UPPER MIDWEST DAIRY NEWS

Transcription

1 Federal Milk Market Administrator U.S. Department of Agriculture UPPER MIDWEST DAIRY NEWS H. Paul Kyburz, Market Administrator Volume 11, Issue 5 Upper Midwest Marketing Area, Federal Order No. 30 May 2010 Inside This Issue: Computation of Producer Price Differential... 4 Utilization and Classification... 5 Commodity Prices and Market Statistics... 6 Class Prices and Producer Prices... 7 USDA Issues Final Rule Amending the Orders The U.S. Department of Agriculture recently issued a final rule amending all Federal milk orders, including the Upper Midwest Order, effective June 1. The final rule amends the producer-handler definition to limit exemption from pooling and pricing provisions to those with total route disposition and sales of packaged fluid milk products to other plants of three million pounds or less per month. The exempt plant definition will continue to limit disposition of Class I milk products to 150,000 pounds or less per month. A referendum was held, and the required number of producers approved the issuance of the orders as amended. For further information about the final rule, please contact: Gino M. Tosi or Jack Rower Senior Marketing Specialists Order Formulation and Enforcement USDA/AMS/Dairy Programs STOP 0231-Room Independence Avenue, SW Washington, DC Telephone: (202) addresses: gino.tosi@ams.usda.gov and jack.rower@ams.usda.gov. Upper Midwest Order--Sources of Producer Milk Producer Milk by State During December 2009, 68% of producer milk was received from Wisconsin, with 23% from Minnesota (See Table 1 on Page 2). The remaining producer milk, about 9%, was primarily received from Illinois, Iowa, and North and South Dakota. In addition, a small quantity of milk was pooled on the order from each of the states of Idaho, Indiana, Michigan, Missouri, and Nebraska. Producer milk in December 2009 totaled 2.7 billion pounds, up 377 million pounds from the previous year. In December 2009, producer milk was received from Nebraska, but not in December of either 2008 or 2007, Continued on Page 2 In April, producer milk totaled 2.88 billion pounds, down 72 million pounds from March, but 81 million pounds above April Class I utilization totaled 367 million pounds, down 1.2% from March on a daily basis. Class I usage accounted for 12.8% of producer milk. Class III utilization totaled 2.4 billion Pool Summary pounds and accounted for 84.4% of producer milk. The April Producer Price Differential (PPD) was 0.36 per cwt. The Statistical Uniform Price was per cwt., down 0.04 from March, but 2.30 above April Market statistics for April are shown on Pages 4 and 5. April 2010 Producer Milk by Class Product Percent Pounds Price /cwt. Class I ,330, Class II ,315, Class III ,425,172, Class IV ,620, Total 2,874,438,553

2 Page 2 UPPER MIDWEST DAIRY NEWS Volume 11, Issue 5 Table 1 Producer Milk by State, December 2009 Producer Milk Counties from Number of Million Percent of Market - December Which Received Producers Pounds Wisconsin 1/ 70 9,958 1, Minnesota 80 3, Iowa South Dakota Illinois North Dakota Nebraska 2 R R R 0 0 Michigan Indiana * 0 Idaho * * * Missouri * * 0 Montana * Market ** ,506 2, / Wisconsin data includes data for states which are restricted. R = Restricted, included with Wisconsin data. * Less than 0.05%. ** Revised from previously published data. Some totals do not add due to rounding. Continued from Page 1 while no producer milk was received from Montana in December of 2009 or 2008 after having producer milk in December of Upper Midwest Marketing Area and December 2009 Procurement Area North Dakota Minnesota The number of counties from which producer milk was received, the number of producers, and pounds of producer milk represented by each state in December 2009 are shown in Table 1 above. In addition, the percentage of producer milk represented by each state is shown for December of 2009, 2008, and Idaho South Dakota Nebraska Wisconsin Iowa Illinois Missouri Indiana Michigan The map to the right depicts the states and counties from which producer milk was received in December Marketing Area Procurement Area

