MD_DA640

     Nonfat Dry Milk - Western U.S.

     Report 1 - Released on January 05, 2023

     Domestic demand for low/medium heat nonfat dry milk (NDM) is steady. Stakeholders say spot
     sales were light around the holidays and have yet to pick up in the new year. Stakeholders
     say softening prices for loads of skim milk powder, produced in international markets, are
     contributing to lighter export demand for low/medium heat NDM. Spot loads of low/medium heat
     NDM are available for purchasing. Amid softening demand and available inventories, the price
     range and mostly price series for low/medium heat NDM slid lower this week. Drying
     operations are running busy production schedules, working through available supplies of
     milk. Production schedules are focusing on low/medium heat NDM, while high heat NDM
     production remains limited. Stakeholders say lower prices for low/medium heat NDM are
     putting some downward pressure on high heat NDM. Demand for high heat NDM is strong and spot
     inventories remain tighter.

     The December 2022 Dairy Market News monthly average for the West low/medium heat nonfat dry
     milk (NDM) mostly series is $1.4340 compared to $1.4628 a month ago and 1.6776 for the 2022
      average. The average for Western high heat NDM is $1.5397 compared to $1.5763 a month ago
     and 1.8250 for the 2022 average.
     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:                 1.2850 - 1.4975
     Mostly Range - Low & Medium Heat; $/LB:                1.3400 - 1.4650


     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:                         1.4350 - 1.5975


     Information for the period January 2 - 6, 2023, issued weekly

     Secondary Sourced Information:

     CME GROUP MONTHLY AVERAGES
     The CME Group monthly average price for Grade A nonfat dry milk during December was
     $1.3512, compared to $1.4056 a month ago.

     The CME Grade A nonfat dry milk price averaged $1.6587 for the year of 2022.
     Published by:
     Dairy Market News - Madison, WI
     ROMAN CARAMAN, 608-422-8593
     Email: roman.caraman@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