DairyProfit Update for Oct. 15, 2012
August dairy trade balance
The value of August 2012 U.S. dairy exports rebounded, surpassing $400 million for the 18th consecutive month. At $433 million, exports were up 8% from July, and equaled the total for August 2011. The fiscal year (FY) 2012 (October 2011-August 2012) total is $4.868 billion, up 16% from the same period in FY ’11.
At $258 million, the value of August 2012 imports was down 6% from July 2012, but 6% more than August 2011. FY ’12 imports, at $2.888 billion, are up 9% from the same period a year earlier.
At $87 million, August 2012 cheese imports were unchanged from July 2012 and August 2011. Y-T-D cheese imports are estimated at $963 million, down about 1% from a year ago.
‘Total solids’ trade
August 2012 U.S. dairy exports were equivalent to 14.2% of U.S. milk solids production, bringing the year-to-date percentage to 13.6%. August imports were just 3.2% as a percent of milk solids production.
Source: USDEC, NMPF
Angola top market for U.S. dairy cattle in August
It's not surprising U.S. female dairy cattle exports topped 3,000 head in August – that’s happened in 27 of the last 32 months. More surprising is the country leading all importers in August – Angola, with 1,488 head.
August marked the second month Angola imported U.S. dairy females; it also imported 1,440 head in May. Russia, with 1,195 head in August, remains the Y-T-D leading market, with 14,291 head.
August exports totaled 3,696 head, according to USDA’s Foreign Ag Service. The 2012 year-to-date (Y-T-D) total is 33,981 head, still lagging the 47,365 head for the same period in record-setting 2011.
More alfalfa hay exported
August 2012 exports of alfalfa hay totaled 156,547 metric tons, the highest monthly total since February, according to USDA’s Foreign Ag Service. August sales brought the 2012 total to 1.125 million metric tons, about 15% more than the same period a year ago.
The United Arab Emirates (UAE), Japan and China were the three leading importers in August, and UAE has now surpassed Japan in Y-T-D imports, at 329,026 metric tons.
U.S. exports of other hay totaled 146,666 metric tons in August, the highest monthly total since May. Through the first eight months of 2012, the total stands at 1.199 million metric tons, up about 6% from January-August 2011.
Japan, South Korea and UAE were other leading importers of other hay in August. Japan imported 722,922 metric tons of other hay from the U.S. during the first eight months of 2012, or about 60% of the total.
Digital-only weekly magazine to launch Nov. 14
Dairy producers will soon be receiving a new, digital-only weekly magazine with interactive content. DairyBusiness Weekly will debut on Nov. 14, containing news, features and advertising presented in a format designed for computer screens and mobile devices, according to Joel Hastings, a partner in DairyBusiness Communications.
The DairyBusiness editorial team, based in locations across the country, will produce unique content, including text, photography, audio and video components. Combined with curation from a variety of industry sources, the content will be interactive, allowing links to sources and original documents. Readers will have easy opportunities to quickly skim the stories for an overview, or dig further into the topics presented using online connections.
The initial circulation will be delivered free to DairyBusiness and HolsteinWorld magazine subscribers who have provided e-mail addresses. All dairy producers and industry participants across the U.S., Canada and internationally will have the opportunity to receive the publication free of charge.
To subscribe, go to dairybusiness.com; e-mail email@example.com with “DairyBusiness Weekly” in the subject line; or phone toll-free 1.800.334.1904 ext. 244.
MARKETS: Products steady, Class III futures mixed
Today's market closing prices:
Butter: unchanged, at $1.93/lb.
Cheddar blocks: unchanged, at $2.10/lb.
Cheddar barrels: unchanged, at $2.06/lb.
Grade A nonfat dry milk: unchanged, at $1.63/lb.
Extra Grade nonfat dry milk: unchanged, at $1.6350/lb.
Class III milk: mixed in a narrow range through December 2013; 2¢ to 7¢ lower, May-December 2013.
Based on current CME closing prices, the average for October-December 2012 is $20.92/cwt.; the full year 2012 average is $17.63/cwt.; and the 2013 average is $18.63/cwt.
Corn, soy, meal futures all lower
Corn: -11¢ to -15¢ through September 2013. The 2013 average is $6.94/bu.
Soybeans: -16¢ to +30¢ through September 2013. The 2013 average is $14.08/bu.
Soybean meal: -$5.70 to -$9.70/ton through September 2013. The 2013 average is $407.19/ton.
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For a sample copy of DairyProfit Weekly, or subscription information, visit www.dairyprofit.com or phone: 800-334-1904, ext. 244.
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