MD_DA210                                                                                  
DA                                                                                        
MD DA210 Fluid Milk and Cream Review - East                                               

MADISON, WI.  March 02, 2016 (REPORT 9)                                                   


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 -  2.2286-2.5325                                    

PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING PLANTS:                
Northeast - Class II - includes monthly formula prices -   .67-.85                        
Northeast - Class III - spot prices -   .65-.75                                           

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    75     0   100     0    43                                  
SOUTHEAST STATES         0     0     0     0     0     0          
                             

Milk production in the Northeast and Mid-Atlantic is increasing at 
seasonal levels. Fluid milk into balancing is heavy. A few plants are 
conducting seasonal maintenance projects. Class I demand has picked up 
with students returning to class in the Northeast. Milk output in the 
Southeast is steady to higher. Redirection of milk shipments by handlers 
is continuing, as orders from bottling exhibit notable declines. In 
addition, some backup processing plants are offline, thereby producing 
burdensome milk receipts for other supporting plants. Milk production is 
Florida is still on the rise and expected to sustain moderate increases 
through March. Fluid sales are on an upswing this week. With increases in 
bottling orders, milk shipments moved lower compared to last week. Export 
shipments are 75 f.o.b. spot loads this week. According to the DMN 
National Retail Report-Dairy, for February 26 to March 3, 2016, the U.S. 
weighted average advertised price for a gallon of milk was $2.52, down 75 
cents compared to a year ago, but up 15 cents from last week. The East 
condensed skim market is weak to steady. Some brokers noted a marginal 
reduction in volumes available for offering, when compared to last week. 
Condensed skim spot sales are increasing. Additionally, contracts are 
moving well. Although the cream supplies exceed demand, interest has 
improved for kosher cream cheese production. Similar to last week, cream 
was turned away in some instances, while spot market activity is light to 
sluggish in a buyers' market. As a result, the market upheld last week's 
fairly wide limits, with multiples ranging 1.10-1.25 over the weekend into 
mid-week. At the CME Group, Grade AA butter closed Wednesday at $1.9800, 
down $0.0200 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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