NASHVILLE, Tenn. (RFD-TV) — Dairy product markets softened in October as U.S. prices for butter, cheese, and most powders weakened sharply compared to last year. Butter fell nearly $1 per pound, Cheddar dropped by 50 cents, and 40-pound blocks fell more than 40 cents, reflecting both ample domestic availability and slower product movement. These price declines come even as some value-added dairy exports continue to grow impressively.
June–August dairy export data reveal major gains in high-value categories: butter exports surged 162 percent, American-type cheese shipments jumped 129 percent, and Cheddar exports climbed 131 percent from last year. However, large declines in skim milk powder exports and modest drops in whey protein exports signaled uneven global demand.
Inventories also played a role. Dry skim milk stocks finished August down 12 percent from last year, and dry whey stocks fell 16 percent, tightening supplies in key ingredients despite weaker spot prices.
Regionally, processors reported mixed throughput: cheese plants maintained stronger utilization rates, while powder plants saw reduced volumes.
Looking ahead, global price relationships and tariff uncertainties may continue pushing buyers toward value-added U.S. dairy products.
Farm-Level Takeaway: Weaker U.S. dairy prices come as value-added exports expand and ingredient inventories tighten, creating mixed market signals for producers.
Tony St. James, RFD-TV Markets Specialist
NEFB President Mark McHargue provides an update from the Husker State, where farmers are working hard to bring in one of the largest harvests in recent years.
October 17, 2025 04:06 PM
·
The new antitrust agreement between the Department of Justice (DOJ) and the U.S. Department of Agriculture (USDA) aims to enforce antitrust laws and monitor market activity across the ag sector.
October 17, 2025 12:27 PM
·
President Donald Trump says a deal is nearly done on lowering beef prices, but he has not released details.
October 17, 2025 11:31 AM
·
Large carryover stocks continue to put pressure on commodity prices, creating uncertainty for growers looking to market their grain.
October 16, 2025 04:20 PM
·
Peel says Mexico has a much greater capability to expand its beef industry than it did 20 or 30 years ago in terms of its feeding and packing infrastructure.
October 16, 2025 03:59 PM
·
The impacts of the government shutdown have reached commodity growers with crops to move, ag economists monitoring the harvest without key data reporting, and meat producers in need of new export markets.
October 16, 2025 01:03 PM
·
