Looking back on the past year, we see price improvements in all categories.
The average block cheese price for December was $1.7945 per pound compared to $1.7184 for November. The average price for the year is $1.7951 compared to the average of $1.7385 for 2023. The barrel cheese price average for December was $1.7246 per pound compared to $1.7237 in November.
The average price for the year is $1.8293. This compares to $1.6205 for 2023. The December dry whey price was 73.87 cents per pound compared to 64.08 cents for November and an average price of 52.09 cents per pound for the year. This compares to the average of 34.21 cents for 2023.
The average butter price for December was $2.5330 per pound compared to $2.6003 for November and $2.5945 in December 2023. The average price for the year is $2.8654 compared to the average of $2.5938 in 2023. The average nonfat dry milk price was $1.3824 per pound compared to $1.3905 for November and $1.1660 a year ago. The average price for the year is $1.2487 compared to the average of $1.1668 in 2023.
The Class I average price for 2024 was $20.35 per cwt compared to the average of $19.76 for 2023. The Class II price average for 2024 was $21.28 per cwt compared to the average of $20.10 for 2023. The average Class III price for the year was $18.81 compared to the average of $17.02 for 2023. The average Class IV price was $20.75 compared to the average of $19.12 for 2023.
The average price for the year in all categories was higher compared to the previous year with the greatest gain in dry whey of 17.88 cents per pound. This has helped the Class III price immensely.
The end of 2024 and the beginning of 2025 have seen some surprising strength for cheese. The holiday period is generally the greatest demand period with buyers generally unaggressive early in the year. Buyers do not want to build inventory early to avoid paying for storage for an extended period. However, there seems to be concern building over the milk supply as the year progresses.
There is a long year ahead and many events may take place that will substantially impact milk and dairy product prices. It is a positive beginning to the year and maybe it will build on that momentum.
Robin Schmahl is a commodity broker with AgDairy, the dairy division of John Stewart & Associates Inc. (JSA). JSA is a full-service commodity brokerage firm based out of St. Joseph, MO. Robin’s office is located in Elkhart Lake, Wisconsin. Robin may be reached at 877-256-3253 or through the website www.agdairy.com.
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