3 Volume 11, Issue 5 UPPER MIDWEST DAIRY NEWS Page 3 Producer Milk for 15 Top Counties The 15 top counties from which producer milk was received in December 2009 are shown in Table 2 below, along with the number of producers and pounds of producer milk represented by each county. The rank, number of producers and pounds of producer milk for those same counties for December 2008 are also shown. Wisconsin has 13 of the top 15 counties in December 2009, and Minnesota has the other two. The makeup of the top 15 counties in December 2009 was slightly different from a year earlier. The county ranked 10th in 2009, Grant, Wisconsin, was 16th in 2008, pushing Chippewa County, Wisconsin, ranked 15th in 2008, out of the top 15 in There also was some shifting among the counties that remained in the top 15 in both years. For example, Dane and Fond du Lac Counties switched places between 2008 and 2009, as did Clark and Brown Counties. The top 15 counties supplied 40% of total producer milk on the order in December 2009, and accounted for 34% of the producers. A complete list of producer milk by state and county for December 2008 and December 2009 is available on our website at: fo30_data.html. Table 2 15 Top Counties in Deliveries of Producer Milk * December 2009 December 2008 Number of Producer Number of Producer County State Rank Producers Milk Rank Producers Milk (Mil. Lbs.) (Mil. Lbs.) Stearns MN Manitowoc WI Dane WI Fond du Lac WI Clark WI Marathon WI Brown WI Kewaunee WI Dodge WI Grant WI Outagamie WI Shawano WI Calumet WI Sheboygan WI Winona MN Total ** 4,996 1,068 4, Market 14,506 2,696 13,807 2,319 Percentage of Market * Revised from previously published data. ** Producer milk totals may not add due to rounding.

4 Page 4 UPPER MIDWEST DAIRY NEWS Volume 11, Issue 5 Computation of Producer Price Differential-April 2010 Utilization Product Component Percentage Pounds Pounds Rate Value Class I Differential Value 6,387, Product 12.8% 367,330,981 Skim Milk 362,122, ,657, Butterfat 5,208, ,905, Class II Product 2.0% 57,315,015 Nonfat Solids 4,505, ,265, Butterfat 7,702, ,233, Class III Product 84.4% 2,425,172,494 Protein 72,739, ,019, Other Solids 140,080, ,841, Butterfat 86,290, ,450, Class IV Product 0.8% 24,620,063 Nonfat Solids 1,741, ,643, Butterfat 5,491, ,683, SCC Adjustment (Class II, III, and IV) 1,805, Total Producer Milk 2,874,438, ,894, Add: Overage 36, Inventory Reclassified 26, Other Source Milk.60(h) 0.00 Other Source Milk.60(i) ` 1,014,796 19, Subtract: Transportation Credit 43, Assembly Credit 292, Credit for Reconstituted FMP 0.00 Producer Milk Protein 184,593, Producer Milk Other Solids 28,220, Producer Milk Butterfat 165,549, Producer Milk SCC Adjustment 2,088, Total Milk and Value 2,875,453,349 8,187, Add: Location Adjustment -- Producer and Unregulated Supply Plant Milk 2,209, One-Half Unobligated Balance Producer Settlement Fund 1,193, Total Value ,590, Subtract: Producer Settlement Fund Reserve ,239, Producer Price Differential ** ,351, * An estimated 132 million pounds of milk was not pooled. ** Producer Price Differential is dollars per cwt. at the Base Zone of Cook County, Illinois. Upper Midwest Pool Statistics - April 2010 Market Class I Diverted to Location Differential Pool Received at Pool and Adjustment to Class I Differential Rate Plants Pool Plants Nonpool Plants Total Producers to Handlers Cwt. Number Pounds Pounds Pounds Value Pounds Value ,869,317 32,658, ,527, ,350,843 1,446, ,831,246 1,048,836,204 1,213,667, , ,559,003 2,564, ,497,248 1,245,774,615 1,450,271,863 1,450, ,815,779 2,036, ,937,863 76,034,025 99,971, ,958 20,605, ,988 Total ,135,674 2,403,302,879 2,874,438,553 2,207, ,330,981 6,387,954

