MD_DA440  
DA 
MD DA440 BUTTER - WEST 

MADISON, WI.  JULY 15, 2015 (REPORT 28)

WEST BUTTER

Steady demand from ice cream manufacturing continues to pull cream away from 
butter production. Some butter makers say it is currently more advantageous 
to sell the cream than churn. Many producers have reduced production over the 
last few weeks. The slow down is allowing processors to perform maintenance 
and make any needed repairs. Manufacturers report inventories are able to 
comfortably handle regular customer purchases. Demand has remained steady for 
western butter. The DMN National Retail Report - Dairy for the week July 10 - 
16, found that the U.S. weighted average advertised price of 1 pound butter 
is $3.02, down $.02 from one week ago and down $.02 from one year ago. In the 
Southwest, the weighted average advertised price for 1 pound butter was $3.13 
with a price range of $2.00 - $5.49, and in the Northwest, $3.58 with a price 
range of $2.79 - $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 $1.8525, down $.0675 from a week ago.

2015 U.S. Butter Imports (USDA-FAS)
                  (Million Lb.)       % Change From   % of 
                                      1 Year Ago      Yearly Quota

June  Quota Imports  0.8              -  36               5

Jan. - June  
High Tier            5.6              +3211              N.A.
Quota Imports       10.6              +  30              69


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