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flag US butter prices hit a three-year low in 2025 due to record production and surplus supply.

flag US butter prices have dropped to their lowest level in over three years due to a near-record production season, with July output reaching 180 million pounds—the highest since 2011. flag Despite steady domestic demand, a surplus of cream and declining food service use have created a glut, prompting exports to Europe. flag Low prices are expected to persist into 2026 as production grows and consumption trends remain uncertain, potentially affecting cheese and fluid milk markets as well.

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