Market News

Cheese continues to decline

Cash cheese barrels slipped another 1.5 cents on the Chicago Mercantile Exchange on Tuesday. Blocks held steady but butter lost 3 cents and nonfat dry milk declined 2.25 cents per pound.  Class III futures for January lost 14 cents, February fell 25 cents.

The continued decline in cash cheese prices has buyers being cautious: no one wants to buy if the price may be lower tomorrow. Class I demand has slowed as schools will be closed for a few days for Thanksgiving; that makes more milk available for the already busy cheese plants.  But here again, cheese makers do not want to build inventory at a time of declining prices.  The National Dairy Retail Report shows prices are lower than they were two weeks ago.

 

Cooperatives Working Together (CWT) has accepted 2 requests for export assistance from Dairy Farmers of America and Tillamook County Creamery Association to sell 47,179 pounds of Cheddar cheese in Asia and the Middle East. The product will be delivered December 2014.

Year-to-date, CWT has assisted member cooperatives in selling 99.150 million pounds of cheese, 53.591 million pounds of butter and 56.729 million pounds of whole milk powder to 45 countries on six continents.