Milling & Baking News - November 17, 2009 - 38

Ingredient Week 

 Bakery Flour

Bookings of bakery flour were limited
last week. Prices surged higher.
With wheat futures prices surging in
defiance of wheat supply/demand fundamentals, frustrated bakers were mostly on the sidelines. It formerly was a rule
of thumb that when the U.S. Department
of Agriculture raised U.S. wheat ending
stocks, as it did on Nov. 10, wheat prices
would come under pressure, even if only
temporarily. But wheat markets largely
shrugged off the government report and
continued to rally in response to a mix
of outside influences that exerted more
sway over wheat markets than the bearish fundamentals.
With advancing wheat futures prices
discouraging flat pricing, bakers turned
their attention to components. Several
cookie-cracker and specialty bakers covered the millfeed and cash basis components of soft flour bookings extending
into the first and second quarters of 2010.
In instances where bakers already owned
futures coverage, the activity completed
flour bookings. One miller said he was
urging buyers of flour milled from both
hard winter wheat and soft wheat to
book basis through old crop. In the case
of soft wheat, this was an especially important tactic, he said, given the quality
problems in the old crop and expectations plantings for the new crop would
be well below last year.
Volatility in the cash spring wheat
market kept spring grade users from
shifting to a more active stance in regard

Bakery flour

to adding to first-quarter 2010 ownership. Most activity during the week involved filling gaps in November-December coverage.
In the market for pan bread flour, coverage was nearly complete for November-December and about 50% taken for
January-March, reflecting little change
from the previous week.
Mill grind was 5½ to six days in the
Southwest, 5½ days in the Upper Midwest, six days in the Central states, 5½
to six days in the Northeast, 5½ days in
the Southeast and six days plus on the
West coast. MBN

 Family Flour

Sales of national and regional brands
of family flour were seasonally brisk.
Carlot list prices were unchanged.
With Thanksgiving just a couple of
weeks away, manufacturers indicated
several buyers pressed for expedited
shipments to meet seasonal demand and
to support advertising campaigns that
proved more successful than expected.
October was a strong month for the
category, with sales up 10% from a year
ago, according to one market analyst.
For the full year, though, data were less
impressive. Another market analyst indicated category volume in the 52 weeks
ended the last week of October was
down 0.67%. But in a category typically
experiencing annual decreases of 2% to
3%, the slim decline from a year earlier
was seen as an industry plus. Private
label manufacturers were thriving with

their 52-week volume up more than 9%
from the year-earlier span. MBN

 Semolina

Bookings of semolina, granulars and
durum flour were limited last week.
Prices advanced.
The price of choice milling hard amber
durum in Minneapolis moved up 10c, to
$5.80 a bu, although some quotes were
higher and others lower. With trading of
durum on the spot market lacking, it was
difficult to pin down values. The Canadian Wheat Board continued to offer milling durum held in store in Thunder Bay,
Ont., at the equivalent of $6.15 a bu.
That the large U.S. and Canadian
crops haven't exerted greater pressure
on prices was frustrating to pasta manufacturers. Pasta makers held extensive
coverage including about 75% of their
first-quarter 2010 needs and 25% to 30%
of their second-quarter needs. They were
reluctant to extend contract balances
much further in anticipation that ultimately prices would weaken.
Semolina shipments declined from recent weekly volume with millers pointing to seasonal factors. But for the year,
semolina sales remained buoyant reflecting strong consumer demand for pasta
in a weak economy. 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
Nov. 13 Nov. 6 Oct. 30 ago
Nov. 13 Nov. 6
Oct. 30 ago Choice milling 13% 5.80
+.10
-
9.75
Kansas City
cents per bu
Bakers short patent
14.55
1.20
1.35 16.15 Amber discount
10.00
-
-
10.00
Bakers standard patent 14.45
1.20
1.35 16.05 Durum discount
10@40
-
- 10@40
Second clear
12.50
-
- 13.00 Puffing premium
0
-
-
0
Third clear
5.80
-
-
5.80
Semolina
Minneapolis
Spring short patent
16.55
1.40
1.65 19.05 Bulk, f.o.b. Minneapolis, $ per cwt
- Change from - Year
Spring standard patent 16.45
1.40
1.65 18.95
Nov. 13
Nov. 6 Oct. 30
ago
High gluten
19.45
1.40
1.65 22.95
14.25
+.20
-.15
24.40
Whole wheat
16.45
1.40
1.65 18.95 Semolina
14.05
+.20
-.15
24.20
Specialty whole wheat 16.80
1.40
1.65 19.30 Granulars
13.95
+.20
-.15
24.10
Fancy spring clear
16.30
1.40
1.65 18.80 Flour
13.55
-
-
21.00
First spring clear
16.20
1.40
1.65 18.70 First clear
-
-
13.00
Rye, white
14.70
-0.10
-0.25 18.45 Second clear 11.00
Semolina - N.Y. 16.95
+.20
-.15
26.80
Chicago
Cracker
13.65
1.45
1.45 12.70
Nationally advertised family flour
Fancy cake
15.15
1.45
1.45 14.20
Dollars
New York
Nov. 13
Year ago
Winter/spring blend
16.95
1.20
1.35 18.55
Family patent, 2-25s papers 22.50
22.50
Spring standard patent 18.95
1.40
1.75 21.35
4-10s
18.25
18.24
High gluten
21.95
1.40
1.75 25.35
8-5s
18.40
18.40
Fancy cake
17.15
1.45
1.45 16.20
18-2s
21.76
21.76
Rye, white
17.20
-0.10
-0.25 20.95
Self-rising
+88c per bale +88c per bale
Los Angeles
Bakers standard patent 18.25
1.20
1.35 18.25
Pastry
18.45
1.20
1.35 16.60
38 / November 17, 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 - November 17, 2009

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