NASHVILLE, Tenn. (RFD-TV)— U.S. dairy markets are under pressure as butter and cheese prices both declined this week, according to USDA and CME data.
Butter fell to its lowest level since November 2021 on sharply higher supply, while cheese markets also slid, with analysts noting exports remain competitive, but any further weakness could spur renewed domestic demand.
Shell egg prices held steady in most regions, though West Coast markets eased slightly. Supplies have improved, but seasonal demand and rising Highly Pathogenic Avian Influenza (HPAI) cases — eight confirmed by USDA in the past 30 days — are keeping markets firm.
Meanwhile, U.S. milk production remains strong, with July output up 3.4 percent year-over-year, the largest gain since May 2021, supported by high butterfat levels.
Tony’s Farm-Level Takeaway: Farmers face lower returns on butter and cheese, but strong milk production and steady egg demand help balance the market. Disease risks remain a key factor to watch heading into fall.
Georgia has regained its HPAI-free status after a swift response to October’s detection. Commissioner Tyler Harper urges producers to stay vigilant and maintain biosecurity.
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