Nonfat Dry Milk - Central and East
USDA - Thu Feb 07, 10:32AM CST
MD_DA650

     Nonfat Dry Milk - Eastern and Central U.S.

     Report 6 - Released on February 07, 2019

     CENTRAL: Low/medium heat nonfat dry milk (NDM) trades were somewhat slower in the Central
     region. Prices are slightly down on the mostly series and mixed on the range. Mexican buying
     and bullish views from the skim milk powder inventories in Europe have spurred upward
     movement in recent weeks. Late last week and this week, some market momentum has seemed to
     slow down. Condensed skim has been shorter in supply, and buyers are paying overages.
     However, they expect this to change shortly with more milk making its way into all
     production. Recently produced NDM is still being sought by domestic end users, and buyers
     and sellers are making more trades around the $1 range. High heat NDM remains tighter and
     markets were quiet. Prices of high heat NDM continue to strengthen.
     EAST: With a lot of milk available in the East, low/medium heat nonfat dry milk production
     is active. The focus of a number of processors� manufacturing activities is to fill active
     orders as they don�t have uncommitted offers through the end of this month. Inquiries for
     low/medium heat nonfat dry milk are generally even to declining. Some buyers are taking a
     break to reevaluate market conditions. Inventories of low/medium heat nonfat dry milk are
     flat. Current prices are mixed on the range, but decreased on the mostly price series. High
     heat nonfat market prices are 2 cents up at the bottom of the range. The market tone is
     still solid, with limited stocks at the disposition of non-contractual buyers. Outputs are
     mostly made to order.

     The DMN monthly average of the range price series for Central and East low/medium heat NDM
     during January 2019 was $0.9669, compared to $0.6986 a year ago. The January 2019 monthly
     average of the range price series for Central and East high heat NDM was $1.0769 compared
     to $0.8988 a year ago.
     Prices for: Eastern and Central U.S., All First Sales, F.O.B., Extra Grade & Grade A,
     Conventional, and Edible Nonfat Dry Milk
     Price Range - Low & Medium Heat; $/LB:                 .9600 - 1.0300
     Mostly Range - Low & Medium Heat; $/LB:                .9800 - 1.0200


     Prices for: Eastern and Central U.S., All First Sales, F.O.B., Extra Grade & Grade A,
     Conventional, and Edible Nonfat Dry Milk
     Price Range - High Heat; $/LB:                         1.0700 - 1.1300

     Information for the period February 4 - 8, 2019, issued weekly

     Secondary Sourced Information:

     Wednesday at the CME Group, Grade A NDM closed at $1.0000, down from last week average price
     of $1.0095.

     The January 2019 NDM monthly average price, at the CME Group, is $1.0075 compared to
     $0.6926 the previous year.

     U.S. NDM Exports, H.S. Code 0402100000(FAS)
                      2018 Exports      % Change From
                      (Million Lb.)       1 Year Ago

     NOVEMBER Total        105.9          - 13

     TOTAL, JAN � NOV     1,461.3           + 22
      1 Mexico              705.1           + 26
      2 Philippines         170.7           + 16
      3 Indonesia           121.5           + 94
      4 Vietnam              76.0           + 92
      5 Malaysia             65.1           + 16

     Dairy Products Report � Nonfat Dry Milk, Human Summary
     Released February 4, 2019, by the National Agricultural Statistics Service (NASS),
     Agricultural Statistics Board, United States Department of Agriculture (USDA).

     Nonfat Dry Milk, Human  Production � States and United States:  2017 and  2018
                               Monthly Production (1000 pound       Percent Change from
                              November     October   November       November    October
     Region                       2017        2018       2018           2017       2018
     United States             141,440     125,067    130,493           -7.7        4.3

     Atlantic                   26,957      22,563     24,767           -8.1        9.8
        Pennsylvania            14,056      10,706     12,205          -13.2       14.0

     Central                    29,545      18,532     24,227          -18.0       30.7

     West                       84,938      83,972     81,499           -4.0       -2.9
        California              41,963      49,322     44,914            7.0       -8.9

     Other States 1/            85,421      65,039     73,374          -14.1       12.8
     1/ States not shown when fewer than 3 plants reported or individual plant operations could
     be disclosed.

     Nonfat Dry Milk, Human Production � Cumulative Production January - November
                     Cumulative Production     Percent Change
                           (1000 pounds)           from
     Report Month        2017         2018         2017
     November       1,671,138    1,598,978         -4.3

                                         Manufacturers' stocks end-of-month 3/
                              End of month stocks (1000 pounds)     Percent Change from
                              November     October   November       November    October
     Product                      2017        2018       2018           2017       2018
     Nonfat Dry Milk, Human    316,969     252,045    287,120           -9.4       13.9
     3/ Stocks held by manufacturers at all points and in transit.
                                           Manufacturers' shipments 4/
                              End of month stocks (1000 pounds)     Percent Change from
                              November     October   November       November    October
     Product                      2017        2018       2018           2017       2018
     Nonfat dry milk, human    121,488     118,620    105,000          -13.6      -11.5
     4/ For dry products, shipments of bulk goods.

     Published by:
     Dairy Market News - Madison, WI
     FLORENCE KONE-GONZALEZ, (608)422-8594
     Israel Weber, (608) 422-8601
     Email: Florence.KoneGonzalez@ams.usda.gov

     Additional Dairy Market News Information:
     Dairy Market News (DMN) by Phone: (608)422-8602
     DMN Website: https://www.ams.usda.gov/market-news/dairy
     DMN MARS (MyMarketNews): https://mymarketnews.ams.usda.gov/
     DMN Database Portal: https://www.marketnews.usda.gov/mnp/da-home