MD_DA210                                                                                  
DA                                                                                        
MD DA210 Fluid Milk and Cream Review - East                                               

MADISON, WI.  February 08, 2017 (REPORT 6)                                                

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 -  1.9868-2.6490                                    

PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING 
PLANTS:                
Northeast - Class II - includes monthly formula prices -   .30-1.04                       
Northeast - Class III - spot prices -   .30-.91                                           

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   135     0   110     0    30                                  
SOUTHEAST STATES         0     0     0     0     0     0                                  


Milk production in the East is flat to slowly increasing. In the 
Northeast and Mid-Atlantic, milk production is steady and ample, 
clearing to balancing plants. In the Southeast, milk production is 
stable, and in some areas, climbing, though there is anticipation of a 
peak in the upcoming weeks. This week, Eastern Class I sales are flat 
to up. Balancing plants are clearing milk volumes to Classes III and 
IV. In areas of Florida, bottled milk sales have increased marginally 
and the trend is expected to continue with approaching tourism in the 
spring months. Cooler temperatures still linger in Florida, keeping 
farm milk production active. With the state's milk supply exceeding 
local demand, Florida's export milk shipments totaled 135 loads this 
week. Some Northeastern operators are clearing milk out of their 
plants to fulfill orders. This is taking pressure off of processors. 
The fluid cream supplies are readily available. This week, cream 
multiples range .90 to 1.20, increasing on the high end of the range 
from last week. In the market, the timing and delivery location are 
taken into account for cream pricing. The DMN January average for 
Northeast Class II cream was $2.4505, compared to $2.3894 a year ago. 
This current week, the eastern condensed skim market price range is 
unchanged to lower. With the ample amounts of condensed skim 
available, sellers in the East are clearing loads to long distance 
buyers at low prices in Classes II and III. The DMN January monthly 
average for Northeast Class II condensed skim was $0.8353, compared to 
$0.7289 a year ago. According to the DMN National Retail Report-Dairy, 
for February 3-February 9, the U.S. weighted average advertised price 
for a half gallon of milk was $2.14, down 15 cents compared to last 
week, but up one cent from last year. With last Wednesday's 
announcement of the Class and Component Prices, the Class III Skim 
Milk price declined $1.34, compared to the previous month. DAIRY 
PRODUCTS: According to NASS, December 2016 hard ice cream production 
in the Atlantic region totaled 12.0 million gallons, 12.7% less than 
last month, but 1.2% more than a year ago. Cumulative 2016 production 
through December totaled 773.1 million gallons, 0.6% less than the 
previous year total through December. U.S. Yogurt production (plain 
and flavored) for December totaled 376.7 million pounds, up 14.9% from 
last month and up 2.5% from the previous year.   


1300CT Jessica.Mueller@ams.usda.gov 608.422.8589 
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