MD_DA771                                                                
DA                                                                      
MD DA771 Whey Protein Concentrate  - Central and West                   

MADISON, WI.  November 19, 2009 (REPORT 46)                             

WHEY PROTEIN CONCENTRATE - CENTRAL AND WEST                             

Whey protein concentrate 34% prices are higher and the market tone is strong.  
Three main factors are decreasing WPC 34% production this week:  low milk 
intakes in the West, integrated operations choosing butter and powder production 
instead of WPC 34% production, and various plants declining relatively high 
priced spot loads of condensed solids.  With few exceptions, manufacturer 
inventories are snug and delays in shipping contract loads are occurring.  The 
contracting process for 2010 is in its early stages.  Various manufacturers are 
sending out 2010 contract offers containing pricing premiums to weekly index 
values that are reportedly steady to higher than 2009 premiums.  Some plans for 
switching production to whey protein concentrates with higher protein profiles 
are leading a few manufacturers to decrease WPC 34% contracting activity for 
2010.       
                                                                        
F.O.B. EXTRA GRADE 34% PROTEIN:  .8100 - .8850  MOSTLY:  .8200 - .8450  

1100CT janet.linder@ams.usda.gov  608.250.3207