Low milk prices, extreme feed costs and bad weather are expected to slow production growth in export regions to a trickle.
September 27, 2012
Rabobank forecasts a reduction in the exportable surplus available from what it calls the “Big Seven” export regions (the EU, U.S., Australia, New Zealand, Brazil, Argentina, and Uruguay) in the closing months of 2012 and first half of 2013. That would be the first such reductions in more than four years.
Strong Class I demand in the East has reduced manufacturing milk supplies. The cheese market has had ups and downs, but remained generally steady over the past six weeks.
September 14, 2012
Strong Class I demand in the East has reduced manufacturing milk supplies. Along with reduced milk production levels this has increased demand for milk and components from other parts of the country. Florida milk production is nearing seasonal lows and imports totaled 96 loads this week.
In this week's Dairy Market News, the USDA reports cheese market price gyrations are creating more uncertainty, a tightening of milk supplies in the East, and firming butter prices. Foodservice orders are at good levels as restaurants prepare for the summer vacation season.
Butter pricing is firming this week, cheese production nationally remains heavy, Northeast milk production is widely believed to have reached a plateau, and California milk output is mostly steady and remains at or near the seasonal peak, reports the USDA this week.
Dairy processors make gains on average prices, but unit sales of yogurt, cottage cheese and sour cream all fall in the latest 52 weeks.
May 14, 2012
While unit sales decreased 3% in the yogurt category, dollar sales were up almost 9% to $4.7 billion and the average price per unit increased 13 cents, for the 52 weeks ended March 18. According to Chicago-based SymphonyIRI Group, No. 3 Agro Farma Inc., New Berlin, N.Y., the maker of Chobani Greek yogurt, posted the largest gains. Dollar sales were up 128% to $704 million and unit sales rose 132%.
Sales in the natural cheese category were up 7% last year, with shredded cheese outpacing the industry. But overall, unit sales were weak.
April 10, 2012
For the 52 weeks ended Jan. 22, the natural cheese category saw increases in dollar sales (7%), unit sales (0.6%) and an average price increase of 20 cents according to Chicago-based SymphonyIRI Group.
Ice cream/sherbet sales had not shown signs of cooling off as of late fall 2011. Although unit sales for the category were down slightly (4.29%), dollar sales increased 3.54% to almost $4.5 billion in the 52 weeks ended Oct. 30, 2011. The average price increased 26 cents during the period. The category includes three segments: frozen yogurt, ice cream and sherbet/sorbet/ices. Private-label brands led all three segments in dollar sales and units.
Several cultured product makers are stepping outside of their comfort zone to provide a crowd of innovative new offerings that come equipped with zesty flavors and intricate packaging concepts.
Faced with stagnant growth and
competition from non-dairy beverages,
processors try to boost sales with
flavored milk, new retail channels
and new processes.