CENTRAL/WESTERN AREAS 801 West Badger Road, P. 0. Box W. 77th St., Rm 210 Madison, WI (608).26Ur 525U.
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1 DAIRY MARKET NEWS PHONE MESSAGES: Madison-(608)2-06 Chicago-C312) New York-(212)2-60 VOLUME NO: 47 REPORT NO: 51 NO.MAILED: 5,351 DATE: 119/80 U. S. DEPARTMENT OF AGRICULTURE AGRICULTURAL MARKETING SERVICE - DAIRY DIVISION EASTERN/SOUTHERN AREAS CENTRAL AREA CENTRAL/WESTERN AREAS 801 West Badger Road, P. 0. Box W. 77th St., Rm 210 Madison, WI 538 (608) (608).26Ur 525U Minneapolis, MN Steven Schneeberger (612) Alan Wagner George Koerner Robert Gayvert Hugh Thomas Donald Nelson WISCONSIN DEPARTMENT OF AGRICULTURE, TRADE AND CONSUMER PROTECTION MARKETING DIVISION FOR OF AOMESS - Check thia box, print new addraaa in block at right and alao return old labal. TO DiaOQNTINUE SERVICE - Check. *m*i^*m ggggtgf*m 10 BE AIDED TO THE MMUM LIST - Check this box and print atfdraae ' ' III '' ' in block at right. U.S. DttAXTMCNT OF AGRICULTURE IWRAIi-fTATC MARKET NEW SERVICE 01 VEST 1ADOER ROAD, P.O. BOX MADISON, WlSCOHflM S3I ^W*v*w vvw «v^^^vw^ I I I I H M I I I I I I I II I I I I I I I I AOOiTIOMAL 111 r 111 M M 111 n i tnwet AOMfS I I I I I I I II I I I IN I I M I I I > 1 M CITY ZIP CODE POSTAGE AND FEES PAID U.S. DEPARTMENT OP AGRICULTURE AGR-101 I I I I * * * * OFFICIAL BUSINESS * * * * FOf ntlvate USE. 13*0 MAJKET REPORT - UWEWT FIRST "«w c «>. -1 i 3 <? ~ - fy L s SLOPE: UAI^TES INC - H 0 X 151 CJTY 19^ CLASS MAIL
2 PRICE AND POOL STATISTICS FCR FEDERAL MILK ORDER MARKET::.^ AREAS FOR THE MONTH OF: NOVEMBER t PRICES AND BFAT. DIFF. I BLEND PRICE DOLLARS BFAT. DIFF. CENTS 7 FEDERAL MILK ORDER MARKET I NG A D C A C I/ n n U n O jj N 0 U R Ji D _ E ~ R E R R AND L'TniZATION 19 MIL. '~ib> 19 OF PRODUCER DATA AVERAGE DAILY DELIVERY PER PRODUCER POUNDS New England New York /New Jersey (N.Y.City) Mid-Atlantic (Philadelphia- Baltimore/Washington, D. C. ) Georgia (Atlanta) I "pper Florida (Jacksonville/ Tallahassee) Tampa Bay Southeastern Florida (Miami) MI Upper Peninsula (Marquette) Southern Michigan (Detroit) E. Ohio/W. PA (Erie District) Ohio Valley (Cincinnati/Colu!sbus) Indiana ( Indianapolis ) Chicago Regional Central Illinois (Peoria) Southern Illinois (Alton) Louisville/Lexington/Evansville Upper Midwest (Minneapolis) E. South Dakota (Sioux Falls) Black Hills (Rapid City, SD) 1 Iowa (Des Moines) Nebraska/W.Iowa (Omaha/Sioux City) Kansas City (Kansas City/Topeka) St. Louis/Ozarks (St. Louis) Neosho Valley (Pittsburg, KS) Wichita Tennessee Valley (Knox/Chat) Nashville " ~ n NOVEMBER HIGHLIGHTS FEDERAL MILK ORDER MINIMUM PRODUCER PRICES AND MARKETINGS DAIRY DIVISION, AMS, U.S.D.A., WASHINGTON, D.C. THE WEIGHTED 1 AVERAGE UNIFORM BLEND PRICE TO FOR MILK DELIVERIES IN 47 COMPARABLE FEDERAL MILK ORDER MARKETS IN NOVEMBER WAS $ PER HUNDREDWEIGHT I (58.2 CENTS PER 1/2 GAL.) FOR MILK AT A 3.5 BUTTERFAT TEST. THE UNIFORM PRICE WAS $13.43 IN OCTOBER AND $ IN NOVEMBER AVERAGE DAILY MILK DELIVERIES BY TO HANDLERS IN 47 COMPARABLE MARKETS IN NOVEMBER, WAS 0.4 BELOW OCTOBER AND ABOVE MILK DELIVERIES IS NOVEMBER 19. AVERAGE DAILY DELIVERY PER PRODUCER GAINED POUNDS TO 1,848 POUNDS. HOWEVER, THERE WERE 1,857 MORE I THIS NOVEMBER THAN A YEAR AGO. AVERAGE DAILY SALES OF FLUID () PRODUCTS IN NOVEMBER BY REGULATED HANDLERS IN 47 COMPARABLE, 1 MARKETS WAS 5.5 BELOW OCTOBER AND 5.2 BELOW SALES A YEAR AGO. SALES REPRESENTED 51 OF THE PRODUCER DELIVERIES IN 1 1 NOVEMBER, 54 IN OCTOBER, AND 57 IN NOVEMBER 19. ' 1 58 & ,326 17,508 7,358 1, no 6,4 6,2 5,451 3,036 17, ,4 2,501 14, ,594 1,6 1,349 3, ,527 1,081 7,440 17,541 7,202 1, ,429 6,4 5,4 3,057 17, ,674 2,092 13, ,337 1,593 1, , ,827 1,534 2,084 3,042 9,816 9,828 29,500 1,024 1,805 1,342 1,411 1,560 1,5 1,382 1,555 1,411 1,4 1,5 2,306 1,581 2,027 1,3 1,0 1,846 2,2 1,994 1,600 1,0 1,4 1,1 3,097 9,217 10, ,134 1,769 1,316 1,376 1,537 1,586 1,3 1,500 1,388 1,413 1,559 2,327 1,4 1,910 1,2 1, ,0 1,858 1, I 1 I
