MD_DA210                                                                                  
DA                                                                                        
MD DA210 Fluid Milk and Cream Review - East                                               

MADISON, WI.  December 14, 2016 (REPORT 50)                                               


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 -  2.7202-2.8249                                    

PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING 
PLANTS:                
Northeast - Class II - includes monthly formula prices -   .70-1.01                       
Northeast - Class III - spot prices -   .80-1.08                                          

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    25     0     7     0    10                                  
SOUTHEAST STATES         0     0     0     0     0     0                                  

Colder weather and snow has been common across some areas of the East 
region. However, temperatures in the regions' southernmost portion has 
the feel of summer. In the Northeast, the prolonged drought gained 
some relief attributable to periods of rain and snow. Farm milk output 
show minimal gains as wintery conditions slow production. Class I milk 
sales are good. Milk production volumes in the Mid-Atlantic states are 
mostly steady. Manufacturers' milk intakes are sufficient but below 
expected levels as some comment on volumes coming into their plants.  
Milk handlers in the Southeast area of the region note balanced milk 
production. Strong Class I pulls should continue into next week. With 
little surplus milk available, manufacturing milk supplies are minimal 
to none. Milk distribution outlets are already preparing for the next 
two weeks when schools will be on vacation. Under warmer than usual 
conditions, currently, Florida's farm milk production is climbing 
marginally. Supplemental cattle feeding continues in several counties. 
Bottling sales are slightly higher. Milk export shipments grew to 25 
loads this week. The condensed skim market is mostly unchanged. Spot 
sales of condensed skim are few. Prices are generally unchanged for 
Class II and III wet solids. The fluid cream market is firmer than 
market participants anticipated and supplies have been somewhat tight. 
Loads continue to clear into Canada. Multiples are in the 1.30-1.35 
f.o.b. range. Cream cheese, sour cream, bottled cream, and eggnog 
production is moderate to heavy. Producers indicate eggnog output may 
likely ease after this week.  

According to the DMN National Retail Report-Dairy, for December 9-15, 
2016, the U.S. weighted average advertised price for a gallon of milk 
was $2.35, down 11 cents compared to last week and down 29 cents from 
last year. The Northeast weighted average price for a gallon of milk 
was $2.66, up 32 cents from last week, with a price range of $2.50-
$3.00. At the CME Group, Grade AA butter closed Wednesday at $2.0850, 
down $.0100 from a week ago.


1300CT daniel.johnsohn@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-home