MILK
Milk production is mixed across the country with a few areas moving past the spring flush to see production holding steady. Other areas continue to see gains with cow comfort improving and good feed intakes. It is possible spring flush may not run as long as usual as milk production continues to run below the levels of a year ago. Traders are concerned over milk supply as the year progresses. This provides support for milk futures and buyers in the spot market.
It is early in the year to see buyers in the cash market being this aggressive. This may be a foretaste of the strength of milk prices this year.
Dairy exports during March did not perform well with exports down 7% on a milk solids equivalent. Year-to-date export volume is down 3% from the same period last year. The value of dairy exports for the first quarter is down 10%.
AVERAGE CLASS III PRICES
| 3 Month: | $19.60 |
| 6 Month: | $19.62 |
| 9 Month: | $19.31 |
| 12 Month: | $19.04 |
CHEESE
Cheese exports were the bright spot in March with total exports of 50,022 metric tons, up 20.5% from a year ago. This is the highest level of cheese exports that have been recorded. Year-to-date exports are up 21.5% from the same period last year. Lactose exports declined 9.1%, totaling 36,303 metric tons with year-to-date exports down 6.2%. Whey exports declined 8.3%, totaling 45,366 metric tons. Year-to-date exports are down 1.4% from first-quarter 2023.
BUTTER
Butter exports continue to struggle with March export volume down 39.9%, totaling 2,685 metric tons with year-to-date exports down 26.2%. Exports of nonfat dry milk/skim milk powder were down 18.4%, totaling 63,666 metric tons with year-to-date exports down 9.3%. Whole milk powder exports totaled 2,385 metric tons, up 44%. Year-to-date exports are up 25.6% compared to a year ago.
OUTSIDE MARKETS SUMMARY
July corn closed down 8.50 cents per bushel at $4.5850, July soybeans closed down 18.75 cents at $12.2775 and July soybean meal closed down $4.70 per ton at $378.50. July Chicago wheat closed down 8.75 cents at $6.3400. June live cattle closed down $1.15 at $176.48. June crude oil is up $0.61 per barrel at $78.99. The Dow Jones Industrial Average is up 172 points at 39,056 with the NASDAQ down 30 points at 16,303.
