MD_DA124

     Butter/Butteroil - Oceania

     Report 49 - Released on December 09, 2021


     The Oceania butter price range contracted. Prices firmed at the low end but moved lower at
     the top. The high range pull back was driven by non-GDT sales from manufacturers. Some
     manufacturers who have been able to command a premium met price resistance. The low end
     strength reflects active contracting as buyers work to lock in supplies, motivated by
     disappointing milk production in the region so far. Few see any upside to pacing contracting
     in hopes of future price weakness.


     Oceania, 82% Butterfat, Free on Board - Port Butter
     Price Range - $/MT:                          5,525 - 5,900


     Information for the period November 29 -  December 10, 2021, issued biweekly

     Secondary Sourced Information:


     At GDT event 297, on December 7, 2021, the butter all contracts price, $5,791, increased
     4.6 percent. The January contract, $5,893, increased 4.9 percent.

     Australian exports of butter January-October 2021 increased 60.9 percent from January-
     October 2020 according to CLAL data made available to USDA. The greatest increase during the
     period was butter exports to China, which nearly doubled, and are greater than total exports
     to the next three export destinations combined.

     New Zealand exports of butter January-October 2021 decreased 5.5 percent from January-
     October 2020 according to CLAL data made available to USDA. The greatest increase during the
     period was butter exports to China, which increased 23.61 percent, and which is the largest
     export customer.








     Published by:
     Dairy Market News - Madison, WI
     Eric Graf, 608.422.8590
     Email: Eric.Graf@usda.gov

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