MD_DA106                                                         
DA                                                               
MD DA106 Skim Milk Powder - Europe                               

MADISON, WI.  October 13, 2016 (REPORT 41)                       

WESTERN EUROPE                                                   
INFORMATION GATHERED  10/03/2016 - 10/14/2016                    
U.S. DOLLARS PER METRIC TON, FOB PORT                            

SKIM MILK POWDER (SMP):   

Skim milk powder prices in Europe are steady and current market 
activity is mostly quiet. Buyers are more focused on contracts 
for future delivery and are in no hurry to finalize commitments. 
Few export contracts are actively being worked on. There are 
some concerns with volumes of SMP currently held in public and 
private stocks, with European Commission estimates being up to 
one third of EU SMP production. However, publicly held 
intervention stocks are required to be disposed of in a way to 
avoid disturbing markets. The Dairy Market News September 2016 
monthly average for Western European SMP, $2,236/metric ton, is 
22.1% above September 2015. EU production of SMP January-July 
2016 is up 11.3% from the same period of 2015, according to 
Eurostat. The top three export destinations and present change 
in export volumes to the destinations are: Algeria, -20%; China, 
-9%; and Egypt, -28%.                  
                 
                                                                 
1.25% BUTTERFAT:                         2,200 - 2,400           

0930c Eric.Graf@ams.usda.gov 
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: http://www.ams.usda.gov/market-news/dairy
Dairy Market News database portal: 
http://www.marketnews.usda.gov/mnp/da-home