Milk production is picking up in California. Bottling demand is level. Class II and Class III orders are steady. Arizona milk output is on a slight upturn, but some contacts say supplies are still tight. Handlers are pulling heavy volumes for strong bottling sales. Class II and III orders are unchanged.
New Mexico milk production is up a bit. Some balancing plants are operating under capacity, and holdover numbers are reportedly manageable. Class I, II, and III demand is fairly steady.
Milk output is increasing in the Pacific Northwest, although stakeholders say that Washington cows have still not fully rebounded from this summer’s heat. Bottling demand is leveling off. Class II and Class III sales are steady.
Farm level milk production is a little higher throughout the mountain states of Idaho, Utah, and Colorado. Component levels are said to be strong. Contacts have relayed some spot load availability at discounts of $2 to $6 under Class IV. Bottling demand is flat to lower. Demand is unchanged for Class II and III milk.
Condensed skim contracts are steady. Cream is more available as milk production increases, but driver and tanker shortages continue to complicate its transport. The cream multiples range expanded this week, and some contacts have reported as much as a 15-point difference between neighboring sellers.
Western U.S., F.O.B. Cream
Multiples Range - All Classes: 1.0000 - 1.3100
