MD_DA126

     Skim Milk Powder - Oceania

     Report 1 - Released on January 03, 2019

     Skim milk powder prices are higher. Production in the region continues to be active and
     consistent with recent weeks. Not much has changed this period from earlier in December.
     Lighter trading was noted this period, to no one¶s surprise. Most Q1 2019 production has
     been contracted. Efforts to contract for Q2 are underway, but not so much over the holiday
     period.

     The end of 2018 is a good time to review pricing over the last five years. Information
     showing the annual low and high price recorded in the Dairy Market News bi-weekly
     international price series is displayed for each of the last five years.

     OCEANIA SMP
     U.S. dollars per metric ton
     F.O.B. port*

     Year      Price Range
     2014     2,200 - 5,300
     2015     1,325 - 3,175
     2016     1,650 - 2,600
     2017     1,650 - 2,650
     2018     1,675 - 2,300

     *Dairy Market News bi-weekly price series
     Prices for: Oceania, All First Sales, Free on Board - Port, Conventional, and Edible Skim
     Milk Powder
     Price Range - 1.25% Butterfat; $/MT:                   2,100 - 2,400


     Information for the period December 24, 2018 -  January 4, 2019, issued biweekly

     Secondary Sourced Information:

     SMP exports from New Zealand January-November this year were down 11.3 percent from
     January-November 2017, according to CLAL. The table below shows top export destination
     country percent change comparing January-November 2018 with 2017. Exports to China were
     greater than the next four countries combined.

                       NEW ZEALAND SMP EXPORTS

                           % Change
     Destination           Jan.-Nov. 2018/2017
     China                  -5.2
     Malaysia               -6.1
     Philippines            -4.8
     Singapore             -10.0
     Thailand               -4.5

      At GDT event 227 on January 2, the SMP all contracts price, $2,201, increased 7.9 percent.
     The February contract price, $2,397, increased 16.7 percent.

     Published by:
     Dairy Market News - Madison, WI
     Eric Graf, 608.422.8590
     Email: eric.graf@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