MD_DA230                                                              
DA                                                                    
MD DA230   Fluid Milk and Cream Review - Central                      

MADISON, WI.  December 17, 2015 (REPORT 50)                           

SPOT PRICES OF CLASS II CREAM, $ PER POUND BUTTERFAT                  
F.O.B. producing plants:   Upper Midwest -   $2.9187-3.1793           

Unseasonably mild temperatures in the Mid to North Central region have 
kept milk production steady to climbing as dairy cows are not stressed to 
stay warm. Also, late fall calving continues. South Central milk 
production is also steady to higher. However, throughout the region, wet 
conditions are contributing to an increase in somatic cell counts in those 
cows walking through muddy lanes and/or lots as well as pneumonia. Sales 
into Class I are very active throughout the week. Milk marketers indicate, 
though, that the cutoff in bottling sales is expected early next week. 
School districts are discontinuing milk deliveries during the holiday 
hiatus. Spot milk loads are clearing into cheese plants this week at $4.00 
to $.50 under Class. Cream is clearing into butter plants this week, 
although some churn operators indicate holiday orders are done. Butter 
coming off the lines now is destined for storage. Central Class II cream 
multiples range from 1.12 to 1.22. According to the DMN National Retail 
Report-Dairy for the week of December 11-17, the national and Midwest 
weighted average advertised prices for one gallon of milk are, 
respectively, $2.64 and $2.36. Some corn is still standing in North 
Central fields. With current wet conditions, operators will have to wait 
until a hard freeze occurs before they can harvest. Due to the mild 
temperatures, some winter wheat fields broke dormancy during the last two 
weeks. Operators are concerned how this will ultimately affect yields next 
year. Most alfalfa fields do not have snow cover, which may lead to winter 
kill if snow doesn't arrive ahead of freezing temperatures. 



1100CT Janet.Linder@ams.usda.gov 608.557.7003
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