MD_DA210                                                                                  
DA                                                                                        
MD DA210 Fluid Milk and Cream Review - East                                               

MADISON, WI.  January 25, 2017 (REPORT 4)                                                 


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 -  2.1777-2.6491                                    

PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING 
PLANTS:                
Northeast - Class II - includes monthly formula prices -   .60-1.07                       
Northeast - Class III - spot prices -   .55-1.06                                          

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   100    42     0     0    40                                  
SOUTHEAST STATES         0     0     0     0     0     0          


In the Northeast and Mid-Atlantic, milk production is slowly rising 
around typical patterns. Fat and protein tests are edging slightly 
higher and yields are seasonally good. In the Southeast, milk 
production is increasing. After good demand, many bottlers found 
themselves with too much milk and began canceling orders. As a result, 
increased volumes are clearing to manufacturing plants. Milk 
production continues to climb in Florida. Output varies as some areas 
of the state report more moderate gains. Export milk shipments totaled 
100 loads this week. The fluid cream market remains weak. Offers are 
fully adequate for fair to good demand. Spot prices remain widespread, 
with a few loads trading below market. This week, cream multiples 
range .97 to 1.18. Market sources report freight rates vary and are 
considered when f.o.b. prices are established. Eastern condensed skim 
remains readily available. Traders are having to clear loads out of 
region, as some cheese makers are showing more interest in wet solids. 
Heavy volumes are being dried. According to the DMN National Retail 
Report-Dairy, for January 20-26, the U.S. weighted average advertised 
price for a half gallon of milk was $2.77, down 8 cents compared to 
last week and up $1.20 from last year. This week, there were no ads 
for a half gallon of milk in the Northeast region. 
MILK PRODUCTION:  According to NASS, milk production in the 23 major 
states during December 2016 totaled 16.8 billion pounds, up 2.4% from 
one year ago.  Eastern states' milk production are as follows:

December 2016 Milk Production, (USDA-NASS)

           (Million Lb.)      % Change From
                                 1 Year Ago
  
Florida            218           +   ...
New York         1,246           +   3.6 	 
Pennsylvania       919           +   1.7
Vermont            229           +   1.3
Virginia           144           -   2.0


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-home