MD_DA640

     Nonfat Dry Milk - Western U.S.

     Report 14 - Released on April 06, 2023

     In the West, the price range and mostly price series for low/medium fat nonfat dry milk
     (NDM) moved lower this week. Domestic and international demand for low/medium heat NDM is
     steady to lighter. Some stakeholders say spot sales are below previously forecasted levels.
     Spot loads of low/medium heat NDM are available for spot purchasing. Contacts report light
     demand and strong production of low/medium heat NDM are contributing to growing inventories.
     Milk is plentiful in the region, allowing for strong production of low/medium heat NDM.
     Plant managers say they are limiting their production of high heat NDM, while they focus
     drying schedules on the shorter drying times of low/medium heat NDM. Spot inventories of
     high heat NDM are tightening, as steady demand is outpacing production. Despite some bullish
     market conditions, high heat NDM prices moved lower across the range. Stakeholders say lower
     prices for high heat NDM are due to prices being tied closely to low/medium heat NDM, which
     has been moving in a bearish direction recently.

     The March 2023 Dairy Market News monthly average for the West low/medium heat nonfat dry
     milk (NDM) mostly series is $1.1955, compared to $1.2403 a month ago. The average for
     Western high heat NDM is $1.3543, compared to $1.4016 a month ago.
     Prices for: Western U.S., All First Sales, F.O.B., Extra Grade & Grade A, Conventional, and
     Edible Nonfat Dry Milk
     Price Range - Low & Medium Heat; $/LB:                 1.0800 - 1.2150
     Mostly Range - Low & Medium Heat; $/LB:                1.1000 - 1.1800


     Prices for: Western U.S., All First Sales, F.O.B., Extra Grade & Grade A, Conventional, and
     Edible Nonfat Dry Milk
     Price Range - High Heat; $/LB:                         1.2500 - 1.3975


     Information for the period April 3 - 7, 2023, issued weekly

     Secondary Sourced Information:

     The CME Group monthly average price for Grade A nonfat dry milk during March was $1.1662,
     compared to $1.2257 a month ago.

     U.S. NDM Exports, H.S. Code 0402100000(FAS)
                      2023 Exports      % Change From
                      (Million Lb.)       1 Year Ago

     FEBRUARY Total       139.0              - 1

     TOTAL, JAN - FEB     289.4              + 7

      1 Mexico            158.0              + 58
      2 Philippines        33.7              - 34
      3 Indonesia          22.4              + 3
      4 Malaysia           11.1              - 34
      5 China              11.1              - 35

     Published by:
     Dairy Market News - Madison, WI
     Andrew Mattheis, 608-422-8590
     Email: andrew.mattheis@usda.gov

     Additional Dairy Market News Information:
     Dairy Market News (DMN) by Phone: (608)422-8602
     DMN Website: https://www.ams.usda.gov/market-news/dairy
     DMN MARS (My Market News): https://mymarketnews.ams.usda.gov