Cheese - West
MD_DA840

     Cheese - Western U.S.

     Report 15 - Released on April 14, 2021

     Western food service cheese demand has continued to grow, while retail cheese demand held
     steady. Some contacts report improvements at ports with getting vessel space and shipping
     containers, making it possible to move exports more readily. The recent announcement of the
     cancellation of the USDA Farmers to Families Food Box program is causing manufacturers to
     closely monitor cheese markets, watching cheese futures for any signal of price direction
     and subsequent demand. With the uncertainty of what government purchases may look like, the
     market tone within cheese markets is more unsettled than what it had been a few weeks ago.
     Cheese producers are running at or near capacity. Cheese barrel stocks have tightened and
     supplies for cheese blocks are more readily available, causing the block/barrel price spread
     to narrow.


     WESTERN WHOLESALE PRICE ADJUSTMENTS
     In the West, wholesale prices are up $.0950 for process, and up $.0475 for cheddar block,
     cuts and Monterey Jack. Swiss cut wholesale prices are unchanged from the previous week.
     WHOLESALE SELLING PRICES: DELIVERED
     DOLLARS PER POUND(MIXED LOTS (1000-5000 POUNDS))

     Cheddar 10 pound Cuts               2.1300-2.3300
     Cheddar 40 pound Block              1.8825-2.3725
     Monterey Jack 10 pounds             2.1175-2.3925
     Process American 5 pound Loaf       1.6850-1.9400
     Swiss 6-9 pound Cuts                3.0600-3.4900

     Information for the period April 12 - 16, 2021, issued weekly

     Secondary Sourced Information:

     CME CLOSE
     In CME Group trading Wednesday, barrels closed at $1.6800, compared to the weekly average
     price of $1.5835 from last week. Blocks closed at $1.7600, compared to the weekly average
     price of $1.7995 from last week.


     EXPORT ASSISTANCE
     This week, a cooperative export assistance program accepted requests for export assistance
     on contracts to sell 456,357 pounds (207 metric tons) of Cheddar and Monterey Jack cheese
     and 0 pounds (0 metric tons) of cream cheese. So far this year, the program has assisted
     member cooperatives who have contracts to sell 12.322 million pounds of American-type
     cheeses and 4.4 million pounds of cream cheese in export markets.

     When combined with butter, cream cheese and whole milk powder, the program has assisted
     members with sales of 545.3 million pounds of milk on a milkfat basis.


     2021 U.S. CHEESE AND CURD EXPORTS (USDA-FAS)
                      2020 Exports      % Change From
                      (Million Lb.)       1 Year Ago
     TOTAL, FEB           66.5              -  2

     TOTAL, JAN-FEB      122.2              -  6
     Exports � Destination Country
      1 Mexico            28.5              - 29
      2 South Korea       23.9              + 19
      3 Japan             11.5              + 22
      4 Australia          7.9              - 13
      5 Chile              4.4              -  3


     2021 U.S. CHEESE AND CURD IMPORTS (USDA-FAS)
     (Imports for Consumption)
                                                2020 Imports      % Change From
     February Imports                           (Million Lb.)      1 Year Ago
       TOTAL Cheese and Curd (H.S. Code 0406)       24.7             - 28
       Cheese, Except Fresh (H.S. Code 040690)      20.7             - 33
       Fresh Cheese (H.S. Code 040610)               2.3             + 60
       Cheese, Processed (H.S. Code 040630)          1.2             - 16
       Cheese, Blue-Veined (H.S. Code 040640)        0.4             - 40

                                                2020 Imports      % Change From
                                                (Million Lb.)      1 Year Ago
     TOTAL, JAN-FEB                                 54.2             - 14
     Imports - Country of Origin
      1 Italy                                       11.6             - 34
      2 France                                       5.2             - 20
      3 Lithuania                                    3.4             +182
      4 Switzerland                                  3.3             +  1
      5 Nicaragua                                    3.1             - 11

     Published by:
     Dairy Market News - Madison, WI
     ROMAN CARAMAN, (608) 422-8593
     Email: roman.caraman@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