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

Farm milk supplies are adequate to satisfy the needs of the California dairy market. Milk output has been steadily increasing. Processing plants are running close to full capacities. Bottled milk and Class II sales are steady. In Arizona, milk production is within anticipated levels for this season of the year. Cooler temperatures are conducive to increased milk productivity per cow. Handlers are filling their customers' needs as scheduled. Some processors are helping with out-of-state milk balancing whenever they have room to help. Plant managers report busy processing schedules. Class I sales are mostly steady. In New Mexico, milk production and supplies are level to up. Balancing nee

This Week's Drought Summary (1/30)

A series of Pacific weather systems continued to move across the contiguous U.S. (CONUS) in a fairly westerly jet stream flow during this U.S. Drought Monitor (USDM) week. The systems dropped copious amounts of precipitation along the Coastal and Cascade mountain ranges of Northern California and the Pacific Northwest, with above-normal precipitation continuing across most of the Pacific Northwest to the Rockies. The Pacific systems were dried out once they crossed the Rockies, but some picked up Gulf of Mexico moisture to provide above-normal precipitation from parts of New Mexico northeastward to the Great Lakes. Surface lows were generated by the upper-level Pacific systems, with some tra

NMPF: Congress Needs to Pass DAIRY PRIDE Act for Consumers

The National Milk Producers Federation says Congress needs to pass the DAIRY PRIDE Act soon to ensure the Food and Drug Administration does its job. The DAIRY PRIDE Act would designate foods that make an inaccurate claim about milk contents as "misbranded" and subject to enforcement of labeling rules. It would require FDA to issue guidance for federal enforcement of mislabeled imitation dairy products within 90 days of its passage, and require FDA to report to Congress two years after enactment. NMPF Executive Vice President Tom Balmer told the House Energy and Commerce Committee's Health Subcommittee Wednesday, "By calling these products "milk," they are clearly seeking to trade on the heal

Milk prices headed up for rest of 2020

Dairy Outlook: The Class III price for 2020 may average $1.20 to $1.30 higher than in 2019. Milk prices typically drop in January following the holidays, and this year was no exception, according to Bob Cropp, University of Wisconsin-Madison dairy economist. Milk prices during the last quarter of 2019 had improved significantly from earlier in the year. Class III prices hit a high of $20.45 in November and declined to $19.37 in December but averaged $16.96 for the year — $2.35 higher than the 2018 average of $14.61. “But it looks like Class III for January will be more than $2 lower than December, around $17, due to much lower cheese prices,” Cropp says. The big question is, where are milk p

December milk output up 0.7%

Preliminary December milk output was pegged at 18.3 billion pounds in the USDA’s latest Milk Production report, up 0.7% from December 2018. Output in the top 24 states totaled 17.4 billion pounds, up 0.9%. Revisions added 35 million pounds to the original 50-state November total, now put at 17.5 billion pounds, up 0.7% from November 2018. The preliminary data would indicate that 2019 milk output totaled 218.3 billion pounds, up 700 million pounds or 0.3% from 2018. Cow numbers were down 67,000 from 2018 but output per cow was up 246 pounds. Cow numbers were unchanged in December. The 50-state count totaled 9.34 million head, though the November count was revised up 8,000 head, but is 14,000

Crop Progress - State Stories

IDAHO: The state of Idaho continued to have a mild winter. The statewide temperatures in Idaho for the month of January were well above average throughout most of the state. In northern Idaho, thawing temperatures created slush and mud throughout the lower elevations. There was still some snow on the ground in Boundary County; more than a foot in most places. Farther south in Latah and Nez Perce Counties, rainfall removed much of the snow cover from area cropland. In southwest Idaho, the mild weather provided good calving conditions. Good precipitation, mainly in the form of rain, fell at lower elevations. A mix of rain and snow fell in the mountains. A sufficient quantity of all types of ha

December Milk Production up 0.9 Percent

December Milk Production up 0.9 Percent Milk production in the 24 major States during December totaled 17.4 billion pounds, up 0.9 percent from December 2018. November revised production at 16.7 billion pounds, was up 0.9 percent from November 2018. The November revision represented an increase of 4 million pounds or less than 0.1 percent from last month's preliminary production estimate. Production per cow in the 24 major States averaged 1,978 pounds for December, 14 pounds above December 2018. The number of milk cows on farms in the 24 major States was 8.81 million head, 16,000 head more than December 2018, but unchanged from November 2019. October-December Milk Production up 0.8 Percent M

