Milling & Baking News - September 15, 2015 - 52

Ingredient Week X

Sweeteners
Cash sugar markets were quiet with
a number of traders attending the
Kingsman Miami Sugar Conference late
in the week. Prices were unchanged, but
there were indications of weakness in
2016 values. Corn sweetener contracting
for 2016 was in its final stages.
Bulk refined beet sugar prices for
nearby through 2015-16 were steady
at around 33@35c a lb f.o.b. Midwest.
Bulk refined cane sugar prices also were
unchanged and mostly the same as beet
sugar prices through next year. Some
traders indicated pricing for 2016 was
more in the 32@34c-a-lb range, which
would be slightly weaker than recent
quotes, although 32.5c a lb f.o.b. Midwest
was indicated a couple weeks back.
New crop sugar was coming to market
as the beet harvest advanced ahead of
the average pace. As of Sept. 6, the beet
harvest was 9% completed in Minnesota,
8% in North Dakota, 8% in Michigan and
2% in Idaho, state U.S.D.A. offices said.
Beet crop ratings remained high with
good to excellent ratings below 80%
only in Montana. Louisiana's sugar cane
ratings were unchanged from a week
earlier at 61% good to excellent.
The vast majority of corn sweetener
contracting for 2016 has been completed
at increases of $3.50@4.50 a cwt, or
about 15%, above 2015 contracted levels,
although a number of buyers, especially
those who work through distributors,

Beet and cane sugar
- Change from -
Sept. 11
Sept. 4 Aug. 28
Midwest beet 33.00 @ 35.00
-
-
Paciﬁc beet
38.00 @ 40.00
-
-
Cane*
33.00 @ 35.00
-
-

Year
ago
38.00
40.00
37.00

*Spot raw plus 8.6% plus 6.7c with 2% cash discount.

Raw cane
Delivered reﬁner, cents per lb
Year
ago
25.30
25.30
26.40
26.85
26.65
26.60

Spot soybean oil
Decatur, Ill., bulk, cents per lb
55.00
50.00
45.00
40.00
35.00
30.00
25.00
M
Previous Year

Delivered basis, cents per lb
42% HFCS spot price1
Midwest
Northeast
Southeast
Southwest
West

Sept. 11
18⅞@ 19⅞
20¼@ 21¼
20⅜@ 21⅜
20@ 21
20⅞@ 22⅞

HFCS list price2

42% HFCS wet
Year ago
23.250
16⅜@ 18⅜
25.500
17¾@ 19¾
25.000
17⅞@ 19⅞
24.500
17½@ 19½
25.750
18⅜@ 21⅜

55% HFCS wet
27.250 net
29.750 net
29.500 net
29.000 net
30.250 net

Regular
corn
syrup3
27.250
29.500
29.500
30.500
31.750

Dextrose
East
37.00@39.00
Midwest 36.00@38.00
West
39.00@41.00

1-Variations in prices often tied to tank car versus truck deliveries. 2-Prices are the lowest available to the publication. 3-Regular 42 DE/43 Baume, f.o.b. tank cars, trucks

- Change from -
Contract
Sept. 11 Sept. 4 Aug. 28
Nearby
24.00
-.40
-.50
October-December 24.00
-.40
-.50
January-March
24.35
-.25
-.20
April-June
24.55
-.15
-.10
July-September
24.65
-.05
-.05
October-December 24.75
-
-

