MD_DA440  
DA 
MD DA440 BUTTER - WEST 

MADISON, WI.  October 14, 2015 (REPORT 41)

WEST BUTTER

West butter production is steady. Cream supplies are adequate for most processing needs. 
A few manufacturers report increasing print butter production slightly to stay ahead of 
the strong domestic retail demand for butter. Industry contacts note some tightness of 
bulk butter as processors focus on meeting their retail print butter needs. Bulk butter 
sales activity is generally quiet. Some bulk butter end users are holding off on their 
purchases until retail demand eases and prices come down. In the October 5 Federal 
Register, the USDA FAS Administrator determined the amount of butter and fresh or sour 
cream imported exceeded the trigger level. As a result, an additional duty will now be 
applied to imports of milk and cream; buttermilk and sour cream; and butter, dairy 
spreads, fats and oils. The DMN National Retail Report - Dairy for the week of October 9 
- 15, found that the U.S. weighted average advertised price of 1 pound butter is $3.09, 
down $.23 from one week ago and down $.59 from one year ago. In the Southwest, the 
weighted average advertised price for 1 pound butter was $4.01, and in the Northwest, 
$2.61. Bulk butter pricing in the West this week is 4 cents under market to 3 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 $2.3500, down $.0200 from a week 
ago.

1530CT Mike.Bandli@ams.usda.gov 608.557.7010
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: http://www.ams.usda.gov/market-news/dairy
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-home