Milk production has slowed, the butter market is tight and cheese production is trending lower. Read the USDA’s Dairy Market News for the week of July 14 to 18. The following are excerpts from the complete report:

Milk production has slowed across much of the country. The combination of hot weather and typical seasonal declines is slowing availability of manufacturing milk. In the Midwest, cooler weather is expected to keep milk volumes closer to steady. Spot loads of milk are available, but are becoming harder to source. Class I demand is sluggish, but negotiations for the new school year are beginning in various parts of the country. Cream demand remains good with ice cream, frozen novelties and cream cheese plants working steady to slower schedules. Some butter/powder plants continue to sell cream at favorable prices. Sales of condensed skim are being made to various Class III manufacturers and are helping to alleviate pressure on drying plants.