MD_DA901 DA MD DA901 Organic Dairy Retail Overview MADISON, WI. May 17, 2013 (REPORT 20) ORGANIC DAIRY RETAIL OVERVIEW NATIONALLY ADVERTISED PRICE COMPARISON Organic Dairy Overview. Organic milk continued to be the most advertised organic dairy product this period. Organic milk ad numbers more than doubled compared to the previous reporting period, while organic yogurt ad numbers declined. Organic dairy ads were more evenly spread across the nation with all six reporting regions having ads. Organic milk ads total 81% of all organic dairy ads. Organic yogurt is second with 12% of ads, followed by organic butter and organic cottage cheese each with 3%. Advertising information presented is compiled from nearly 14,000 surveyed newspaper supermarket ads for the period May 6, 2013, to May 17, 2013, identifying weekly "specials" and containing organic dairy content. Surveyed ads reflect advertised "specials" and not the range of non-advertised supermarket cooler prices. Complete results of this bi-weekly survey providing additional graphs, tables, and regional delineation, follow at the end of Dairy Market News, or can be accessed at: http://www.ams.usda.gov/AMSv1.0/DairyRetailReport Regional Organic Dairy Ad Trends. Organic dairy ads appeared in all 6 regions this report with the Southwest and Midwest having the most ads with 23% and 22%, respectively. The percentages of ads found in the remaining regions are the Northeast, 17%; South Central, 15%; Northwest, 13%; and the Southeast, 10%. Organic Milk. Organic half gallons continue to predominate organic milk retail advertising, which is typical, this period with 50% of ads, slightly down from 54% of ads last period. Organic milk 8 ounce containers was in second place with 31% of ads, trailed by organic milk gallons with 19% of ads. Organic Milk Half Gallons. The national weighted average advertised price of organic milk half gallons, $3.56, is 3 cents lower than two weeks ago. The price range is $2.79 to $4.69. One year ago the average price was $3.38. The Midwest has the highest weighted average price, $3.79, while the South Central has the lowest price this period, $3.20. Organic - Conventional Milk Half Gallon Price Spread. This reporting period, The national weighted average conventional milk price for half gallons, $0.88, was down $1.33 from two weeks ago. There was very limited featuring of this commodity category, only appearing in 64 ads, compared to 2,033 ads two weeks ago. Organic half- gallon milk, at $3.56, is down 3 cents from two weeks ago. The organic- conventional halfgallon price spread is $2.68, compared to $1.38 two weeks ago. The spread is the highest this year. Organic Yogurt. Organic yogurt ad numbers dropped to their lowest level of the year. Four of the six regions had organic yogurt ads, the Northwest with 29%, the Southeast with 28%, the Midwest with 25%, and the Northeast with 18%. Greek yogurt ads appeared in two regions after having zero organic Greek yogurt ads in the previous report. About 46% of organic yogurt ads are for Greek yogurt in 4-6 ounce containers, with a weighted average advertised price of $1.00, unchanged from last year's average price. About 29% of organic yogurt ads are for 4-6 ounce containers, with a weighted average advertised price of $1.00. Last year the average price was $.74. Organic yogurt in 32 ounce containers accounts for 25% of ads, with an average price of $3.00. Last year the average price was $2.79. 1 Pound Organic butter. Ads for 1 pound organic butter appeared in only the Northeast region with all ads priced at $4.99. 48-64 Ounce Organic Ice Cream. All organic ice cream ads are priced $5.99 and all are in the Southwest. 1 Pound Organic cottage cheese. Ads for 1 pound organic cottage cheese appeared in only the Midwest region with all ads priced at $3.99. SUPERMARKET PRICE COMPARISON: Madison, Wisconsin Prices. Non-advertised organic milk, yogurt, butter and cheese prices in a range of food stores in Madison, Wisconsin are compared for this two week period. Stores included a big-box sized local supermarket; 2 regional chain supermarkets; a smaller but full product line food market; and 2 natural food stores; a national discount big box chain store also selling food; and a large local cooperative grocery store. Organic milk available included 2 national brands, 4 private label store brands, and 3 small local or near-by creamery brands, one featuring non-homogenized milk. Cheese available included 2 national brands, 2 store brands, and cheese from 5 other cheese makers. INFORMATION GATHERED 05/06/2013 - 05/17/2013 ORGANIC MILK, YOGURT, CHEESE, BUTTER PRICE RANGE 2013 REPORTING WEEK 20 MADISON, WISCONSIN LOW HIGH RANGE (in Dollars) FLUID MILK MILK - gallon Whole 5.79 7.29 1.50 Reduced fat (2%) 5.79 7.29 1.50 Low fat (1%) 5.79 7.29 1.50 Nonfat (Skim) 5.79 7.29 1.50 MILK - half gallon Whole 3.77* 4.89 1.12* Reduced fat (2%) 3.77* 4.89 1.12* Low fat (1%) 3.77* 4.89 1.12* Nonfat (Skim) 3.77* 4.89 1.12* FLAVMILK - half gallon All fat tests 3.09 5.69 2.60 YOGURT Yogurt - 4-6 oz Yogurt 0.79 1.29 0.50 CHEESE Cheese - 8 oz block Mozzarella 3.40 5.75 2.35 Mild Cheddar 3.79 5.99 2.20 Monterey Jack 3.79 5.99 2.20 Pepper Jack 3.89 5.99 2.10 Cheese - 6 oz string Mozzarella 3.99 5.09 1.10 Colby Jack 3.89 4.99 1.10 BUTTER Butter - 1 Pound 4.69* 6.09 1.40* * = Price change from prior reporting period. 1100C eric.graf@ams.usda.gov & rick.whipp@ams.usda.gov