Milling & Baking News - February 13, 2018 - 53

Ingredient Week

Edible Oils
Bookings of edible fats and oils were
limited last week. Prices were mixed.
Soybean oil prices declined. Soybean oil
futures dropped, breaking ranks with the
rest of the soy complex. Futures spiked in
Tuesday trading on rumors the $1-per-gallon biodiesel blender's tax credit would be
restored in the spending bill before Congress last week. It was not. The cash basis
on soybean oil was unchanged.
Soybean oil users booked what supply
was required to keep contract balances
extended about 45 days. Basis coverage
through the first quarter was solid, and
second-quarter coverage was estimated
at about 50%.
The U.S. Department of Agriculture
indicated net export sales of soybean
oil during the week ended Feb. 1 totaled 7,800 tonnes, down 87% from the
previous week and down 68% from the
prior four-week average. Mexico was the
week's largest buyer.
The U.S.D.A. on Feb. 8 forecast the carryover of soybean oil on Oct. 1, 2018, at
1,536 million lbs, unchanged from the January projection but down 175 million lbs,
or 10%, from 1,711 million lbs in 2017. All

supply-and-demand forecasts for 2017-18
were unchanged from January with supply
forecast at 24,536 million lbs, domestic disappearance at 21,100 million lbs, including
7,500 million lbs for biodiesel and 13,600
million lbs for food, feed and industrial
use, and exports at 1,900 million lbs. The
soybean crush in 2017-18 was forecast unchanged from January at 1,950 million bus.
Statistics Canada on Feb. 5 indicated
Canadian canola stocks on Dec. 31, 2017,
totaled a record-high 14.1 million tonnes,
up 5.7% from the same date in 2016. "The
gain in stocks reflects record canola production in 2017, at 21.3 million tonnes,"
Statistics Canada said. On-farm stock
levels rose 8.6% to 12.5 million tonnes.
Commercial stocks fell 12.4% from a year
earlier to 1.6 million tonnes.
The premium to soybean oil asked
for refined canola oil in the Midwest remained 5¼c a lb for the first quarter and
5½c a lb for the second.
Palm oil prices edged lower. Stocks in
Malaysia and Indonesia were heavy, and
export demand was lackluster. Looming
was a prospective ban on the use of palm
oil in biodiesel production approved last
month by the European Parliament. MBN

Spot soybean oil

Spot canola oil

Decatur, Ill., bulk, cents per lb

Reﬁned, Midwest, bulk, cents per lb
40.00

44.00

35.00

39.00
30.00
25.00
F

M

A
Previous Year

N
Current Year

34.00
F

M

A

N

Chicago soybean oil futures
Bulk in tank cars, cents per lb
Feb. 9
- Change from -
Delivery
close
Feb. 2
Jan. 26
March
31.96
-.55
-.83
May
32.15
-.56
-.84
July
32.34
-.58
-.85
August
32.43
-.58
-.83
September 32.51
-.57
-.81
October
32.54
-.56
-.79

Year
ago
34.61
34.89
35.13
35.11
35.07
34.89

Crude soybean oil
Bulk in tank cars, cents per lb
Delivery
February
March
April
May
June
July
August

Decatur, Ill.
30.96 @31.46
30.96 @31.46
31.31 @31.81
31.40 @31.90
31.50 @32.00
31.59 @32.09
31.68 @32.18

Western points
30.46 @30.96
30.46 @30.96
30.81 @31.31
30.90 @31.40
31.00 @31.50
31.09 @31.59
31.18 @31.68

Edible oils
Bulk, cents per lb
Feb. 9
Soybean oil,
Decatur
Loose lard, Chicago
Edible tallow,
Chicago
Cottonseed oil,
Miss. PBSY
Palm oil (R.B.D.), ports
Palm kernel oil
(R.B.D.), ports
Coconut oil
Peanut oil,
Southeast
Corn oil, Decatur
Sunﬂowerseed oil,
Midwest
Canola oil, Midwest

- Change from - Year
Feb. 2 Jan. 26 ago

31.50
32.50

-.50
+.75

-.75 33.25
+1.00 30.25

30.00

-1.25

-.25

34.25

31.50
34.00

-.50
-

-.25
+.25

42.50
37.50

63.25
64.50

-
-

-.25
-2.00

40.25
90.00

67.00
35.00

+.50
-.50

+.50
+.25

63.00
40.75

56.00
37.25

+2.00
-.50

-
-.75

56.00
38.25

DEDICATED TO PROVIDING
YOU WITH THE HIGHEST
QUALITY SUGAR AND
CUSTOMER SERVICE
As a grower-owned Cooperative,
our growers care deeply for the
land that produces their crops
each year. This loyalty to the land
ensures our customers receive
sustainable, high-quality sugar.
We strive to make your experience
with us a "sweet" one.

bakingbusiness.com / world-grain.com

westernsugar.com
February 13, 2018 / 53
1-800-523-7497

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Milling & Baking News - February 13, 2018

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