MD_DA440  
DA                                                         
MD DA440 BUTTER - WEST                           

MADISON, WI.  April 22, 2015 (REPORT 15)
 
WEST BUTTER:

Cream demand remains strong from western butter plants.  Most 
plants are emphasizing print production, but are hoping to 
increase bulk butter output in coming weeks.  Increasing milk 
production in many areas has not generated enough cream to 
satisfy demand at some butter plants.  Competing interest from 
ice cream manufacturers is also a factor affecting cream 
available for churning.  This continues to result in cream 
movements between various states in the West. The strength of 
print demand is unexpected.  Stock building by end users is 
mentioned as a factor.  The National Retail Report - Dairy for 
the week April 17 - 23, found that the U.S. weighted average 
advertised price of 1# butter is $3.26, $.45 above the price one 
week ago and $.41 above one year ago.  Retail prices for 1# 
butter in the Southwest have a weighted average advertised price 
of $4.09 and in the Northwest, $2.99.  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 $1.8300, up $0.0600 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