MD_DA640

     Nonfat Dry Milk - Western U.S.

     Report 35 - Released on September 02, 2021

     Prices for low/medium heat nonfat dry milk (NDM) shifted higher, in the West, this week. The
     top of the price range moved up by $0.06, while the bottom of the range and both ends of the
     mostly price series increased by $0.025. Increased demand for skim milk powder in Asian
     markets is, reportedly, helping to push the price of NDM higher. Markets are bullish, with
     prices on the CME rising into the 1.30s at the start of the week. Domestic demand for
     low/medium heat NDM has held steady this week. Contacts report an uptick in international
     demand and note strong purchasing for export to Mexico. Spot purchasers are having more
     difficulty finding loads this week, as inventories have tightened. Production schedules are
     restricted as less milk is available for drying. Some plant managers are running lighter
     production schedules due to labor shortages. While production schedules of NDM are limited,
     drying operations are focusing their time on low/medium heat rather than high heat. The
     price range for high heat NDM shifted higher by $0.0175 at the bottom, and by $0.06 at the
     top. Sellers report a bullish market, and they are less likely to accept offers near the
     bottom of the high heat range. High heat NDM inventories are tight, as demand is ticking up.
     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:                 1.2250 - 1.3675
     Mostly Range - Low & Medium Heat; $/LB:                1.2600 - 1.2900


     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:                         1.3600 - 1.5025


     Information for the period August 30 -  September 3, 2021, issued weekly

     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