MD_DA840 Cheese - Western U.S. Report 12 - Released on March 20, 2019 Western cheese demand is steady in domestic channels and some export markets. Manufacturers say there is little push back on contract shipments. However, new business has been slow to develop. Cheese prices are supported, and the gap between barrels and blocks is narrowing. Heavy cheese inventories currently do not seem to be a major concern for processors. Demand appears to be able to keep pace with production. Cheesemakers are hopeful that the various spring basketball tournaments pull large amounts of mozzarella on pizza, and favorable spring weather launches the grilling season in earnest. Manufacturers say they are running near full capacity and milk intakes are climbing. In some parts of the region, spring flush is at hand. National Retail Report Dairy ± Cheese Summary Advertised Prices at Major Retail Supermarket Outlets ending during the period of 3/15/2019 to 3/21/2019 Cheese 8 oz. Blocks Weighted Average Price National This Period Last Week Last Year Organic n.a. n.a. n.a. Conventional $2.06 $2.33 $2.26 Regional (Conventional) Wtd. Ave. Low High Alaska n.a. n.a. n.a. Hawaii n.a. n.a. n.a. Northwest $2.10 $1.50 $2.99 Southwest $2.26 $1.67 $3.00 Cheese 8 oz. Shred Weighted Average Price National This Period Last Week Last Year Organic $3.49 n.a. n.a. Conventional $2.05 $2.44 $2.23 Regional (Conventional) Wtd. Ave. Low High Alaska $4.29 $2.50 $4.99 Hawaii n.a. n.a. n.a. Northwest $2.31 $1.99 $2.50 Southwest $2.30 $1.67 $3.00 Western Wholesale Price Adjustments In the West, wholesale prices were up $.0150 for process, but down $.0225 for cheddar block, cuts and Monterey Jack. Swiss cut wholesale prices are unchanged from the previous week. WHOLESALE SELLING PRICES: DELIVERED DOLLARS PER POUND(MIXED LOTS (1000-5000 POUNDS)) Cheddar 10 pound Cuts 1.8425-2.0625 Cheddar 40 pound Block 1.6625-2.1050 Monterey Jack 10 pounds 1.8525-2.0125 Process American 5 pound Loaf 1.5100-1.7650 Swiss 6-9 pound Cuts 2.5800-3.0100 Information for the period March 18 - 22, 2019, issued weekly Secondary Sourced Information: Export Assistance CWT This week, a cooperative export assistance program accepted requests for export assistance on contracts to sell 2.302 million pounds (1,044 metric tons) of cheese. So far this year, the program has assisted member cooperatives who have contracts to sell 24.738 million pounds of American-type cheeses in export markets. When combined with butter and whole milk powder, the program has assisted members with sales of 419.3 million pounds of milk on a milkfat basis. Dairy Products (NASS) ± Cheese Summary Released March 14, 2019, by the National Agricultural Statistics Service (NASS), Agricultural Statistics Board, United States Department of Agriculture (USDA). Cheese Production ± United States: January 2018 and January 2019 Monthly Production (1000 pounds) Percent Change from Total Cheese 1 Jan. Dec. Jan. Jan. Dec. Region 2018 2018 2019 2018 2018 United States 1,096,520 1,092,970 1,100,458 0.4 0.7 Atlantic 145,345 133,604 138,839 -4.5 3.9 Central 496,794 491,389 492,429 -0.9 0.2 West 454,381 467,977 469,190 3.3 0.3 Monthly Production (1000 pounds) Percent Change from American Cheese 2 Jan. Dec. Jan. Jan. Dec. Region 2018 2018 2019 2018 2018 United States 433,670 425,245 438,714 1.2 3.2 Atlantic 27,431 28,660 29,847 8.8 4.1 Central 216,212 211,649 215,921 -0.1 2.0 West 190,027 184,936 192,946 1.5 4.3 Monthly Production (1000 pounds) Percent Change from Italian Cheese Jan. Dec. Jan. Jan. Dec. Region 2018 2018 2019 2018 2018 United States 474,348 479,405 480,742 1.3 0.3 Atlantic 62,645 60,640 60,774 -3.0 0.2 Central 191,464 185,607 189,504 -1.0 2.1 West 220,239 233,158 230,464 4.6 -1.2 Cheese Production ± Cumulative Production January - January Cumulative Production Percent Change (1000 pounds) from Cheese Type 2018 2019 2018 Total cheese 1 1,096,520 1,100,458 0.4 American Cheese 2 433,670 438,714 1.2 Italian Cheese 474,348 480,742 1.3 1/ Excludes cottage cheese. 2/ Includes cheddar, colby, washed curd, stirred curd, Monterey and jack. CME Close In CME Group trading Wednesday, barrels closed at $1.5450, compared to the weekly average price of $1.4350 from last week. Blocks closed at $1.5825, compared to the weekly average price of $1.5380 from last week. Published by: Dairy Market News - Madison, WI MIKE BANDLI, (608)422-8592 Email: mike.bandli@ams.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/