Thursday, March 13, 2025

Fluid Milk and Cream - Western U.S. Report 9

Week-over-week milk production generally continues to seasonally strengthen in California. Stakeholders indicate recent milk output volumes continue to work their way closer to closing the gap between 2025 and 2024 milk production to various degrees in terms of a year-over-year comparison. In a few cases, handlers convey the gap is becoming close to flat. Many manufacturers describe milk volumes as at or near processing capacities. A few stakeholders describe finding a home for extra milk as challenging. Some extended unplanned downtime at processing facilities has hindered the availability of some processing capacity. Some milk intake backups at balancing plants and milk tanker transportation delays are reported. Demands for all Classes are steady. 

For Arizona, milk production is seasonally strengthening. Stakeholders convey some spot milk sales continue to be at below-Class prices. Class I demand is lighter as educational institutions begin to cycle though spring recesses. Class II, III, and IV demands are steady. 

Farm level milk output continues to seasonally strengthen in New Mexico as well. Class I demand is lighter as spring breaks are starting to take place. All other Class demands are steady. 

Milk production in the Pacific Northwest is stronger. Handlers generally describe milk intakes as on track. All Class manufacturing demands are steady. 

Farm level milk output in the mountain states of Idaho, Utah, and Colorado is stronger. Stakeholders indicate milk volumes to be readily available for spot load buyers. Handlers convey fat components in milk output continue to be strong. Demands for all Classes are steady. 

Cream availability has changed little from week 10, plenty is available. Cream multiples moved lower on the bottom end of the All-Classes range. Cream demand is mixed. In some cases, sellers describe activity as somewhat closer to expectations. However, some manufacturers convey not being able to take advantage of affordable cream loads due to being at processing capacities. Condensed skim milk availability is looser. Demand for condensed skim milk is steady. 









Thursday Closing Dairy Market Update - Product Output Increases

MILK: The Global Dairy Trade Auction took place earlier this week, with the trade-weighted average down 4.1% from the previous event...