The FAO Dairy Price Index averaged 181.8 points in May, down 14.4 points (7.3 percent) from April, registering the third consecutive month of decline and setting the index value 44.3 points (19.6 percent) below its level one year ago. Quotations for all dairy products represented in the index fell in May, with the steepest drops registered for butter and cheese. Quotations for butter fell due to large seasonal supplies, especially in Europe, while those of cheese dropped, pressured by lower import demand amid high late season export supplies from Oceania. Despite continued high export availabilities and inventories, quotations for whole milk powder (WMP) and skim milk powder (SMP) declined only moderately, as low prices and renewed economic activities in China fuelled strong buying interests.