MD_DA210 DA MD DA210 Fluid Milk and Cream Review - East MADISON, WI. May 03, 2017 (REPORT 18) 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 - 2.2123-2.6338 PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING PLANTS: Northeast - Class II - includes monthly formula prices - .20-.93 Northeast - Class III - spot prices - .25-1.00 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 0 165 0 175 0 180 SOUTHEAST STATES 0 0 0 0 0 0 Northeast and Mid-Atlantic milk production continues to advance along seasonal lines. Fluid milk into manufacturing continues to support activity at/near plant capacity. Some balancing plants' milk volumes appear better balanced than in previous weeks. Milk is being disposed of in some channels. FMMO #1 allows pooled milk in the Northeast to be dumped through May 31, 2017. Milk production in the Southeast part of the country is following trends of the past few weeks as handlers suggest production patterns are edging lower than peak. Precipitation was above normal across some areas, with notably rainfall across the Mississippi Valley. Protein and fat tests are declining seasonally. In Florida, production retreated but a steady decline is not expected. Sales are weak as many bottlers cut orders, with school breaks looming in the next 4 to 5 weeks. Export milk shipments totaled 165 spot loads this week, 10 less truckloads than the previous week. Beneficial rain fell across southern parts of the state. However, Florida's peninsula, with mostly dry weather, resulted in further drought escalation. Cream supplies are heavy again after supplies tightened for a day or two last week. Hence, cream multiples dipped lower this week, 1.05-1.25, based on time and day of purchases. Interest is moderate for both Class II ice cream needs and Class IV butter production. The DMN April average for Northeast Class II cream was $2.4007, compared to $2.5233 a year ago. The condensed skim market remains weak. Spot prices are unchanged. Demand is seldom better than slow. Handlers are desperately trying to clear surplus loads, with limited trucks available for distribution. Suppliers desperate to clear volumes note a downside as freight cost absorbs a large amount of the sale price with transitions outside the region. The DMN February monthly average for Northeast Class II condensed skim was $0.5850, compared to $0.4869 a year ago. Class III monthly average was $0.6275, $0.1768 above the previous year. According to the DMN National Retail Report-Dairy, for April 28- May 4, 2017, the U.S. weighted average advertised price for a half gallon of milk is $1.83, down 20 cents compared to last week, but up 38 cents from a year ago. In the Northeast, the weighted average advertised price for a half gallon of milk is $2.15,with a retail price range of $2.00-$2.99. 1300CT daniel.johnson@ams.usda.gov 608.422.8605 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