US nonfat dry milk prices hit record high in May
Butter and dry whey decline as cheese edges higher
2 July 2026
1 minute read
By: Wholesale dairy product prices moved in mixed directions between the weeks ending April 11 and May 9, with nonfat dry milk surging to record levels while butter and dry whey declined, according to the USDA's May livestock, dairy and poultry outlook.
The price of nonfat dry milk rose 30.01 cents per pound to $2.0231, while Cheddar cheese (40-pound blocks) edged up 1.15 cents to $1.6595. Butter fell 9.68 cents to $1.6799 per pound and dry whey slipped 0.43 cents to $0.6415.
Spot prices for nonfat dry milk at the Chicago Mercantile Exchange continued to climb through April and into May, reaching a new record daily high of $2.2950 per pound during the week ending May 9. The CME weekly average crossed the $2.00 threshold during the week ending April 11, averaging $2.0228 for the week ending May 2 and $2.0231 for the week ending May 9. Demand remains strong, inventories are tight and spot loads for immediate needs remain limited, according to USDA Dairy Market News regional reports published May 14.
Nonfat dry milk and skim milk powder production from January through March was 6.5% higher than in the same period of 2025. First-quarter exports of dry skim milk products were 4.9% higher year over year, while domestic use in the first quarter was 74.3% higher than in the same period in 2025. NDM stocks at the end of March were 10.8% below year-earlier levels.
On the international side, April export prices for butter and Cheddar cheese from Oceania and Western Europe declined from March but remained above US wholesale domestic prices. The export price for dry whey from Western Europe increased in April and was also above the US domestic price. The Oceania skim milk powder price rose from March but remained below the US nonfat dry milk price.
