MD_DA350                                                    
DA                                                          
MD DA350 Dry Buttermilk (Central and East)                  

MADISON, WI.  January 14, 2016 (REPORT 2)                   


DRY BUTTERMILK - CENTRAL AND EAST                           
                                                          
CENTRAL: Prices for Central dry buttermilk are steady to lower. The 
market tone is mixed. While component values waffled during the last 
week, tighter spot availability is keeping price decreases in check. 
Manufacturers are drying quantities of liquid buttermilk coming off the 
churns as butter making is active. With the active ice cream production 
season a few weeks away, some dry buttermilk manufacturers are content 
to rebuild inventories while churning is active. These upcoming needs 
are also keeping manufacturers from clearing dry buttermilk loads 
outside of current and upcoming contract needs. Inventories are 
building.
EAST: Dry buttermilk prices are steady to lower at the top of the range, 
due to f.o.b. spot movement. Regional butter production continues to 
facilitate dry buttermilk output volumes, but at levels slightly lower 
than last week. Output rates will likely increase towards week's end as 
dryers that were down return to production. Some dry buttermilk market 
contacts suggest stocks are tight in the region. New production, in some 
instances, is already sold due to strong buyer interest from the ice 
cream and blends sectors. The market undertone is unsettled.

F.O.B. CENTRAL/EAST:    .7800 - .8725                       

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