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Dairy Market News Branch Agricultural Marketing Service National Retail Report-Dairy Websites: http://www.marketnews.usda.gov/mnp/da-home and http://www.ams.usda.gov/mnreports/dybretail.pdf Volume 85- Number 4 Issued Weekly Friday, January 26, 2018 Advertised s for Dairy Products at Major Retail Supermarket Outlets ending during the period of 01/26/2018 to 02/01/2018 Advertisement numbers are 3 percent higher for conventional dairy items, but 12 percent lower for organic dairy items. Ad numbers for conventional 1 pound butter increased 1 percent, a U.S. weighted average advertised price of $3.80, up 33 cents. There are no reported sale prices for organic butter this week. Conventional sour cream ad numbers increased 18 percent, an average price of $1.67. Organic sour cream ad numbers decreased 64 percent, an average price of $2.29. The national weighted average advertised price of conventional 8 ounce block cheese is $2.28, down 21 cents from last week. Organic 8 ounce blocks average $2.49, resulting in an organic premium of 21 cents. The price of conventional 8 ounce shred cheese, $2.27, is down 13 cents from last week. Organic 8 ounce shred cheese averages $2.90, resulting in an organic premium of 63 cents. Conventional cheese ad numbers decreased 7 percent, but organic cheese ad numbers increased 8 percent. Conventional yogurt ads increased 3 percent and organic yogurt ads increased 21 percent. The weighted average price of conventional 4-6 ounce Greek yogurt is $0.95, and regular 4-6 ounce yogurt is $0.52. Organic yogurt in 4-6 ounce containers is priced at $0.88, resulting in an organic premium of 36 cents. The conventional-organic milk half gallon price spread is $1.86. The spread is the difference between the conventional milk half gallon average advertised price, $1.72, and the organic milk half-gallon price, $3.58. Conventional milk ads increased 150 percent, but organic milk ads decreased 10 percent. Top 5 Commodities Featured This Week 30K 01/26/2018 01/19/2018 01/12/2018 25K 20K 15K 10K 5K 0K Cheese Yogurt Ice cream Sour cream Milk 1 -- Dairy Market News surveys nearly 150 retailers, comprising over 23,000 individual stores, online weekly advertised features.

Friday, January 26, 2018 - Page 2 Percentage of Total Conventional by Commodity Butter, 4% Yogurt, 25% Cheese, 26% Sour cream, 9% Cottage cheese, 5% Milk, 5% Ice cream, 12% Cream cheese, 5% Flavored milk, 2% Percentage of Total Organic by Commodity Yogurt, 15% Cheese, 15% Sour cream, 2% Cream cheese, 3% Ice cream, 4% Milk, 61% - Simple weighted average

Friday, January 26, 2018 - Page 3 NATIONAL -- CONVENTIONAL DAIRY PRODUCTS THIS PERIOD LAST WEEK LAST YEAR With With With Butter 1 # 4020 3.80 3978 3.47 4343 3.31 Cheese Natural Varieties 8 oz block 8054 2.28 9421 2.49 5197 2.05 Cheese Natural Varieties 1 # block 2520 3.63 2721 3.65 2535 4.36 Cheese Natural Varieties 2 # block 485 7.13 1009 5.12 577 6.20 Cheese Natural Varieties 8 oz shred 8994 2.27 10750 2.40 7387 2.19 Cheese Natural Varieties 1 # shred 3586 3.69 1542 3.68 2288 3.52 Cottage cheese 16 oz 4746 1.81 2836 1.98 5496 1.88 Cream cheese 8 oz 4636 1.80 5378 1.97 4307 1.71 Flavored milk All fat tests half gallon 1795 1.91 21 2.79 849 1.98 Flavored milk All fat tests gallon 224 3.28 568 2.08 106 3.49 Ice cream 48-64oz 10554 3.18 13123 2.99 16936 3.23 Milk All fat tests half gallon 1788 1.72 193 1.92 842 2.29 Milk All fat tests gallon 2427 2.82 1493 2.39 2157 2.55 Sour cream 16 oz 8446 1.67 7169 1.60 8740 1.71 Yogurt Greek 4-6 oz 12873.95 12542.96 14694.98 Yogurt Greek 32 oz 1550 4.73 1786 4.67 3212 4.77 Yogurt Yogurt 4-6 oz 6684.52 5763.52 10661.56 Yogurt Yogurt 32 oz 1215 2.27 1505 2.43 935 2.40 REGIONAL -- CONVENTIONAL DAIRY PRODUCTS Butter 1 # 3.19-4.99 1208 4.10 3.49-3.99 1798 3.97 3.00-3.99 286 3.37 Cheese Natural Varieties 8 oz block 1.67-3.50 2175 2.11 1.99-3.50 2341 2.40 1.67-3.50 1360 2.09 Cheese Natural Varieties 1 # block 2.99-3.99 364 3.83 2.49-4.49 1273 3.81 3.99 119 3.99 Cheese Natural Varieties 2 # block 6.48 195 6.48 Cheese Natural Varieties 8 oz shred 1.88-3.00 2369 2.37 1.99-2.50 2432 2.27 1.67-2.50 1481 2.00 Cheese Natural Varieties 1 # shred 1.99-4.79 561 3.12 2.49-4.49 1947 4.02 3.00-3.99 347 3.72 Cottage cheese 16 oz 1.99-2.50 960 2.14 1.25-2.50 1530 1.67 1.25-2.50 499 2.03 Cream cheese 8 oz 0.99-2.00 1435 1.52 2.00 1083 2.00 1.67-2.50 817 1.85 Flavored milk All fat tests half gallon 2.50 735 2.50 0.79-2.19 270 1.48 Flavored milk All fat tests gallon 3.29 213 3.29 Ice cream 48-64oz 1.88-4.99 2564 2.87 2.50-3.33 2543 2.89 0.99-4.49 1907 3.17 Milk All fat tests half gallon 1.25-2.50 969 2.23 0.79 110.79 Milk All fat tests gallon 2.59 221 2.59 2.49 90 2.49 1.99-3.29 552 2.54 Sour cream 16 oz 1.49-2.00 2333 1.75 1.25-2.00 2485 1.54 1.25-2.50 1641 1.72 Yogurt Greek 4-6 oz 0.83-1.25 2075.99 0.60-1.00 3435.97 0.70-1.00 2271.94 Yogurt Greek 32 oz 2.50-4.99 513 4.69 4.99 180 4.99 - Simple weighted average

