U.S. Dairy Exports Surge in February, Marking First YOY Volume Growth Since January 2023
Source: The DairyNews
After a challenging period of 12 consecutive months of year-over-year (YOY) volume declines, U.S. dairy exports experienced a significant rebound in February, as reported by the U.S. Dairy Export Council (USDEC). YOY milk solids equivalent (MSE) volume surged by 3.7%, setting a new February record.
This turnaround in fortunes was particularly notable as it marked the first time since January 2023 that the United States' key dairy products—milk powder, cheese, and whey—all recorded YOY gains.
U.S. cheese exports stole the spotlight, registering a remarkable 27% increase in volume to reach 41,854 metric tons (MT). This achievement marked only the seventh instance in history where U.S. cheese exports surpassed the 40,000 MT mark in a single month. February also witnessed the strongest month ever for daily U.S. cheese exports. While Latin America remained a significant market, optimistic developments were observed in Japan, the Middle East, and ongoing growth in China also contributed to the surge.
Meanwhile, nonfat dry milk/skim milk powder (NFDM/SMP) exports saw a notable uptick of 3.4%, reaching 65,214 MT. This marked the most significant YOY gain since August 2023, driven by a rebound in sales to Southeast Asia. Despite falling short of the volume record set in February 2023, U.S. shipments to Mexico remained robust at 29,465 MT.
Furthermore, WPC80+ continued its impressive growth streak for the seventh consecutive month, with sales rising by 10% (+597 MT). Brazil and China emerged as key markets, posting substantial gains.
In a surprising development, U.S. low-protein whey sales increased by 6.7% (+2,678 MT), primarily fueled by a significant rise in WPC under HS Code 0404.10.0500. YOY WPC shipments soared by 50%, with substantial gains in Indonesia and Mexico. However, concerns have been raised regarding potential misclassification of dry whey as WPC34, although the overall trend remains positive for U.S. dairy exports.
U.S. cheese exports stole the spotlight, registering a remarkable 27% increase in volume to reach 41,854 metric tons (MT). This achievement marked only the seventh instance in history where U.S. cheese exports surpassed the 40,000 MT mark in a single month. February also witnessed the strongest month ever for daily U.S. cheese exports. While Latin America remained a significant market, optimistic developments were observed in Japan, the Middle East, and ongoing growth in China also contributed to the surge.
Meanwhile, nonfat dry milk/skim milk powder (NFDM/SMP) exports saw a notable uptick of 3.4%, reaching 65,214 MT. This marked the most significant YOY gain since August 2023, driven by a rebound in sales to Southeast Asia. Despite falling short of the volume record set in February 2023, U.S. shipments to Mexico remained robust at 29,465 MT.
Furthermore, WPC80+ continued its impressive growth streak for the seventh consecutive month, with sales rising by 10% (+597 MT). Brazil and China emerged as key markets, posting substantial gains.
In a surprising development, U.S. low-protein whey sales increased by 6.7% (+2,678 MT), primarily fueled by a significant rise in WPC under HS Code 0404.10.0500. YOY WPC shipments soared by 50%, with substantial gains in Indonesia and Mexico. However, concerns have been raised regarding potential misclassification of dry whey as WPC34, although the overall trend remains positive for U.S. dairy exports.
