United States: More production but better demand lifts dairy prices

The USDA has called for a rise in dairy production, primarily due to an increase in cow numbers. The April supply and demand report has led to a rise in product prices because of improved domestic and export demand. Prices of cheese, butter, nonfat dry milk, and whey have been increased, leading to a raise in Class III and Class IV prices. The 2021 all milk price forecast has also been increased to $18.40 per hundredweight. The fat basis export estimate has been increased due to higher shipments of cheese, and the skim-solids basis export forecast has been raised due to strong shipments of skim milk powders and whey.