Milling & Baking News - October 5, 2010 - 46

Ingredient Week 

Bakery Flour
A broad expansion in bakery flour
bookings developed last week in response to tumbling prices. The activity
extended to all grades.
Steep price declines in wheat futures
were the principal feature pressuring
flour prices. The lower pricing ignited
a flurry of activity in flour markets at
midweek and toward the week's end.
Bakers who earlier covered millfeed or
basis components of prospective flour
bookings took advantage of the slump in
futures to complete transactions for October-December and the first quarter of
2011. There also was significant flat pricing of flour for both the fourth quarter of
2010 and the first quarter of 2011. Component buyers who weren't prepared to
complete first-quarter bookings nevertheless covered the futures component
of a portion of their prospective flour
needs for the period.
It was estimated pan bread flour coverage for October-December increased
to about 80%. First-quarter 2011 coverage was estimated from 30% to as high
as 50%. Soft flour coverage was similar,
which was unusual for the date. Typically, cookie-cracker and specialty bakers, the principal users of soft flour, hold
more extensive coverage around this
date than the bread bakers.
Cash wheat premiums were weak in
Kansas City and dropped in Minneapolis. Mill bids on soft red winter wheat
were firm in comparison.
Millfeed prices continued to advance

Bakery flour

Family Flour
Sales of national brands of family flour
increased seasonally. Carlot list prices
were unchanged.
Grocers were ordering supplies for the
key home baking season. Manufacturing
lines were running full schedules. At the
same time, some regional manufacturers
noted the pace of shipments has been
slower to pick up compared with a year
earlier.
Gold Medal flour was available at
around $2.20 per 5-lb bag in some markets in the Southeast, but this was not a
particularly aggressive discount. Some
regional manufacturers have scaled back
trade activation programs from initial
plans because of higher wheat prices. MBN

Semolina
Bookings of semolina, granulars and
durum flour were limited last week.
Prices advanced.
The price of choice milling hard amber
durum quoted as a delivered Chicago/
beyond value was $9 a bu, which equated to a Minneapolis price of $8.70. The
25c-a-bu gain in the cash durum price

compared with a week earlier contrasted with a downtrend seen in the other
wheat markets. But until new crop durum supply begins to flow in greater volume into marketing channels, it was expected the durum market would remain
strong. Such movement was considered
imminent, however, and the market
soon should face its first real test in several weeks. One miller indicated the advancing durum market of the past few
weeks resulted in durum prices moving
to a wide premium to spring wheat prices after earlier trading for an extended
period at an unusual discount.
Pasta manufacturers earlier covered
about 90% of their prospective semolina requirements through December.
January-March coverage was estimated
at around 15%, and that coverage was
taken earlier.
The durum crop in North Dakota
was 75% combined as of Sept. 26 compared with 82% a year earlier and 94%
as the 2005-09 average for the date, the
U.S.D.A. said. Montana's durum crop
was 59% harvested, far behind 86% last
year and 94% as the average.
The U.S.D.A. estimated the U.S. 2010
durum crop at 111,350,000 bus, up 2%
from the August forecast and up 2%
from 109,042,000 bus in 2009. MBN

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

No. 1 hard amber durum

Bulk, f.o.b. car, $ per cwt
Oct. 1
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

early last week, but most component
buyers previously had taken their position in millfeed for the fourth quarter.
Mill grind was five to six days in the
Southwest, five to 6½ in the Upper Midwest, five to seven in the Central states,
4½ to six in the Southeast and Northeast,
six in the Pacific Northwest and five in
California. MBN

15.50
15.40
12.50
5.80

Track, Minneapolis
- Change from - Year $ per bu
Sept. 24 Sept. 17 ago Choice milling 13%
cents per bu
-1.85
-1.95 12.65 Amber discount
-1.85
-1.95 12.55 Durum discount
-
- 12.50 Puffing premium
-
-
5.80

Oct. 1
8.70
10.00
10@40
0

- Change from - Year
Sept. 24 Sept. 17 ago
+.25
+1.25 5.80
-
-
-

-
-
-

10.00
10@40
0

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

Semolina

16.55
16.45
19.45
16.45
16.80
16.30
16.20
13.90

-2.40
-2.40
-2.40
-2.40
-2.40
-2.40
-2.40
-

-2.10
-2.10
-2.10
-2.10
-2.10
-2.10
-2.10
-

13.45
13.35
16.35
13.35
13.70
13.20
13.10
15.45

Bulk, f.o.b. Minneapolis, $ per cwt
- Change from -
Oct. 1
Sept. 24 Sept. 17
Semolina
21.15
+.60
+3.10
Granulars
20.95
+.60
+3.10
Flour
20.85
+.60
+3.10
First clear
12.55
-
-
Second clear 10.50
-
-
Semolina - N.Y. 23.85
+.60
+3.10

15.10
16.60

-1.50
-1.50

-1.95
-1.95

11.25
12.75

Nationally advertised family flour

17.90
18.95
21.95
18.60
16.40

-1.85
-2.40
-2.40
-1.50
-

-1.95
-2.50
-2.50
-1.95
-

15.05
15.65
18.65
14.75
17.95

18.70
18.65

-1.80
-1.80

-2.25
-1.85

16.35
16.55

38 / October 5, 2010 Milling & Baking News

Year
ago
14.75
14.55
14.45
13.55
11.00
17.45

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

Dollars
Oct. 1
Family patent, 2-25s papers 22.50
4-10s
18.25
8-5s
18.40
18-2s
21.76
Self-rising
+88c per bale

Year ago
22.50
18.25
18.40
21.76
+88c per bale

bakingbusiness.com / world-grain.com

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

Milling & Baking News - October 5, 2010

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