MD_DA210 DA MD DA210 Fluid Milk and Cream Review - East MADISON, WI. October 21, 2015 (REPORT 42) 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 - 3.0347-3.2736 PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING PLANTS: Northeast - Class II - includes monthly formula prices - .87-.90 Northeast - Class III - spot prices - .86-.89 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 215 0 230 0 160 0 SOUTHEAST STATES 0 0 0 0 0 0 Milk production in the Northeast and Mid-Atlantic regions is mostly steady around typical seasonal low points. Sales to Class I operations are good, while continuing to limit manufacturing milk intakes. However, fluid milk supplies are considered well balanced in most processing channels. Milk production in the Southeast is steady in some areas, but slightly up in others. Manufacturing milk intakes are being moderated by strong Class I demand. Florida producers are reporting slightly higher milk output. Milk handlers expect volumes to trend higher. Class I sales are balanced, with not much change expected over the next few weeks. Import spot milk shipments, this week totaled 215 loads. According to the DMN National Retail Report-Dairy, for October 16-22, the U.S. weighted average advertised price for a gallon of milk was $2.45, a decrease of $1.25 cents from a year ago, and a decrease of 11 cents from last week. Spot condensed skim transactions are limited, as the majority of available supplies target customer needs. Eastern cream multiples range, 1.27 to 1.37, slightly lower compared to the previous week. Offerings are active, while the market in general is fairly balanced. Cream cheese manufacturers are ordering more spot loads, as seasonal sales increase. At the CME Group, Grade AA butter closed at $2.4200 Wednesday, $0.0700 higher than the previous week. MILK PRODUCTION: According to NASS, milk production in the 23 major states during September 2015 totaled 15.6 billion pounds, up 0.4% from one year ago. Eastern states? milk production are as follows: September 2015 Milk Production, (USDA-NASS) (Million Lb.) % Change From 1 Year Ago Florida 178 + 1.7 New York 1,141 + 1.1 Pennsylvania 848 - 1.9 Vermont 213 - 1.8 Virginia 139 NC Dairy Market News Reporting Changes Proposal Dairy Market News (DMN) is proposing updating the Dairy Market News Working Guidelines. This proposal is the result of an industry comment period. The updates would allow DMN market reports to additionally include information and sales prices reported by individuals and firms functioning as marketing agents selling on the behalf of dairy product manufacturers. The Working Guidelines updates are intended to capture more information on pricing and market conditions and reflect the evolution of the marketing of dairy products. Currently, market pricing information is collected for first sale, f.o.b. producers? plants or warehouses. The changes would be effective starting with Report 1, January 2016. Comment by October 30, 2015 to: DMN@ams.usda.gov Link to current DMN working guidelines: http://www.ams.usda.gov/market?news/individual?dairy?market?news?commodity?r eports 1300C 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