Fluid Milk and Cream — Western U.S.
California milk production is increasing slightly month over month and following typical seasonal patterns. Handlers report good balance between dairy processor needs and current milk supply volumes. Class I and II orders are steady.
Milk output is level in Arizona. Bottling demand is steady, and Class II and III sales are steady to stronger.
New Mexico milk production is unchanged. Bottling orders are steady. Class III demand is strong.
Farm level milk output is lower throughout the Pacific Northwest. Tighter milk supplies and labor shortages have resulted in abbreviated operating schedules at some dairy processing facilities. Demand is steady for Class I, II and III milk.
Across the mountain states of Idaho, Utah and Colorado, milk production is level. Bottling demand is flat. Cheesemaking is active, and Class III orders are strong. Some contracted condensed skim milk customers have requested a few extra loads, but contracts and overall demand are steady otherwise.
Cream supplies are reportedly meeting Western dairy manufacturing needs. Heading into the holiday season, butter makers are busy fulfilling healthy retail orders and production of dips and whips has increased. Western cream multiples are steady.