MD_DA230

     Fluid Milk and Cream - Central U.S.

     Report 48 - Released on November 24, 2020

     The shortened week has kept fluid milk and cream contacts very busy on Monday and Tuesday.
     Milk production reports continue to show earnest upticks throughout the Central region. That
     said, some farmers with smaller herd sizes in the upper Midwest, who limited herd sizes
     early in the COVID-19 impact, relay lower yields year to date. They also continue to point
     to downticks in protein levels, due mainly to their feed quality this year. Class I contacts
     say bottling is very busy this week. Retail demand for Class I is moving well. Notably, food
     service in nearly all dairy sectors and particularly Class I, has been distressed.
     Cheesemakers are reporting spot milk supplies are plentiful, putting it lightly.
     Cheesemakers, even those who are not in the market for extra milk, reported receiving calls.
     Reported spot milk prices were lower than last week, and offered prices are reportedly in at
     double digit discounts. Cream is also widely available for all uses. Ice cream producers are
     running hard early in the week, but most manufacturing is set to slow down by midweek.
     Butter production rates vary from plant to plant, as some butter churners say they are full
     on cream into next month, or in some cases, next year. Midwestern harvesting, of both corn
     and beans, is nearly in the books from state to state. Reports on yields are mostly
     positive, well ahead of last year's levels.

     Price Range - Class III Milk; $/CWT; Spot Basis:   -7.00 -  -4.00
     Trade Activity: Slow


     Midwestern U.S., F.O.B. Cream
     Multiples Range - All Classes:               1.1500 - 1.3000
     Price Range - Class II; $/LB Butterfat:      1.7081 - 1.7765
     Multiples Range - Class II:                  1.2500 - 1.3000


     Information for the period November 23 - 27, 2020, issued weekly
     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