MD_DA230 **** Correction to Report on Thursday, March 26, 2020 **** Fluid Milk and Cream - Central U.S. Report 13 - Released on March 26, 2020 ***UPDATED ON 3/26/2020*** Dairy farm production is seasonally increasing. Farmers relay milk output is strengthening, although component levels, on some farms, are down from year to year. Bottling, on the other hand, is up from year to year. Contacts suggest demand has settled from last week's ado. Still, bottling contacts suggest year over year numbers are much stronger regarding intakes of milk into Class I. While this is spring break season, which, in a normal year, usually presents a lull in Class I demand, cheese producers are reporting overages on spot milk for the first time in 2020, while sub-Class prices also continue. There are some expectations that when bottling settles further, milk availability will not be a concern for cheesemakers. Cream is available. That said, some ice cream buyers were willing to pay higher prices early this week. Undoubtedly, the cream market is mixed. There are plentiful supplies out West, at sub-Class prices. Butter makers say they are full at their plants, but they also pass on that they are trying to sell off excess cream, but buyers are not particularly eager. Farmers in the Midwest are beginning to prep for spring planting. Contacts say there are still areas of snow coverage, but most areas in the region are nearly ready. Winter wheat is in fair to improving conditions in Texas and Oklahoma. NATIONAL RETAIL REPORT DAIRY – FLUID MILK SUMMARY Advertised Prices at Major Retail Supermarket Outlets ending during the period of 03/20/2020 to 03/26/2020 Half Gallon, All Fat Tests Weighted Average Price National This Period Last Week Last Year Conventional $1.45 $2.39 $1.85 Organic $3.82 $3.99 $4.35 Regional (Conventional) Wtd. Ave. Low High Midwest $1.26 $ .88 $1.50 South Central $ .99 $ .99 $ .99 Regional (Organic) Wtd. Ave. Low High Midwest $3.00 $3.00 $3.00 Gallon, All Fat Tests Weighted Average Price National This Period Last Week Last Year Conventional $3.72 $2.84 $2.88 Organic $5.00 $6.87 $6.62 Regional (Conventional) Wtd. Ave. Low High Midwest $2.99 $2.99 $2.99 South Central $7.99 $7.99 $7.99 Price Range - Class III Milk; $/CWT; Spot Basis: -4.00 - 2.00 Trade Activity: Slow Midwestern U.S., F.O.B. Cream Multiples Range - All Classes: 1.0800 - 1.2500 Price Range - Class II; $/LB Butterfat: 1.9694 - 2.1594 Multiples Range - Class II: 1.1400 - 1.2500 Information for the period March 23 - 27, 2020, issued weekly Secondary Sourced Information: The NASS Milk Production report noted February 2020 milk production in the 24 selected states was 17.0 billion pounds, 5.6 percent above a year ago. Milk cows in the 24 selected states totaled 8.842 million head, 39,000 head more than a year ago. The following table shows Central states included in the report and the monthly milk production and percent changes compared to a year ago: February 2020 Milk Production, (USDA-NASS) (Million Lb.) % Change From 1 Year Ago Illinois 145 + 0.7 Indiana 329 + 2.8 Iowa 422 + 1.4 Kansas 320 + 9.2 Michigan 912 + 4.7 Minnesota 794 + 3.8 Ohio 445 + 6.0 South Dakota 232 + 8.4 Texas 1,170 +10.8 Wisconsin 2,426 + 2.6 Published by: Dairy Market News - Madison, WI ISRAEL WEBER, 608-422-8601 Email: israel.weber@usda.gov Additional Dairy Market News Information: Dairy Market News (DMN) by Phone: (608)422-8602 DMN Website: https://www.ams.usda.gov/market-news/dairy DMN MARS (My Market News): https://mymarketnews.ams.usda.gov