MD_DA137                                                         
DA                                                               
MD DA137 Whole Milk Powder - South America: Southern Cone                               

MADISON, WI. January 19, 2016 (REPORT 3)                        

SOUTH AMERICA: SOUTHERN CONE
INFORMATION GATHERED 1/9/2017 - 1/20/2017                    
U.S. DOLLARS PER METRIC TON, FOB PORT                            

WHOLE MILK POWDER (WMP):  

In the Southern Cone of South America, f.o.b. export prices for whole 
milk powder (WMP) are unchanged. The bottom price of the range is 
reflecting moderate WMP export activity outside the Mercosur bloc, 
while the top is mirroring exports within the bloc, principally from 
Argentina and Uruguay to Brazil. Argentinian WMP production is 
unsteady in several balancing plants as processors are receiving less 
milk due to hauling issues caused by the current floods. WMP output 
is steady in Uruguay. In Brazil, WMP production is active as many 
processors are clearing more milk into dryers, instead of using the 
milk for other purposes. Demand for domestic Brazilian WMP is 
improving. Therefore, WMP imports from Brazil are slightly lower. 
Inventories are mixed in Argentina, steady in Uruguay and slightly 
higher in Brazil. According to the National Milk Institute (INALE), 
cumulative WMP exports from January to December 2016 from Uruguay 
totaled 127,075 MT, up 32% from the same period in 2015. At the GDT 
Event 180 on January 17, whole milk powder (WMP) prices across all 
contract periods averaged $3,283 per metric ton, down 0.1% from the 
last event.
26% BUTTERFAT:                         2,775 - 3,425

930CT Angel.Teran@ams.usda.gov (608)557-7011
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