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  price, dairy farmers
Brazilian dairy farmers are waiting to see lower feed prices soon


Milk production in Argentina and Uruguay remain below last year levels. As a consequence, cheese and milk powders production is limited.

Fluid milk demand is fair to good, while cream supplies are reported as tight on a bullish market.

So far this year, the climate in Brazil has been generally good, favoring the quality and development of corn crops. A higher corn production is expected this year, starting from May, and dairy farmers are waiting to see lower feed prices soon.

Milk production in Brazil is stable, and the demand for bottled milk is strong.

With SMP supply below its demand, SMP export prices shifted up in South America. SMP production is unsteady, since condensed skim milk volumes available to dryers remain scarce. Furthermore, priority is given to WMP production, rather then SMP.

WMP export prices adjusted down. Condensed whole milk supplies remain tight throughout the region. Nevertheless, WMP stock levels are enough to meet most regional manufacturing needs. During the past two weeks, the export trading activity within and outside the Mercosur bloc has been light to moderated.


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