MD_DA650                                                                        
DA                                                                              
MD DA650 Nonfat Dry Milk - Central and East                                     

MADISON, WI.  June 25, 2015 (REPORT 25)                                         

NONFAT DRY MILK - CENTRAL AND EAST                                              
                                                                                
CENTRAL:  Prices for low/medium heat Central nonfat dry milk are 
unchanged to lower on a weak market. NDM producers indicate buyers are 
reluctant to shift out of the current hand-to-mouth purchasing pattern 
while the market shows weakness. Low/medium heat NDM production is active 
throughout the region as processors handle intakes from within the region 
as well as a few loads from the East. Some manufacturers also report the 
weak NDM market has also affected condensed skim pricing. Condensed skim 
buyers are bidding lower prices on f.o.b. condensed skim spot loads, 
anticipating some sellers will be willing to accept a discounted price 
compared to either discarding or drying and storing additional NDM. 
Low/medium heat inventories are moderate, with some manufacturers 
favoring cheese production over NDM. 
EAST:  Prices for low/medium nonfat dry milk moved lower on the full 
range, but held steady on the mostly.  Manufacturing milk volumes remain 
heavy in the East, keeping most drying operations near maximum capacity.  
Some manufacturers are selling condensed skim at significant discounts to 
reduce the strain on their drying operations.  Supplies are building.  
Demand is sluggish with many buyers only purchasing to cover their 
immediate needs, knowing future supplies will be readily available at 
possibly lower prices.  The market has a weak undertone.  High heat 
prices held steady in a lightly traded market.  Production and supplies 
are limited as most manufacturing facilities are focusing on low/medium 
heat production to better handle the heavy volumes of milk.

F.O.B. CENTRAL/EAST:  Includes EXTRA GRADE and GRADE A                          
LOW/MEDIUM HEAT:   .8700 -  .9800          MOSTLY:   .9100 - .9700               
HIGH HEAT:         .9950 - 1.1800                                               

1100CT Daniel.Johnson@ams.usda.gov & rick.whipp@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