Milling & Baking News - February 26, 2008 - 60

Ingredient Week

Soy Products

Soy flour bookings were steady to
stronger last week. Prices were higher.
Most buying of soy flour was monthto-month due to high prices and concerns supplies could tighten during the
summer before new crop harvest. Some
processors slipped on delivery of new orders, with up to a three-week lead time
needed, while others remained current.
Soy flour shipments remained brisk.
The U.S. Department of Agriculture at
its annual Agricultural Outlook Forum
last week projected 2008 soybean plantings at 71 million acres, up 7.4 million, or
12%, from 63.6 million in 2007. Soybean
production was projected at 2,950 million
bus, up 365 million, or 14%, from 2,585 million bus in 2007. The average soybean price
for 2008-09 was projected at a record high
$11.50 a bu, above the projected record
high of $10.40 in the current year and the
long-standing high of $7.83 set in 1983-84.
Soy complex futures prices soared last
week with soybeans and soybean oil posting new record highs. Old crop soybean
contracts were well above $14 a bu. Buying
was spurred by renewed Chinese demand
for both soybeans and soybean oil, continued tight old crop supplies of soybeans
and strong outside commodity prices.
Net export sales of U.S. soybeans for
2007-08 during the week ended Feb. 14
were 630,600 tonnes, up 92% from the
previous week and even with the prior
four-week average, the U.S.D.A. said.
Export sales of soybean meal for 2007-08
were 48,600 tonnes, down 54% from the
previous week and 77% below the prior
four-week average, the U.S.D.A. said. Net
sales of 31,700 tonnes also were reported
for 2008-09. Soybean sales were within
trade expectations, while total soybean

Chicago corn and soy futures
Corn Futures
$ per bu
March
May
July
September
December
March
Soybeans
March
May
July
August
September
November
Soybean Meal
March
May
July
August
September
October

+7½
+8
+8½
+9¾
+12¼
+14½

+14¼
+14
+15¼
+17¾
+20¼
+22

4.30¼
4.42½
4.52
4.35½
4.20¾
4.26¾

+46¼
+47
+50¼
+53
+60
+73

+81
+79¾
+84¾
+90½
+97
+105½

7.78¼
7.94
8.09
8.13
8.18½
8.30¾

+2.40
+3.20
+5.30
+5.50
+9.00
+12.80

-.30
+1.60
+3.50
+4.70
+9.20
+12.00

228.90
234.90
239.60
241.10
242.50
244.10

bakingbusiness.com / world-grain.com

exceeded trade expectations. MBN

Corn Products

Oats

Corn meal sales were strong last week.
Price changes were narrowly mixed.
Steady to strong sales across all grit
sizes, from flour to flaking grits, were reported by corn millers. Some mills also
noted an increase in demand for corn
bran. Sales remained mostly month-tomonth due to high price levels. Corn
mills ran five to six days last week. Cash
corn remained readily available.
At its annual Agricultural Outlook Forum last week the U.S.D.A. projected 2008
corn planted area at 90 million acres, up 2
million acres from its baseline projections
released earlier in the month but down
3.6 million acres, or 4%, from 93.6 million
planted in 2006. The average corn price
for 2008-09 was projected at a record high
$4.60 a bu, up 60c from the projected record
high of $4 in the current year and $1.36
above the long-standing record of $3.24 in
1995-96. Corn production for 2008-09 was
projected at 12,810 million bus, compared
with 13,074 million bus in 2007-08.
Corn futures prices posted moderate
to strong gains last week, following other
commodities higher, including soybeans,
which set new all-time highs. Record high
crude oil futures prices last week also
were supportive for corn because of the
potential increased demand for ethanol.
Corn futures prices eased slightly after
the U.S.D.A. corn crop projection Friday.
Export sales of U.S. corn in the week
ended Feb. 14 were 1,141,400 tonnes for
2007-08, up 22% from the previous week
but 16% below the recent four-week
average, the U.S.D.A. said. Net sales
of 35,200 tonnes also were reported for
2008-09. Total weekly corn export sales

