MD_DA210                                                                                  
DA                                                                                        
MD DA210 Fluid Milk and Cream Review - East                                               

MADISON, WI.  January 13, 2016 (REPORT 2)                                                 

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 -  2.1796-2.4444                                    

PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING PLANTS:                
Northeast - Class II - includes monthly formula prices -   .75-.90                        
Northeast - Class III - spot prices -   .49-.64                                           

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    90     0    90   150     0                                  
SOUTHEAST STATES         0     0     0     0     0     0                                   

Throughout parts of the region Class I demand is strong as weather related 
concerns prompt heavy add-on orders to bottling. Some manufacturers report 
that discounted milk is harder to find compared to previous weeks 
availability. Milk production in the Northeast and Mid-Atlantic is 
climbing seasonally. Milk receipts are now at a comfortable level for most 
balancing operations. Southeast farm milk production is mostly steady but 
down slightly in some areas due to weather related events. Add-ons to 
bottling are exceptionally strong, as manufacturing intakes are cut to 
accommodate active Class I demand. Transportation issues affected haulers 
causing delays in milk deliveries. Florida milk production is inching 
higher. Sales are balanced. Spot milk shipments are steady for the state.  
Demand is being generated from the re-opening of schools and a return of 
seasonal residents. Condensed skim prices strengthened from lows in recent 
weeks. Supplies are meeting contract demand, as ice cream operations are 
back in the market. As a result, market conditions are not as soft as a 
few weeks back. Cream is available at multiples ranging 1.07-1.20. Most 
plants with churning capacity prefer to churn cream that's not required to 
fill contracts. Sources state that a few sales continue to occur out of 
region, but they do anticipate sales will improve in the East. Cream 
cheese productions has declined, with seasonally slow sales. At the CME 
Group, Grade AA butter closed Wednesday at $2.100, up $0.0625 from a week 
ago.

1300CT daniel.johnson@ams.usda.gov 608.557.7006
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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