MD_DA540                                                         
DA                                                               
MD DA540 Dry Whey - West                                         

MADISON, WI.  February 09, 2012 (REPORT 6)                       

DRY WHEY - WEST                                                  
                                                                 

Western dry whey prices are lower this week.  Prices for the range and the 
mostly series are both weaker on the top side as various pricing indices are 
moving lower.  Contract sales are providing the bulk of the trade, although 
increased spot loads are finding their way to the market.  There is some 
pushback to contracted prices on the high side with buyers looking for lower 
priced offerings.  Export prices are below domestic pricing in many cases.  
Manufacturers are finding they need to price product lower to move quantity 
sales in the export market.  Dry whey futures prices for the first and 
second quarters of 2012 are indicating lower expectations for whey prices.    
The January 2012 Dairy Market News monthly average price for Western dry 
whey range was $0.6954 compared to $0.4101 for January 2011; the Western dry 
whey mostly series averaged $.7039 compared to $.4107 a year ago.
                                                               
NONHYGROSCOPIC:    .5300 - .7300   MOSTLY:    .6500 - .6950      

1100C Robert.Hunter@ams.usda.gov  608-278-4158