MD_DA640                                                         
DA                                                               
MD DA640 Nonfat Dry Milk - West                                  
      
MADISON, WI.  August 3, 2017 (REPORT 31)                          

NONFAT DRY MILK - WEST  

Western f.o.b prices for low/medium heat nonfat dry milk (NDM) are 
higher on both ends of the range and steady on the mostly price 
series. The market undertone is uncertain. Some processors are taking 
the wait-and-see approach, hoping that prices will further increase 
in the near future. As milk output in some Western states decreases, 
NDM production is also dropping to some extent. Supplies are steady 
to building up. Reports suggest that a number of manufacturers are 
running into limited storage problems. Domestic sales are steady. 
More contracted volumes continue moving to Mexico. F.O.B prices for 
high heat nonfat dry milk in the West move slight down on the range. 
Demand is steady. Production is limited outside of contracts due to 
limited drying time. Supplies are tight. Consequently, spot trade is 
limited. At the GDT Event 193 on August 1, 2017 skim milk powder 
(SMP) prices across all contract periods averaged $.8918 per pound, 
down 3.0 percent from the last event.

F.O.B. WEST: Includes EXTRA GRADE and GRADE A                   
LOW/MEDIUM HEAT:    .8150 - .9600   MOSTLY:   .8700 - .9200      
HIGH HEAT:          .9800 - 1.0650       
                        
1100CT Florence.KoneGonzalez@ams.usda.gov 608.422.8594
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