MD_DA350                                                    
DA                                                          
MD DA350 Dry Buttermilk (Central and East)                  

MADISON, WI.  July 21, 2016 (REPORT 29)                     

DRY BUTTERMILK - CENTRAL AND EAST                           
                                                            
CENTRAL: Dry buttermilk prices are higher this week in a quiet market. 
Buyers seeking dry buttermilk to meet certain specifications pulled 
prices higher in several instances. Central region dry buttermilk 
production is active in reaction to active butter making. Demand is 
mixed. Some market participants report increased inquiries from buyers 
this week while other contacts feel interest in dry buttermilk is 
unchanged from recent weeks. Several ice cream and frozen dessert 
manufacturers report increases in production and buyer interest, 
requiring them to purchase additional loads of dry buttermilk in order 
to meet demand. Inventories are mixed. Several manufacturers report 
tight inventories with little to no availability for spot sales. Other 
contacts are managing comfortable to long inventories. The market 
undertone is mixed. 
EAST: Dry buttermilk prices in the East region increased based on f.o.b. 
spot sales. Dry buttermilk production runs are driven by plant needs. 
Therefore, some operators continue to clear up dryer time by diverting 
supplies of condensed buttermilk to ice cream in lieu of increasing 
their dry buttermilk output. Inventories are moderate at most plants. In 
some instances, buyers report little success in locating individual 
supply outlets that are able to fill their interest level. Few dry 
buttermilk loads exchanged hands in cash markets this week. Overall, 
demand is fair to good, with contracted deliveries moving in a timely 
fashion. The dry buttermilk market undertone is firm.

F.O.B. CENTRAL/EAST:    .7600 - .8800                                                                                   


1100CT daniel.johnson@ams.usda.gov/Amy.L.Schmitz@ams.usda.gov
USDA/AMS/Dairy Market News, Madison, Wisconsin (608)557.7006
Dairy Market News website: http://www.ams.usda.gov/market-news/dairyy
Dairy Market News database portal: 
http://www.marketnews.usda.gov/mnp/da-home