California handlers report milk production is continuing to strengthen. January 2026 milk output is noted as up from December 2025 and year over year. Manufacturers convey open processing time is extremely tight, especially in the Central Valley. Spot milk loads continue to be available. Sellers note spot milk load sales down to $6 below the federal milk market order blend price. Stakeholders indicate there is some displaced milk volumes due to a facility closure at the start of the year, which has contributed to some distressed milk being sold to calf ranches.
Farm level milk output in Arizona is stronger. Some manufacturers are bringing in spot milk on top of contractual intakes.
New Mexico milk production various from steady to stronger.
Farm level milk output is mixed in the Pacific Northwest. Some handlers convey untypical seasonal weather conditions negatively impacted cow comfort and milk output. Spot milk load availability and demand is mixed.
Milk production in the mountain states of Idaho and Utah is strong. Handlers convey warmer than typical temperatures and lower than typical snowfall are positively impacting cow comfort and milk output. For Colorado, milk production is steady. Demand for all Classes is steady throughout the region.
Although cream volumes are strong, stakeholders indicate there are fewer spot cream offers this week in some parts of the region. Cream multiples increased at the bottom end of the all-classes range for week 4. Condensed skim milk production, availability, and demand all remain mixed.
