MD_DA230                                                              
DA                                                                    
MD DA230   Fluid Milk and Cream Review - Central                      

MADISON, WI.  April 21, 2016 (REPORT 16)                              

SPOT PRICES OF CLASS II CREAM, $ PER POUND BUTTERFAT                  
F.O.B. producing plants:   Upper Midwest -   $2.4221-2.5891           

Manufacturing milk supplies in the northern and southern areas of the 
Central region are steady to higher. South Central area weekly milk 
production increases are slowing as the weather warms up. In the 
North Central area, milk increases are still surpassing gains of a 
week ago. Overall bottling demand is unchanged from retail outlets, 
club stores, restaurants and educational institutions. Class II 
interest in condensed skim is steady to higher. This week, multiples 
for Class II cream are steady to higher, 1.16 to 1.24. Spot milk load 
availability is steady to higher. Some cheese plant operators with 
expansion projects underway indicate there will be delays in fully 
utilizing the expanded production capacity. This is leading to some 
push back in milk volumes that were originally destined to fill that 
capacity. Spot load pricing ranges from $5.00 to $3.00 under Class. 
The DMN National Retail Report-Dairy for April 15-21 noted the 
national weighted average advertised price for one gallon of milk was 
$2.41, down $0.01 from a week ago, and $0.44 lower than a year ago. 
The weighted average regional prices in the Midwest and South Central 
regions were $2.46 and $2.53, respectively. The NASS Milk Production 
report noted March 2016 milk production in the 23 selected states was 
17.2 billion pounds, 1.8% above a year ago. Milk cows in the 23 
selected states totaled 8.64 million head, 19,000 head more than a 
year ago. The following table shows Central states included in the 
report and the monthly milk production changes compared to a year 
ago: 
 
March 2016 Milk Production, (USDA-NASS)

           (Million Lb.)*      % Change From
                                 1 Year Ago
  
Illinois            173           + 3.0
Indiana             358           + 4.4
Iowa                418           + 0.7
Kansas              287           + 1.1
Michigan            924           + 7.7
Minnesota           833           + 2.8
Ohio                471           + 0.6
South Dakota        214           +10.9
Texas               911           + 2.0
Wisconsin         2,560           + 5.3

Operators made progress in fieldwork in the North Central area, with oats and 
corn being planted. Winter wheat fields are showing new growth. In the far 
South Central, winter wheat began heading. 


1100CT Janet.Linder@ams.usda.gov 608.557.7011
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/map/da-home