MD_DA770                                                                        
DA                                                                              
MD DA770 Lactose - Central and West                                             

MADISON, WI.  August 24, 2017 (REPORT 34)                                       

LACTOSE - CENTRAL AND WEST                                                      

Lactose prices are unchanged on the range, but moved lower at both ends of the mostly 
price series. Industry contacts report block sales of lactose at lower prices. 
Lactose stocks are heavy and manufacturers seem to have a desire to clear inventories 
prior to Q4 contracting and the end of the year accounting. Production is generally 
steady. However, a few industry contacts suggest processors are trying to adjust the 
composition of ingredients produced in order to reduce the amount of lactose being 
made. Domestic lactose demand is steady, but international demand is mixed. The New 
Zealand milk production season is ramping up, and along with it, the calls for 
lactose for standardization. Demand within Southeast Asia is slow to develop with 
buyers waiting for good deals. Some industry contacts say they are seeing an increase 
of competition from European lactose.

Including spot sales and up to 3 month contracts.                               
F.O.B. EDIBLE, NON PHARMACEUTICAL   .2200 - .4700    MOSTLY:   .2800 - .3800    

1100CT mike.bandli@ams.usda.gov 608.422.8592
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