Milling & Baking News - January 31, 2017 - 43

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Soy Products
Spot soy flour prices were lowered last
week in keeping with declines in soybean
meal futures. Demand from bakers and
food manufacturers was robust as usual,
with bookings at least a few weeks forward.
Soybean and soybean meal futures fell
last week, pressured by improved weather
forecasts for Argentina, a major competitor
with the United States in soybean meal exports. Drier conditions were expected after
a period of excessive rains and flooding,
which had recently led to predictions for a
smaller Argentine soybean crop this year.
Sentiment remained bearish as losses
in soybean meal and soybeans continued through the week. The turn to better
weather in Argentina, coupled with prospects for a record Brazilian soybean crop,
was a setback for market participants betting on a surge in U.S. soybean exports
because of possibly lower South American production. In addition, uncertainties
about more protectionist U.S. trade policies in a Trump administration - with the
potential to hurt exports of the agriculture
sector as a whole - also put a damper on
soybean and soybean meal prices.
Soybean demand from China, the
world's largest importer of the oilseed,
was tapering off temporarily because of
the country's Lunar New Year holiday.
There also were indications other foreign
buyers were switching to South American suppliers, typical for the time of year.
Net export sales of soybean meal in the
week ended Jan. 19 were 276,800 tonnes
for 2016-17, up 3% from the previous week
and up 53% from the prior four-week average, the U.S. Department of Agriculture
said. Sales for 2017-18 were 6,100 tonnes.
Net export sales of soybeans in the
latest week were 539,400 tonnes for

Chicago corn and soy futures
Corn Futures
$ per bu
March
May
July
September
December
March
Soybeans
March
May
July
August
September
November
Soybean Meal
March
May
July
August
September
October

Corn Products
Prices of cornmeal and other corn
products were lowered last week in consideration of declines in corn futures.
Demand for items such as large flaking
grits used in cold breakfast cereals and
hot grits remained steady. Use of corn
flour was expected to rise in about a
month with the onset of the Lenten season, when fish fried in corn batter enjoys
a temporary surge in demand.
In the meantime, market participants
pointed to increased demand for extruded snack products and brewer's grits with
the approach of the Super Bowl on Feb. 5.
Hominy feed values were about steady.
Corn futures declined last week along
with other agricultural commodities.
Profit-taking initially dominated, as well
as selling amid worries U.S. trade policies
will turn more protectionist under President Trump, who has announced plans to
restructure agreements he considers to be
unfavorable to American economic interests. Market participants indicated their
concerns that changes in the North American Free Trade Agreement may hurt corn
and other agricultural exports to Mexico
and Canada. Mexico buys roughly 25% of
all U.S. corn exports.
Corn futures also declined because of
prospects for improved growing conditions for the corn crop in Argentina and
a continued favorable outlook for crop
weather in Brazil. Both countries compete
aggressively with the United States for

Oats
Food-grade oats flakes prices were
lowered last week in consideration of
declines in oats futures, which traded
lower amid light volume.
With cold weather the norm across
much of the United States, demand remained robust for oatmeal, a popular
"comfort food" as well as one enjoying
a reputation among most consumers as a
healthy breakfast option. Snacks containing oats continued to be in good demand.
There was market talk last week that
Canadian producers may plant more
oats acres this year than last because of
favorable economics for the crop compared with wheat. MBN

Rice
U.S. milled rice and rice byproducts
prices were mostly unchanged last
week. World milled rice prices posted by
the U.S.D.A. were steady.
Net export sales of rice in the week
ended Jan. 19 were 59,300 tonnes for
2016-17, down 53% from the previous
week but up 2% from the prior fourweek average, the U.S.D.A. said. MBN

Rice

Defatted, f.o.b. Midwest plant, $ per cwt
- Change from -
Jan. 27
Jan. 20
Jan. 13
Soy ﬂour
Bulk
26.84 @ 31.91 -.29@ -.29 -.51 @+.45
Sacked
27.84 @ 33.91 -.29@ -.29 -.51 @+.45

