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USDA - AMS: Organic Dairy Fluid Overview (2019-01-25)

USDA U.S. Department of Agriculture - January 25, 2019


     MD_DA902

     Organic Dairy Fluid Overview

     Report 4 - Released on January 25, 2019

     ORGANIC DAIRY FLUID OVERVIEW

     Retail Organic Milk Prices for Selected U.S. Cities. The January 2019 in-store surveys of
     selected supermarkets in twenty-nine U.S. cities reveal that the price of organic whole
     milk, in half gallon containers, ranges from $3.14 in Houston, TX to $5.54 in St. Louis,
     MO. The U.S. simple average price for January is $4.09. The organic half gallon whole milk
     price dipped $0.34 in Indianapolis, IN, but rose $0.60 in Oklahoma City, OK., compared to
     December 2018.

     As collected by Federal milk order market administrators, based on a survey conducted one
     day between the 1st and 10th of each month (excluding Fridays and weekends) in selected
     cities or metropolitan areas. One outlet of the largest and second largest food store chains
     and the largest convenience store chain are surveyed. The price represents the most common
     brand in nonreturnable containers. Complete results can be accessed at:
     https://www.ams.usda.gov/mnreports/dybdairyorganic.pdf

     Organic Milk Product Sales. The Agricultural Market Service (AMS) reports total organic milk
     products sales, for November 2018, were 218 million pounds, down 1.8 percent from November
     2017, but up 0.5 percent, January-November this year, compared with the same period in
     2017. Total organic whole milk sales for November 2018, 93 million pounds, were up 5.1
     percent compared with November last year and up 4.9 percent compared with the same period in
     2017.

     ESTIMATED TOTAL U.S. SALES OF FLUID MILK PRODUCTS,
     NOVEMBER 2018, WITH COMPARISONS1/

     Product Name                     Sales           Change2/
                                    NOV. Y-T-D    Prev Yr. Y-T-D
                                    Mil.  Lbs.        Percent

     ORGANIC PRODUCTION PRACTICE

     Whole Milk                     93    967      5.1      4.9

     Reduced Fat Milk (2%)          70    757      2.8      4.7
     Low Fat Milk (1%)              29    345    -11.2     -3.3
     Fat-Free Milk (Skim)           18    209    -20.9    -15.4
     Flavored Fat-Reduced Milk       7     94    -26.5     15.1
     Other Fluid Milk Products       1      1    440.7    -42.8
     Total Fat-Reduced Milk 3/     124  1,406     -6.8     -2.3
     Tot. Organic Milk Products    218  2,374     -1.8      0.5

     1/ These figures are representative of the consumption of fluid milk products in Federal
     milk order marketing areas and California, which account for approximately 92 percent of
     total fluid milk sales in the United States. An estimate of total U.S. fluid milk sales is
     derived by interpolating the remaining 8 percent of sales from the Federal milk order and
     California data.
     2/ Percent changes, as well as sales volumes, unless otherwise noted, are shown on an
     unadjusted basis;
     3/ Organic fat-reduced milk categories are total of reduced fat, low-fat, skim, and flavored
     fat reduced milk composition.

     Organic Companies Create Innovation: Recently, various organic dairy operations have
     publicized new projects and branding. One large organization has widened one of their
     product lines by introducing the first high-protein milk option in the United States. The
     additional protein comes from organic milk protein concentrate.

     An organic dairy cooperative is revamping their branding to stand above the competition. As

     a food business and brand-driven farmer-owned cooperative, the operation is creating
     straightforward advertising campaigns about who they are, and why they do what they do in
     compelling and engaging ways.

     ORGANIC GRAIN FEEDSTUFF OVERVIEW

     Organic Grain and Feed Market Trend. The demand for feed grade corn is moderate. Moreover,
     trading activities are showcasing similar moderate conditions. Feed grade corn traded 2
     cents higher currently. In previous weeks, there were more trades for contracted corn. Feed
     grade soybean trading activity is light on fairly good demand. Market activity for wheat is
     somewhat scarce. Also, there are reports of quiet trading for all other organic grains at
     this time.

     Information for the period January 14 - 25, 2019, issued biweekly

     Published by:
     Dairy Market News - Madison, WI
     JESSICA MUELLER, 608-422-8589
     Email: Jessica.Mueller@ams.usda.gov

     Additional Dairy Market News Information:
     Dairy Market News (DMN) by Phone: (608)422-8602
     DMN Website: http://www.ams.usda.gov/market-news/dairy
     DMN Database Portal: http://www.marketnews.usda.gov/mnp/da-home

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