MD_DA230

     Fluid Milk and Cream - Central U.S.

     Report 38 - Released on September 23, 2021

     Farmers in the upper Midwest are filling silos with corn silage. Some report this year's hay
     crop is not overly abundant, but adequate and of high quality. Others have said they are
     seeing record amounts of hay this year. Soybeans are dropping leaves as harvest nears. The
     onset of fall has brought an increase in milk output, as late summer weather was optimally
     cool. Farmers report components are very hearty, potentially due to feed
     quality/arrangements. Cheese plant managers scheduled some downtime this weekend, therefore
     milk handlers had a little extra work in dispersing milk loads. Cheesemakers also paid a
     little less for some spots, as the range was $.25 under to $.75 over Class III. Last year,
     during week 38, milk prices were $2 under to $1.50 over Class, while 2019 prices ranged
     from $.25 to $1.50 over Class. Cream availability remains mixed from one half of the week to
     the next, but generally it is moving out of financial reach for butter producers. Cream
     demand is mixed from both butter producers and Class II producers. With cooler weather,
     there could be some more accessible cream loads upcoming. Trucking issues remain a nagging
     issue, particularly in the Northeastern portion of the Midwest. Cream buyers say receiving
     cream loads is growing in inconsistency weekly.

     Price Range - Class III Milk; $/CWT; Spot Basis:   -.25 –.75
     Trade Activity: Slow


     Midwestern U.S., F.O.B. Cream
     Multiples Range - All Classes:               1.2400 - 1.4200
     Price Range - Class II; $/LB Butterfat:      2.3859 - 2.5667
     Multiples Range - Class II:                  1.3200 - 1.4200


     Information for the period September 20 - 24, 2021, issued weekly

     Secondary Sourced Information:

     The NASS Milk Production report noted August 2021 milk production in the 24 selected states
     was 18.0 billion pounds, 1.1 percent above a year ago. Milk cows in the 24 selected states
     totaled 9.0 million head, 112,000 head more than a year ago. The following table shows the
     24 states included in the report and the monthly milk production and percent changes
     compared to a year ago:

     August 2021 Milk Production, (USDA-NASS)

                (Million Lb.)       % Change From
                                      1 Year Ago

     Illinois            141           - 1.4
     Indiana             388           + 4.3
     Iowa                463           + 2.7
     Kansas              341           + 0.6
     Michigan          1,032           + 3.9
     Minnesota           890           + 2.3
     Ohio                484           + 2.1
     South Dakota        316           +16.2
     Texas             1,272           + 3.2
     Wisconsin         2,684           + 2.6

     Published by:
     Dairy Market News - Madison, WI
     ISRAEL WEBER, 608-422-8601
     Email: israel.weber@usda.gov

     Additional Dairy Market News Information:
     Dairy Market News (DMN) by Phone: (608)422-8602
     DMN Website: https://www.ams.usda.gov/market-news/dairy
     DMN MARS (My Market News): https://mymarketnews.ams.usda.gov