MD_DA771                                                                
DA                                                                      
MD DA771 Whey Protein Concentrate  - Central and West                   

MADISON, WI.  April 07, 2016 (REPORT 14)                                

WHEY PROTEIN CONCENTRATE 34% - CENTRAL AND WEST                         

Whey protein concentrate 34% prices are mixed. While the price range 
contracted this week, the mostly price series expanded. Manufacturers report 
end users are sensitive to prices depending on the use of WPC34%. In some 
cases, buyers are balking at prices in the upper part of the range, while 
other buyers do not hesitate at all. Currently, some manufacturers report a 
few end users are switching back to other protein sources, such as nonfat dry 
milk, or are looking for lower prices for WPC34%. Other industry contacts say 
WPC34% demand is good, especially for specific brands. End users that are 
seeking these desired brands seem interested in getting coverage for current 
needs and are willing to pay more for the WPC34%. While production remains 
steady for most manufacturers, a few processors continue to make higher 
protein concentrations in lieu of WPC34%. Inventories are generally tight 
across the industry. The March 2016 Dairy Market News average of the mostly 
price series for Central and West whey protein concentrate 34% was $0.5852 
compared to $0.5750 one month ago and $1.0031 one year ago. NASS reports U.S. 
production of WPC (25.0-49.9% protein) during February 2016 (unadjusted for 
the extra production day in February 2016) totaled 15.5 million pounds, 8.0% 
lower than one year ago. Year to date WPC34% production through February is 
30.6 million pounds, 25.1% less than a year ago. Manufacturers' end-of-month 
stocks totaled 28.9 million pounds, 5.8% lower than one year ago, but 2.6% 
more than January 2016. 


F.O.B. EXTRA GRADE 34% PROTEIN:  .5400 - .7300  MOSTLY:  .5700 - .6500  


U.S. WPC < 80% Exports, H.S. Code 0404100500(FAS)
                     2016 Exports      % Change From 
                     (Million Lb.)       1 Year Ago

February Total            19.2           + 29

TOTAL, JAN - FEB          38.6           + 38
 1 China                  15.0           + 159
 2 Canada                  4.6           - 13
 3 Mexico                  4.4           - 14
 4 Malaysia                3.6           + 741
 5 Japan                   1.3           - 37


1100CT Mike.Bandli@ams.usda.gov (608) 557-7010
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