The April 10 World Agriculture Supply and Demand Estimates showed the milk production forecast for 2018 is unchanged from last month. The 2018 import forecast is reduced slightly on a fat basis, but is unchanged on a skim-solids basis.
Exports on fat basis are unchanged from last month, but skim-solids-basis exports are raised on stronger sales of nonfat dry milk and skim milk powder, and lactose.
The annual product price forecast for cheese is unchanged at the midpoint although the range is narrowed. Butter prices are expected to increase more slowly in the second half of the year and the price forecast is reduced. The nonfat dry milk (NDM) price is reduced slightly on current prices. The annual whey price forecast is lowered on larger supplies and weaker demand.
The Class III price is lowered on the lower whey price while the Class IV price is down on lower NDM and butter price forecasts. The all milk price forecast is lowered to $15.60 to $16.10 per cwt.
The full WASDE report can be found at REPORT