-7¼
-6½
-6½
-6¼
-6½
-6

+4
+4¼
+4
+3½
+3
+2¾

3.72
3.76¾
3.81½
3.86
3.93¼
4.01¾

-18¼
-17¼
-16½
-13½
-9
-3½

+3
+3¼
+4
+5½
+6½
+6¾

8.82¼
8.84½
8.90
8.91¾
8.90¾
8.93

Jan. 27
Chicago, bulk
16.64@ 17.44
Chicago, sacked
18.41@ 19.21
New York, bulk
18.31@ 19.11
New York, sacked 20.73@ 21.53

-5.70
-5.00
-3.80
-3.20
-1.80
-.30

+9.10
+9.60
+10.30
+10.60
+11.30
+10.10

272.40
274.40
276.60
277.70
278.60
278.40

Minneapolis
Jan. 27
Food grade ﬂakes, f.o.b.,
bagged, $ per cwt
29@30
Milling quality oats, No. 2 heavy,
$ per bu
3.23¼
Oat hulls, $ per ton
25@35

bakingbusiness.com / world-grain.com

export business. Concerns about large
South American crops overshadowed
strong weekly U.S. export sales that surpassed analysts' expectations.
The U.S.D.A. indicated net export sales
of corn in the week ended Jan. 19 were
1,370,400 tonnes for 2016-17, up 2% from
the previous week and up 63% from the
prior four-week average. Sales for 201718 totaled 21,000 tonnes. Trade expectations for the combined crop years ranged
from 700,000 to 1.08 million tonnes.
The U.S.D.A. reported private sales of
corn totaling 266,224 tonnes last week. MBN

Soy products

- Change from - Year
Jan. 27 Jan. 20 Jan. 13
ago
3.62½
3.69¾
3.76½
3.83
3.89¼
3.96¾
$ per bu
10.49¼
10.58¾
10.65½
10.62¾
10.43½
10.25¼
$ per ton
343.00
346.00
348.10
345.50
342.40
335.70

2016-17, down 45% from the previous
week and down 10% from the prior fourweek average, the U.S.D.A. said. Sales for
2017-18 were 126,000 tonnes. The U.S.D.A.
also reported private sales of soybeans totaling 275,000 tonnes last week. MBN

Ingredient Week

Corn meal
$ per cwt
- Change from -
Jan. 20
Jan. 13
-.15@-.15 +.08@+.08
-.15@-.15 +.08@+.08
-.15@-.15 +.08@+.08
-.15@-.15 +.08@+.08

Oats
- Change from -
Jan. 20 Jan. 13
-.25c

+.25c

-9½c
-.25c

+10¾c
+.25c

Oﬀers f.o.b. mills, $ per cwt, bagged
- Change from - Year
Cash
Jan. 27
Jan. 20 Jan. 13 ago
Long grain
20.25@21.75
-
-0.75 24.00
Medium grain 21.50@22.00
-
- 23.00
Parboiled
22.50@24.50
-
-0.50 25.00
Second
heads, bulk 15.00@15.75
-
-0.25 15.25
Brewers
13.50@14.50
-
- 14.50
f.o.b. mills, $ per ton
Rice millfeed
45.00
- +10.00 65.00
Rice bran
90@110
-10.00 -10.00 120.00
Rice hulls
10@15
-
- 10.00
U.S.D.A. world price milled - $ per cwt
Long grain
13.50
- +0.14 14.60
Medium/short
grain
13.13
- +0.13 14.12
Broken
8.14
- +0.08
8.81
C.B.O.T. rough rice futures - $ per cwt
March
9.81
-0.01
-0.09 11.35
May
10.07
+0.01
-0.06 11.63
July
10.28
- -0.06½ 11.91
September
10.43
- -0.06½ 12.01
Milling & Baking News XJanuary 31, 2017 / 43

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Milling & Baking News - January 31, 2017

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