MD_DA230 DA MD DA230 Fluid Milk and Cream Review - Central MADISON, WI. October 20, 2016 (REPORT 42) Farm milk production is steady to slightly higher in the Central region as favorable weather conditions are conductive to cows' comfort. The butterfat and protein components in the milk continue improving. According to some processors, milk volumes are in balance with manufacturing needs, especially from Class III. Trading activity of spot loads is light. Moderate to heavy milk volumes are moving into Class I. In the next few weeks, some Class I processors will begin to make eggnog as the Q4 holidays are getting closer. Bottled milk requests from educational institutions are up this week as most schools are reopening after the fall break. However, orders from retailers and food service are steady. The DMN National Retail Report- Dairy for October 14-20 noted the national weighted average advertised price for one gallon of milk is $2.55. The weighted average regional prices in the Midwest and South Central are $2.58 and $2.75, respectively. Condensed skim usage into NDM processing is active. Nevertheless, requests from ice cream manufacturers are seasonally waning. Cream availability varies from plant to plant. Some processors are receiving cream loads from the West region, where cream inventories are heavy. Demand for spot cream from butter processors is light as multiples remain relatively high. Class II cream multiples are unchanged, ranging from 1.19-1.28. SPOT PRICES OF CLASS II CREAM, $ PER POUND BUTTERFAT F.O.B. producing plants: Upper Midwest - $2.1372-2.2989 1100CT Angel.Teran@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/mnp/da-home