In California, farm level milk output is seasonally light. Some stakeholders report rainfall-impacted cow lots are beginning to dry up, but the pace may be slowed down slightly due to weekend rain forecasted. Contacts report the Central Valley area of the state remains in decent balance, with plentiful milk volumes available and some open plant capacity available. Some contacts report bringing into facilities some spot milk purchased at below Class prices. Demand for all Classes remains steady. According to the California Department of Water Resources, as of January 31, 2023, the state has gotten 18.17 inches of precipitation for the current 2002-23 Water Year, up 5.83 inches from the historical average. However, California remains in a state of drought.
In Arizona, farm level milk output is steady to light. Milk volumes are available throughout the area for processing. Demand for all Classes is unchanged. Milk delivered to the Arizona Federal Milk Marketing Order 131 totaled 443.5 million pounds in December 2022. Class I producer milk was 120.9 million pounds and accounted for 27.3 percent of total producer receipts. The uniform price at test for December 2022 was $23.83, down $1.35 from November 2022.
Milk production is steady to lighter in New Mexico, with less favorable weather for cow comfort most of the week. Milk volumes for processors are available throughout the area to utilize. Milk demand is steady for all Classes.
Farm level milk output is steady to higher in the Pacific Northwest. Some stakeholders note increased production compared to a few weeks ago and slightly below normal production. No transportation problems were noted by stakeholders. Milk is available for processing throughout the area. All Classes have steady demand. Milk delivered to the Pacific Northwest Federal Milk Marketing Order 124 totaled 599.8 million pounds in December 2022. Class I producer milk was 141.0 million pounds and accounted for 23.5 percent of total producer receipts. The uniform price at test for December 2022 was $26.50, down $1.08 from November 2022.
Farm level milk output is steady to light in the mountain states of Idaho, Utah and Colorado. In Idaho, some colder temperatures have made cow comfort less favorable. Fairly tight availability for processing is reported by some stakeholders. Demand is unchanged for all Classes.
Demand for condensed skim milk is strong. Contract and spot load sales are steady. Butter producers run busy schedules working through the available cream volumes. Lower end cream multiplies slid below flat market and higher end cream multiplies increased this week.
Western U.S., F.O.B. Cream
Price Range - All Classes; $/LB Butterfat: 2.1579 - 2.7485
Multiples Range - All Classes: 0.9500 - 1.2100
Price Range - Class II; $/LB Butterfat: 2.4987 - 2.7485
Multiples Range - Class II: 1.1000 - 1.2100
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