regional butter production is seeing little reprieve as available cream 
facilitates heavy churning activity at some facilities.  Contractual 
transactions are moderate to strong.  Food service orders are steady, 
along with good retail sales at current prices.  Still, escalations in 
butter production outweigh demand, marginally increasing stock levels.  
Buyers remain cautious when making purchases.  The market undertone is 
relative steady.  Current bulk butter prices for domestic sales are 
reported 4-6 cents over the market of the CME Group, with various time 
frames and averages used.  According to the DMN National Retail Report-
Dairy, for May 1-7, the national weighted average advertised price for 1-
pound butter is $3.39, up $0.48 from a year ago.  The Northeast price is 
$3.57, a $0.44 increase from the previous week.  In the Southeast, the 
butter price averaged $2.88, a $0.06 decline compared to a week ago.  
Tuesday's CME Group cash trading saw Grade AA butter close at $1.8400, 
down $0.0200 from a week ago.  The CME Group monthly average price for 
Grade AA butter during April was $1.7937, compared to $1.9357 a year ago.
The Foreign Agricultural Service (FAS) reports March 2015 U.S. exports of 
butter and milkfat totaled 5.8 million pounds, a 79% decline from a year 
ago.
DAIRY PRODUCTS:  According to NASS, U.S. butter production for March 2015 
totals 161.7 million pounds, down 3.0% from last year, but up 3.5% from a 
month ago.  Butter output in the Atlantic region totals 18.4 million 
pounds, up 4.4% from last year but down 1.9% from a month ago.


2015 U.S. Butter and Milkfat Exports (USDA-FAS)
                 
                    (Million Lb.)     % Change From
                                      1 Year Ago
                              
March                   5.8             -   79

Total Jan. - Mar.      17.1             -   75
   1 Saudi Arabia       6.0             -   67
   2 Mexico             5.2             +   74
   3 Canada             1.4             +    5
   4 Iran               1.0             -   83
   5 South Korea        0.9             -   33 


1100CT Daniel.Johnson@ams.usda.gov 608.557.7006
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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