MD_DA350                                                    
DA                                                          
MD DA350 Dry Buttermilk (Central and East)                  

MADISON, WI.  January 07, 2016 (REPORT 1)                   

DRY BUTTERMILK - CENTRAL AND EAST                           
                                                            
CENTRAL: Central dry buttermilk prices are unchanged to lower. Buyer 
interest outside of contracts is light. A few end users commented that 
their dressing/sauce/dry mix businesses are off to a slow in 2016, which 
is decreasing their need for dry buttermilk. Manufacturers note dry 
buttermilk inventories increased over the last few holiday weeks when 
plant intakes were near capacity. However, with a return of some hard 
ice cream manufacturing in the region, some condensed buttermilk volumes 
are clearing into that end use instead of adding to dry buttermilk 
inventories. The DMN monthly average of the range price series for 
Central and East dry buttermilk during December was $.8684, compared to 
$1.0215 a year ago.
DAIRY PRODUCTS: The NASS Dairy Products report noted U.S. dry buttermilk 
production during November totaled 7.9 million pounds, 10.5 percent 
lower than a year ago. Total U.S. dry buttermilk month ending stocks for 
November were 10.9 million pounds, 52.9 percent below last year.
EAST: Prices for dry buttermilk in the East region declined at the 
bottom of the range on lower f.o.b. spot sales. Some producers are 
starting to relax production schedules from heavy the holiday runs. 
However, output is enhanced somewhat by seasonally slow condensed 
buttermilk sales. Producers' supplies are growing in the region, as new 
dry buttermilk production supplements the holiday weekend volumes. 
Eastern producers are not aggressively pursuing sales since plants are 
not burdened by supplies. Overall, inventories are moderate. The market 
undertone is fairly quiet beyond contractual commitments. 

F.O.B. CENTRAL/EAST:    .7800 - .8850 
                       
1100CT Daniel.Johnson@ams.usda.gov/Janet.Linder@ams.usda.gov
USDA/AMS/Dairy Market News, Madison, Wisconsin (608)557.7006
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