Milling & Baking News - October 13, 2015 - 46

Ingredient Week X

Sweeteners
Refined beet and cane sugar prices were
unchanged last week with trading steady to
slightly more active. Negotiations continued
for 2016 dry corn sweetener contracting. The
U.S. Department of Agriculture raised its
forecast of 2015-16 sugar ending stocks.
But the major news for sugar last week
was agreement on the Trans-Pacific Partnership, which would grant Australia
65,000 tonnes additional quota annually
with a mechanism to gain a greater share
of the U.S. market going forward. The
industry awaited further details, but the
initial reaction from sugar users and producers was cautiously optimistic. There
was no impact on sugar pricing.
Bulk refined beet sugar prices for nearby
through Sept. 30, 2016, were unchanged at
33c a lb f.o.b. Midwest. Some processors
noted a recent uptick in activity after the
new fiscal year began Oct. 1, but also noted
there still was plenty of sugar to sell, in part
because of this year's large beet crop. Bulk
refined cane sugar prices held at around
34c a lb f.o.b. plant. Cane refiners continued to deal with limited raw cane supplies,
although the start of the U.S. cane harvest
should ease that tightness for some. West
coast prices also were unchanged.
The U.S. sugar beet harvest made
strong progress in most states during
the week ended Oct. 4. Only Wyoming
lagged year-ago and the five-year average pace, and harvesting in Michigan
advanced only two percentage points for

Beet and cane sugar
- Change from -
Oct. 9
Oct. 2 Sept. 25
Midwest beet 33.00 @ 33.50
-
-
Paciﬁc beet
38.00 @ 40.00
-
-
Cane*
34.00 @ 35.00
-
+1.00

Year
ago
37.00
42.00
38.00

*Spot raw plus 8.6% plus 6.75c with 2% cash discount.

Raw cane
Delivered reﬁner, cents per lb
Year
ago
27.00
27.00
27.05
26.95
26.70
26.16

Decatur, Ill., bulk, cents per lb
55.00
50.00
45.00
40.00
35.00
30.00
25.00
J

A
Previous Year

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

Oct. 9
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 -
Oct. 2 Sept. 25
+.40
+.70
+.40
+.70
+.20
+.40
+.20
+.35
+.20
+.20
+.15
+.10

Spot soybean oil

Edible Oils
Bookings of edible oils and fats were limited last week. Price changes were mixed.
Soybean oil prices edged higher. Soybean oil futures advanced. The cash

basis on soybean oil declined on expectations the heavy crush will continue.
Soybean oil users booked what supply
was required to keep contract balances
extended between 45 and 60 days while
awaiting the release on Oct. 9 of the U.S.
Department of Agriculture's Crop Production and World Agricultural Supply
and Demand Estimates reports. The reports failed to move soybean oil futures
one way or the other.
Basis coverage for the fourth quarter
of 2015 was complete in the case of food
manufacturers. Distributors were the
only buyers with fourth-quarter basis
yet to book. January-March basis coverage was estimated at 55%.
Cottonseed oil prices remained
strong, but when new crop seed begins
to be crushed, prices were expected to
slip, perhaps dramatically.
Canola prices followed soybean oil
prices with the premium to soybean oil
futures asked for refined canola oil in the
Midwest at between 6c and 6¼c a lb.
The cash palm oil market at New Orleans set 15-month highs early last week
but declined toward week's end. Malaysian palm oil futures also declined after
setting an early-week high. The palm oil
market sought to balance concern over the
expanding El Niño weather pattern that
may reduce production in coming months
and current heavy stocks estimated at
about 2.2 million tonnes in Malaysia alone.
Shipments were seasonally brisk. MBN

Sweeteners

f.o.b. plant, cents per lb

Contract
Oct. 9
Nearby
24.90
November-December 24.90
January-March
24.90
April-June
24.95
July-September
24.95
October-December 24.90

the week but still was ahead of average.
The sugar beet harvest in the four major
states was 44% completed compared with
27% as the 2010-14 average for the date.
The sugar cane harvest began in Louisiana and Florida.
In its Oct. 9 World Agricultural Supply and Demand Estimates report, the
U.S.D.A. forecast the U.S. sugar carryover
on Oct. 1, 2016, at 1,736,000 short tons,
raw value, up 5% from September and
up 2% from the current year, which was
lowered 2% from September to 1,697,000
tons. The 2015-16 ending stocks-to-use ratio was projected at 14.3%, up from 13.5%
in September and 13.9% in 2014-15.
Two refiners offered dry dextrose for
2016 at $3.50 a cwt above 2015 contracted
prices, but there were indications a third
refiner's offer may have been flat with
2015 pricing, although it wasn't known
if the buyer's 2015 price was above average. Buyers balked at the initial higher
dextrose offers, even though the hike was
in line with wet products, for which 2016
contracting was virtually completed.
World raw sugar futures rallied during the past two weeks, in part on unanimous forecasts of a global sugar deficit
in 2015-16, the first in six years. MBN

J
Current Year

46 / October 13, 2015 XMilling & Baking News

Chicago soybean oil futures
Bulk in tank cars, cents per lb
Oct. 9
- Change from -
Delivery
close
Oct. 2
Sep. 25
October
28.17
+.33
+.45
December 28.34
+.28
+.43
January
28.61
+.27
+.40
March
28.82
+.27
+.38
May
29.00
+.28
+.41
July
29.17
+.28
+.43

Edible oils
Bulk, cents per lb
Year
ago
32.28
32.44
32.71
32.95
33.13
33.32

Crude soybean oil
Bulk in tank cars, cents per lb
Delivery
Decatur, Ill.
October
26.92 @27.42
November
27.00 @27.50
December
27.09 @27.59
January
27.86 @28.11
February
27.97 @28.22
March
28.07 @28.32
April
28.16 @28.41

Western points
26.42 @26.67
26.50 @26.75
26.59 @26.84
27.11 @27.36
27.22 @27.47
27.32 @27.57
27.41 @27.66

Oct. 9
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

- Change from - Year
Oct. 2 Sept. 25 ago

27.50
30.00

+.25
-

+.25
-1.00

35.25
52.00

26.50

-.25

-2.50

30.00

43.25
30.75

-.50
-

-1.50
+.75

42.50
36.00

36.50
51.00

+.75
-

-1.25 45.50
+1.00 55.00

58.00
39.00

-
-1.00

-1.00
-1.00

60.00
36.00

72.00
34.50

-
+.25

-3.00
+.25

63.00
39.50

bakingbusiness.com / world-grain.com

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

Milling & Baking News - October 13, 2015

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