Butter - Central USDA - Wed Sep 30, 8:25PM UTC MD_DA431
Butter - Central U.S.
Report 40 - Released on September 30, 2020
Butter production continues steadily at Midwestern plants. Cream supplies have begun to
tighten in the East, but regional butter makers are still finding spots at similar multiples
locally and from the West. There are some expectations from butter plant managers that cream
could tighten in the near term. Retail and food service demand is reported as stronger week
to week. Retail customers, in some cases, have been given notice that butter quarters may be
short in the final quarter of the year. Butter contacts suggest current retail loss leader
promotions may be short lived. Although bulk butter is clearly available, production
capacity is limited for grocery retail orders. Butter market tones are feeling the bearish
effect of cold storage increases, but contacts' Q4 expectations are mixed from sideways to
bullish.
Prices for: Central U.S., All First Sales, F.O.B., Grade AA, Conventional, and Edible Butter
Bulk Basis Pricing - 80% Butterfat $/LB: 0.0000 - +0.0500
Information for the period September 28 - October 2, 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
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