MD_DA840 Cheese - Western U.S. Report 33 - Released on August 12, 2020 Western cheesemakers report international buyers are showing a little more interest now that cheese prices have fallen. But as cheese supply and demand pitch and yaw, market participants are hesitant to make any sudden moves. Buyers seem willing to wait for a better deal, unsure if the market bottom has been reached. Demand is mixed as some shoppers may take on loads of cheese to fill existing needs, but others wait on the sidelines. Cheese availability has improved. Export deals inked when cheese prices were at the lowest are getting finished up. Some restaurants may face tighter restrictions while the states and nation grapple with heavy COVID-19 caseloads, releasing more cheese into the market. Manufacturers want to control production and not get swamped by supply. A few industry contacts suggest that cheese makers in parts of the West are pushing off extra loads of milk to control supplies. WESTERN WHOLESALE PRICE ADJUSTMENTS In the West, wholesale prices are down $.6575 for process, and down $.4900 for cheddar block, cuts and Monterey Jack. Swiss cut wholesale prices are down $.1050 from the previous week. WHOLESALE SELLING PRICES: DELIVERED DOLLARS PER POUND(MIXED LOTS (1000-5000 POUNDS)) Cheddar 10 pound Cuts 2.1925-2.3925 Cheddar 40 pound Block 1.9450-2.4350 Monterey Jack 10 pounds 2.1800-2.4550 Process American 5 pound Loaf 1.8325-2.0875 Swiss 6-9 pound Cuts 2.6025-3.0325 Information for the period August 10 - 14, 2020, issued weekly Secondary Sourced Information: CME CLOSE In CME Group trading Wednesday, barrels closed at $1.4650, compared to the weekly average price of $1.7275 from last week. Blocks closed at $1.6050, compared to the weekly average price of $1.8685 from last week. EXPORT ASSISTANCE This week, a cooperative export assistance program accepted requests for export assistance on contracts to sell 544,542 pounds (247 metric tons) of cheese. So far this year, the program has assisted member cooperatives who have contracts to sell 22.747 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 726.6 million pounds of milk on a milkfat basis. 2020 U.S. CHEESE AND CURD EXPORTS (USDA-FAS) 2020 Exports % Change From (Million Lb.) 1 Year Ago June 84.7 + 28 TOTAL, JAN-JUN 425.6 ... Exports � Destination Country 1 Mexico 115.4 + 14 2 South Korea 85.2 ... 3 Japan 44.9 - 9 4 Australia 30.9 + 28 5 Chile 12.8 + 5 2020 U.S. CHEESE AND CURD IMPORTS (USDA-FAS) (Imports for Consumption) 2020 Imports % Change From June Imports (Million Lb.) 1 Year Ago TOTAL Cheese and Curd (H.S. Code 0406) 24.0 - 18 Cheese, Except Fresh (H.S. Code 040690) 20.6 - 19 Fresh Cheese (H.S. Code 040610) 1.9 - 6 Cheese, Processed (H.S. Code 040630) 1.2 + 17 Cheese, Blue-Veined (H.S. Code 040640) 0.3 - 50 2020 Imports % Change From (Million Lb.) 1 Year Ago TOTAL, JAN-JUN 163.1 - 8 Imports - Country of Origin 1 Italy 30.7 - 23 2 France 18.4 - 16 3 Netherlands 15.6 + 16 4 Switzerland 9.7 + 11 5 Spain 9.4 - 19 Published by: Dairy Market News - Madison, WI MIKE BANDLI, (608)422-8592 Email: mike.bandli@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
Cheese - West