Fluid Milk and Cream - Western U.S. Report 4

California fluid milk output for January is picking up when compared to last month's data. According to dairy farmers, daily average production is on the rise. Component levels have been improving as well. Class I demand is unchanged from the past week. In Arizona, milk production is ongoing. Handlers do not have any issue with milk distribution. Class II intakes are down, and Class I sales are also slightly lower as schools were out at the beginning of the week for the holiday. Some processors had to temporarily stop taking out-of-state milk to focus on helping other in-state processors with milk balancing. New Mexico milk production is responding positively to favorable weather outcomes. H

This Week's Drought Summary (1/23)

Pacific weather systems migrated across the contiguous U.S. (CONUS) in a fairly westerly jet stream flow during this U.S. Drought Monitor (USDM) week. East of the Rockies, they tapped Gulf of Mexico moisture and dropped above-normal precipitation in a storm track that stretched from Texas to the Great Lakes. The jet stream flow amplified as the week progressed, producing a strong trough over the eastern CONUS with a ridge migrating across the West into the central CONUS. Cold arctic air was directed by the trough into the East behind surface frontal low pressure systems. The Pacific fronts dropped precipitation along the coastal ranges, but the air masses quickly dried out as they crossed th

Agriculture Confidence Index - Farmers' Optimism Returns Despite Tough Year

OMAHA (DTN) -- A long, drawn-out crop year and ongoing trade battles didn't dampen farmers' moods, as they ended 2019 with new optimism and were solid in their support for the Trump administration. The DTN/The Progressive Farmer Agriculture Confidence Index has risen to 164.1 in December 2019, significantly higher than the Index of 110.2 in March and the December 2018 level of 109.2. Farmers were surveyed in mid-to-late December. About 75% of farmers said that if the 2020 presidential election was held at that time, they would vote to reelect the current administration. About a quarter said they would likely not vote for the current administration. The question was asked without respondents

Cheese prices rally

Mid-January cash dairy prices remain mixed. The CME Cheddar blocks closed the third Friday of 2020 at $1.9625 per pound, up 9.25 cents on the week, highest since Dec. 9 and 56.25 cents above a year ago. The barrels fell to $1.4675 last Tuesday, lowest since March 13 widening the spread to a second all-time high of 40.25 cents. But they rallied, closing Friday at $1.5625, 4 cents higher on the week, 36.25 cents above a year ago, and 40 cents below the blocks. Only 2 cars of block traded last week at the CME but 40 of barrel. The markets were closed Monday for Martin Luther King Day but the blocks inched a quarter-cent higher Tuesday, hitting $1.9650, as traders absorbed the morning’s Global D

Fluid Milk and Cream - Western U.S. Report 3

California milk production is at seasonal levels. Mild temperatures are in favor of milk production. Milk supplies are plentiful, keeping processing facilities on full schedules. Milk orders from educational institutions are flat, whereas Class II demands are a bit lower. Arizona milk processing continues on a lively tone to guarantee that all milk is taken care of in an efficient and timely manner. Balancing plants are actively being run as more in-state and out-of-state milk continues to clear through the dryers. Class I sales have stabilized at seasonal levels. Class II demand is low. Milk production is generally flat to up. In New Mexico, although milk holdovers are currently above avera

This Week's Drought Summary (1/16)

Warmer than normal temperatures were common this week over the eastern half of the continental U.S., while temperatures were primarily near normal over the western half, with a few exceptions. Moderate to heavy precipitation was common this week along and east of the Interstate 35 corridor, excepting parts of the Northeast and the Florida Peninsula. In the West, moderate to heavy precipitation also fell in some of the higher elevation areas. For more details on the geographic distribution of precipitation and temperature anomalies, please see the regional paragraphs below. The only exceptional drought occurring in the United States, on Maui, was removed this week after a major precipitation

Dairy Market: Cash prices continue to slip

Most cash dairy prices fell in the first full week of trading in two weeks. Cheddar block cheese dropped to $1.8250 per pound last Thursday, lowest since Dec. 26 but closed Friday at $1.87, 2 cents lower on the week and 46 cents above a year ago. The barrels fell to $1.5175 Thursday, but inched back to $1.5225 Friday, down 12 cents on the week and 27.75 cents above a year ago. There were 24 cars of block traded last week at the CME and 26 of barrel. Monday’s and Tuesday’s block price remained at $1.87. The barrels inched up a half-cent Monday but dropped 6 cents Tuesday, falling to $1.4675, lowest CME price since March 13, 2019, and widened the spread to an unsustainable 40.25 cents. Midwest

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