U.S. skim milk powder exports forecast to fall 8%

Published 2024년 9월 3일

Tridge summary

The USDA Dairy World Markets and Trade report has revealed an 11% decline in US skim milk powder (SMP) exports through May 2024, with forecasted falls of over 8% to 741,000 tons. This downturn is primarily due to weak demand in Southeast Asian markets and increased competition, with major importers reducing purchases due to the strong US dollar. Despite indications of global inflation easing and potential economic stabilization in key markets like Mexico and Southeast Asian countries, US SMP exports have not improved. Additionally, the report anticipates that US SMP will become more price competitive in the second half of 2024, although it may not offset the losses incurred earlier in the year, especially as New Zealand and other major exporters have been more competitive.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

US skim milk powder (SMP) exports have been challenged to start 2024, down 11% through May, according to a recent USDA Dairy World Markets and Trade report. Exports are forecast to fall more than 8% to 741,000 tons, as performance has been hindered by weak demand from key markets in Southeast Asia, compounded by increased competition. Through May 2024, US SMP exports have experienced an 11% decline. In price sensitive Southeast Asian markets, major importers have reduced purchases, driven by a strong US dollar. Despite some signs of easing global inflation and potential economic stabilisation in many of the US major export markets, such as Mexico and many Southeast Asian countries, US supplies have not seen the pace of exports improve through the first five months of the year. US competitiveness has weakened relative to other major exporters like New Zealand, who have leveraged the strength ...

Source: The Cattle Site