MD_DA230                                                              
DA                                                                    
MD DA230   Fluid Milk and Cream Review - Central                      

MADISON, WI.  December 23, 2015 (REPORT 51)                           

SPOT PRICES OF CLASS II CREAM, $ PER POUND BUTTERFAT                  
F.O.B. producing plants:   Upper Midwest -   $1.9656-2.3380           

Central region milk production is generally steady to higher. Milk 
availability on the spot market is higher. Marketers report they continue 
to manage transfers of milk loads from plant to plant as modifications are 
made to production schedules. Prices range from $7.00 to $3.00 under 
Class. Sales into bottling are trending sharply lower as the week advances 
as most K-12 and many higher education institutions enter the semester 
break. Class II end uses are lower as several ice cream operations 
scheduled closures over the holiday weekend. Central Class II cream 
multiples range from .95 to 1.13. Cream interest is light for Class II end 
uses. According to the DMN National Retail Report-Dairy for the week of 
December 18-24, the national and Midwest weighted average advertised 
prices for one gallon of milk are, respectively, $2.72 and $2.49. The 
Central region is receiving additional precipitation, mostly rain, this 
week. Some limited areas within the region still rate within the moderate 
to abnormally dry drought ratings, but most of the region has received 
sufficient moisture to exit the drought ratings. Conversely, many 
localized areas are subject to minor flooding. This has halted any late 
corn harvesting activities in most areas of the region. The NASS Milk 
Production report noted November milk production in the 23 selected states 
was 15.6 billion pounds, 0.6% above a year ago. Milk cows in the 23 
selected states totaled 8.635 million head, 37,000 head more than a year 
ago. The following table shows Central states included in the report and 
the changes compared to a year ago:  

November 2015 Milk Production, (USDA-NASS)

           (Million Lb.)      % Change From
                                 1 Year Ago
  
Illinois            150           + 2.0
Indiana             331           + 4.1
Iowa                387           + 1.3
Kansas              252           - 1.6
Michigan            836           + 6.4
Minnesota           759           + 2.4
Ohio                435           + 0.5
South Dakota        199           +13.1
Texas               825           - 1.7
Wisconsin         2,349           + 4.3


1430CT 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