Fluid Milk and Cream — Western U.S.
March 16
In California, farm level milk output is steady. Stakeholders report current March milk production is up from last month, but also below forecast levels. Milk volumes are available throughout the state. Processing capacity tightened with the snow in northern California and some regional flooding causing transportation delays and unplanned downtime at processing facilities.
Contacts note spot load purchases and sales at below Class prices. Class I demand is lighter with educational institutions approaching their scheduled spring breaks. Demand for all other Classes continues to be steady.
According to the California Department of Water Resources, as of March 14, 2023, the state has gotten 25.98 inches of precipitation for the current 2022-23 Water Year, up 8.02 inches from the historic average. According to the Department of Water Resources, as of March 15, 2023, the estimated total statewide reservoir storage was 25.70 million acre-feet, which is 102% of the historic average for the month.
Farm level milk output is steady in Arizona. Temperatures in the state reached the low 80s this week. Available milk volumes for bottling and other production needs are ample throughout the state. With spring breaks for educational facilities approaching, Class I demand has lightened. Demand for all other Classes is unchanged.
In New Mexico, farm level milk output is steady. Throughout the state milk volumes are ample for processing needs. Demand for Class I is lighter with approaching spring breaks for educational facilities. Demand for all other Classes remains steady.
Farm level milk output remains steady in the Pacific Northwest with continued favorable cow comfort weather. Stakeholders report production is higher than forecasted levels. Ample milk volumes continue to be available throughout the area for bottling and other production facilities. Contacts note spot load purchases and sales at below Class prices. Demand is steady for all Classes.
In the mountain states of Idaho, Utah and Colorado, farm level output is steady. Milk volumes available throughout the area for processing are ample. Demand for Class I is lighter with approaching spring breaks for educational facilities. Demand for all other Classes remains steady. Demand for condensed skim demand is steady.
Contract sales are steady, but spot market activity stays lighter. Condensed skim milk availability is mixed. Some stakeholders report balanced volumes, while others report tighter volumes with weather conditions causing unplanned downtime at processing facilities.
Cream volumes are plentiful and keeping production schedules strong. Cream multiplies moved up to a flat market on the bottom end this week.
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