Thursday, January 30, 2025

Fluid Milk and Cream - Western U.S. Report 5

For California, milk production continues to trend steadily higher week-over-week to finish out the month. In terms of a year-over-year comparison for the last week of January 2025, processors indicate milk production continues to be down. Stakeholders note processing space is tightening partly due to plant downtimes. Class I demand is strong. Class II, III, and IV demands are steady. According to the California Department of Water Resources, as of January 28, 2025, the statewide precipitation total for the current water year is 1.78 inches below the historical mean. As of January 29, 2025, statewide total snowpack for the current water year is below average according to the California Department of Water Resources. 

Farm level milk output in Arizona is strengthening. Class I demand is stronger. All other Class demands are steady. 

Milk production in New Mexico is seasonally stronger. Spot milk loads continue to be snugger than spot cream loads throughout the southern states of the region. Class I demand is strong. Class II, III, and IV demands are steady. 

Handlers in the Pacific Northwest convey farm level milk output as steady or stronger. Manufacturers generally note receiving sufficient milk volumes for planned schedules. Processors indicate milk volumes are meeting the needs of planned production schedules. Class I demand is stronger, while demand for all other Classes is steady. 

In the mountain states of Idaho, Utah, and Colorado, processors note milk production as stronger and milk components as strong. Stakeholders in Idaho convey snowpack has been on the light side thus far for the winter season. For Idaho, manufacturers indicate milk volumes and plant capacities to be balanced overall. Like the rest of the region, demand for Class I is strong and demands for all other manufacturing Classes are steady. 

Cream volumes continue to be plentiful. Cream multiples are unchanged this week. Cream demand varies from moderate to steady. Condensed skim milk demand is steady. Condensed skim milk spot loads are generally available throughout the West region.






Thursday Closing Dairy Market Update - Tariff Talk Might Have Pressured the Market

MILK: Class III milk futures declined through the time when the CME settled the market for the day. After the settlement, further se...