U.S. cheese production trended lower last week, according to USDA’s Dairy Market News. Hot weather in the West is reducing manufacturing milk volumes. Milk production in the Central and Eastern regions is past peak and reducing seasonally. Because cheese plants are hoping to run at capacity, many are looking for spot surplus milk to keep full production schedules.
Some plants are looking to available condensed skim supplies to increase vat yields. Domestic demand from retail and processor/packager facilities is mostly steady as they try to acquire inventory.
Export demand is softer with many of the deliveries from previously negotiated sales. Mozzarella sales have slowed. Stocks of cheese are tightening in the Midwest with barrels tighter than blocks. Western stocks are more readily available as exporting has slowed.
Source: DairyBusiness Update Daily