3 DAIRY" MARKET NEWS ^"" "** OF "cnm 15 ' " 1 PRICE AND POOL STATISTICS FOR FEDERAL MILK ORDER MARKETING AREAS FOR THE MONTH OF: KOVF.MRFP IQRO...-. FEDERAL MILK ORDER MARKETING AREAS I/ Paducah Memphis Central Arkansas (Little Rock) Oklahoma Metro (Oklahoma City) Red River Val.CWichita Falls, TX) Texas Panhandle (Amarillo) Lubbock/Plainview Texas (Dallas) Greater Louisiana (Shreveport) New Orleans-Mississippi Eastern Colorado (Denver) Western Colorado (Grand Junction) Great Basin (Salt Lake City) Lake Mead (Las Vegas) Central Arizona (Phoenix) Rio Grande Valley (Albuquerque) Puget Sound (Seattle) Inland Empire (Spokane) Oregon/Washington (Portland) 47-MARKET AVERAGE CR ALL-MARKET AVERAGE OR 0 5 R JJ D B T? ** p E R R / AND UTILIZATION , ,556.0 FPOM im , , ,^S»r , ^. - s.sfly 51 ^ ^^^^a^^^^fe-^i.r^^^^^lr^'^ ( - 5.2JI 51 \ Sl^^^ _rf NA-Not Available I/ Names in parentheses are principal cities and pricing points of markets. Prices are 3.5 percent butterfat content per 100 pounds. 3/ Zone 1, Boston, Prices at mile zone, 50 cents less. 4/ New York City Metropolitan Area prices exclude a direct delivery differential of 15 cents. Prices at mile zone, 36 cents less. 5/ Prices exclude a 6 cent direct delivery differential applicable to milk delivered to Philadelphia. 6/ Prices exclude direct delivery differential applicable to milk delivered to Detroit of 10 cents. 7/ Blend price for Cleveland District plus 8 cents for Pittsburgh District plus 10 cents. 8/ Figures represent a combination of data for Central Arkansas and Fort Smith except for the producer blend prices. For Fort Smith these are: - $13.77; 19 - $ nr ) 57 OF , , , , , ,273 PRODUCER DATA , , , , , ,416 AVERAGE DAILY DELIVERY PER PRODUCER 1,4 2,167 1,895. 2,265 1,1 5,6 6,162 3,387 2,202 1,885 2,888 2,939 3,214 9,008 17,928 12,2 4,2 3,291 4,1 1,848 1,848 POUNDS 1,449 2,101 1,945 2,023 2,051 3,7 6,076 3,137 2,510 1,9. 2,494 3,146 2,8 8,452 16,3 11,7 4,185 3,313 4,030 1,7 1,7 PRICES AND BFAT. DIFF. BLEND PRICE DOLLARS $ r BFAT. DIFF. CENTS '
4 VAIM MARKET NEWS 1 HEEIC OF DECEMBER15-19-' 1 11 MILK PRODUCTION TO SET ANOTHER RECORD; DAIRY PRICES CONTINUE TO RISE M1lk production 1s expected to continue rising in 11, following a 3 1/2 percent gain this year to a record 128 billion pounds. With little change in fluid sales expected, milk available for manufacturing will also Increase. Even with more favorable demand conditions, USDA purchases of dairy products under the price support program will continue heavy during most of 11. The dairy herd increased in size this summer and fall since culling rates have been low and a relatively large number of heifers have been retained for replacements. Income conditions for dairying have been favorable relative to other farm enterprises and off-farm employment opportunities. Milk cow numbers are expected to remain slightly above year-earlier levels through most of 11. Output per cow has also Increased, up an average of about 3 percent for all of. Gains in output per cow are expected to moderate in 11. Feed prices sharply above a year earlier will more than offset increases in milk prices, and milk-feed price relationships in 11 will not be as favorable as they have been in recent years. This will likely slow gains 1n concentrate feeding rates which could hold gains 1n output per cow to about 2 percent. Therefore, 