MD_DA650                                                                        
DA                                                                              
MD DA650 Nonfat Dry Milk - Central and East                                     

MADISON, WI.  April 27, 2017 (REPORT 17)                                        

NONFAT DRY MILK - CENTRAL AND EAST                                              
                                                                                
CENTRAL: Low/medium heat nonfat dry milk (NDM) prices saw a slight increase 
on the top of the range, but remained steady on the mostly price series. 
Spot market activity was expectedly light, but a few prices point to some 
firmness in the market. Reports on demand vary, but contacts report 
purchasing on the spot market only for situational purposes. Production and 
inventories of low/medium heat NDM are indicative of the surplus milk 
availability. The low/medium heat NDM market tone is uncertain. High heat 
NDM prices remain unchanged. Spot market trading was quiet. High heat NDM 
production and inventories are adequate for contractual needs.
EAST: Eastern nonfat dry milk (NDM) prices inched marginally higher at the 
top of the range. Some NDM producers are content to hold prices at the top 
of the range, based on the quality of product, while currently attracting 
limited interest. The undertone is unsettled. Spot demand is limited to a 
few replacement needs, as market sources report primarily unchanged market 
conditions. Production steadily increases. With additional milk available as 
supplies divert to butter/powder operations, plants are running NDM at/near 
capacity levels. The market suggests having balanced to heavy inventories on 
hand. Dryer schedules have increased. The NDM global market demand continues 
at light to moderate levels. High heat NDM market prices did not see any 
movement this week. Overall, the market is quiet, with very little new sales 
activity occurring at this time. Production scheduling is challenging as 
manufacturers opt to run high heat NDM only when necessary to meet regular 
customer needs. Wednesday's CME Group cash trading for Grade A nonfat dry 
milk closed at $0.8525, up $0.0050 from last Wednesday. 
F.O.B. CENTRAL/EAST:  Includes EXTRA GRADE and GRADE A                          
LOW/MEDIUM HEAT:   .8000 -  .9000         MOSTLY:   .8300 - .8600               
HIGH HEAT:         .9250 - 1.0500                                               

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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