Milk production is mixed in California. Contacts note output has dropped slightly this week, but overall November milk production is up from last month. Milk is available for processing, and some stakeholders say loads of milk are being sold to processors in other parts of the region. Demand is unchanged across all Classes.
In Arizona, milk production is steady to higher amid cooler temperatures. Contacts say milk volumes remain tight, and processors continue to purchase loads from other states to meet their production needs. Across all Classes, demand is steady.
In New Mexico, milk production is steady to higher. Some stakeholders say overall production is nearing 2021 volumes. Processors are sourcing milk from other parts of the region, as local volumes remain tight. Demand for Classes II and III are steady. Contacts say educational holidays have contributed to subdued Class I demand.
Contacts in the Pacific Northwest say milk production is steady. Processors relay that milk is plentiful in the area, and this is allowing them to run steady production schedules. Limited tanker availability is delaying some milk deliveries. Demand is unchanged across all Classes.
In the mountain states of Idaho, Utah, and Colorado, milk production is steady to higher. Milk volumes are ample, and some plant managers say they are offering loads of milk, priced below Class, to nearby facilities. Some stakeholders say labor shortages are hindering the movement of milk loads. All Classes of milk are in steady demand.
Demand for contracted condensed skim is declining in the West. Some processing facilities in the region have reduced their purchasing ahead of Thanksgiving holiday closures. Spot volumes of condensed skim are limited. Increasing milk production is contributing to greater regional cream availability. Demand for cream is strong, but some contacts say loads of cream have been moving at lower multiples ahead of this week's holiday. 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: 3.0602 - 3.7597
Multiples Range - All Classes: 1.0500 - 1.2900
Price Range - Class II; $/LB Butterfat: 3.4683 - 3.7597
Multiples Range - Class II: 1.1900 - 1.2900
