Kevin Peterson recently published a column in Cheese Market News exploring changes we may see with the new CME dry whey spot. Here’s an excerpt:
Monday, March 12, marked the first session for the dry whey CME spot market. It took until Friday, and an offer of 29.25 cents per pound, until we finally saw our first trade. With the listing of dry whey, we now have spot markets for all five products (cheese blocks and barrels, butter, nonfat dry milk (NDM) and dry whey), reported on the weekly National Dairy Product Sales Report (NDPSR). The listing of this new market by the CME will finally give us price transparency for the dry whey market on a daily basis. Product that is eligible for trade at the auction will be U.S. Extra Grade dry whey between 41,000 and 45,000 pounds per car lot and less than 120 days old on the date of sale.