MRV BLOG: MRV Market Commentary January 23, 2026

Check-in here to see the MRV commentary on what we have seen and are seeing in the dairy market.  These insights have been developed from MRV’s proprietary data, industry experience, and industry reports referenced below. Here’s our latest:

February Milk Prices Reflect Softer Market Conditions

February Class I milk prices were released yesterday, with the Class I base price falling to $14.70/cwt, the lowest level in nearly six years. The decline reflects softer dairy commodity markets and ample milk availability at the start of 2026.

After applying regional zone differentials, Class I prices are expected to average about $18.80/cwt nationwide. Florida is projected to post the highest Class I price near $21.50/cwt, while Arizona trends toward the lower end at approximately $17.30/cwt.

Additional February pricing details:

Base skim milk price declines to $9.99/cwt

Class III remains the “higher-of” mover over Class IV

Butterfat pricing eases to $1.44/lb

WHAT MRV SEES:
Milk prices are being shaped by abundant domestic and global supplies, supported by strong butterfat output and expanding cheese processing capacity, particularly in the Central Plains. Ample cream supplies have softened butter pricing, while record cheese production increases the importance of consistent domestic and export demand. Protein markets remain a point of support, with whey proteins and cottage cheese holding firm amid continued interest in high-protein consumption. Near term, softer Class I and butterfat values are expected to influence pricing, with potential stabilization later in the year as inventories are worked down and seasonal demand improves.

This information cited by MRV Marketing, LLC is for informational and reference purposes only. It is not intended to be a conclusive statement of future market conditions. It is not legal advice or legal documents. The data used in these documents contains references to information created and maintained by other organizations or agencies. Please note that MRV Marketing, LLC does not control and cannot guarantee the accuracy of these outside materials.

Statistical data referenced here is gleaned from reports by MRV Proprietary Data, CME Group, Dairy Herd Management, USDEC and USDA.