Friday, January 26, 2018 - Page 4 Yogurt Yogurt 4-6 oz 0.33-0.75 1821.55 0.50 1121.50 0.50-0.79 547.54 Yogurt Yogurt 32 oz 1.99-2.49 207 2.35 2.49 64 2.49 SOUTH CENTRAL U.S. SOUTHWEST U.S. NORTHWEST U.S. Butter 1 # 2.50-2.79 110 2.65 2.50-3.49 176 2.85 1.99-3.69 394 3.24 Cheese Natural Varieties 8 oz block 1.49-2.50 912 2.07 1.99-3.00 1019 2.79 1.67-1.99 165 1.79 Cheese Natural Varieties 1 # block 2.49-2.99 409 2.73 2.99 241 2.99 Cheese Natural Varieties 2 # block 5.99-7.99 229 7.45 7.99 61 7.99 Cheese Natural Varieties 8 oz shred 1.49-2.99 1104 2.15 1.99-3.00 1273 2.47 1.67-2.79 226 2.06 Cheese Natural Varieties 1 # shred 2.49-2.99 331 2.67 2.49 90 2.49 3.99 289 3.99 Cottage cheese 16 oz 1.25-2.00 483 1.44 1.25-2.50 895 1.62 1.99 289 1.99 Cream cheese 8 oz 1.25-2.00 242 1.63 1.67-2.49 429 2.02 1.50-2.50 524 1.79 Flavored milk All fat tests half gallon 0.99 351.99 0.99-1.99 394 1.72 Ice cream 48-64oz 2.49-3.99 1248 3.38 2.50-5.99 1947 3.80 2.88-3.00 210 2.94 Milk All fat tests half gallon 0.99-1.89 484 1.24 0.99 120.99 0.99 105.99 Milk All fat tests gallon 1.99-3.98 291 3.06 1.89-3.99 1262 2.96 Sour cream 16 oz 1.25-2.50 660 1.52 1.25-2.99 872 1.66 1.99 350 1.99 Yogurt Greek 4-6 oz 0.50-1.38 2379.96 0.80-1.00 2106.89 0.72-1.00 524.90 Yogurt Greek 32 oz 4.99 194 4.99 5.00 244 5.00 3.99-4.99 350 4.16 Yogurt Yogurt 4-6 oz 0.39-0.79 1021.52 0.50-0.60 1479.56 0.33-0.40 647.37 Yogurt Yogurt 32 oz 2.50 121 2.50 2.49-2.50 444 2.50 1.79-2.00 358 1.83 ALASKA U.S. HAWAII U.S. Butter 1 # 4.29 21 4.29 3.00 27 3.00 Cheese Natural Varieties 8 oz block 3.79 21 3.79 2.49-3.50 61 3.05 Cheese Natural Varieties 1 # block 4.29-4.99 63 4.59 4.69-6.99 51 5.91 Cheese Natural Varieties 8 oz shred 3.79 21 3.79 2.49-3.50 88 3.03 Cheese Natural Varieties 1 # shred 4.99 21 4.99 Cottage cheese 16 oz 1.50-2.79 42 2.15 2.50-3.00 48 2.75 Cream cheese 8 oz 1.99 21 1.99 2.50-3.00 85 2.86 Flavored milk All fat tests half gallon 2.79 21 2.79 4.49 24 4.49 Flavored milk All fat tests gallon 2.99 11 2.99 Ice cream 48-64oz 2.99-5.99 74 4.13 3.00-5.99 61 4.67 Milk All fat tests gallon 2.99 11 2.99 Sour cream 16 oz 1.50-3.49 81 2.51 2.50 24 2.50 Yogurt Greek 4-6 oz 0.98-1.66 49 1.37 1.25 34 1.25 Yogurt Greek 32 oz 4.49 42 4.49 6.99 27 6.99 Yogurt Yogurt 4-6 oz 0.50 21.50 0.99 27.99 - Simple weighted average

