MD_DA440  
DA 
MD DA440 BUTTER - WEST 

MADISON, WI.  November 2, 2016 (REPORT 44)

WEST BUTTER

Western butter makers report butter is moving well through regular contracts. Demand for 
retail butter is seasonally heavy and helping draw down inventories. Industry contacts 
say sales are starting to pick up. Butter stocks are available and comfortable. Cream is 
in good supply and manufacturers are not opposed to buying a few extra loads of cream to 
keep production at or near full capacity. Bulk butter pricing in the West this week is 2 
cents under market to 10 cents above, based on the CME Group with various time frames and 
averages used. The DMN National Retail Report-Dairy for the week of October 28-November 3 
found that the U.S. weighted average advertised price of 1 pound butter is $3.31, up $.33 
from last week. The U.S. weighted average price was $3.51 one year ago. In the Southwest, 
the weighted average advertised price of 1 pound butter is $3.59 with a price range of 
$2.49-$3.99. There were no advertised prices from stores in the Northwest reported this 
week. This week, a cooperative export assistance program accepted requests for 652,568 
pounds (296 metric tons) of butter. So far this year, the program has assisted member 
cooperatives who have contracts to sell 11.0 million pounds of butter (82% milkfat) in 
export markets. The Grade AA butter price at the CME Group on Wednesday closed at 
$1.8900, up $.0050 from a week ago.


15300CT 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