MD_DA230

     Fluid Milk and Cream - Central U.S.

     Report 45 - Released on November 05, 2020

     Milk yields are on the rise despite some winter storms pounding the southern portion of the
     Central region last week. Fall weather, throughout most of the country, has dairy farmers
     reporting increasing yields weekly. Class I demand is up slightly one week, down one week
     the next. This week, Class I contacts reported increases from the south to the upper
     Midwest. Ice storms affected power at production plants and road conditions from Texas, up
     to Oklahoma, and into Kansas. Midwestern cheese plants report internal milk is plentiful,
     and spot market activity got a bump as well. Spot milk prices fell to $2 under Class on the
     low end, but some say offers are nearing $3 and $4 under Class. Cheesemakers are limiting
     production in some plants, therefore extra milk is being extended throughout the Midwest.
     Cream availability is growing. Contacts report cream cheese production has kept the market
     stable for the past month, but as cream cheese production has steadied, cream loads have
     become more available. Cream multiples below 1.20 were reported into butter manufacturing.
     Butter plant managers reported having their pick from local and/or Western suppliers. Near-
     term, and some contacts suggest long-term, cream availability is expected to be prevalent.
     South Central farmers got some much needed precipitation for their winter wheat crops.
     Unfortunately for some farmers in that area, it was in the form of ice/snow, and damaged
     crops are being tallied now. Upper Midwest corn harvests are past the halfway point in those
     states, while bean harvests are wrapping up ahead of schedule. Winter wheat planting is/or
     has gone smoothly this year in the Midwest.

     The DMN monthly average of the range price series for Upper Midwest Class II cream during
     October was $1.9745, compared to $1.9845 in September.

     Price Range - Class III Milk; $/CWT; Spot Basis:   -2.00 -  .00
     Trade Activity: Moderate


     Midwestern U.S., F.O.B. Cream
     Multiples Range - All Classes:               1.1800 - 1.3500
     Price Range - Class II; $/LB Butterfat:      1.8048 - 1.9035
     Multiples Range - Class II:                  1.2800 - 1.3500


     Information for the period November 2 - 6, 2020, issued weekly
     Published by:
     Dairy Market News - Madison, WI
     ISRAEL WEBER, 608-422-8601
     Email: israel.weber@usda.gov

     Additional Dairy Market News Information:
     Dairy Market News (DMN) by Phone: (608)422-8602
     DMN Website: https://www.ams.usda.gov/market-news/dairy
     DMN MARS (My Market News): https://mymarketnews.ams.usda.gov