MD_DA210 DA MD DA210 Fluid Milk and Cream Review - East MADISON, WI. February 25, 2015 (REPORT 8) EAST FLUID MILK AND CREAM REVIEW FLUID CREAM AND CONDENSED SKIM PRICES IN TANKLOT QUANTITIES: SPOT PRICES OF CLASS II CREAM, DOLLARS PER LB. BUTTERFAT: F.O.B. producing plants: Northeast - 1.9278-2.0990 PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING PLANTS: Northeast - Class II - includes monthly formula prices - 1.06-1.10 Northeast - Class III - spot prices - 1.05-1.25 SPOT SHIPMENTS OF GRADE A MILK INTO OR OUT OF FLORIDA AND OTHER SOUTHEASTERN STATES THIS WEEK LAST WEEK LAST YEAR IN OUT IN OUT IN OUT FLORIDA 0 0 0 24 0 39 SOUTHEAST STATES 0 0 0 0 0 0 Northeast farm-level milk production is seasonally strong. Processors' milk intakes are heavy. Class I demand is steady. Mid-Atlantic milk production is steady to higher. Milk supplies clearing to manufacturing are ample. Class I demand is at seasonal levels. In the Southeast, milk production is steady. The region continues to encounter hampering winter conditions including bitter temperatures, snow, sleet, and freezing rain. Disruptions to milk distribution have consisted of 2 to 3 day delays in some instances. Milk production is steady, but producers are concerned about haulers ability to pick up loads. Retail milk sales are strong, as limited loads clear into manufacturing. This week, Florida's milk demand is balanced with no import or export spot loads. Class I demand rose slightly. Farm-level production is mostly level, due to a slight decline in cow comfort due to variations in temperatures. According to the NASS Crop Progress & Condition Report, for February 16-22, state temperatures ranged from 19 degrees at night to 86 degrees during the day from. Cream supplies are adequate. Cream multiples for all Classes range 1.12-1.22, marginally firmer on the lower end of the range compared to a week ago. Class II cream demand picked up with increased usage in cream cheese and ice cream production. A few spot loads are clearing to butter production. Condensed skim supplies are adequate. Dryer operations are processing heavy volumes to Class IV production. Class III spot demand is light, as processors note little need for additional condensed skim. According to the DMN National Retail Report-Dairy, for February 20-26, the U.S. weighted average advertised price for a gallon of milk was $2.71, a $0.73 decline compared to one week ago. MILK PRODUCTION: According to NASS, milk production in the 23 major States during January 2015 totaled 16.5 billion pounds, up 2.1% from one year ago. Statistics for selected Eastern states are as follows: January 2015 Milk Production, (USDA-NASS) (Million Lb.) % Change From 1 Year Ago Florida 226 + 1.3 New York 1,177 + 3.7 Pennsylvania 930 + 3.0 Vermont 226 + 1.3 Virginia 153 N.C. 1300C Daniel.Johnson@ams.usda.gov 608.278.4156 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- home