Milling & Baking News - December 25, 2012 - 34

Ingredient Week 

Bakery Flour
Bookings of bakery flour remained brisk last week. Prices declined for the third consecutive week. Business in flour markets often is subdued in the days before Christmas, but this year, wheat futures prices breaking below long-standing ranges gave bakers a present they were eager to open early. Bakers took advantage of attractive pricing to fill gaps in January flour coverage and add to their ownership of FebruaryMarch flour needs. Some bakers locked in the futures component of prospective flour bookings into April-May. The activity was seen in all grades. A soft wheat miller indicated heavy bookings by cookie-cracker and specialty bakers resulted in some of his trade having covered about 75% of their flour needs for January-March. Also, individual confectionery bakers increased their flour orders because they inherited demand formerly served by Hostess. A few weeks ago, the pace of flour booking for the first quarter lagged what would be considered normal for the date. Bookings completed during the past couple of weeks made great strides toward restoring business to a normal pace and volume to more typical levels. One miller indicated bread bakers’ commitments to January-March flour contracts (combining finished bookings with transactions that lacked one or two components) now accounted for up to 80% of the prospective business for the quarter and bakers’ commitment to April-June

bookings accounted for 30% to 35% of the expected second-quarter business. With the exception of a major mill in the Southwest down last week, mills in most regions ran at least five days with some running the weekend before going down for Christmas Eve and Christmas Day. MBN

was taken into April-May.

MBN

Semolina
Bookings of semolina, granulars and durum flour expanded modestly last week. Prices posted minor declines. The price of choice milling hard amber durum quoted at a delivered Chicago/ beyond value was $10.50 a bu, down 10c from a week earlier. The Minneapolis price was $10.20. The softer tone in the durum market reflected wider price declines seen in the other wheat classes and other grains. Individual pasta makers with gaps to fill in January and February coverage did so as carrying charges in the cash durum market from the nearby to January-February evaporated. The week’s activity lifted estimates of pasta makers’ first-quarter 2013 semolina coverage to 75%, according to one durum miller. Semolina coverage in the second quarter of 2013 remained light with buyers balking at still stiff carrying charges that would apply to prospective April-June bookings. Durum mill grind was heavy ahead of Christmas week. Some mills ran a full seven days. Some units planned to take downtime only on Christmas Eve and Christmas Day this week. MBN

Family Flour
Sales of national and regional brands of family flour were limited last week. Carlot list prices were unchanged. Grocers’ orders for Christmas week were mostly filled. Nevertheless, manufacturers in some regions indicated the first half of the week was unusually busy for the date with a scramble to complete the final orders for the baking season. Volume for the baking season was said to be on par with a year ago, which was welcome in a market that typically sees a minor year-over-year decline. End-of-season product promotions saw 5-lb bags of family flour offered at around $2. In exceptional instances, even lower pricing was indicated. Volume was expected to drop off sharply after Christmas with grocers working down inventories. Sales were expected to revert to the routine in January and remain subdued until the weeks before Easter, the next occasion for an increase in home baking. Business in the market for private label flour was brisk. Declining wheat futures prices encouraged buyers to book additional coverage for JanuaryMarch. In some instances, coverage

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

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

No. 1 hard amber durum
S
Current Year

Track, Minneapolis — Change from — Year — Change from — Year $ per bu Dec. 21 Dec. 14 Dec. 7 ago Dec. 21 Dec. 14 Dec. 7 ago Choice milling 13% 10.20 -.10 -.10 12.00 Kansas City cents per bu Bakers short patent 20.25 -0.40 -1.30 17.50 Amber discount 10.00 — — 10.00 Bakers standard patent 20.15 -0.40 -1.30 17.40 Durum discount 10@40 — — 10@40 Second clear 14.00 — — 12.50 Pufﬁng premium 0 — — 0 Third clear …. ... ... 5.80 Semolina Minneapolis Spring short patent 19.25 -0.85 -1.60 21.10 Bulk, f.o.b. Minneapolis, $ per cwt — Change from — Year Spring standard patent 19.15 -0.85 -1.60 21.00 Dec. 21 Dec. 14 Dec. 7 ago High gluten 22.15 -0.85 -1.60 24.00 23.10 -.55 -.80 28.70 Whole wheat 19.15 -0.85 -1.60 21.00 Semolina 22.90 -.55 -.80 28.50 Specialty whole wheat 19.50 -0.85 -1.60 21.35 Granulars 22.80 -.55 -.80 28.40 Fancy spring clear 19.00 -0.85 -1.60 20.85 Flour 17.50 — — 19.10 First spring clear 18.90 -0.85 -1.60 20.75 First clear — — 13.00 Rye, white 20.60 -0.55 -0.90 20.15 Second clear 13.00 Semolina - N.Y. 25.80 -.55 -.80 31.40 Chicago Cracker 17.00 -0.85 -2.25 14.15 Nationally advertised family ﬂour Fancy cake 18.50 -0.85 -2.25 15.65 Dollars New York Dec. 21 Year ago Winter/spring blend 22.65 -0.40 -1.30 19.90 Family patent, 2-25s papers 24.12 24.12 Spring standard patent 21.65 -1.00 -1.40 23.15 4-10s n.a. n.a. High gluten 24.65 -1.00 -1.40 26.15 8-5s 18.62 18.62 Fancy cake 20.50 -0.85 -2.25 17.65 18-2s 20.64 20.64 Rye, white 23.10 -0.55 -0.90 22.65 Self-rising n.a. n.a. Los Angeles Bakers standard patent 25.70 -0.40 -1.30 21.60 Pastry 25.15 -0.40 -1.30 20.05
34 / December 25, 2012 Milling & Baking News

Spring standard, Minneapolis
Bulk, f.o.b. car, $ per cwt
$33.00 $29.00 $25.00 $21.00 $17.00 $13.00 D M J
Previous Year

S
Current Year

Cracker ﬂour, Chicago
Bulk, f.o.b. car, $ per cwt
$22.00 $20.00 $18.00 $16.00 $14.00 $12.00 D M J
Previous Year

S
Current Year

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Milling & Baking News - December 25, 2012

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