5 Volume 11, Issue 5 UPPER MIDWEST DAIRY NEWS Page 5 Utilization and Classification of Milk April 2010 March 2010 April 2009 Product Butterfat Product Product Pounds Pounds Pounds Pounds Class I Utilization: Packaged Disposition Milk 47,153,204 1,499,314 51,235,098 50,821,937 Flavored Milk 3,360, ,443 3,012,538 4,106,853 Reduced Fat Milk 130,204,912 2,527, ,569, ,134,232 Lowfat Milk 57,531, ,429 56,630,038 51,414,237 Fat Free Milk 88,206,538 88,061 88,973,845 87,374,216 Flavored Reduced and Fat Free Milk 37,420, ,141 35,912,452 33,462,914 Buttermilk 2,688,615 26,766 2,963,421 2,658,261 Total Packaged Disposition 366,565,009 5,092, ,296, ,972,650 Total Ending Inventory 34,815, ,055 32,349,711 34,861,596 Bulk to Nonpool Plants 1,377,886 26,536 1,931, ,443 Shrinkage 1,907, ,599 1,614,794 1,451,935 Total Class I Utilization 404,665,221 5,745, ,192, ,719,624 Other Order Plants (3,897,682) (67,362) (3,811,037) (3,829,521) Beginning Inventory (32,349,711) (468,871) (31,006,054) (32,094,385) Reused Products Other Source Milk (1,140,371) (1,927) (160,958) (441,521) Overage Interhandler Adjustment 53, ,840 (192,769) Class I Producer Milk 367,330,981 5,208, ,317, ,161,428 Class II Utilization: Total Class II Utilization 69,379,608 7,972,891 72,089, ,204,429 Other Order Plants (673,680) (50,875) Beginning Inventory (4,321,332) (128,284) (3,751,635) (2,502,440) Reused Products (6,727,081) (13,231) (9,541,986) (13,397,511) Other Source Milk (342,500) (78,470) 0 (212,499) Overage Class II Producer Milk 57,315,015 7,702,031 58,796, ,091,979 Class III Utilization: Total Class III Utilization 2,437,168,280 86,436,180 2,462,539,443 2,243,571,224 Other Order Plants (3,037,865) 0 (3,259,499) -- Beginning Inventory (7,744,161) (62,021) (7,688,812) (1,804,142) Reused Products Other Source Milk (1,178,533) (83,038) (844,000) (2,402,039) Overage (35,227) (817) (51,923) (105,285) Class III Producer Milk 2,425,172,494 86,290,304 2,450,695,209 2,239,259,758 Class IV Utilization: Total Class IV Utilization 56,266,976 7,273, ,536, ,893,069 Other Order Plants (2,965,884) (185,981) (5,261,121) (1,006,154) Beginning Inventory (9,936,189) (870,301) (17,059,587) (19,090,279) Reused Products Other Source Milk (18,715,857) (716,344) (38,032,515) (26,478,733) Overage (28,983) (9,012) (12,675) (22,373) Class IV Producer Milk 24,620,063 5,491,521 52,170,777 61,295,530 Total Producer Milk -- All Classes 2,874,438, ,692,316 2,945,979,261 2,793,808, Restricted Information

6 Page 6 UPPER MIDWEST DAIRY NEWS Volume 11, Issue 5 Commodity Prices Weighted Monthly Average NASS Prices * Weighted Two-Week Average NASS Prices * Cheddar Cheese Nonfat Cheddar Cheese Nonfat Month/Year Blocks Barrels Average Butter Dry Milk Dry Whey Blocks Barrels Average Butter Dry Milk Dry Whey Dollars per Pound Dollars per Pound Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr Chicago Mercantile Exchange Butter Cheddar Cheese Nonfat Dry Milk (Low/Medium Heat) Whey Powder Month/Year Grade AA Blocks Barrels Central & East West Central West Dollars per Pound Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr Market Statistics Total Est. Average Other Weighted Distributing Supply Coop.9(c) Producer Daily Delivery Class I Butterfat Protein Solids Average Month/Year Plants Plants Handlers Producers Milk Per Producer Utilization Test Test Test SCC Mil. lbs. Pounds Percent Percent Percent Percent (000) Apr ,364 2,794 5, May ,463 2,885 5, Jun ,330 2,759 5, Jul ,529 2,918 6, Aug ,767 2,649 5, Sep ,961 2,395 5, Oct ,390 2,751 5, Nov ,169 2,422 5, Dec ,506 2,699 5, Jan ,400 2,880 6, Feb ,397 2,642 6, Mar , Apr , * NASS = National Agricultural Statistics Service, USDA.

