MD_DA127 DA MD DA127 Whole Milk Powder - Oceania MADISON, WI. March 30, 2017 (REPORT 13) OCEANIA INFORMATION GATHERED 03/20/2017 - 03/31/2017 U.S. DOLLARS PER METRIC TON, FOB PORT WHOLE MILK POWDER (WMP): Whole milk powder prices in Oceania firmed at each end of the price range. Price strength is attributed to buyers returning to the market to secure supplies. In recent weeks with weakening prices, many buyers stepped back, relying on existing stocks as they evaluated trends. Now a number of current buyers are acting to assure needed stocks of WMP. New Zealand exports of WMP year to date January-February 2017 declined 8.9% from the same period one year earlier, according to Eucolait. Export volumes and primary destinations are shown in the following table: Main Three Destinations Jan-Feb 2017 Destination Quantity (MT) % of Total China 65,267 27.6% UAE 26,872 11.4% Algeria 17,469 7.4% There was about 10% more WMP offered at this GDT event than the prior event. Higher volumes offered reflects higher milk production in New Zealand which is attributed to more favorable weather. Some observers were concerned that the higher volumes might have weakened prices but they are now relieved that even with higher volumes, WMP prices slightly firmed. This has generated some hope for WMP prices moving forward. At GDT Event 184 on March 21, the WMP all contracts price increased 2.9% and the April contract price increased 3.9%. 26% BUTTERFAT: 2,850 - 3,125 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