COMMODITIES a widening gap Blocks of cheddar are holding stronger than barrels. 66 MAR-APR 2023 | DAIRYPROCESSING.COM By Nate Donnay | nate.donnay@stonex.com T he cheese market is either doing pretty good or pretty terrible, depending on where you're looking. In the United States, cheese is primarily priced based on the Chicago Mercantile Exchange (CME) spot cheese market. The only cheese that trades on this exchange is fresh Cheddar in 40-pound blocks and 500-pound barrels. Since November the spread between the two has widened out with the price of blocks holding up better than expected while barrels have been weak. BLOCKS AND BARRELS The main difference between the blocks and barrels, other than package type, is that blocks are colored yellow while barrels are white. Blocks are typically used to make slices or shreds of natural cheese. Barrels are typically melted down to ©piter2121-stock.adobe.comhttp://www.DAIRYPROCESSING.COM