In California, milk production is trending higher. However, handlers note fat and protein component levels in milk output reached their peak last month and currently continue to trend slightly lower. Manufacturers relay milk volumes are in good balance with processing capacities and planned downtime for maintenance. Spot milk load offers are noted as low as $7.00 below Class III. Class I and III demands are strong. Class II and IV demands are steady. According to the California Department of Water Resources, as of January 24, 2024, the estimated total statewide reservoir storage is above the historical average, but cumulative statewide snowpack is below the historical average.
In Arizona, cow comfort has improved, and farm level milk output is trending higher. Milk volumes are meeting the needs of manufacturers. Demands for all Classes are steady.
Milk production in New Mexico is steady. Handlers indicate precipitation and snowfall totals are below average levels. Class demands are unchanged.
In the mountain states of Idaho, Utah, and Colorado, milk production is steady to stronger. Manufacturers relay milk volumes are comfortably meeting production needs, but winter storms in some areas caused load deliveries to be rearranged. Class demands are strong to steady.
Throughout most of the region cream is readily available. Demand is steady. Multiples are unchanged this week. Stakeholders note mixed demand from spot load buyers and steady demand from contractual buyers for condensed skim milk loads.
