MD_DA210 DA MD DA210 Fluid Milk and Cream Review - East MADISON, WI. August 23, 2017 (REPORT 34) 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 - 3.4587-3.6981 PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING PLANTS: Northeast - Class II - includes monthly formula prices - .60-.80 Northeast - Class III - spot prices - .59-.74 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 10 0 10 0 40 0 SOUTHEAST STATES 0 0 0 0 0 0 Eastern regions' milk production volumes are mixed when considering the year over year percentage. The region saw milk production grow as much as 2 percent in Florida, but declines extended to 1.4 percent in Virginia. Meanwhile, milk pipelines are being filled throughout the region as educational institutions began fall semester classes. This week, sources noted that milk production in the Northeast and Mid-Atlantic is higher to steady. Production improved slightly with the cooler temperatures. As well, milk supplies into manufacturing plants rebounded at marginal levels. Southeast milk production is steady to lower as temperatures remain seasonally hot, causing milk flows to decline. Fluid milk supplies are very tight, as Class I milk sales increase. Imported loads out of the Southwest are assisting to meet the milk shortage. In Florida, farm milk is mostly steady. Import milk shipments are unchanged from last week. With most of the states' schools reopening, bottlers have filled necessary milk channels. Condensed skim is not as available as it has been in past weeks, as some brokers report having fewer loads to move. Relatively, prices are increasing in some markets. The fluid cream market is steady, while the CME butter price inched marginally lower in consecutive weeks. Multiples for all Classes range 1.25-1.39. Demand is moderate to good, although loads can be limited for buyers' immediate needs. Cream clearing to ice cream production is steady and seasonal sales are fair to good. Cream cheese output is quite good. Churning activity is light. According to the DMN National Retail Report-Dairy, for August 18-24, 2017, the U.S. weighted average advertised price for a gallon of milk was $2.24, down 98 cents compared to last week and down 34 cents from a year ago. In the Southeast, the weighted average price for a gallon of milk is $2.58, down $1.61 from last week, with a price range of $2.39-$2.99. MILK PRODUCTION: According to NASS, milk production in the 23 major states during July 2017 totaled 17.2 billion pounds, up 1.9% from one year ago. Eastern states' milk production numbers are as follows: July 2017 Milk Production, (USDA-NASS) (Million Lb.) % Change From 1 Year Ago Florida 203 + 2.0 New York 1,270 - 0.1 Pennsylvania 908 - 0.4 Vermont 232 + 0.9 Virginia 139 - 1.4 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