Here’s what USDA/AMS had to say:

Midwest:

Milk production is steady in the Central region, though contacts report farm level output is up from this time last year. Demand from Class I processors is strong, but some cheesemakers say they are selling fewer spot loads to bottling operations now than they were in the fall. Demand for Classes II and IV is steady. Class III demand is steady to lighter. Contacts report spot volumes are available, and some cheesemakers say they are selling additional loads due to downtime this week. Reported Class III milk prices range from $4-under to $1- under Class.

EAST

Eastern region milk production is steady, with forecasts calling for continued growth in milk supplies. USDA reports increasing output in New York, driven by both larger herd size and productivity gains. This growth supports expanding dairy manufacturing capacity in the state, including ultrafiltration (UF) bottling. The draw on milk for UF is limiting fluid availability for other classes, most notably Class IV powder markets, where dryers are reportedly operating at 25-50 percent capacity. Condensed skim markets are tighter than usual for this time of year. Class II pulls on milk for new UF plants continue impacting Northeast condensed supply, reducing availability. Contacts report that some buyers are seeking 6-12-month contracts, while manufacturers remain hesitant to commit beyond three months due to pricing uncertainty and unclear future supply.

WEST

California milk production and components are strong this week. Open processing time is tight, especially in the Central Valley. Stakeholders indicate spot loads are available. Arizona and New Mexico farm level milk output varies from steady to stronger. Pacific Northwest milk production is stronger. Manufacturers indicate there is some open processing time for spot milk and spot cream loads to fill. In the mountain states of Idaho, Utah, and Colorado, farm level milk output varies from steady to stronger. Idaho handlers note milder weather has positively impacted cow comfort, which improved milk output this week. Spot milk loads are available. Dairy farmers throughout the region are meeting contractual milk volumes. Class III demands vary from steady to stronger, while all other Class demands are steady.

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