MD_DA840

     Cheese - Western U.S.

     Report 32 - Released on August 06, 2020

     The western cheese market has weakened in view of rising coronavirus cases. Cheese intakes
     by the food service industry have declined in recent weeks as some states have stopped their
     reopening processes, whereas others have reclosed. Meanwhile, interests from the retail
     sector are higher. Export demands are steady. Cheese production is active. Prices have been
     falling due to increasing supplies and sales trending down. With the decrease in the value
     of the U.S. dollar compared to the euro, coupled with declining cheese prices, the U.S.
     cheese prices will soon be competitive in the international market again. In the West,
     wholesale prices are down $.0675 for process, and down $.2575 for cheddar block, cuts and
     Monterey Jack. Swiss cut wholesale prices are unchanged from the previous week. Contacts
     indicate a lot of uncertainties remain regarding the future of the cheese market.
     WHOLESALE SELLING PRICES: DELIVERED
     DOLLARS PER POUND(MIXED LOTS (1000-5000 POUNDS))

     Cheddar 10 pound Cuts               2.6825-2.8825
     Cheddar 40 pound Block              2.4350-2.9250
     Monterey Jack 10 pounds             2.6700-2.9450
     Process American 5 pound Loaf       2.4900-2.7450
     Swiss 6-9 pound Cuts                2.4975-2.9275


     Information for the period August 3 - 7, 2020, issued weekly

     Secondary Sourced Information:

     The CME Group July 2020 monthly average price for barrels, $2.4080, is up from the June
     monthly average price of $2.3376, and up from the monthly average of a year ago, $1.7343.
     The July average price for blocks, $2.6466, is up from the June monthly average of $2.5620,
     and up from the monthly average of a year ago, $1.8180.

     This week, a cooperative export assistance program accepted requests for export assistance
     on contracts to sell 94,799 pounds (43 metric tons) of cheese. So far this year, the program
     has assisted member cooperatives who have contracts to sell 22.203 million pounds of
     American-type cheeses in export markets. When combined with butter, cream cheese and whole
     milk powder, the program has assisted members with sales of 694.6 million pounds of milk on
     a milkfat basis.

     Published by:
     Dairy Market News - Madison, WI
     FLORENCE KONE-GONZALEZ, (608)422-8594
     Email: florence.konegonzalez@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