MD_DA640                                                         
DA                                                               
MD DA640 Nonfat Dry Milk - West                                  

MADISON, WI.  September 28, 2017 (REPORT 39)                     

NONFAT DRY MILK - WEST                                           

Prices for western nonfat dry milk (NDM) are steady on the range, but 
moved lower at the bottom of the mostly price series. Industry 
contacts believe that NDM prices are more likely to move down than up 
due to moderate feed costs and milk production increasing seasonally. 
The market undertone is steady. With ice cream processors taking less 
condensed skim, more is going to the dryers. NDM supplies are long. 
Reports suggest that some loads of NDM are available in the spot 
market at discounted prices. With the approaching baking season, 
bakers are starting to take on more loads of NDM. However, in 
general, domestic sales are limited due to most buyers/end-users 
buying only what they need in the near-term. Contracted volumes are 
moving well. Due to limited supplies of NDM in Mexico, exports to 
Mexico are strong. Prices for high heat nonfat dry milk are steady on 
the range. The market tone is steady. High heat nonfat dry milk is 
mostly produced on an as need basis. As the result, stocks are 
limited as well as spot sales. 

F.O.B. WEST:  Includes EXTRA GRADE and GRADE A                   
LOW/MEDIUM HEAT:    .7900 - .9100   MOSTLY:   .8400 - .8700      
HIGH HEAT:          1.0000 - 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