MD_DA440  
DA                                                         
MD DA440 BUTTER - WEST                           

MADISON, WI.  May 13, 2015 (REPORT 19)

WEST BUTTER:

Availability of cream continues to be a driving factor for butter 
production in the West.  Some manufacturers report enough cream to 
support production schedules.  In these cases, there is a desire to 
sell excess cream rather than build butter inventories. Other 
manufacturers are struggling to get enough cream and are seeking 
supplies from across the region. Increasing competition from ice cream 
manufacturing has limited the ability of these butter manufacturers to 
get cream.

The National Retail Report - Dairy for the week May 8 - 14, found that 
the U.S. weighted average advertised price of 1# butter is $3.09, down 
$.30 from the price one week ago and up $.18 from one year ago.  
Retail prices for 1# butter in the Southwest have a weighted average 
advertised price of $3.51 with a price range $1.99-$3.99, and in the 
Northwest, $3.65 with a price range of $2.99-$3.89.  

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 
$2.0600, up $.1700 from a week ago.

1530CT eric.graf@ams.usda.gov 608.557.7005 and 
mike.bandli@ams.usda.gov 608.557.7010
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