USDA’s Dairy Market News reports that butter sales are strong as retailers increased their advertising.  Cheese stocks are building up in the nation.

Retailers are advertising ice cream this week, even though ad numbers declined 5% from last week. The national weighted average advertised price for a package of ice cream is $3.06.

There is an organic milk surplus of 50 million gallons. Some of this milk is being sold into conventional milk markets, reports this week’s Dairy Market News from the USDA.

The holiday weekend sparked additional retail promotions, aiding sales of cheese. But as schools let out, milk processors plan to re-route volumes to their balancing plants.

Butter is active, cheese is steady and milk processors pull out all the stops to get milk to retail, as a winter storm beats down on the East Coast, according to the USDA.

Some cheesemakers have committed to secure extra milk intakes next week. That will keep many cheese plants in heavy production, according to the USDA. Sales of organic fluid milk are off.

Milk intakes have slowed for most cheese plants. Retail and food service demand remains active to strong, which is drawing on manufacturer inventories at expected rates, reports Dairy Market News.

Temperatures affect milk production; milk bottling demand is down except in Northeast. Western, Midwest cheese plants are running at capacity, reports the USDA.

There is widespread comfort with current conditions in the cheese industry. Prices have been moving within a narrow trading range and cheese manufacturers are happy to take additional volumes of milk.

More milk is flowing toward cheese plants than most people would have expected for the first full week of January. And, increased cheese imports are challenging domestic cheese production.