Thursday, May 23, 2024

Fluid Milk and Cream - Western U.S. Report 21

Milk production in California is trending weaker. Handlers say May 2024 milk production is down from April 2024 milk production as seasonally anticipated. Handlers say week-to-week decreases in milk production are steadily paced. Some handlers note preliminary records indicate May 2024 milk production as slightly lower than May 2023 milk production. Industry participants convey some unplanned downtime at area plants slowed down milk processing recently, making Central Valley processing capacities tight. Industry participants note spot milk load sales at up to $0.50 under flat blend prices. All Class demands are unchanged. 

In Arizona, milk production is trending weaker. No milk volume shortages are reported by processors. All Class demands are steady. 

Farm level milk output in New Mexico is somewhat weaker. Industry participants convey some open processing capacity is available. Class I, II, III, and IV demands are steady. 

In the Pacific Northwest, reported milk production varies from steady to strengthening. Although processors are heavily utilizing milk volumes, some open processing capacity is noted. All Class manufacturing demands are steady. 

In the mountain states of Idaho, Utah, and Colorado farm level milk output ranges from steady to stronger. Stakeholders indicate mixed spot milk load availability. Class III milk demand from cheese manufacturers is stronger. All other Class manufacturing demands are steady. 

Stakeholders indicate cream volumes are comfortable and available for spot buyers. Cream demand is mixed with some plant operators planning downtime during the upcoming holiday weekend. Cream multiples are unchanged this week. Condensed skim milk demand is steady. Condensed skim milk is noted to generally be readily available. 




Wednesday Morning Dairy Market Update - Continued Weakness in Dairy is Expected Ahead of Cash

OPENING CALLS: Class III Milk Futures: 4 to 8 Lower Class IV Milk Futures: 5 to 10 Lower ...