MD_DA124                                                         
DA                                                               
MD DA124 Butter - Oceania                                        

MADISON, WI.  March 02, 2017 (REPORT 9)                          

OCEANIA                                                          
INFORMATION GATHERED  02/20/2017 - 03/03/2017                    
U.S. DOLLARS PER METRIC TON, FOB PORT                            

BUTTER:    

Butter prices in Oceania firmed this week, reaching the highest 
level of 2017. This was expected as a consequence of the current 
deemed shortness of dairy fats in the region. Most sellers in 
Australia, deal with a pecking order of sorts, with preference 
in sales going to larger and longer term customers. Buyers who 
do not fit that description struggle to secure deliveries. 

That has contributed to Australian butter exports declining 
while New Zealand, with a lower population, experienced 
increasing butter exports.

Australia butter exports during 2016, 19,992 MT, were 10.7% 
lower than during 2015 according to Eucolait. Main destinations 
were Singapore, 16.9%; Malaysia, 10.9%; and Hong Kong, 9.7%.

New Zealand butter exports during 2016, 297,475 MT, were 5.5% 
higher than during 2015. Main destinations were China, 17.6%; 
Iran, 9.1%; and Egypt, 8.3%.

New Zealand butteroil exports during 2016, 230,445 MT, were 6.7% 
higher than during 2015 according to Eucolait. Main destinations 
were Mexico, 22.1%; Philippines, 10.5%; and China, 8.1%.

At GDT Event 182 on February 21, the butter all contracts price 
increased 0.2% but the March contract price decreased 2.7%. 
                                                               
82% BUTTERFAT:                           4,500 - 4,850           

0930c eric.graf@ams.usda.gov 
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