MD_DA451 Butter Highlights Report 2 - Released on January 14, 2022 Cream supplies are available in the West, while tightening in the Central region. Despite waning demand in the Central region, some purchasers in Midwest states are, reportedly, looking for available loads of cream in the West. Strong cream multiples in the East have caused some butter makers to reduce churning this week. Butter makers in the Central region say that they are running busy schedules, despite COVID related worker shortages. Delays to production supplies and labor shortages are also causing butter makers in the West to run below capacity. Butter inventories are tight in both the Central and West, though manufacturers in the East say that inventories are sufficient to meet near-term market needs. Demand for butter is strong across all regions. Bulk butter overages range from 8 to 18 cents above market throughout the country. Information for the period January 10 - 14, 2022, issued weekly Secondary Sourced Information: CME: Grade AA closed at $2.7250. The weekly average for Grade AA is $2.7930 (+0.1260). Published by: Dairy Market News - Madison, WI CHELSEA ROCHELLE, 608-422-8594 Email: Chelsea.Rochelle@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