In California cooler temperatures are contributing to increased cow comfort and higher milk production. Some stakeholders say milk output remains below previously forecasted levels. Milk is available for processing, and some plant managers are selling additional loads to nearby states. Across all Classes, demand is steady.
Milk production is unchanged in Arizona, as stakeholders say warm weather persists in the state. As milk remains tight in the state some processors are utilizing this time for regularly scheduled plant maintenance. Meanwhile, some plant managers say they are unable to obtain sufficient volumes of milk to operate full schedules. Some purchasers are looking to other states for additional loads of milk to meet their current processing needs. Steady demand is present for Class III, while demands for Classes I and II are softening.
New Mexico milk production is unchanged this week. Contacts report output remains below some previously forecasted levels and attribute this decline in output to smaller statewide herd populations. Milk volumes are tight, and some plant managers are sourcing loads from other states in the region to meet their production needs. Demand is steady across all Classes.
Cooler temperatures in the Pacific Northwest continue to have a positive impact on milk production. Stakeholders say volumes of milk are available, but tankers are more difficult to come by. Due to this, most spot loads of milk are being sold locally. Steady demand is present across all Classes.
In the mountain states of Idaho, Utah, and Colorado milk output is trending higher. Contacts say the fall weather has been comfortable for cows. Plant managers say milk is available and is being sold locally and to other states where inventories are tighter. Milk loads are being sold under Class prices. Unexpected downtime at some plants in the region is causing some spot loads of milk to be offered at heavy discounts. Demand is steady across all Classes.
Contract sales of condensed skim are steady, in the West. Stakeholders say spot demand for condensed skim has begun to slow. Condensed skim volumes remain tight. Cream demand is also softening. Stakeholders say ice cream sales are slower, though some of this decline is counterbalanced by increased orders from other Class II processors. Cream volumes are becoming more available in the region, and butter makers are using the additional loads to run steady production schedules. Cream multiples moved lower at the top of the range, while the bottom was unchanged.
Western U.S., F.O.B. Cream
Price Range - All Classes; $/LB Butterfat: 3.5125 - 4.3182
Multiples Range - All Classes: 1.0900 - 1.3400
Price Range - Class II; $/LB Butterfat: 3.9637 - 4.3182
Multiples Range - Class II: 1.2300 - 1.3400
