MD_DA137                                                         
DA                                                               
MD DA137 Whole Milk Powder - South America                       

MADISON, WI.  February 16, 2017 (REPORT 7)                       

SOUTH AMERICA                                                    
INFORMATION GATHERED  02/06/2017 - 02/17/2017                    
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) shifted up, in line with recent upward movements at 
the GDT auctions. International and regional WMP demands are strong, 
but supplies are less than sufficient. Therefore, the market 
undertone is firmer. Brazil is paying the highest premiums for WMP, 
reflected on the top of the range. Meanwhile, countries outside 
Mercosur, such as Algeria and Russia, are paying lowest prices, 
mirrored on the bottom of the range. Some WMP offers within the 
Brazilian market can be found priced at $3,550/MT or above. According 
to the Ministry of Industry, Trade, and Services (MDIC), Brazil WMP 
imports during January 2017 totaled 8,324 MT, up 253% from the same 
period in 2016. From this total, imports from Uruguay, Argentina, and 
Chile represented 50%, 42%, and 8% respectively. At the GDT Event 181 
on February 7, whole milk powder (WMP) prices across all contract 
periods averaged $3,314 per metric ton, up 1.0% from the last event. 

26% BUTTERFAT:                           2,900 - 3,500           


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