U-S cheese demand is on the rise... and could force a record jump in milk prices for the upper midwest. Industry experts think prices could increase as much as 28 cents a gallon in the region next week. The ten percent hike would be the largest retail jump ever. About 75 percent of all milk produced in the upper Midwest goes to make cheese. Glen Jones is a dairy analyst with Sparks Companies in St. Paul. He says the good economy has more people buying foods with cheese.