7 Volume 11, Issue 5 UPPER MIDWEST DAIRY NEWS Page 7 Class Prices Class I Price Mover Class I Price at Cook County, IL Class II Price Skim Skim Nonfat Skim Month/Year Butterfat Milk 3.50% Butterfat Milk 3.50% Butterfat Solids Milk 3.50% lb. cwt. cwt. lb. cwt. cwt. lb. lb. cwt. cwt. Apr May June Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Class III Price Class IV Price Other Skim Nonfat Skim Month/Year Butterfat Protein Solids Milk 3.50% Butterfat Solids Milk 3.50% lb. lb. lb. cwt. cwt. lb. lb. cwt. cwt. Apr (0.0043) May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr Producer Prices Producer Statistical SCC Producer Price Uniform Price Other Solids Adjustment Mailbox Price Month/Year Differential (at 3.50%) Butterfat Price Protein Price Price Rate (at test) per cwt. per cwt. per lb. per lb. per lb. per cwt. per cwt. Feb (0.0437) Mar (0.0339) Apr (0.0043) May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr

8 FEDERAL MILK MARKET ADMINISTRATOR U.S. DEPARTMENT OF AGRICULTURE 1600 W. 82nd St., Suite 200 Minneapolis, MN Address Service Requested FIRST-CLASS MAIL U.S. POSTAGE PAID HOPKINS, MN PERMIT NO. 586 Summary of Federal Order Data - April 2010 Uniform or Statistical Uniform Price at 3.5% Butterfat Class I Producer FOB Change From Federal Order Producer Producer Class I Class I Price FOB Cook Cty. Previous Number / Name Deliveries Receipts Utilization Price Differential Market Illinois Year Thousand Pounds Percent Dollars per Cwt. Dollars per Cwt. 1 Northeast 2,084, , Appalachian 529, , n/a Florida 242, , n/a Southeast 640, , n/a Upper Midwest 2,874, , Central 1,047, , Mideast 1,453, , Pacific Northwest 658, , Southwest 945, , Arizona 374, , n/a All Market Average or Total * 10,851,179 3,765, n/a = Not applicable. * May not add due to rounding. The U.S. Department of Agriculture (USDA) prohibits discrimination in all its programs and activities on the basis of race, color, national origin, age, disability, and where applicable, sex, marital status, familial status, parental status, religion, sexual orientation, genetic information, political beliefs, reprisal, or because all or part of an individual's income is derived from any public assistance program. (Not all prohibited bases apply to all programs.) Persons with disabilities who require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact USDA's TARGET Center at (202) (voice and TDD). To file a complaint of discrimination, write to USDA, Director, Office of Civil Rights, 1400 Independence Avenue, S.W., Washington, D.C , or call (800) (voice) or (202) (TDD). USDA is an equal opportunity provider and employer. ND MI Upper Midwest Marketing Area F.O. 30 SD MN WI Phone: (952) Fax: (952) Website: IA IL

