News

Cheese prices inch upward, though no records expected

August 17, 2004

CHICAGO — Block cheddar prices continued their slow march upward during Aug. 18 trading on the Chicago Mercantile Exchange.

Prices inched northward to $1.61, an increase of 2.75 cents on the day, and 6 cents on the week.

Dairy experts say the price increase is seasonal, and cited the return to school and cheese manufacturers' preparation for the upcoming holiday season as the reason for the increase.
The good news is several sources contacted by PizzaMarketplace don't expect the price to approach record highs logged this spring. Some dairy watchers predicted earlier this year the price would return to the $2 range by fall.

Jerry Dryer, editor of Dairy & Food Market Analyst, said a range of $1.65 to $1.70 (such prices would equate to a wholesale mozzarella price range of about $2.05 to $2.35) is more likely. Unlike the situation endured a few months ago, supply and demand are nicely balanced, he said.