MD DA410 BUTTER - NORTHEAST
MADISON, WI. June 19, 2013 (Report 25)
The CME Group butter price declined $0.0050 Tuesday and closed at $1.5300.
Trading activity has turned light over the last 7 trading sessions with only
3 loads sold. Cream demand continued to improve this week, and as a result,
butter production has seen further declines. Some butter makers have been
able to curtail bulk butter production, due to the decrease in the cream
supply. Domestic demand for butter remains lackluster and below year ago
levels. Export demand has dropped off in recent weeks as export incentive
programs have become less active, compared to earlier in the year. Some
plants continue to make 82% to fill export orders. Most butter makers are
comfortable with their current inventories. Current bulk butter prices for
this week are 4-6 cents over the market on the CME Group with various time
frames and averages used.
2013 U.S. Butter Imports (USDA-FAS)
(Million Lb.) % Change From % of
1 Year Ago Yearly Quota
May Quota Imports 0.85 + 42.5 5.5
Jan. - May
High Tier .25 + 129.5 N.A.
Quota Imports 4.02 + 50.3 26.2