MD_DA410
DA
MD DA410 BUTTER - NORTHEAST 

MADISON, WI.   October 28, 2015 (Report 43)   

NORTHEAST BUTTER:   

Cream supplies are available at levels adequate for producers' holiday 
churning needs. Class II cream based holiday products are progressively 
pulling on existing cream volumes. Regional butter production is steady 
to increasing, as holiday orders continue to develop. Sources note the 
bulk of Thanksgiving orders are placed, and being processed for 
shipments. Current demand exceeds new production for some processors, 
necessitating micro-fixing by those butter makers. Efforts are being made 
to match orders with production to limit inventories during expected end-
of-year price declines. Bulk butter prices for domestic sales are 
reported flat to 6 over the market, based on the CME Group, with various 
time frames and averages used. The market undertone is unsettled, as 
buyers wait and look forward to a much more predictable market. According 
to the DMN National Retail Report-Dairy, for October 23-29, the U.S. 
weighted average advertised price for 1 pound butter is $3.35, down 85 
cents from a year ago, but up 10 cents from the previous week. The 
Northeast average butter price is $3.47, up 31 cents from last week. At 
the CME, Grade AA butter closed Tuesday at $2.53, up $0.0900 from a week 
ago. COLD STORAGE:  According to NASS, U.S. butter in storage on 
September 30, 2015 totaled 187.5 million pounds, 23% above a year ago, 
but 12% below the previous month.   

Dairy Market News Reporting Changes Proposal

Dairy Market News (DMN) is proposing updating the Dairy Market News 
Working Guidelines. This proposal is the result of an industry comment 
period. The updates would allow DMN market reports to additionally 
include information and sales prices reported by individuals and firms 
functioning as marketing agents selling on the behalf of dairy product 
manufacturers. The Working Guidelines updates are intended to capture 
more information on pricing and market conditions and reflect the 
evolution of the marketing of dairy products. Currently, market pricing 
information is collected for first sale, f.o.b. producers' plants or 
warehouses. The changes would be effective starting with Report 1, 
January 2016.

Comment by October 30, 2015 to: DMN@ams.usda.gov
Link to current DMN working guidelines: http://www.ams.usda.gov/market-
news/individual-dairy-market-news-commodity-reports


1100CT daniel.johnson@ams.usda.gov 608.557.7006
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/mnp/da-
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