MD_DA210                                                                                  
DA                                                                                        
MD DA210 Fluid Milk and Cream Review - East                                               

MADISON, WI.  August 05, 2015 (REPORT 31)                                                 


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 -  2.6309-2.9597                                    

PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING PLANTS:                
Northeast - Class II - includes monthly formula prices -   .75-.91                        
Northeast - Class III - spot prices -   .75-.90                                           

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                 50     0    20     0     0     0                                  
SOUTHEAST STATES         0     0     6     0     0     0                                  

Milk production in the Northeast and Mid-Atlantic is mostly steady. Weather   
conditions encourage farm-level milk output.  Bottling orders are expected to 
increase, as some schools start to reopen.  Milk into manufacturing is ample.  
Southeast milk production rates are inching lower. Bottling is consuming the 
majority of available milk supplies as orders grow ahead of school openings. 
Manufacturing milk intakes have declined compared to a week ago. Florida's 
milk output is continuing the downward trend. Production received some 
support as rainfall suppressed hotter temperatures. However, the steady 
precipitation is creating wet, soggy field conditions that hamper cow 
comfort. Milk sales are likely to trend upward, with schools back in session 
in the next few weeks. Milk imports grew by 30 spot loads over last week's 
shipments. According to the DMN National Retail Report-Dairy, for July 31-
August 6 the U.S. weighted average advertised price for a gallon of milk was 
$2.36, down 68 cents from last year, and 13 cents lower compared to last 
week. Cream multiples ranged 1.36-1.53. Demand from ice cream manufacturers 
is maintaining the pull on cream supplies; however, contacts noted some 
pushing back against high multiples. Cream cheese sales are active, and 
expected to increase throughout August. The July 2015 DMN monthly average 
range price series, for Northeast Class II f.o.b spot cream was $2.8390, 
compared to $3.4102 a year ago. Condensed skim supplies are reported as 
plentiful at most balancing plants.  Volumes in the south are falling off due 
to declines in milk production and distribution priorities as schools set to 
reopen.  Existing condensed skim supplies continue to prompt moderate to 
heavy Class IV production. The DMN July 2015 monthly average for the 
Northeast Class II f.o.b condensed skim price is $0.7370, compared to $1.8839 
a year ago.

1100C Daniel.Johnson@ams.usda.gov 608.557.7006
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