MD_DA410
DA
MD DA410 BUTTER - NORTHEAST 

MADISON, WI.   November 30, 2016 (Report 48)   
 
NORTHEAST BUTTER:  

Butter manufacturing is coping with a seller's market for cream, 
due to heavy demand. Some large manufacturers in the Northeast 
have bought all of the cream offered to them this week. Current 
plans are to continue buying cream at a good clip in coming 
weeks to keep butter production strong. Some suppliers of cream 
report that regional cream availability has tightened. Reports 
of cream buying interest from Canadian dairy manufacturers has 
further led to a competitive supply demand situation. However, 
sellers are tending to take care of regular customers as a first 
priority as the Canadian buyers are not steady customers. 
Unsalted butter supplies are said to be tight and keeping orders 
filled has become challenging. The DMN National Retail Report-
Dairy, for November 25-December 1, 2016, noted the national 
advertised weighted average price for 1-pound butter was $2.59, up 2 
cents from last week but down 25 cents from a year ago. The Northeast 
regional price was $2.69, with a price range of $2.50-$3.00. In the 
Southeast, the butter price averages $2.84, with a price range of 
$2.49-$3.00. NASS Cold Storage reports that total U.S. butter 
stocks in all warehouses as of October 31, 2016, 227.7 million 
pounds, were down 15% from the prior month but up 27% from 
October last year. Tuesday's CME Group cash trading saw Grade AA 
butter close at $2.1000, up $0.0500 from the previous week. Bulk 
butter prices are ranging from 5 to 8 over the market, with various 
time frames and averages used. 

1100CT eric.grf@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-home