MD_DA650                                                                        
DA                                                                              
MD DA650 Nonfat Dry Milk - Central and East                                     

MADISON, WI.  March 16, 2017 (REPORT 11)                                        

NONFAT DRY MILK - CENTRAL AND EAST                                              

CENTRAL: Low/medium heat nonfat dry milk (NDM) prices decreased on the top 
of the range and both ends of the mostly price series. Price changes for 
low/medium heat NDM result from adjustments based on spot sales and pricing 
indices. The low/medium heat NDM spot market saw slightly more activity than 
last week. However, some end users report being well stocked and have no 
urge to take on spot market NDM. Contacts propose various factors are 
putting downward pressure on low/medium heat NDM including: trade concerns 
with Mexico, a strong U.S. dollar and projected spring flush milk surpluses. 
Low/medium heat nonfat dry milk production continues apace with plentiful 
milk supplies. The low/medium heat NDM market undertone is uncertain. High 
heat NDM prices decreased on the bottom of the range. Spot market activity 
increased slightly. High heat NDM production is light. The market tone 
remains fair. Inventories are adequate for end users' needs.  

EAST: Low/medium heat nonfat dry milk (NDM) prices decreased on the top of 
the range and both ends of the mostly price series. Low/medium heat NDM 
production is not slowing down as milk remains readily available. The spot 
market was relatively active as producers attempt to clear stores of 2016 
production low/medium heat NDM. Domestic demand is steady, but some end 
users are stocked and expect lower prices to come. International demand is 
mixed. The market tone is unsteady. Prices for high heat NDM are lower on 
the bottom of the range. Supplies of high heat NDM remain tight. High heat 
NDM production is light, as dryer time is focused on low/medium heat NDM.

                                                                                
F.O.B. CENTRAL/EAST:  Includes EXTRA GRADE and GRADE A                          
LOW/MEDIUM HEAT:   .8000 -  .9650          MOSTLY:   .8300 - .8800               
HIGH HEAT:         .9900 - 1.1500                                               


1100CT daniel.johnson@ams.usda.gov 608.422.8605 
Israel.weber@ams.usda.gov 608.422.8601
USDA/AMS/Dairy Market News, Madison, Wisconsin 
Dairy Market News website: http://www.ams.usda.gov/market-news/dairyy
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-
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