DairyProfit Update for Dec. 10, 2012

California January Class 1 prices drop

California’s January 2013 Class 1 milk prices are $20.24/cwt. for the North and $20.51/cwt. for the South. Both are down $2.84 from December 2012, but 36¢ more than January 2012. They're the lowest since September 2012.

2012 Class 1 prices averaged $19.06/cwt. for the North and $19.33/cwt. for the South, both down $1.62 from 2011.

The January federal order Class I base price will be announced Dec. 19.

California Class 1 prices ($/cwt.)

CWT assists with 3 million lbs. of cheese and butter export sales

Cooperatives Working Together (CWT) accepted 24 requests for export assistance from Bongards Creameries, Northwest Dairy Association (Darigold) and United Dairymen of Arizona to sell 2.068 million lbs. of cheddar, gouda and Monterey Jack cheese, and 947,988 lbs. of butter, to customers in Asia, the Middle East and North Africa. The product will be delivered December 2012 through May 2013.

So far in 2012, CWT has assisted member cooperatives in making export sales totaling 115.7 million lbs. of cheese, 71.5 million lbs. of butter, 127,868 lbs. of anhydrous milkfat and 171,961 lbs. of whole milk powder. The product is going to 36 countries on four continents. On a butterfat basis, the milk equivalent of these exports is 2.630 billion lbs., or the same as 76.6% of the increase in U.S. milk production through October 2012.

Registration open for NMC annual meeting

Registration is now open for the 52nd National Mastitis Council (NMC) Annual Meeting, scheduled for Jan. 27-29, in San Diego, Calif. 

Meetings will begin on Sunday and end Tuesday evening. General sessions and the “Technology Transfer” sessions will be held Monday and Tuesday. The featured symposium, “Where the Rubber Meets the Teat: Understanding and Managing the Milking Process at the Interface between Teats and Liners,” will be Tuesday afternoon. 

Nine short courses will be held on Sunday afternoon/evening and Tuesday evening. An extra registration fee is required for the short courses.

The complete agenda and list of short courses can be found online at: http://nmconline.org/annualmeet/2013/.

MARKETS: Products unchanged; Class III futures up a little

Today's market closing prices:

Butter: unchanged at $1.59/lb.

Cheddar blocks: unchanged at $1.76/lb.

Cheddar barrels: unchanged at $1.66/lb.

Grade A nonfat dry milk: unchanged, at $1.5575/lb.

Extra Grade nonfat dry milk: unchanged, at $1.56/lb.

Class III milk: -1¢ to mostly +1¢/8¢ through December 2013. Based on current CME closing prices, the 2012 average is $17.43/cwt.; the 2013 average is $18.35/cwt.; and the 2014 average is $16.18/cwt.

Corn futures lower; soybeans, meal futures higher

Corn: -1¢ to -7¢ through December 2013. The 2013 average is $6.97/bu.

Soybeans: +2¢ to +11¢ through November 2013. The 2013 average is $14.29/bu.

Soybean meal: -$2.50 to -$7.80/ton through December 2013. The 2013 average is $413.15/ton.

New: DairyBusiness Weekly

DairyBusiness Weekly, our first digital-only publication, launched last November. Produced 48 times per year, it’s delivered free every Wednesday to readers’ inboxes. It combines the resources of the entire DairyBusiness content team in a short and easy-to-read digital format, complete with videos, audio, direct links, social media and more. To subscribe, visit www.dairybusiness.com.