MD_DA540

     Dry Whey - Western U.S.

     Report 10 - Released on March 07, 2019

     The western whey price slid lower at the bottom of the range, but moved higher at the top.
     The mostly price series held steady. Whey continues to move well through existing contracts,
     but spot market activity is quiet. However, a few buyers, needing specific brands of whey,
     jumped at the chance to secure a few loads. Industry contacts say international buyers will
     make the occasional inquiry, and in some cases, set up buys for later in the year. However,
     many of the buyers are not compelled by current U.S. prices. Buyers are also waiting to see
     what develops from trade talks between the U.S. and its trade partners. The overall market
     tone is unsettled as the Asian swine fever impacts new areas and CME activity continues to
     provide downward pressure on prices. Dry whey production is stable, and industry contacts
     suggest inventories are more available than a few months ago.

     DAIRY MARKET NEWS Monthly Averages
     The DMN monthly average of the mostly price series for West dry whey during February was
     $0.4405 compared to $0.4689 one month ago and $0.2416 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:                   .2950 - .5200
     Mostly Range - Non-Hygroscopic; $/LB:                  .3800 - .4550

     Information for the period March 4 - 8, 2019, issued weekly

     Secondary Sourced Information:

     NASS Dairy Products Report ± Whey Summary
     Released February 28, 2019, 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
                          Dec.       Nov.       Dec.       Dec.     Nov.
     Region               2017       2018       2018       2017     2018
     United States      84,390     73,040     73,196      -13.3      0.2

      Atlantic          21,531     20,623     21,350       -0.8      3.5

      Central           41,920     31,611     33,232      -20.7      5.1
       Wisconsin        29,803     22,588     23,819      -20.1      5.4

      West              20,939     20,806     18,614      -11.1    -10.5

     Dry Whey ± Cumulative Production January - December
                   Cumulative Production (1000 pounds)  Percent Change from
     Dry Whey             2017                  2018                2017
      Total1         1,036,904             1,007,909                -2.8
      Human2         1,017,269               989,248                -2.8
     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
                          Dec.       Nov.       Dec.       Dec.     Nov.
     Dry Whey             2017       2018       2018       2017     2018
      Human             97,032     64,526     65,141      -32.9      1.0
      Animal             1,654      1,404        848      -48.7    -39.6
     Total              98,686     65,930     65,989      -33.1      0.1
     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 $.3500, compared to
     the weekly average price of $.3510 from last week.

     CME Group Monthly Averages
     The CME Group monthly average price for dry whey during February was $.3559, compared to
     $.4640 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: https://www.ams.usda.gov/market-news/dairy
     DMN MARS (MyMarketNews): https://mymarketnews.ams.usda.gov/
     DMN Database Portal: https://www.marketnews.usda.gov/mnp/da-home