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US whey exports to China down on WPC frenzy
US whey exports to China have fallen sharply this year compared to last year, not only due to the trade dispute between the two countries. The rapidly changing whey market also plays a major role.
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This is according to the USDEC, the American dairy export agency. Just like in Europe, an increasing portion of whey in the US is being used for the production of higher WPCs (from WPC80) and WPIs. This is good news for value addition in the chain. Less and less whey needs to be sold at relatively low prices and/or exported as animal feed.
The market for high-protein dairy products is growing rapidly and is characterized by high prices. WPC80 currently costs between €12.000 and €13.000 per ton, depending on quality and origin. WPIs fetch even more. WPI90 costs around €20.000 per ton.
The high-protein products are used for performance-enhancing and health-promoting nutrition, but also, for example, as an extra healthy coffee topping.
In the EU, too, it's clear that the whey market is increasingly coming under the spell of high-protein products. Ireland's Tirlan recently announced it will invest €126 million in the construction of a high-protein whey powder production facility at its Kilkenny cheese factory. Industry peer Glanbia plans to increase its annual production of WPI by 2027 through a new joint venture at its Clovis, New Mexico, facility. Many other dairy companies also want to produce more WPCs.