Butter - Central
USDA - Wed Oct 10, 3:11PM CDT
MD_DA431

     Butter - Central U.S.

     Report 41 - Released on October 10, 2018

     Cream reports are indicative of continued tightness for butter makers as churns remain
     somewhat quiet. Milk volumes, and notably component levels, are lower than expected for
     early fall. Butter sales remain healthy, a constant throughout most of 2018. Plant managers
     relay customers are beginning to chip away at their fall stocks, those produced in the
     spring and throughout the earlier part of the year. Butter analysts are mixed on the near-
     term market outlook. Some suggest if weakness is to occur this year, it will be towards
     November and December as short-term futures markets are not bearish. Others suggested that
     butter could see a bullish push this fall. This is a trend butter markets did not experience
     in 2017.
     Prices for: Central U.S., All First Sales, F.O.B., Grade AA, Conventional, and Edible Butter

     Bulk Basis Pricing  - 80% Butterfat $/LB:              +0.0200 - +0.0700

     Information for the period October 8 - 12, 2018, issued weekly

     Secondary Sourced Information:

     2018 U.S. Butter and Milkfat Imports (USDA-FAS)
     (Imports for Consumption)

                                                2018 Imports      % Change From
                                                (Million Lb.)       1 Year Ago

     August Imports
       Total Butter, Fats, Milk (H.S. Code 0405)    12.1             + 48
       Butter
        Quota (H.S. Code 405101000)                  1.1             - 56
        Over Quota (H.S. Code 405102000)             7.3             +114
       AMF
        Quota (H.S. Code 405901020)                  0.4             - 24
        Over Quota (H.S. Code 405902020)             1.4             + 19
       Other Milk Fat                                1.9            +2252

                                                2018 Imports      % Change From
                                                (Million Lb.)       1 Year Ago

     TOTAL, JAN - AUG                               70.8             + 32
      1 Ireland                                     36.3             + 28
      2 Mexico                                      14.4             + 53
      3 India                                        8.1             +902
      4 New Zealand                                  3.9             - 27
      5 France                                       3.3             + 21

     2018 U.S. Butter and Milkfat Exports (USDA-FAS)

                      2018 Exports      % Change From
                      (Million Lb.)       1 Year Ago

     August                9.3             + 50

     TOTAL, JAN - AUG     64.5             + 63
      1 Canada            22.1             + 23
      2 Mexico            18.8             +264
      3 Saudi Arabia       3.5             + 50
      4 Denmark            3.2             +324
      5 Honduras           2.7            +8347
     Published by:
     Dairy Market News - Madison, WI
     ISRAEL WEBER, 608-422-8601
     Email: israel.weber@ams.usda.gov

     Additional Dairy Market News Information:
     Dairy Market News (DMN) by Phone: (608)422-8602
     DMN Website: http://www.ams.usda.gov/market-news/dairy
     DMN Database Portal: http://www.marketnews.usda.gov/mnp/da-home