MD_DA650                                                                        
DA                                                                              
MD DA650 Nonfat Dry Milk - Central and East                                     

MADISON, WI.  May 28, 2015 (REPORT 21)                                          


NONFAT DRY MILK - CENTRAL AND EAST                                              
                                                                                
CENTRAL: Nonfat dry milk prices are steady to lower. Production is 
steady to increasing as the spring flush has milk volumes up. Some 
additional drying took place over the holiday weekend in order to 
clear out additional volumes of milk. Sources indicate stocks on hand 
are building. Contacts indicate that the market is firming and 
interest is picking up, but pricing continues to be an issue. High 
heat prices are steady to higher. Production continues to be sporadic 
as manufacturers are choosing to using dryers for other products. 
EAST:  Prices for low/medium nonfat dry milk are steady to lower as 
the market continues to soften.  Production is active following the 
holiday.  Heavy drying is expected to continue as excess milk volumes 
from the flush, along with schools closing, swamp processing plants.  
Regional inventories continue to grow.  Spot interest is light due to 
the shorter work week.  Prices for high heat nonfat dry milk are 
higher at the top of the range.  Production is fairly light.  A few 
manufacturers who contemplate making high heat powder, due to 
diminishing stocks and good demand, find little time to do so with 
the volume of surplus milk supplies on hand.  To run high heat can 
lead to a significant cut in milk volumes processed.  In general, 
Eastern producers are comfortable with existing high heat inventory 
levels.  

F.O.B. CENTRAL/EAST:  Includes EXTRA GRADE and GRADE A                          
LOW/MEDIUM HEAT:   .9000 - 1.0200         MOSTLY:   .9300 - .9800               
HIGH HEAT:        1.0500 - 1.2500                                               

1100CT Daniel.Johnson@ams.usda.gov & Tara.Herbst@ams.usda.gov
USDA/AMS/Dairy Market News, Madison, Wisconsin 608.577.7000
Dairy Market News website: www.ams.usda.gov/dairymarketnews
Dairy Market News database portal: 
http://www.marketnews.usda.gov/mnp/da-home