MD_DA530                                                         
DA                                                               
MD DA530 Dry Whey - Central                                      

MADISON, WI.  May 12, 2016 (REPORT 19)                         

DRY WHEY - CENTRAL       

Whey production continues to be strong in reaction to active cheese making 
in the Midwest. Several industry participants report an increase in sales. 
Many of these sales seem to be efforts to move slightly older product. 
With long stocks, manufacturers are alleviating some inventory pressure by 
moving product at a lower price. A few industry contacts feel that whey 
prices will continue to decline. However, specific needs for a handful of 
buyers are keeping particular brands of whey moving at higher prices. 
Overall, the market is flat. There is some report of international 
interest in the domestic whey market. The feeling is that there could be 
growth in exports if whey prices continue to be steady or lower. There is 
minimal activity in animal feed whey. Prices are steady to marginally 
lower. Some processors report moving small amounts of product. Some feed 
blenders report a small slowdown in sales due to higher calf prices. A 
handful of industry contacts suspect producers may be hesitant to purchase 
and raise veal calves due to market uncertainties. The NASS Dairy 
Products report noted U.S. total dry whey production for March 2016 
was 83 million pounds, down 4.5 percent from a year ago. January-March 
U.S. total dry whey production totals 241.7 million pounds, 0.7 
percent ahead of the same time span in 2015. The Central region 
accounted for 48 percent (39.2 million pounds) of U.S. human dry whey 
production in March. This production is 3.4 percent higher than a year 
ago. Total U.S. dry whey human month ending stocks for March were 75.9 
million pounds, 5.9 percent above a year ago.  

                                                                                                                                                                 
F.O.B. CENTRAL:    .1900 - .2975   MOSTLY:    .2000 - .2550      
F.O.B. CENTRAL: ANIMAL FEED MILK REPLACER:    .1250 - .2125  

1100CT Amy.L.Schmitz@ams.usda.gov 608.557.7004
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