11 milk production gains should be up 1 to 3 percent the second record production year 1n a row. Commercial stocks of butter and cheese are adequate for trade needs, and with the large supply of milk for manufacturing it Is likely that wholesale butter and cheese prices this winter will remain near the support purchase price. However, these prices will advance next spring because of the April 1, 11, mandated Increase 1n milk support prices. Increases In farm milk and retail dairy product prices will follow. Wholesale prices of dairy products advanced 2.3 percent from August to October and were 9.3 percent above a year ago during October. Retail dairy product prices during October were 9.1 percent above a year earlier, while the all-food retail price index was up 10.2 percent. For 11, retail dairy prices are expected to be up 10 to 12 percent while the all-food retail Index 1s forecast to average, 10,to 15 percent higher. The manufacturing grade milk price 1n November, at $12. per 100 pounds, was 10 percent above year-ago levels. For all of, the manufacturing grade milk price will likely average $12.05 up 8.6 percent from 19. Meanwhile, the all-miik price for November, at $14.00 per 100 pounds, was about 8 1/2 percent above last year. The all-milk price will likely average near $13.04 for the entire year up 8.7 percent from 19.
5 -10- DAIRY MARKET NEW* - / V- WEEK OF DECEMBER In 11, farm milk prices will be affected by the April 1 support price Increase, the established support level for October 1, and supply and demand. The all-milk price for next year will likely be up 10 to 12 percent. Given the expected milk production and price ranges for 11, total cash receipts may rise 11 to 15 percent from the $16 1/3 billion expected for. Production of manufactured dairy products used 8.5 percent (850 million pounds) more milk during September- October than In 19. Butter production expanded by a fifth while output of both American cheese and other-than-amerlcan varieties were7.4 percent above year-earlier levels. On the strength of September sales, commercial disappearance of milk and dairy products during the July-September quarter was unchanged from a year ago. However, preliminary data Indicate that use during October was down 2.4 percent with butter off 12 percent and American cheese down 5.5 percent, while other-than-amerlcan cheese use was up 10.6 percent. Industry holdings of dairy products on November 1 were generally below year-earlier levels. However, commercial stocks of butter were up a tenth. On November 1, commercial stocks of milkfat and solids-not-fat were down 2 percent and 10 percent, respectively. Meanwhile, on December 1, Commodity Credit Corporation (CCC' uncommitted Inventories of butter wer<l274,mmion pounds, compared w1thj^5jn1h1on last year. American cheese inventories, at 184jnmion pounds, were up sharply from the 20 million pounds of a year ago. For the first 10 monthsof, U.S. dairy product Imports, on a milk equivalent basis, were 1 1/2 billion pounds, 9 percent below a year ago. However, these Imports picked up substantially during September-October. Of quota Import Hems, cheese, chocolate crumb, and dried buttermilk and whey were up sharply 1n September- October, while butter, ice cream, and frozen cream were lower. World milk production for 11 will likely be slightly larger than. Stocks of dairy products will increase since worldwide production may grow more than consumption. Copies of the Dairy Situation, DS-383. will be available in a week to 10 days. For further information, contact Cliff Carman, (202)
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