MD_DA530                                                         
DA                                                               
MD DA530 Dry Whey - Central                                      

MADISON, WI.  December 15, 2016 (REPORT 50)                      

DRY WHEY - CENTRAL                                               

The bottom of both the range and mostly price series moved higher this week. 
Manufacturers report solid demand and dry whey is moving well through 
contracts. A lot of the 2017 contracts are now in place. However, a few buyers 
are delaying purchases, opting to work through inventories and waiting to see 
what direction the market takes after the first of the year. The overall market 
tone is firming, but a few contacts say dry whey sales have slowed somewhat. A 
number of processors are watching Southeast Asian whey permeate purchases 
closely. The processors feel that whey and permeate purchases in the next few 
weeks, ahead of the Chinese New Year, will give a strong indication of what to 
expect in export whey markets over the next few months. The strength of the 
U.S. dollar in relation to other currencies has made it more difficult to be 
competitive in some price-sensitive export markets. Dry whey production is 
steady. Animal feed whey prices held steady this week. End users seem content 
to take whey through current contracts as opposed to making new purchases.

F.O.B. CENTRAL:    .3100 - .4400   MOSTLY:    .3700 - .4025      
F.O.B. CENTRAL: ANIMAL FEED MILK REPLACER:    .2700 - .3725      


1100CT Mike.Bandli@ams.usda.gov (608) 557-7010
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