Edible Oils
Bookings of edible oils and fats were
light last week. Price changes were mixed.
Soybean oil prices traded sideways.
Soybean oil futures posted minor gains

in up-and-down trading. The cash basis
on soybean oil was unchanged, but the
market's tone was said to feel weaker.
Business was limited ahead of the release on Sept. 11 of the U.S. Department
of Agriculture's September Crop Production and World Agricultural Supply
and Demand Estimates reports.
Soybean oil users earlier took advantage of the lowest prices since 2006 to
extend contract balances on average to
about 60 days. Some large branded product manufacturers, principally snack
food and salad dressing manufacturers,
have more extensive coverage, some
well into 2016. But resellers continued to
play close to the vest, and most bakers'
coverage, like that of most other buyers,
was about 60 days forward.
Soybean oil basis coverage for the fourth
quarter was estimated at about 70%. Basis
coverage beyond December was light.
Cottonseed oil prices held at a wide
premium to soybean oil. That premium
was expected to begin to narrow in the
next few weeks as the 2015 cotton harvest begins to weigh in.
The premium to soybean oil asked for
refined canola oil in the Midwest narrowed slightly to around 6½c a lb as the
market weighed the impact of a larger
carry-in supply than expected against a
2015 crop reduced by drought.
Palm oil futures have been on the rise,
and this was reflected in a firmer tone to
prices in the United States. MBN

Sweeteners

f.o.b. plant, cents per lb

still had business to conclude. Some
buyers awaited responses from corn
refiners who indicated they were
assessing how much material they
already had contracted versus how
much they plan to produce. Buyers with
product yet to contract seemed more
confident that additional price hikes
were not forthcoming, at least in the near
term. At the same time, buyers who have
been holding out for smaller increases
from 2015 likely will not be satisfied as
there was no indication corn refiners will
budge from offered prices.
The U.S.D.A. in its World Agricultural
Supply and Demand Estimates report
on Sept. 11 forecast U.S. sugar carryover
on Oct. 1, 2015, at 1,730,000 short tons,
raw value, down 5% from 1,821,000 tons
forecast in August. The carryover on Oct.
1, 2016, was projected at 1,648,000 tons,
down 7% from August and down 5%
from 2015. The 2014-15 ending stocksto-use ratio was forecast at 14.2%, down
from 15.1% in August. The 2015-16
ending stocks-to-use ratio was projected
at 13.5%, down from 14.6% in August and
at the required minimum 13.5% outlined
in the suspension trade agreements
between the United States and Mexico. MBN

J
Current Year

52 / September 15, 2015 XMilling & Baking News

Chicago soybean oil futures
Bulk in tank cars, cents per lb
Sept. 11
- Change from -
Delivery
close
Sept. 4
Aug. 28
September 26.58
+.14
-1.21
October
26.65
+.12
-1.27
December 26.85
+.12
-1.32
January
27.18
+.15
-1.26
March
27.42
+.15
-1.22
May
27.66
+.18
-1.13

Edible oils
Bulk, cents per lb
Year
ago
32.16
32.55
32.77
33.03
33.33
33.56

Crude soybean oil
Bulk in tank cars, cents per lb
Delivery
Decatur, Ill.
September
25.83 @26.58
October
25.80 @25.90
November
25.90 @26.00
December
26.00 @26.10
January
26.33 @26.43
February
26.45 @26.55
March
26.57 @26.67

Western points
25.08 @26.08
24.90 @25.15
25.00 @25.25
25.10 @25.35
25.93 @26.18
26.05 @26.30
26.17 @26.42

- Change from - Year
Sept. 11 Sept. 4 Aug. 28 ago
Soybean oil,
Decatur
Loose lard, Chicago
Edible tallow,
Chicago
Cottonseed oil,
Miss. PBSY
Palm oil, ports
Palm kernel oil,
ports
Coconut oil
Peanut oil,
Southeast
Corn oil, Decatur
Sunﬂowerseed oil,
Midwest
Canola oil, Midwest

26.50
30.50

-
-.50

-1.50
-

35.50
44.75

29.00

39.00

44.50
29.75

+1.00
+1.00

-.25
+.50

50.00
37.50

36.25
51.00

+2.00
-1.50

+1.50 42.25
-1.50 53.50

59.00
41.75

+.50
-.25

-
-1.00

60.50
36.25

75.00
33.00

-
-.50

-
-2.00

63.00
38.50

bakingbusiness.com / world-grain.com

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

Milling & Baking News - September 15, 2015

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