Key Highlights:
- Butter: Grade AA closed at $2.4325, with a weekly average of $2.4745 (-$0.0505). Production remains strong as cream supplies are widely available.
- Cheese: Barrels closed at $1.8100, and 40# blocks at $1.8775. Weekly averages increased for both barrels ($1.8490, +$0.0240) and blocks ($1.9005, +$0.0986). Demand remains steady to strong.
- Nonfat Dry Milk & Dry Whey: Nonfat Dry Milk closed at $1.3450, with a slight weekly dip (-$0.0040). Dry whey closed at $0.6400, with a weekly decline (-$0.0318).
- Milk Production & Class Utilization: Production is mixed across regions, with Class I demand keeping milk availability tight. December milk production in the 24 major states totaled 18.0 billion pounds (-0.4% YoY).
- International Dairy Markets: Milk production trends varied by region. The UK reported slight growth (+2.9% YoY), while Ukraine’s production declined (-3%). Australia (-1%) and New Zealand (+1.4%) saw mixed results.
- Retail & Cold Storage Trends: Dairy advertisement activity increased, with conventional milk ads up 35%. December cheese stocks declined (-6% YoY), while butter stocks grew (+11% YoY).
- USDA Updates:
- USDA issued a final rule amending Federal Milk Marketing Order pricing formulas. View details
- Dairy product solicitations are open for bid. View solicitations
For the full report, visit: USDA Dairy Market News
