MD_DA124                                                         
DA                                                               
MD DA124 Butter - Oceania                                        

MADISON, WI.  September 28, 2017 (REPORT 39)                     

OCEANIA                                                          
INFORMATION GATHERED  09/18/2017 - 09/29/2017                    
U.S. DOLLARS PER METRIC TON, FOB PORT                            

BUTTER:   

       Butter prices in Oceania firmed at the bottom of the price range. 
Some observers attribute some of the price strength to New Zealand's 
wetter than normal spring. The weather has resulted in lowered milk 
production estimates. That, coupled with continuing butter price 
strength in Europe, both are believed to be strengthening butter 
prices in Oceania. Domestic butter supplies in Australia in 
particular, remain tight. Retail prices are starting to generate 
comments from consumers. 
       January-July Australia butter exports, 7,017 MT, declined 50.5 
percent from the same period one year earlier, according to Eucolait. 
The range of monthly percentage changes in cumulative export volumes 
varies from -50.5 percent in July, to -36.7 percent in April. Export 
volumes and primary destinations are shown in the following table:
 
  		           Australia Butter Exports
                 	Main Three Destinations 
                 	   January-July 2017 
 
Destination       	Quantity(MT)   Percent of Total  
China                  1,550                21.2 
Malaysia               1,186                16.2 
Singapore              1,111                15.2
   
       At GDT Event 196 on September 19, the butter all contracts price, 
$6,026, increased 1.2 percent. The October contract, $6,110, increased 
1.3 percent.
                                                
82% BUTTERFAT:                           6,100 - 6,450           

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