MD_DA650

     Nonfat Dry Milk - Eastern and Central U.S.

     Report 32 - Released on August 11, 2022

     Central: Low/medium heat nonfat dry milk (NDM) prices shifted lower at every facet excepting
     the top of the range this week. The top of the range held likely due to index based trading,
     but general spot trading activity is succumbing to limited export demand and more aggressive
     pushes from manufacturers to clear some stocks. Mexican demand has been somewhat quiet this
     summer. Cheesemakers in the region continue to report spot milk at discounts and therefore
     are less likely to require as much NDM to fortify. Even high heat nonfat dry milk has become
     more available, despite being generally tight for a vast majority of the year. High heat NDM
     prices shifted much lower on the bottom of the range, and contacts expect further drops in
     upcoming weeks. Condensed skim availability is unchanged, but contacts still say slight
     premiums are the norm.

     East: Spot trading of low/medium heat nonfat dry milk (NDM) in the Eastern region was on par
     with the Central region this week, but trading in general was quite slow as prices decreased
     at nearly all points. End users in the East are opting for WPC 34% when possible, which is
     also experiencing similar bearish pressure, but at a comparative value for those who can use
     loads interchangeably. Condensed skim is steadily available for production. Brokers have
     reported that producers are less hesitant to entertain bids at the lower end of the range,
     particularly when CME prices have moved as low as middle-high $1.40s. High heat NDM prices
     maintained on the top end, but some spots were reported at well under prices from recent
     weeks. All said, current market tones are under bearish pressure.
     Prices for: Eastern and Central U.S., All First Sales, F.O.B., Extra Grade & Grade A,
     Conventional, and Edible Nonfat Dry Milk
     Price Range - Low & Medium Heat; $/LB:                 1.5500 - 1.7400
     Mostly Range - Low & Medium Heat; $/LB:                1.6000 - 1.6500


     Prices for: Eastern and Central U.S., All First Sales, F.O.B., Extra Grade & Grade A,
     Conventional, and Edible Nonfat Dry Milk
     Price Range - High Heat; $/LB:                         1.7000 - 1.8975


     Information for the period August 8 - 12, 2022, issued weekly

     Secondary Sourced Information:

     U.S. NDM Exports, H.S. Code 0402100000(FAS)
                      2022 Exports      % Change From
                      (Million Lb.)       1 Year Ago

     JUNE Total          152.6             - 14

     TOTAL, JAN - JUNE    939.3              - 8
      1 Mexico            354.6              - 5
      2 Philippines       139.5              + 18
      3 Indonesia          92.5              - 2
      4 Malaysia           68.8              + 52
      5 China              60.1              + 3

     Published by:
     Dairy Market News - Madison, WI
     ISRAEL WEBER, 608-422-8601
     Email: israel.weber@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