MD_DA640                                                         
DA                                                               
MD DA640 Nonfat Dry Milk - West                                  

MADISON, WI.  April 07, 2016 (REPORT 14)                         

NONFAT DRY MILK - WEST                                           

Prices for low/medium heat nonfat dry milk (NDM) are lower on a 
weaker market. The usage of NDM for cheese fortification is active. 
However, the interest from the bakery sector is steadily waning. Some 
buyers/end users continue putting pressure on the market anticipating 
lower prices in the near future. Compared to the previous week, 
f.o.b. spot sales have been more active. Condensed skim loads moving 
into dryers are slightly lower as ice cream manufacturers are pulling 
moderate volumes. As a result, low/medium NDM production is steady to 
slightly lower this week. Inventories are steady. Prices for high 
heat nonfat dry milk are lower. The market undertone is weak. Demand 
is sluggish. Sales are sporadic, dictated by contractual 
requirements. Production has been irregular throughout the week. 
Inventories are mostly steady. The March 2016 Dairy Market News 
monthly average for the West low/medium heat nonfat dry milk mostly 
series is $0.7433 compared to $1.0420 a year ago. The average for 
Western high heat nonfat dry milk is $0.9708 compared to $1.1750 a 
year ago. 
DAIRY PRODUCTS:  According to NASS, U.S. unadjusted production of 
human food nonfat dry milk during February 2016 totaled 144.9 million 
pounds, 3.9% lower than a year ago, but 5.7% above the previous 
month. The West region's unadjusted production totaled 93.8 million 
pounds, 5.7% lower than a year ago, but 14.1% above the previous 
month.

F.O.B. WEST:  Includes EXTRA GRADE and GRADE A                   
LOW/MEDIUM HEAT:    .6350 - .7850   MOSTLY:   .7050 - .7475      
HIGH HEAT:          .8200 - 1.0825                               


1100CT Angel.Teran@ams.usda.gov 608.557.7011
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