MD_DA440  
DA                                                         
MD DA440 BUTTER - WEST                           

MADISON, WI.  April 15, 2015 (REPORT 14)
 
WEST BUTTER:

Print production volumes remain strong in the West.  Strong 
enough that some manufacturers are concerned that time available 
to build comfortable inventory levels to carry through summer is 
becoming uncomfortably compressed.  A number of manufacturers 
would like to rebuild inventories.  Some plants are purchasing 
extra cream to maintain churning volumes.  This is pulling cream 
from varied western states to other states and the flows are 
leading to yet other cream being consequentially pushed into the 
Midwest.  Some butter is moving into export with the assistance 
of subsidies although butter exports still lag the volumes a 
year ago.  The National Retail Report - Dairy for the week April 10 - 
16, found that the U.S. weighted average advertised price of 1# butter 
is $2.81, $.35 above the price one week ago and $.02 above one year 
ago.  Retail prices for 1# butter in the Southwest have a weighted 
average advertised price of $3.17 and in the Northwest, $3.28.  Bulk 
butter pricing in the West this week is 4 cents under market to 
5 cents above, based on the CME Group with various time frames 
and averages used.  The Grade AA butter price at the CME Group 
on Wednesday closed at $1.7700, up $0.0200 from a week ago. 

1530CT eric.graf@ams.usda.gov 608.557.7005
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