MD_DA440  
DA 
MD DA440 BUTTER - WEST 

MADISON, WI.  May 20, 2015 (REPORT 20)

WEST BUTTER:

Western butter production appears to have slowed somewhat this week. 
Some manufacturers expressed a willingness to increase their cream 
sales as opposed to making more butter to add to inventories. Other 
butter manufacturers suggest the competition from ice cream producers 
for available cream have caused them to reduce their butter output. 
Industry contacts indicated manufacturers are watching butter pricing 
very closely before making storage determinations.  The National 
Retail Report - Dairy for the week May 15 - 21, found that the U.S. 
weighted average advertised price of 1# butter is $2.89, down $.20 
from the price one week ago but up $.17 from one year ago.  Retail 
prices for 1# butter in the Southwest have a weighted average 
advertised price of $2.72 with a price range $1.99-$3.48, and in the 
Northwest, $3.20 with a price range of $2.49-$3.99.  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 $1.9300, down $.1300 from a week ago.

1530CT 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