9 Upper Midwest Marketing Area Pool Plants -- December 2009 Distributing Plants Supply Plants Supply Plants Producer-Handlers (a) or.7(b) * or.7(e) (c) (continued) Associated Milk Producers - Fargo ND Cass 1.65 Arla Foods Production WI Brown 1.75 Nasonville Dairy WI Wood 1.70 Blackstar Dairy MN Beltrami 1.65 Dean Foods - Chemung IL McHenry 1.80 Associated Milk Producers - Blair WI Trempealeau 1.70 NFO - Fond du Lac WI Fond du Lac 1.75 Kappers Big Red Barn MN Fillmore 1.70 Dean Foods - Huntley IL McHenry 1.80 Associated Milk Producers - Jim Falls WI Chippewa 1.70 North Hendren WI Clark 1.70 Sassy Cow Creamery WI Columbia 1.75 Dean Foods - Richland Center * WI Richland 1.75 Associated Milk Producers - New Salem ND Morton 1.65 Park Cheese WI Fond du Lac 1.75 Tetzner Dairy WI Bayfield 1.70 Dean Foods - Rockford IL Winnebago 1.75 Associated Milk Producers - Paynesville MN Stearns 1.70 Plainview Milk Products MN Wabasha 1.70 Weber s Farm Store WI Wood 1.70 Dean Foods North Central - Thief Baker Cheese WI Fond du Lac 1.75 Rolling Hills Dairy Producers WI Green 1.75 River Falls MN Pennington 1.65 BelGioioso Cheese - Pulaski WI Brown 1.75 Rosewood Dairy WI Door 1.75 Dean Foods North Central - Woodbury MN Washington 1.70 Dean Foods of Wisconsin - DePere WI Brown 1.75 Bongards' Creameries - Perham MN Otter Tail 1.65 Cedar Grove Cheese WI Sauk 1.75 Saputo Cheese USA - Black Creek WI Outagamie 1.75 Sartori Food - Antigo WI Langlade 1.70 Exempt Plants Dean Foods of Wisconsin - Waukesha WI Waukesha 1.75 East Side Jersey Dairy - Dubuque IA Dubuque 1.75 Cedar Valley Cheese WI Ozaukee 1.75 Chula Vista Cheese WI LaFayette 1.75 Sartori Food - Plymouth WI Sheboygan 1.75 Scenic Central Milk - South Wayne WI LaFayette (e) Franklin Foods MN St. Louis 1.65 Hastings Cooperative Creamery MN Dakota 1.70 Kemps - Cedarburg WI Ozaukee 1.75 Cooperative Regions of Organic Producer Pools WI Vernon 1.75 Dairy Farmers of America - Fond du Lac WI Fond du Lac 1.75 Stockton Cheese IL Jo Daviess 1.75 Swiss Valley Farms - Platteville WI Grant 1.75 Trega Foods - Little Chute WI Outagamie 1.75 Kemps - Farmington MN Dakota 1.70 Kemps - Minneapolis MN Hennepin 1.70 Kemps - Rochester MN Olmsted 1.70 Kohler Mix Specialties * MN Ramsey 1.70 Kwik Trip WI La Crosse 1.70 Lamers Dairy WI Outagamie 1.75 Lifeway Foods - Morton Grove IL Cook 1.80 Muller Pinehurst Dairy IL Winnebago 1.75 Oberweis Dairy IL Kane 1.80 Pride of Main Street Dairy MN Stearns 1.70 Dairy Marketing Services - Janesville WI Rock 1.75 Eau Galle Cheese Factory WI Pepin 1.70 Ellsworth Cooperative Creamery WI Pierce 1.70 Family Dairies USA WI Washington 1.75 Farmers All Natural Creamery IA Washington 1.80 First District Association MN Meeker 1.70 Foremost Farms USA - Alma Center WI Jackson 1.70 Foremost Farms USA - Elkhorn WI Walworth 1.75 Foremost Farms USA - Reedsburg WI Sauk 1.75 Foremost Farms USA - Wilson WI St. Croix 1.70 Trega Foods - Weyauwega WI Waupaca 1.75 Westby Cooperative Creamery WI Vernon 1.75 Wisconsin Dairy State Cheese WI Wood 1.70 Zimmerman Cheese WI LaFayette 1.75 Partially Regulated Distributing Plants (c) Autumnwood Farm MN Washington 1.70 Castle Rock Organic Dairy WI Trempealeau 1.70 Cedar Summit Dairy MN Scott 1.70 Concept Processing MN Stearns 1.70 Crystal Ball Farms WI Polk 1.70 Dahl s Sunrise Dairy MN St. Louis 1.65 Gehl Foods WI Washington 1.75 Ludwig Dairy Products IL Lee 1.80 LW Dairy WI Dodge 1.75 Schroeder Milk MN Ramsey 1.70 Grande Milk - Darlington WI LaFayette 1.75 Verifine Dairy Products WI Sheboygan 1.75 Grassland Dairy Products (Fairground) WI Clark 1.70 Grassland Dairy Products (Main St) WI Clark 1.70 Klondike Cheese WI Green 1.75 Kolb-Lena Bresse Bleu IL Stephenson 1.75 LaGrander s Hillside Dairy WI Clark 1.70 Land O Lakes - Caledonia MN Houston 1.70 Land O Lakes - Kiel WI Calumet 1.75 Lynn Dairy WI Clark 1.70 Melrose Dairy Proteins MN Stearns 1.70 Mid-West Dairymen's IL Winnebago 1.75 Mullins Cheese - Marshfield WI Marathon 1.70 Mullins Cheese - Mosinee WI Marathon 1.70 C. F. Burger Creamery - Detroit MI Wayne 1.80 Cacique CA Los Angeles 2.10 Dannon Company - Minster OH Auglaize 2.00 Darigold - Boise ID Ada 1.60 Dean Foods North Central - Bismarck ND Burleigh 1.65 Gossner Foods - Logan UT Salt Lake 1.90 Cooperative Associations Acting as Handlers (c) or ** Associated Milk Producers Foremost Farms USA Bongards' Creameries Land O Lakes Dairy Farmers of America NFO Dairy Marketing Services ** Plainview Milk Products Ellsworth Cooperative Creamery Scenic Central Milk Producers First District Association Swiss Valley Farms

