Churn, baby, churn
The butter truth: churns are active in the Midwest, quiet in the Northeast and West
In the Northeast, some manufacturers point out reductions in churning.
The following is excerpted from the USDA’s Dairy Market News for the week of May 29 to June 2, 2017. Read the full report, including what’s happening with cheese, fluid milk and ingredients.
Cream supplies are plentiful, keeping butter churns active around the United States. In the Central, producers are planning to pack away butter for the late summer and early fall. However, in the Northeast, some manufacturers point out reductions in churning. And in the West, butter makers are holding back on production schedules when they can.
Butter inventories are comfortable
Butter inventories are comfortable, but in some secondary markets, butter supplies are tight. Retail demand is fairly strong. In the Northeast, print butter sales are steady as a number of stores boost promotions and features. In the Central, retail and food service demand continues to be strong as butter makers report increased sales week over week.
In the West, a few industry contacts describe demand to be better than expected for this time of year, and some end users are eager to gain coverage of late year butter needs.
Prices of Grade AA butter closed up this week
Bulk butter prices range 4 cents below to 7 cents over the market. The market undertone is steady. Friday’s CME Group cash trading saw Grade AA butter close at $2.4850, up $0.1250 from last Friday
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