MD_DA771                                                                
DA                                                                      
MD DA771 Whey Protein Concentrate  - Central and West                   

MADISON, WI.  January 12, 2017 (REPORT 2)                               

WHEY PROTEIN CONCENTRATE 34% - CENTRAL AND WEST                         

Whey protein concentrate 34% prices are mostly steady, but moved higher at 
the top end of the price range. Industry stocks remain tight and 
manufacturers say they need to turn down a lot of entreaties from customers 
because they do not have enough WPC34% to meet current obligations. Demand is 
further intensified by the seasonally strong demand for WPC 34% and higher 
whey protein concentrations used in sports nutrition and New Year's 
resolutions. Industry contacts report resales of WPC34% that meets infant 
formula and sports nutrition requirements are often made above reported 
market prices. A few contacts suggest market tone is flat for WPC34% that is 
interchangeable with other protein sources. Some buyers are sourcing their 
protein needs from alternative proteins or from suppliers outside the U.S. in 
order to assure coverage. According to the NASS Dairy Products report U.S. 
production of WPC (25.0-49.9% protein) during November 2016 totaled 16.1 
million pounds, 0.2% lower than one year ago, but 13.3% higher than October. 
Year to date total WPC (25.0-49.9% protein) production through November is 
163.2 million pounds, 19.3% less than January through November one year ago. 
Manufacturers' end-of-month stocks for WPC (25.0-49.9% protein) totaled 19.3 
million pounds, 21.3% lower than one year ago, but 7.0% more than October 
2016.

F.O.B. EXTRA GRADE 34% PROTEIN:  .8000 - 1.0675  MOSTLY:  .8500 - .9825 


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

November Total           28.2          + 49 

TOTAL, JAN - NOV        285.5          + 35
 1 China                140.7          + 73
 2 Mexico                36.8          + 32
 3 Canada                30.6          - 14
 4 Malaysia              16.8          + 247
 5 Indonesia              9.6          - 6


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-
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