MD_DA230 Fluid Milk and Cream - Central U.S. Report 1 - Released on January 07, 2021 Dairy farmers report colder weather in the upper Midwest is still presenting them with a moderate level of cow comfort. Therefore, milk production remains steady in that area. Farmers throughout the region say feed improvements have led to improved components and milk production, in general. That said, as corn prices continue to increase, there are some near term concerns regarding feed rations. Class III producers, again, received abundant offers of spot milk and reported prices remain near holiday discounted levels. Cheesemakers are busier, as holiday days off are in their rearview mirror and milk continues to flow in. The cream narrative is similar to raw milk. Butter plant managers say offers are heavy, but like cheesemakers, they are busier coming into the first quarter. Ice cream makers' demands are also inching up, which have some contacts expecting more balance in the next few weeks. Regardless, there is plenty of both milk and cream in the Midwest. Winter wheat progress is ongoing with some more moisture in the southern plains, as multiple snowfalls already this season have assisted fields that were experiencing drought conditions previous to the snowfall. The DMN monthly average of the range price series for Upper Midwest Class II cream during December was $1.7103, compared to $1.8287 in November. Price Range - Class III Milk; $/CWT; Spot Basis: -8.50 - -4.00 Trade Activity: Moderate Midwestern U.S., F.O.B. Cream Multiples Range - All Classes: 1.0000 - 1.2000 Price Range - Class II; $/LB Butterfat: 1.6826 - 1.7557 Multiples Range - Class II: 1.1500 - 1.2000 Information for the period January 4 - 8, 2021, issued weekly Published by: Dairy Market News - Madison, WI ISRAEL WEBER, 608-422-8601 Email: israel.weber@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