Fluid Milk and Cream — Western U.S.
California milk production is unchanged this week. Bottling demand is steady to higher as contacts note strong retail demand. Class II demand is declining as some producers prepare for lighter year-end production schedules.
Farm level milk production is picking up in Arizona. Milk inventories are available to meet production demand. Class I demand is unchanged. Demand for Class II and III milk is strong in the state.
Despite cooler weather, farm level milk production is steady in New Mexico. Class I demand is trending higher, while Class II demand is flat. Staffing shortages and delayed deliveries of production supplies are, reportedly, causing some Southwestern processing plants to run shortened schedules. Contacts report a few missed orders recently at Southwestern cheese plants, however, balancing plants have been able to absorb those milk loads.
Pacific Northwest milk production has declined this week. Contacts report that heavy rain and flooding in some areas has decreased cow comfort, contributing to reduced farm level milk production. In recent weeks, similar weather has been reported in Canada, causing some stakeholders to send milk north to meet market demands. Demand for milk across all classes is steady.
Milk production in the mountain states of Idaho, Utah and Colorado is steady to higher. Contacts report increased spot availability of milk in Idaho. Class I demand is strong. Condensed skim contracts are steady in the West. Strong demand for cream is present. Cream is available to meet current market demands, contacts say that some purchasers in other regions are looking to the West for loads to meet strong year-end holiday demand.