Milling & Baking News - December 8, 2015 - 42

Ingredient Week X

Sweeteners
Cash sugar markets were quiet last
week with trading at a steady pace and
prices unchanged. Dry dextrose contracting for 2016 was under way at levels
below initial offer prices.
Quoted prices for bulk refined beet
sugar for nearby through Sept. 30, 2016,
were steady at 32c to 33c a lb f.o.b. Midwest. Bulk refined cane sugar prices also
were unchanged at 33c to 35c a lb f.o.b.
plant, with 50-lb bags at 35.75c to 37.75c
a lb. Inquiry for 2016 continued with interest also shown for 2017.
Prices also were unchanged on the
West coast, but traders sensed tightness
was developing in cane supplies as buyers sought "cane only" sugar, which is
non-bioengineered, unlike beet sugar,
which is almost entirely from bioengineered seed. Cane sugar supplies may
tighten further if Mexico's export quota
is reduced to get the U.S. ending stocksto-use ratio down to the countervailing
duty suspension agreement minimum of
13.5%. The ratio was 15.3% in November.
The Louisiana sugar cane harvest was
64% completed as of Nov. 29 compared
with 68% as the 2010-14 average, the
U.S.D.A. said. Drier weather allowed
for a less challenging harvest in most
areas. One extension agent said yields
were 10% to 12% below last year. Some
traders expected the U.S.D.A. may lower
Louisiana's cane production estimates
but raise its estimate for Florida.

Beet and cane sugar
- Change from -
Dec. 4
Nov. 27 Nov. 20
Midwest beet 32.00 @ 33.00
-
-
Paciﬁc beet
37.00 @ 38.00
-
-
Cane*
33.00 @ 35.00
-
-

Year
ago
36.00
40.00
36.00

*Spot raw plus 8.6% plus 5.5c with 2% cash discount.

Raw cane
Delivered reﬁner, cents per lb
Dec. 4
26.00
25.85
25.85
25.85
25.85
25.60

Year
ago
24.00
24.20
24.65
24.90
25.00
25.00

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

J
Previous Year

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

Dec. 4
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 -
Nov. 27 Nov. 20
-.10
+.25
-.20
+.20
-
+.40
+.05
+.35
+.05
+.40
-
+.30

Spot soybean oil

Edible Oils
Bookings of edible oils and fats were
limited last week. Prices advanced.
Soybean oil prices were stronger. Soybean oil futures advanced partly in response to the Environmental Protection
Agency's announcement on increasing
biodiesel volume requirements for 2016
and 2017 under the Renewable Fuels

Standard. The advance defied some
bearish features in the market including
a disappointing weekly export transactions report and an unexpectedly high
Canadian canola crop estimate. The cash
basis on canola oil firmed.
Most soybean oil users continued to
book what supply was required to keep
contract balances extended 45 to 60 days,
but no more because of hopes a prospective record South American crop may begin to pressure futures. Basis coverage for
January-March increased to about 85%.
The E.P.A.'s final renewable fuel volumes for biodiesel were 1.9 billion gallons for 2016, up 170 million gallons
from 2015, and 2 billion gallons for 2017.
The U.S.D.A. indicated net export
sales of soybean oil during the week
ended Nov. 26 totaled 5,300 tonnes,
down 59% from the previous week and
down 82% from the prior four-week average. It was a marketing-year low.
Statistics Canada on Dec. 4 raised its
estimate of the Canadian canola crop to
17,231,200 tonnes, up 2,934,000 tonnes,
or 21%, from the September forecast and
up 5% from 16,410,100 tonnes in 2014.
The trade wasn't expecting such a wide
increase in the canola crop estimate.
Lard prices advanced on late bakingseason demand. Palm oil followed the
soybean oil market higher. Thinly traded cottonseed oil remained stubbornly
strong. Corn oil prices moved higher on
stronger domestic demand. MBN

Sweeteners

f.o.b. plant, cents per lb

Contract
Nearby
January-March
April-June
July-September
October-December
January-March

Negotiations with most refiners for
2016 dry dextrose contracts increased noticeably last week, and traders said some
business was completed. Initial contracted prices appeared to be mostly from $1
to $1.50 a cwt above 2015 contracted levels, although discussions ranged from flat
to as much as $2.50 a cwt above. All pricing was well below initial offers of $3.50
a cwt above 2015 levels from some refiners. Those offers expired in mid-October,
and there was little activity since then
until last week. Ideas were dry dextrose
supplies would be more available in 2016
than in the past couple of years when
price advances were more significant.
Contracting of liquid corn sweeteners
for next year was completed historically
early this year at increases of $3.50 to
$4.50 a cwt above 2015 contracted levels
as users sought to avoid the short supply
situation that plagued 2015. Since then,
there have been indications one major
refiner has switched some processing capacity from ethanol to corn sweeteners,
which may ease supply concerns. MBN

S
Current Year

42 / December 8, 2015 XMilling & Baking News

Chicago soybean oil futures
Bulk in tank cars, cents per lb
Dec. 4
- Change from -
Delivery
close
Nov. 27
Nov. 20
December 31.80
+3.05
+3.90
January
32.08
+3.00
+3.90
March
32.26
+2.92
+3.83
May
32.35
+2.83
+3.69
July
32.46
+2.75
+3.60
August
32.46
+2.70
+3.53

Edible oils
Bulk, cents per lb
Year
ago
32.01
32.08
32.30
32.53
32.77
32.81

Crude soybean oil
Bulk in tank cars, cents per lb
Delivery
Decatur, Ill.
December
30.80 @31.05
January
31.08 @31.33
February
31.17 @31.42
March
31.26 @31.51
April
31.81 @32.06
May
31.85 @32.10
June
31.91 @32.16

Western points
30.05 @30.30
30.33 @30.58
30.42 @30.67
30.51 @30.76
31.06 @31.31
31.10 @31.35
31.16 @31.41

- Change from - Year
Dec. 4 Nov. 27 Nov. 20 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

31.00
37.25

+3.25
+3.00

+4.25 33.50
+1.75 39.00

22.00

+1.50

+1.00 41.50

48.75
30.00

+2.50
+.75

+4.75 38.50
+.50 35.00

37.00
51.00

+.50
+.50

+3.25 41.00
+.50 58.75

59.50
38.50

+1.50
+2.00

+1.25 59.50
+2.00 35.00

62.00
38.25

-
+3.25

-
58.00
+4.00 39.00

bakingbusiness.com / world-grain.com

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

Milling & Baking News - December 8, 2015

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