MD_DA230                                                              
DA                                                                    
MD DA230   Fluid Milk and Cream Review - Central                      

MADISON, WI.  May 18, 2017 (REPORT 20)                                

Milk production continues undiminished in the Central U.S. Some contacts 
suggest spring flush is near its peak, while others foresee similar milk 
surpluses into June. Class I demand is steady, but concerns persist about 
upcoming school vacations. Midwestern cheesemakers are taking on milk spot 
loads from $3.00 to $6.00 under Class III. Other cheese producers are using 
internally sourced milk supplies and do not plan to use spot milk in the near 
term. Cream remains available. Some contacts predict a slowdown in cream to 
come after Memorial Day, as frozen yogurt and ice cream interests have begun to 
increase. Cream multiples, into Class II manufacturing, were reported from 1.16 
to 1.26 f.o.b. South Central contacts report that the corn crop is in good to 
excellent condition, but farmers in some Southern regions are preparing for 
multiple days of forecasted storms. In the Upper Midwest, persistent 
precipitation is continuing to hamper fieldwork, but dry conditions late last 
week gave some farmers a much needed opportunity to plant. The DMN National 
Retail Report-Dairy for May 12-18 noted the national weighted average 
advertised price for one gallon of milk was $2.58, down $.04 from a week ago, 
but $.31 higher than a year ago. The weighted average regional prices in the 
Midwest and South Central were $2.24 and $2.58, respectively.


SPOT PRICES OF CLASS II CREAM, $ PER POUND BUTTERFAT                  
F.O.B. producing plants:   Upper Midwest -   $2.5207-2.7380           


1100CT Israel.weber@ams.usda.gov (608) 422-8601
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: www.ams.usda.gov/dairymarketnews
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-
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