10 Ñ r Ñ Walworth North Dakota McPherson Edmunds Cavalier Pembina Kittson Roseau Lake Walsh Marshall Woods of the Ramsey Beltrami Koochiching Nelson Pennington Grand Forks Lake Polk Lake Red Griggs Steele Traill r Norman Itasca St. Louis Barnes Cass Cass Clay Becker Aitkin Otter Tail Carlton La Moure Ransom Wilkin Crow Wing Dickey Sargent Richland Todd Pine Roberts Grant Douglas Morrison Marshall Brown Traverse Stevens Pope Day Stearns Benton Isanti Grant Swift Anoka Wright Chippewa Meeker McLeod Dunn Yellow Medicine Renville Pierce Sibley Scott Dakota Lyon Redwood Rice Goodhue Brown Nicollet Wabasha Murray Earth Blue r Worth Mitchell Howard South Dakota Plant Type Distributing Supply Partially Regulated Distributing (PRDP) Producer Handler Exempt Big Stone Lac Qui Parle Mahnomen Clearwater Hubbard Wadena Kandiyohi Watonwan Cottonwood Jackson Minnesota Martin Kossuth Kanabec Mille Lacs Sherburne Carver Faribault Hennepin Le Sueur Steele Dodge Waseca Winnebago Freeborn The following PRDPs not shown: Chisago Ramsey Washington r r Cook Ontonagon Douglas Bayfield Ashland Iron Iron Sawyer Price Vilas Oneida Forest Barron Rusk Chippewa Taylor Lincoln Langlade Clark Eau Claire Buffalo Olmsted Winona Adams Monroe Mower Fillmore Houston Juneau Iowa C. Cacique, F. Burger City Creamery, of Industry, Detroit, California Michigan Dannon Darigold, Company, Boise, Idaho Minster, Ohio Gossner Foods, Logan, Utah Upper Midwest Marketing Area December 2009 Pool Plants Burnett Polk St. Croix Washburn Pepin Winneshiek Trempealeau La Crosse Wisconsin Jackson Vernon Richland r Gogebic Wood Iowa Marathon Shawano Portage Waushara Green Lake Du Fond Lac Sauk Columbia Lafayette Green Outagamie Waupaca Dane Ogle Du Page Jo Daviess Carroll Marquette Lee Menominee Jefferson Rock Stephenson Winnebago Florence Winnebago Dodge Boone De Kalb Marinette Walworth Oconto Illinois Michigan Dickinson Calumet Kane Menominee Manitowoc Washington Racine Kenosha McHenry Kendall Kewaunee Brown Waukesha Sheboygan Ozaukee Milwaukee Door Lake Cook Will Delta