Bookings of food grade oat flakes were
strong as continued cold weather supported
hot breakfast cereal demand. Prices jumped
2c a lb, to a record high of 29.5@30.5c, due
to soaring oats futures prices. Forward
pricing of oats flakes was high still with
July and later contracts above $4 a bu.
The cash basis was unchanged in Minneapolis but continued weak in Canada as
oats futures prices advanced. Still, millers
were concerned high prices for other crops,
mainly spring wheat and durum, could
discourage oats plantings in 2008. MBN

Rice

Milled rice prices continued to move
higher last week. Long-grain rice was up
50c per cwt ($2 in two weeks) and parboiled $0.50@1 higher ($2@2.50 in two
weeks) while medium-grain rice, second
heads and brewers' grain all were firm to
50c higher. Rice bran was up $3@5 a ton
and hulls were steady. U.S. Department
of Agriculture world milled rice prices
were unchanged last week.
Rough rice futures were sharply higher
last week with the March contract again
setting an all-time continuous contract high
of $16.77 per cwt on Feb. 21 and other old
crop contracts above $17. Although weekly
export sales were disappointing, projections of reduced 2008 rice plantings were
supportive. At its annual Agricultural Outlook Forum the U.S.D.A. projected U.S. rice
planted area at 2.7 million acres, down from
2.76 million in 2007 and down from its earlier baseline projection of 2.8 million.
Net export sales of rice during the
week ended Feb. 14 were reduced by 400
tonnes, the U.S.D.A. said. MBN

Rice

Soy products

- Change from - Year
Feb. 22 Feb. 15 Feb. 8 ago
5.22¼
5.35
5.46¾
5.47¾
5.50¼
5.59¼
$ per bu
14.20
14.38¼
14.52¾
14.41
14.10
13.90½
$ per ton
361.20
368.20
372.80
369.20
365.00
350.50

meal sales were below expectations. MBN

Defatted, f.o.b. Midwest plant, $ per cwt
- Change from -
Feb. 22
Feb. 15
Feb. 8
Soy flour
Bulk
22.34 @ 23.31 +.15@ +.37 +.26 @ -.01
Sacked
24.31 @ 24.34 +.37@ +.15 +.23 @ +.02

Corn meal
$ per cwt
Feb. 22
Chicago, bulk
15.33@ 19.90
Chicago, sacked 17.10@ 21.73
New York, bulk
17.00@ 21.63
New York, sacked 19.42@ 24.02

- Change from -
Feb. 15
Feb. 8
+.13@-.16 +.28@+.22
+.13@-.16 +.28@+.22
+.13@-.16 +.28@+.22
+.13@-.16 +.28@+.22

Oats
- Change from -
Minneapolis
Feb. 22
Feb. 15 Feb. 8
Food grade flakes, f.o.b.,
bagged, $ per cwt
29.50@30.50 +2
+2
Milling quality oats, No. 2 heavy,
$ per bu
3.84
+26c
+34c
Oat hulls, $ per ton
25@35
-
-

Offers f.o.b. mills, $ per cwt, bagged
- Change from - Year
Cash
Feb. 22
Feb. 15 Feb. 8 ago
Long grain
26.00@26.50 +0.50 +2.00 19.00
Medium grain 25.00@26.00 +0.50 +1.00 20.00
Parboiled
28.50@31.50 +1.00 +2.00 20.00
Second
heads, bulk 16.00@18.00
-
- 14.00
Brewers
15.00@17.50
-
- 14.00
Rice flour
...
...
...
...
f.o.b. mills, $ per ton
Rice bran
105@118
+5.00 +5.00 90.00
Rice hulls
25@30
-
- 15.00
U.S.D.A. world price milled - $ per cwt
Long grain
14.29
-
- 12.05
Medium grain
14.10
-
- 11.87
Short grain
14.08
-
- 11.90
Broken
9.62
-
-
6.03
C.B.O.T. rough rice futures - $ per cwt
March
16.66
+0.47 +1.01 10.19
May
17.00
+0.49 +1.07 10.51
July
17.22
+0.47 +1.07 10.80
September
16.45
+0.77 +1.08 11.01
Milling & Baking News

February 26, 2008 / 61

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Milling & Baking News - February 26, 2008

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