Seasonal milk production levels are still transitioning, with increases well underway in southern areas and not yet beginning in points furthest north.

Northeast milk production has not yet begun to build from the seasonal low point although, production has been at higher levels than prior year production. Increasing milk production is expected.

Milk supplies remain ample, even though many plants are closing for maintenance and repairs.

Middle Atlantic production continues to gradually show signs of increasing from seasonal low levels. However, even with retail orders being described as “dead”, some balancing plants are receiving little milk to process.

In the Southeast, production is moving up yet retail demand is slow. A term used is “depressed”, which has contributed to a decline in shipments into the area.

Florida milk production continues to increase. Temperatures have risen and are expected to peak in the 80’s. With nights remaining cooler and peak temperatures not lasting for many hours each day, the return to slightly warmer weather is only expected to slow the milk production increase, but not lead to a decline. Retail sales in Florida are still considered weaker than would have been expected at this time of year. A noticeable increase in seasonal residency is expected to accelerate and further strengthen fluid milk sales.

Current low nonfat dry milk (NDM) prices are referenced as negating interest in acquiring condensed skim on spot markets, leaving most movement as being pursuant to contract.

Cream is generally available on spot markets, with slight increases isolated in the mid-Atlantic area. Churning is focused on order fulfillment and supplementing tempering as needed to fill orders. There is a slight tightness in salted butter in some areas. However, generally supplies are described as ample throughout the region.

Manufacturers of cream cheese are in the middle of their busiest production season, which began several weeks ago and is expected to continue into December. Production in some plants is occurring 6 days a week and may reach 7 days. Retail and institutional demand for cream cheese is strong.  PD