Temperatures in California were close to the 80-degree mark most of the week, keeping cow comfort at similar conditions. Week to week increases in milk production are marginal. However, handlers indicate fat components of milk output are improving. Some handlers note preliminary records indicate October 2023 milk production is slightly above last month and anticipated levels. However, some handlers also note preliminary records indicate milk production is below prior year levels. Drying operations are running at below capacity levels. Class I, III, and IV demands are strong to steady, while Class II demands are strong.
In Arizona, temperatures were slightly above the 100 degree-mark for the week. Milk production is seasonally lower and week to week differences are reported as flat. Handlers note sentiments that hotter than usual temperatures lately are keeping a lid on milk production. Spot loads are tight. Demand is unchanged for all Classes. Temperatures ranged from the mid-60s to the mid-80s in New Mexico this week. Farm level milk output remains seasonally lower and handlers note recent week to week differences are marginal. Class I and III demands are strong to steady, while Class II and IV demands are steady.
The western portion of the Pacific Northwest remained rainier and colder compared to the eastern portion of the area this week. Temperatures in the eastern part of Washington state went into the low 70s. Recent near-term farm level milk output trends are reported as flat. Demand for all Classes is steady.
In the mountain states of Idaho, Utah, and Colorado farm level milk output is seasonally lower. However, recent near-term milk production trends in some parts of the mountain states are noted as slightly higher week to week. Spot load availability is somewhat tighter this week, as plant processing capacities are in better balance with milk output. Demand for all Classes is unchanged.
A few stakeholders indicate marginal improvements in cream production for the southwest part of the region. However, it has not decreased tightness in spot load availability of cream. Spot load availability of cream in the northern parts of the region are tighter this week, but remain looser compared to southern parts of the region. Cream multiples increased on both ends. Demand is strong to steady. Condensed skim milk is slightly looser compared to recent weeks.
Western U.S. F.O.B. Cream
Commodity Low Price High Price
Cream All Classes $/LB Butterfat 3.7873 4.7513
Cream All Classes Multiples Range 1.1000 1.3800
Cream Class II $/LB Butterfat 4.2005 4.7513
Cream Class II Multiples Range 1.2200 1.3800
