USDA Oceania Skim Milk Powder 07/17 09:30

AMS_1038 MARS

Skim Milk Powder - Oceania

Released on July 17, 2025

Oceania skim milk powder (SMP) prices held steady during the reporting period, 
with only a slight increase at the low end of the price range. Spot inventories 
remain tight and production is limited while milk cows are dried off for the 
winter months. Domestic prices fell in recent weeks and are currently below 
export prices. Export demand remains strong, especially due to increasing 
concerns over European milk supply challenges. New Zealand futures prices for 
SMP gained strength, with contracts for quarter four trading above near-term 
contracts, reflecting expectations that prices will increase due to strong 
demand in the latter part of the year. This strength was similarly reflected at 
GDT event 384, where the SMP price index increased by 2.5 percent. However, 
sales of Oceania SMP were more limited at this event, with low-heat SMP only 
offered for the September and October contract periods and medium heat offered 
for September through December deliveries. Overall SMP volume was down compared 
to GDT event 383 but was higher than a year prior. Prices for the September 
contract ended higher than expected based on New Zealand futures prices prior 
to the event, and Oceania SMP prices were higher than European SMP prices for 
the September and October contract periods, where product from both regions was 
offered.

Prices for: Oceania, All First Sales, Free on Board - Port, Edible Skim Milk 
Powder
Price Range - 1.25% Butterfat; Dollars per Metric Ton: 2725 - 2825


Information for the period July 7 - 18, 2025, issued biweekly

Secondary Sourced Information:

During GDT event 384 on July 15, 2025, the average price for SMP across all 
contracts periods was $2,785 per metric ton, corresponding to a 2.5 percent 
increase in the SMP price index from the prior event. No Oceania SMP was 
offered for the August contract. The average price for the September contract 
was $2,751 per metric ton, with the September price index down 0.2 percent.

Dairy Australia recently released export data for Australia showing skim milk 
powder (SMP) export volumes from July 2024 - May 2025 were 146,819 metric tons, 
up 12.5 percent from the same time period a year earlier.

[0600059B]