Friday, January 26, 2018 - Page 5 ALASKA U.S. HAWAII U.S. Yogurt Yogurt 32 oz 2.29 21 2.29 NATIONAL -- ORGANIC DAIRY PRODUCTS THIS PERIOD LAST WEEK LAST YEAR With With With Cheese Natural Varieties 8 oz block 123 2.49 233 2.75 294 3.37 Cheese Natural Varieties 8 oz shred 662 2.90 123 2.99 387 3.85 Cheese Natural Varieties 1 # shred 372 7.49 Cottage cheese 16 oz 517 3.68 1408 3.26 Cream cheese 8 oz 180 2.50 225 2.50 Flavored milk All fat tests half gallon 214 4.49 Ice cream 48-64oz 189 5.99 Milk All fat tests half gallon 2753 3.58 2782 4.11 3789 3.82 Milk All fat tests gallon 167 6.99 213 6.99 615 5.98 Milk All fat tests 8 oz UHT 274.97 551.95 Sour cream 16 oz 121 2.29 335 2.42 1011 3.25 Yogurt Greek 4-6 oz 59 1.25 206 1.11 Yogurt Greek 32 oz 523 5.41 721 5.47 Yogurt Yogurt 4-6 oz 193.88 295 1.21 59 1.25 Yogurt Yogurt 32 oz 347 3.58 121 4.49 REGIONAL -- ORGANIC DAIRY PRODUCTS Cheese Natural Varieties 8 oz block 2.49 123 2.49 Cheese Natural Varieties 8 oz shred 2.99 210 2.99 2.49-2.99 242 2.74 Cream cheese 8 oz 2.50 180 2.50 Milk All fat tests half gallon 2.99-4.49 888 3.92 2.99-3.50 752 3.28 2.99 110 2.99 - Simple weighted average

Friday, January 26, 2018 - Page 6 Yogurt Greek 4-6 oz 1.25 59 1.25 Yogurt Greek 32 oz 2.99 101 2.99 Yogurt Yogurt 4-6 oz 0.69 72.69 SOUTH CENTRAL U.S. SOUTHWEST U.S. NORTHWEST U.S. Cheese Natural Varieties 8 oz shred 2.99 210 2.99 Ice cream 48-64oz 5.99 72 5.99 5.99 117 5.99 Milk All fat tests half gallon 2.99 254 2.99 2.49-4.99 722 3.65 Milk All fat tests gallon 6.99 167 6.99 Milk All fat tests 8 oz UHT 0.93-1.00 274.97 Sour cream 16 oz 2.29 121 2.29 Yogurt Greek 32 oz 5.99 422 5.99 Yogurt Yogurt 4-6 oz 1.00 121 1.00 ALASKA U.S. HAWAII U.S. Milk All fat tests half gallon 6.99 27 6.99 As used in this report, regions include the following states: REGIONAL DEFINITIONS NORTHEAST U.S. SOUTHEAST U.S. MIDWEST U.S. SOUTH CENTRAL U.S. SOUTHWEST U.S. NORTHWEST U.S. ALASKA HAWAII NATIONAL Connecticut, Delaware, Massachusetts, Maryland, Maine, New Hampshire, New jersey, New York, Pennsylvania, Rhode Island and Vermont Alabama, Florida, Georgia, Mississippi, North Carolina, South Carolina, Tennessee, Virginia and West Virginia Iowa, Illinois, Indiana, Kentucky, Michigan, Minnesota, North Dakota, Nebraska, Ohio, South Dakota and Wisconsin Arkansas, Colorado, Kansas, Louisiana, Missouri, New Mexico, Oklahoma, and Texas Arizona, California, Nevada and Utah Idaho, Montana, Oregon, Washington, and Wyoming Alaska Hawaii Continental United States - Simple weighted average