Western U.S. milk and cream report

Dec. 12

Handlers in California indicate milk production varies from slightly weaker to slightly stronger this week compared to the week prior, but milk output is still down in terms of a year-over-year comparison by a significant percent. Stakeholders convey balancing plants are running at light paces compared to seasonal expectations. Manufacturing capacity is available, and spot loads of milk are tight. Demands for Class I and III are strong. Demands for Class II and IV are steady.

According to the California Department of Water Resources, as of Dec. 10, the state is slightly above the historical mean of 5.15 inches of precipitation for the current 2024-25 water year, at 5.22 inches.

In Arizona, milk production is strengthening. However, stakeholders indicate spot milk load availability has not loosened much. All Class demands are steady.

Farm level milk output in New Mexico is strengthening as well. Stakeholders indicate availability of spot milk loads remain more in line with its eastern neighbor state than its western neighbor state. Demands for all Classes are unchanged.

For the Pacific Northwest, milk production is indicated to be steady this week compared to last week. Processors convey weather conditions are on the milder end of seasonal norms. All Class manufacturing demands are steady.

In the mountain states of Idaho, Utah and Colorado, farm level milk output is noted as steady or stronger. For Idaho, some processors indicate milk output is growing with some new dairies. Stakeholders convey snow totals in Idaho have not been very large thus far for the year. Manufacturers note milk volumes are comfortable.

Class III demand is strong, while demands for all other Classes are steady. Cream loads are readily available for most of the West region. In some cases, sellers report finding a home for excess cream is not very easy. Cream multiples moved lower. Availability of condensed skim milk is comparatively snugger in the southwest part of the region. Condensed skim milk demand is mixed.

Fluid Milk and Cream Review: https://www.ams.usda.gov/mnreports/ams_1102.pdf