Dave’s Weekly Market Update – April 30, 2020

I hope this email finds you well as we navigate through the challenges presented by the Pandemic.
Business seems to have picked up this week. Distributors are struggling to balance maintaining inventory because some manufacturers are selling short coded products. It is a fine line trying to keep inventories tight due to this.  Both distributors and competitors are all facing the same shortages and challenges. Hopefully, things will get better next week.
We are building up some lines and the product will be fresh with normal shelf life. We will be offering substitutions for a few items as the usual items may not easily be obtained under present conditions. We thank you for your patience as we make our way through these unprecedented times.
The egg market has bottomed out and panic buying seems to have subsided. Medium eggs are rising, and larger sizes will likely follow suit within the next week to week and a half.
Butter firmed up on the CME this week and we were able to lower our solids as we were able to replenish at lower markets. I feel that the butter market will rise as the country starts to reopen.
Due to the large drop in butter, fluid cream items are dropping substantially for the month of May. We have worked through 99% of our shorter coded cream and have fresh cream rolling in here starting tomorrow. Cultured items are also dropping.
Both Block and Barrel also firmed up at the CME. We lowered many prices as we replaced inventory so even though the market went up, we were able to lower your prices.
We all thank you for your patience and understanding as we work through this unprecedented situation. Thank you for your business and support.