In California, milk production continues to trend seasonally weaker. Stakeholders convey open processing capacity in the Central Valley is tight due to unplanned downtime at area plants. Stakeholders also indicate the northern portion of the state is more able to take in spot milk load volumes compared to other parts of the state. All Class demands are steady. According to the California Department of Water Resources, as of May 27, 2024, the state has gotten 23.24 inches of precipitation for the current 2023-24 Water Year, up 0.92 inches from the historical mean. According to the California Department of Water Resources, as of May 29, 2024, the estimated total statewide reservoir storage was 33.80 million acre feet, which is 118 percent of the historical average.
Milk production is also trending seasonally weaker in Arizona. However, manufacturers indicate milk volumes are meeting processing needs. Class I demand is lighter as some school districts have started summer breaks. Class II, III, and IV demands are steady.
Handlers in New Mexico note week-to-week farm level milk output varies from steady to weaker. Class I demand is lighter as educational institutions in the state cycle through starting up session breaks. All other Class demands are steady.
In the Pacific Northwest, milk production is steady. Manufacturers indicate milk volumes are comfortable compared to processing needs and capacities. All Class demands are unchanged.
In the mountain states of Idaho and Utah farm level milk output is mostly reported as steady or somewhat weaker. Some stakeholders are anticipating milk and cream to be tight over the summer this year. Farm level milk output in Colorado is mostly reported as steady. Class I demand is lighter in the mountain states overall as many educational institutions have or soon will start seasonal breaks. All other Class manufacturing demands are steady.
Stakeholders indicate cream volumes remain generally available throughout the region. Cream demand is mixed, partly due to the holiday weekend. Cream multiples moved slightly lower on the bottom end of both ranges. Stakeholders note condensed skim milk demand varies from strong to steady, and loads are readily available.
