MD_DA130 South America Dairy Market Overview Report 7 - Released on February 18, 2021 In the main agricultural regions of Brazil, Argentina, Paraguay, and Uruguay, summer weather continues to affect cow comfort. Milk output is seasonally lower off farms. Some dairy operations are decreasing cattle numbers. Market participants report that due to current drought conditions in some areas farmers are not producing as much silage as usual for the winter season. In addition, there are reports corn and soybean feed prices have increased. Market participants report soybean harvesting in Brazil is behind schedule compared to past harvesting seasons. Manufacturers continue to receive seasonally lower milk volumes. Butterfat demands are healthy in the cream-based dairy markets, especially from ice cream/frozen dessert processors. Information for the period February 8 - 19, 2021, issued biweekly Published by: Dairy Market News - Madison, WI JESSICA MUELLER, 608-422-8589 Email: jessica.mueller@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