Milling & Baking News - May 29, 2012 - 50

Ingredient Week 

Bakery Flour
Bookings of bakery ﬂour were limited last week. Price changes were mixed. Flour markets were fairly quiet early in the week but became more active at midweek when wheat futures prices slumped. Individual bakers took advantage of the lower futures prices to complete contracts aimed at ﬁlling gaps in nearby coverage. Additionally, bakers with menu pricing to protect, or that supply buyers who do, continued to seem willing to book at least a portion of their ﬂour needs not only for the summer but into the fourth quarter as well. But ﬂat bookings took a backseat to action on components. Millers indicated several bakers locked in millfeed credits for the third and even fourth quarters, and some basis booking was in evidence. One miller suggested the basis activity especially involved spring grade users. Futures coverage was taken by individual bakers into the ﬁrst quarter of 2013. Cookie-cracker and specialty bakers put on additional soft ﬂour coverage for July-September. Even as the soft red winter wheat harvest expanded northward, domestic cash bids have held to date, though, most of the soft red winter wheat harvested has been tributary to Gulf export elevators, and the Gulf soft red cash basis has slumped. In the case of bread ﬂour, ﬂat coverage (reﬂecting completed contracts with all the components accounted for) of ﬂour needs for July-September was estimated at 35%, up slightly from the week before.

When component activity was considered, millers estimated baker commitments to ﬂour bookings for the quarter accounted for just more than 50% of the potential business. Flour shipments remained below expectations for the time of year. Bakers typically see demand for buns and rolls increase around Memorial Day. That demand was slow to develop this year, and mill demand remained disappointing. Flour grind was lighter than normal for the year, and slowed even more before the holiday weekend. MBN

Semolina
Bookings of semolina, granulars and durum flour were light last week. Prices continued to decline. The cash price of choice milling hard amber durum quoted as a delivered Chicago/beyond value was $9.25 a bu, down 25c from the previous week and the lowest price since November 2010. The Chicago price equated to a Minneapolis value of $8.95 a bu. The semolina price was the lowest since October 2010. Pasta manufacturers earlier covered about 75% of their prospective July-September semolina needs. The contracts will involve almost entirely of semolina milled from 2011 crop durum. Fourthquarter coverage, which would involve semolina milled from the much larger 2012 crop, was as yet minimal. Semolina shipments were seasonally sluggish, and durum mill grind struggled to achieve four days in most cases. The U.S. Department of Agriculture indicated North Dakota durum was 94% planted by May 20 and 90% emerged (41% as the average emergence for the date). The North Dakota crop’s condition was rated 93% good to excellent. Montana durum was 81% planted by May 20 (69% as the average for the date) and 24% emerged (31%). MBN

Family Flour
Sales of national and regional brands of family ﬂour were limited last week. Carlot list prices were unchanged. Seasonal doldrums were in evidence with regard to sales and shipments, although individual regional manufacturers saw an uptick in demand in response to production promotions. With those exceptions, demand for family ﬂour was routine with home baking slack for the warm months. The next signiﬁcant expansion in home baking typically does not take place until the late summer just before the beginning of a new school year. Most private label ﬂour buyers were booked for the summer, although there was business to be done with buyers who sought to capture as much beneﬁt as possible from declining wheat prices. Some buyers held partial coverage of ﬂour needs for the baking season. MBN

Bakers standard, Kansas City
Bulk, f.o.b. car, $ per cwt
$26.00 $23.00 $20.00 $17.00 $14.00 $11.00 M A N
Previous Year

Bakery ﬂour
Bulk, f.o.b. car, $ per cwt Kansas City Bakers short patent Bakers standard patent Second clear Third clear Minneapolis Spring short patent Spring standard patent High gluten Whole wheat Specialty whole wheat Fancy spring clear First spring clear Rye, white Chicago Cracker Fancy cake New York Winter/spring blend Spring standard patent High gluten Fancy cake Rye, white Los Angeles Bakers standard patent Pastry — Change from — Year May 25 May 18 May 11 ago 18.70 18.60 14.00 … 20.10 20.00 23.00 20.00 20.35 19.85 19.75 20.70 15.95 17.45 21.10 22.05 25.05 19.45 23.20 21.95 22.45 0.10 0.10 — ... -0.15 -0.15 -0.15 -0.15 -0.15 -0.15 -0.15 0.45 -0.45 -0.45 0.10 -0.10 -0.10 -0.45 0.45 0.10 0.10 1.75 1.75 — ... 0.75 0.75 0.75 0.75 0.75 0.75 0.75 0.25 1.65 1.65 1.75 0.40 0.40 1.65 0.25 1.75 1.75

No. 1 hard amber durum
Track, Minneapolis $ per bu May 25 Choice milling 13% 8.95 cents per bu 24.10 Amber discount 10.00 24.00 Durum discount 10@40 12.50 Pufﬁng premium 0 5.80 — Change from — Year May 18 May 11 ago -.25 -.50 13.70 — — — — — — 10.00 10@40 0
F
Current Year

Spring standard, Minneapolis
Bulk, f.o.b. car, $ per cwt
$33.00 $29.00

Semolina

31.00 30.90 33.90 30.90 31.25 30.75 30.65 21.50 19.15 20.65 26.50 33.60 36.60 22.65 24.00 27.60 26.60

Bulk, f.o.b. Minneapolis, $ per cwt — Change from — May 25 May 18 May 11 Semolina 21.30 -.75 -1.50 Granulars 21.10 -.75 -1.50 Flour 21.00 -.75 -1.50 First clear 17.50 — — Second clear 13.00 — — Semolina - N.Y. 24.00 -.75 -1.50

Year ago 33.15 32.95 32.85 16.80 11.00 35.85

$25.00 $21.00 $17.00 $13.00 M A N
Previous Year

F
Current Year

Nationally advertised family ﬂour
Dollars May 25 Family patent, 2-25s papers 24.12 4-10s n.a. 8-5s 18.62 18-2s 20.64 Self-rising n.a. Year ago 22.04 n.a. 16.96 19.14 n.a.

Cracker ﬂour, Chicago
Bulk, f.o.b. car, $ per cwt
$22.00 $18.00 $14.00 $10.00 M A N
Previous Year

F
Current Year

50 / May 29, 2012 Milling & Baking News

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Milling & Baking News - May 29, 2012

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