Daily CME Cash Trading on Monday, May 5, 2014

 

 

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(¢/lb.)

Cheddar barrels

2.0550

n.c.

Cheddar blocks

2.0700

n.c.

NFDM  Grade A

1.7775

n.c.

Butter Grade AA

2.1000

+2.50

 

Michigan cows top milk gross income generators in 2013

Which state's cows had the highest individual gross income from milk production in 2013?

According to USDA’s annual “Milk Production, Disposition and Income” summary, it's Michigan, at $4,944 head. Read more

 

U.S. milk marketing receipts hit record high in 2013

Strong milk prices helped push dairy producer income levels higher in 2013, at least before production costs were deducted.

USDA’s annual “Milk Production, Disposition and Income” summary showed 2013 U.S. dairy producer cash receipts from milk marketings totaled about $40.3 billion, up 8.7% from 2012 and the highest total ever. Receipts represent gross income, not net income.

The average all-milk price paid to producers in 2013 was $20.12/cwt., $1.56/cwt. (8.4%) more than 2012, and just below the previous high of $20.25/cwt. in 2011. Read more

 

Land O'Lakes realigns eastern Wisconsin operations

Land O'Lakes, Inc., announced a realignment of its eastern Wisconsin milk supply strategy, including a multi-year investment in the milk shed that includes increasing capacity at its Kiel, Wis., plant, known for its award-winning cheddar and Monterey Jack cheese production. The company also announced plans to discontinue manufacturing the semi-soft Italian cheese produced at its Denmark, Wis. plant.

As part of the realignment, the company is making a multi-million dollar investment to increase capacity and expand receiving at its Kiel plant through improvements in plant infrastructure. Among the improvements at the Kiel facility will be new milk silos, new cheese vats, upgraded whey receiving and a new vat room.

The Denmark plant will cease production and permanently close July 1, 2014. Member milk that was shipped to the Denmark facility will be sold to an unrelated third party beginning July 1.

Source: Land O'Lakes, Inc.

 

Kozak honored as 2014 ADPI Award of Merit recipient

The American Dairy Products Institute (ADPI) named Jerry Kozak as the 2014 recipient of the Award of Merit. The Award of Merit was established in 1991 to recognize individuals who have made a significant difference in the processed dairy products industry.

Kozak an active 41-year professional career, ranging from the New Jersey State Health Department, to over 16 years with the National Milk Producers Federation (NMPF), where he retired as president/CEO on Dec. 31, 2013.

Kozak also served as executive director of the American Butter Institute  for 22 years. He also served as the president of the International Dairy Federation (IDF), based in Brussels, Belgium from 1996-2000. Prior to his tenure at NMPF, Kozak served as senior vice president of the International Dairy Foods Association from 1989 to 1997.

ADPI is a national trade association representing manufacturers and marketers of dairy-based ingredients. Visit www.adpi.org.

Source: American Dairy Products Institute

 

2nd Global Summit on the Health Effects of Yogurt held

The Second Global Summit on the Health Effects of Yogurt was held in late April in San Diego, Calif.

Scientists discussed a variety of issues—from looking at new research about the association between yogurt consumption and Type 2 diabetes, to analyzing how yogurt can help play a role in improving dairy consumption in young adults.

Among the highlights, most people aren't eating enough dairy to meet their countries' daily recommendations.

For example, in France, 97% of the population is meeting the recommendation for daily dairy intake, while in the U.S., that number is at only 52%. Other countries that are doing better than the U.S. in meeting their government's daily dairy consumptions include Italy (70%) and Spain (62%), while China and Brazil are lower than the U.S., at 16% and 41% respectively.

A new study presented today showed that only 14% of adults and 20% of children in the U.S. consumed at least three servings of dairy a day – the amount recommended in the current Dietary Guidelines for Americans.

Adding yogurt to the daily diet would help close the gap between recommendations and actual dairy consumption. For instance, adding a single 8-ounce serving of fat-free or low-fat yogurt would help increase the average U.S. daily dairy consumption to 84% of the recommended three servings per day.

Source: American Society for Nutrition

 

Restaurant Performance Index rises to 10-month high

Driven by stronger same-store sales and customer traffic and a more optimistic outlook among restaurant operators, the National Restaurant Association's Restaurant Performance Index (RPI) rose to a 10-month high in March. The RPI – a monthly composite index that tracks the health of and outlook for the U.S. restaurant industry – stood at 101.4 in March, up 0.9% from February's level of 100.5. In addition, the RPI remained above 100 for the 13th consecutive month, which signifies expansion in the index of key industry indicators.

For the first time in four months, a majority of restaurant operators reported higher same-store sales. Fifty-five percent of restaurant operators reported a same-store sales gain between March 2013 and March 2014, up from 44% who reported higher sales in February. In comparison, 32% of operators reported a decline in same-store sales in March, down from 37% in February.

Restaurant operators also reported stronger customer traffic levels in March. Forty-six percent of restaurant operators reported higher customer traffic levels between March 2013 and March 2014, up from 35% who reported a traffic gain in February. Meanwhile, 33% of operators reported a decline in customer traffic in March, down from 43% in February.

Along with stronger sales and customer traffic results, restaurant operators reported an uptick in capital spending activity. Forty-nine percent of operators said they made a capital expenditure for equipment, expansion or remodeling during the last three months, up from 44% who reported similarly last month.

Restaurant operators are increasingly optimistic about sales gains in the coming months. Forty-nine percent of restaurant operators expect to have higher sales in six months (compared to the same period in the previous year), the highest level in nearly two years. Twenty-eight percent of restaurant operators said they expect economic conditions to improve in six months, while 14% expect the economy to worsen.

Source: National Restaurant Association