Food Business News - January 26, 2016 - (Page 37)

Market commentary for one-week period ended January 22, 2016 Sweeteners Cash sugar market activity remained slow, and prices mostly were unchanged, although a firming tone was noted in cane sugar. Corn sweeteners were routine but with a hint of tightness in some areas. Bulk refined beet sugar prices for nearby through Sept. 30, 2016, were unchanged at 32c to 33c a lb f.o.b. Midwest, and mostly around 32c. One processor was said to have raised its offer price based on losses to beet piles from warmer-than-normal winter weather, with such concerns also noted by other processors. At the same time, some other processors were said to have ample supplies and were more aggressive in their offers in an attempt to boost sales. Bulk refined cane sugar prices were left unchanged at 33c to 35c a lb f.o.b. plant with most sales still around 34c, although some traders suggested there was a firmer tone to cane prices due to tighter supplies. In its Jan. 12 World Agricultural Supply and Demand Estimates report, the U.S. Department of Agriculture lowered from December its forecast of 2015-16 U.S. cane sugar production by 57,000 short tons, raw value, due to reduced output from Texas and especially from Louisiana. Still, total cane production was expected to be up 20,000 tons from last year, and total domestic sugar production was forecast up 3% from 2014-15. Prices were unchanged on the West coast with tight cane sugar supplies also noted there. Sources indicated shipments of cane sugar from Mexico were light due to tight refined supplies there as the cane harvest got off to a slow start and due to shipping period restraints required in the U.S.-Mexico suspension agreements. The most recent Census Bureau data indicate U.S. imports of sugar from Mexico averaged 32,945 tonnes, raw value, monthly during the October-December quarter, after surging to 267,095 tonnes in September, the last month of 2014-15. There appeared to be growing sentiment that demand for nonbioengineered (non-G.M.O.) cane sugar is increasing at the expense of beet sugar, which comes almost entirely from bioengineered seed. The Hershey Co.'s switch to non-G.M.O. sugar, which it said was based on customer requests, announced early last year was expected to be completed sometime this year. No other companies have announced such a change, but several were said to be discussing it, and trade sources have noted increased inquiries for non-G.M.O. sugar for some time. Should the trend continue, traders expected a wider-thanusual price premium to develop for cane sugar over beet sugar. Corn sweetener markets were quiet, and shipments of contracted material were said to be moving as scheduled. Brokers in some areas indicated difficulty securing spot supplies of 42% highfructose corn syrup, but the trend was not widespread. FBN Beet and cane sugar f.o.b. plant, cents per lb - Change from - Jan. 22 Jan. 15 Jan. 8 Midwest beet 32.00 @ 33.00 - - Pacific beet 37.00 @ 38.00 - - Cane* 33.00 @ 35.00 - - Year ago 36.00 40.00 36.00 *Spot raw plus 7% plus 6c with 2% cash discount. Raw cane Delivered refiner, cents per lb Contract Nearby February-March April-June July-September October-December January-March - Change from - Jan. 22 Jan. 15 Jan. 8 25.60 -.40 -.30 25.60 -.40 -.30 25.70 -.40 -.30 25.78 -.22 -.17 25.80 -.15 -.15 25.50 -.15 -.15 Year ago 25.25 25.25 25.25 25.15 25.40 25.20 I.C.E. No. 11 raw sugar futures cents per lb 18 16 14 12 10 J A J O Sweeteners Delivered basis, cents per lb HFCS spot price1 2015 prices Midwest Northeast Southeast Southwest West Jan. 22 22⅜@ 23⅜ 23¾@ 24¾ 23⅞@ 24⅞ 23½@ 24½ 24⅜@ 26⅜ HFCS list price2 42% HFCS wet Year ago 26.750 18⅞@ 19⅞ 29.000 20¼@ 21¼ 28.500 20⅜@ 21⅜ 28.000 20@ 21 29.250 20⅞@ 22⅞ 55% HFCS wet 31.750 net 34.250 net 34.000 net 33.500 net 34.750 net Regular corn syrup3 31.75 34.00 34.00 35.00 36.25 Dextrose East 39.00@41.00 Midwest 38.00@40.00 West 41.00@43.00 1-Variations in prices often tied to tank car versus truck deliveries. 2-Prices are the lowest available to the publication. 3-Regular 42 DE/43 Baume, f.o.b. tank cars, trucks Delicious Honey. The 100% Pure and Natural Ingredient. Processed and packed in the newest facility in the United States. Strategically located in the Midwest allowing easy & cost-effective deliveries coast-to-coast. Amber, Light Amber, Extra Light Amber and Organic Honey available in drums, pails, totes and bulk trucks. FSSC 22000 certified and organic compliant. 888.SUGAR.99 January 26, 2016 FOODBUSINESS NEWS ® 37

Table of Contents for the Digital Edition of Food Business News - January 26, 2016

Food Business News -- January 26, 2016
Global turmoil clouds Unilever’s outlook
D.O.J. toughens stance on foodborne illness accountability
Dairy Business News - Competition spurring yogurt innovation
Table of Contents
Web Contents
Editorial - Food uncertainty in zero-rate era end
Jelly Belly sees opportunities in organic
Dang Foods adds onion chips to portfolio
Enjoy Life Foods on the cusp of enjoying greater growth
Bone broth debuts in a K-cup format
Brynwood Partners to acquire Sunny Delight Beverages
Krave founder in new food endeavor
A long road ahead for Chipotle
Oberto Brands to streamline operations
Hain Celestial under pressure in the U.S.
Inventure expands in frozen food
Kroger remains Wall Street darling
Wal-Mart to close 269 stores
Market Insight - Sugar intake in the spotlight
Ingredient Trends - Savory Flavors sliding into sweet applications
Ingredient Innovations - Egg replacer revelations
U.S.D.A. detects avian influenza in turkeys
New Food Products
Ingredient Market Trends - Iran likely to remain market largely lost to U.S. wheat
Ingredient Markets
Supplier Innovations and News
Ad Index
Food Business in the News

Food Business News - January 26, 2016