MD_DA540

     Dry Whey - Western U.S.

     Report 49 - Released on December 06, 2018

     Western whey prices expanded across the range. The mostly price series is unchanged at the
     bottom, but higher at the top. A few transactions driven by favored brands or specific buyer
     requirements drove the top end sales. Some industry contacts suggest whey supplies are more
     readily available in the West than other regions. Overall, however, whey stocks are still
     snug. Buyer demand is steady and there are shoppers that make regular inquiries. Whey is
     moving well through contracts. Whey production took a sizeable jump in October in response
     to favorable prices. As prices have moderated, so too, has whey production.

     DAIRY MARKET NEWS Monthly Averages
     The DMN monthly average of the mostly price series for West dry whey during November was
     $0.4530 compared to $0.4661 one month ago and $0.3213 a year ago.
     Prices for: Western U.S., All First Sales, F.O.B., Extra Grade & Grade A, Conventional, and
     Edible Dry Whey
     Price Range - Non-Hygroscopic; $/LB:                   .3700 - .5500
     Mostly Range - Non-Hygroscopic; $/LB:                  .4100 - .4800

     Information for the period December 3 - 7, 2018, issued weekly

     Secondary Sourced Information:

     NASS Dairy Products Report ± Whey Summary
     Released December 4, 2018, by the National Agricultural Statistics Service (NASS),
     Agricultural Statistics Board, United States Department of Agriculture (USDA).


     Dry Whey (Human) Production ± States and United States
                     Monthly Production (1000 pounds)   Percent Change from
                          Oct.      Sep.       Oct.       Oct.     Sep.
     Region               2017      2018       2018       2017     2018
     United States      79,271    70,015     85,549        7.9     22.2

      Atlantic          20,437    20,399     20,621        0.9      1.1

      Central           38,381    33,297     33,905      -11.7      1.8
       Wisconsin        26,706    24,231     24,563       -8.0      1.4

      West              20,453    16,319     31,023       51.7     90.1

     Dry Whey ± Cumulative Production January - October
                     Cumulative Production   Percent Change
                         (1000 pounds)         from
     Dry Whey             2017      2018       2017
      Total1           869,223   859,015       -1.2
      Human2           853,072   843,239       -1.2
     1. Excludes all modified dry whey products.
     2. Values are calculated from Dairy Products report data.

     Manufacturers' stocks end of month3
                     End of month stocks (1000 pounds)  Percent Change from
                          Oct.      Sep.       Oct.       Oct.     Sep.
     Dry Whey             2017      2018       2018       2017     2018
      Human             92,316    68,174     72,450      -21.5      6.3
      Animal             1,607     1,637      1,686        4.9      3.0
     Total              93,923    69,811     74,136      -21.1      6.2
     3. Stocks held by manufacturers at all points and in transit.


     CME Close
     The Extra Grade Dry Whey price at the CME Group on Wednesday closed at $.4450, compared to
     the weekly average price of $.4270 from last week.


     CME Group Monthly Averages
     The CME Group monthly average price for dry whey during November was $.4331, compared to
     $.5329 a month ago.
     Published by:
     Dairy Market News - Madison, WI
     MIKE BANDLI, (608)422-8592
     Email: mike.bandli@ams.usda.gov

     Additional Dairy Market News Information:
     Dairy Market News (DMN) by Phone: (608)422-8602
     DMN Website: http://www.ams.usda.gov/market-news/dairy
     DMN Database Portal: http://www.marketnews.usda.gov/mnp/da-home