Milling & Baking News - July 14, 2009 - 32

Ingredient Week 

 Bakery Flour

Bookings of bakery flour were heavy
last week. Prices continued to work
lower.
Users of all grades of flour were active, but most of the week's business
involved bookings of pan bread flour
milled from hard red winter wheat. With
wheat prices pressured by an expanding
winter wheat harvest, several bread bakers made substantial additions to JulySeptember ownership, with overall coverage for the quarter approaching 75%.
Additional bread bakers extended contract balances into October-December,
and one miller estimated flat coverage
for the fourth quarter at about 40%. Bakers continued to cover the futures component of prospective flour bookings
well into the first half of 2010.
Activity was similar in the case of
spring grades. Specialty bread bakers also
added to July-September coverage and
extended contract balances into OctoberDecember, but the extent of coverage fell
short of that seen in pan bread flour. This
was typical for the date. The outstanding condition of the spring wheat crop
was a factor with bakers hopeful a strong
crop would pressure pricing with the
approach of harvest. At the same time,
spring grade users were more active in
booking basis for both October-December
and January-March partly out of concern
the basis may strengthen should demand
for spring wheat increase because of
blending opportunities.
Activity in the market for soft flour

Bakery flour

was less brisk than what was evident in
the hard wheat flours. Cookie-cracker
and specialty bakers already held more
extensive coverage than the bread bakers, which accounted for the slower pace
of new business in that market.
There were discussions over the low
average protein of hard winter wheat harvested to date and what that might mean
for blending spring wheat flour with
flour milled from hard winter wheat this
crop year and baking characteristics. Baking quality testing was under way. New
crop wheat should mill well.
Regional quality issues with the soft
red winter wheat crop may require mills
to reach out further to procure their
wheat requirements.
Southwest mill grind was 5½ to six
days, Upper Midwest was five to 5½,
Central states was five to 5½, Northeast
was four to 4½ and Southeast was five
to 5½. California mills operated six days,
and Pacific Northwest units ran six. MBN

 Family Flour

Sales of national and regional brands of
family flour were seasonally sluggish last
week. Carlot list prices were unchanged.
In the market for private label family flour, there was heavy inquiry for
October-December pricing. Some of the
discussion led to contracting. Several
buyers found the recent break in wheat
prices proved too enticing to be ignored.
Early indications pointed to a more
aggressive promotion of family flour
during the upcoming fall baking season.

Aggressive discounting was suggested
as a possibility, and private label manufacturers indicated some of their buyers
planned to feature family flour in television promotions during the fall. MBN

 Semolina

Bookings of semolina, granulars and
durum flour were light last week. Prices
declined. At around $20.30 a cwt, the semolina price compared with $37.90 a cwt
a year earlier and was at the lowest level
since June 2007. The price of choice milling
hard amber durum in Minneapolis was $8
a bu, also the lowest since summer 2007.
Pasta manufacturers earlier covered
all of their prospective semolina needs
through September. Coverage beyond
September was minimal.
The California durum harvest was
completed, and the Arizona harvest was
70% completed by July 5 compared with
50% a week earlier and 82% as the recent
five-year average for the date.
North Dakota durum was 8% headed
on July 5 compared with 36% as the average for the date; Montana durum was
7% headed compared with 31% as the
average. Durum rated good to excellent
was 72% in North Dakota (a downward
adjustment of 14 percentage points from
a week earlier) and 80% in Montana. MBN

Bakers standard, Kansas City
Bulk, f.o.b. car, $ per cwt

No. 1 hard amber durum

Bulk, f.o.b. car, $ per cwt

Track, Minneapolis
- Change from - Year
- Change from - Year $ per bu
July 10 July 2 June 26 ago
July 10 July 2 June 26 ago Choice milling 13% 8.00
-.25
-.50 15.50
Kansas City
cents per bu
Bakers short patent
15.15
-0.50
-1.15 20.85 Amber discount
10.00
-
-
10.00
Bakers standard patent 15.05
-0.50
-1.15 20.75 Durum discount
10@40
-
- 10@40
Second clear
13.00
-
- 13.00 Puffing premium
0
-
-
0
Third clear
5.80
-
-
5.80
Semolina
Minneapolis
Spring short patent
15.75
-0.65
-1.40 21.80 Bulk, f.o.b. Minneapolis, $ per cwt
- Change from - Year
Spring standard patent 15.65
-0.65
-1.40 21.70
July 10
July 2 June 26
ago
High gluten
18.65
-0.65
-1.40 25.70
20.30
-.70
-1.20
37.90
Whole wheat
15.65
-0.65
-1.40 21.70 Semolina
20.10
-.70
-1.20
37.70
Specialty whole wheat 16.00
-0.65
-1.40 22.05 Granulars
20.00
-.70
-1.20
37.60
Fancy spring clear
15.50
-0.65
-1.40 21.55 Flour
17.85
-
-
34.00
First spring clear
15.40
-0.65
-1.40 21.45 First clear
-
-
16.00
Rye, white
15.70
-2.05
-1.85 31.45 Second clear 13.00
Semolina - N.Y. 23.00
-.70
-1.20
40.30
Chicago
Cracker
12.00
-0.30
-0.85 14.80
Nationally advertised family flour
Fancy cake
13.50
-0.30
-0.85 16.30
Dollars
New York
July 10
Year ago
Winter/spring blend
17.55
-0.50
-1.15 23.25
Family patent, 2-25s papers 22.50
22.50
Spring standard patent 17.90
-0.55
-1.35 24.30
4-10s
18.25
18.24
High gluten
20.90
-0.55
-1.35 28.30
8-5s
18.40
18.40
Fancy cake
15.50
-0.30
-0.85 18.30
18-2s
21.76
21.76
Rye, white
18.20
-2.05
-1.85 33.95
Self-rising
+88c per bale +88c per bale
Los Angeles
Bakers standard patent 18.45
-0.50
-1.15 23.50
Pastry
16.15
-0.50
-1.15 23.20
32 / July 14, 2009 Milling & Baking News

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

Cracker flour, Chicago
Bulk, f.o.b. car, $ per cwt

bakingbusiness.com / world-grain.com

http://www.bakingbusiness.com http://www.world-grain.com

Milling & Baking News - July 14, 2009

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