Milling & Baking News - January 5, 2016 - 40

Ingredient Week X

Sweeteners

Beet and cane sugar
f.o.b. plant, cents per lb
- Change from -
Dec. 31
Dec. 24 Dec. 18
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 5.8c with 2% cash discount.

Raw cane
Delivered reﬁner, cents per lb
- Change from -
Contract
Dec. 31 Dec. 24 Dec. 18
Nearby
25.75
+.05
-.10
January-March
25.75
+.05
-.10
April-June
25.85
+.15
-.05
July-September
25.95
+.25
-
October-December 25.95
+.05
+.05
January-March
25.60
-.05
-

Year
ago
25.10
25.10
25.40
25.30
25.30
25.10

I.C.E. No. 11 raw sugar futures
cents per lb

18
16
14
12
10
J

Cash sugar markets remained very
quiet last week, which is typical for the
yearend holiday period. Activity wasn't
expected to pick up until buyers and
sellers gather at the International Sweetener Colloquium in late February, and
even then, there may not be a burst of
trading due to anticipated steady sugar
supplies and prices for 2016.
Bulk refined beet sugar prices for
nearby through Sept. 30, 2016, were unchanged at 32c to 33c a lb f.o.b. Midwest.
Beet processors continued to make sales
within the quoted range. Bulk refined
cane sugar prices were unchanged at 33c
to 35c a lb f.o.b. plant. West coast sugar
prices also were steady.
While beet processors still had sugar
to sell after a bumper 2015 beet crop,
most buyers were comfortable with their
level of coverage for 2016, which ranged
from the full year to full coverage for the
next quarter or two and some percentage
beyond that. Ideas were refined sugar
prices had little upside risk or downside
potential in 2016 (and beyond) due to the
trade agreement with Mexico that maintained a steady supply and put floor
prices under exports from that country.

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

Dec. 31
18⅞@ 19⅞
20¼@ 21¼
20⅜@ 21⅜
20@ 21
20⅞@ 22⅞

HFCS list price2

42% HFCS wet
Year ago
23.250
18⅞@ 19⅞
25.500
20¼@ 21¼
25.000
20⅜@ 21⅜
24.500
20@ 21
25.750
20⅞@ 22⅞

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

Bulk refined sugar prices ended 2015
down 3c to 4c a lb from the end of 2014
and have dropped 15% to 20% from highs
around 40c a lb in September and October
of 2014. Prices edged lower throughout
the year and settled into the current range
in mid-October, once there was certainty
the trade case with Mexico was concluded and provisions of the countervailing duty and anti-dumping suspension
agreements would dictate exports from
Mexico in lieu of the uncontrolled trading allowed since 2008 under the North
American Free Trade Agreement.
Dry dextrose contracting for 2016
was expected to be mostly completed
by yearend. Most contracting appeared
to be around $2 a cwt above 2015 contracted levels, although deals were made
above and below that range depending
on individual pricing for the prior year.
The hikes were well below initial offers
from some refiners of $3.50 a cwt above
2015 contracted levels. Dry dextrose supplies were expected to be more available
in 2016 than in the past couple of years,
when price advances were larger.
Flat price contracting of liquid corn
sweeteners for 2016 was completed historically early at $3.50 a cwt above 2015
levels for 42% high-fructose corn syrup
and $4.50 a cwt above for 55% HFCS and
regular corn syrup. Buyers mostly accepted corn refiners' initial offers due to
concerns about tight to lacking supplies,
which were a feature of the 2015 market.
The Ingredion, Inc., wet corn milling
plant in Stockton, Calif., was expected
to resume commercial production of
HFCS and starch around Jan. 11 after
being closed earlier in December because of a fire. MBN

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Amber, Light Amber, Extra Light Amber and Organic
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trucks. FSSC 22000 certified and organic compliant.
888.SUGAR.99
SweetenerSupply.com

40 / January 5, 2016 XMilling & Baking News

bakingbusiness.com / world-grain.com

http://www.SweetenerSupply.com

Milling & Baking News - January 5, 2016

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