Milling & Baking News - September 11, 2018 - 48

Ingredient Week

Bakery Flour
Bookings of bakery flour were limited last week. Because of the Labor Day
holiday, the week's business was compressed into a mostly uneventful four
days. Prices were lowered.
Distributors, especially in the Northeast,
took advantage of slumping wheat futures
to tack on coverage that extended their
flour ownership to two to four weeks. For
some typically hand-to-mouth buyers, this
was more extensive coverage than usual.
Toward the week's end, individual
pan bread bakers and cookie-cracker
and specialty bakers added to their
fourth-quarter 2018 coverage.
Coverage was filling in for OctoberDecember. Most bakers who have yet
to complete bookings for the quarter at
least had covered the futures component
of flour contracts leaving basis and/or
millfeed credit positions open. Wide carrying charges in wheat futures discouraged some bakers from taking a more aggressive stance toward booking JanuaryMarch coverage, but again, many other
bakers earlier decided to bite the bullet
and covered the futures component of
contracts applying to at least a portion of
their prospective first-quarter needs.
One miller estimated flour coverage in
October-December at between 70% and
75%. First-quarter 2019 flour coverage
was estimated at 30%.
The cash hard red winter wheat basis
steadied last week after recent declines.
The cash hard red spring wheat basis
was neutral with regard to encouraging

Bakery ﬂour
- Change from - Year
Sept. 7 Aug. 31 Aug. 24 ago

48 / September 11, 2018

Family Flour
Sales of national and regional brands
of family flour continued to increase
steadily with the approach of the key
fall baking season. Carlot list prices were
unchanged.
Schools that had yet to open for the
2018-19 school year did so after Labor
Day. As expected, the start of a new
school year generated a minor increase
in orders and shipments of family flour.
Manufacturers prepared for the increase in business that characterizes the
fall baking season. They were hopeful
seasonal sales will be strong. At the same
time, it was expected that annual sales
volume may continue the long-term trend
of slightly lower year-over-year results.
In the large market for private label
flour, buyers, including grocery chains,
mass merchandisers and club stores,
earlier extended their flour coverage
through December or even January. Coverage beyond January was lacking. MBN

Semolina

amber durum as quoted at the Chicago
rail gateway for delivery beyond remained a nominal $7.90 a bu. The Minneapolis price was $7.60 a bu. The cash
market was moribund and has been for
several weeks. Mill operations were sustained by drawing on existing inventories
and timely receipt of rail shipments for
application against September contracts.
Pasta manufacturers have covered about
85% of their semolina requirements for the
fourth quarter of 2018. January-March coverage was estimated at 60%. A few pasta
makers extended contracts into the second
quarter of 2019 last week with coverage for
the quarter climbing to about 40%.
The durum harvest was nearing completion, but farmers were storing most of
their 2018 production. The U.S. Department of Agriculture indicated the North
Dakota durum harvest was 75% completed by Sept. 2 compared with 69% a
year ago and 48% as the recent five-year
average for the date. The Montana durum
harvest was 63% completed compared
with 47% a week earlier, 84% a year ago
and 57% as the five-year average.
Statistics Canada on Sept. 6 estimated Canadian durum stocks as of July
31 at 1,473,000 tonnes, down 19% from
1,828,000 tonnes in 2017 and compared
with 1,100,000 tonnes in July 2016. MBN

Bakers standard, Kansas City

Bookings of semolina, granulars and
durum flour were limited last week.
Price adjustments were narrow.
The price of choice milling hard

Bulk, f.o.b. car, $ per cwt
$19.00
$17.00
$15.00

No. 1 hard amber durum

Bulk, f.o.b. car, $ per cwt
Kansas City
Bakers short patent
Bakers standard patent
Second clear
Third clear
Minneapolis
Spring short patent
Spring standard patent
High gluten
Whole wheat
Specialty whole wheat
Fancy spring clear
First spring clear
Rye, white
Chicago
Cracker
Fancy cake
New York
Winter/spring blend
Spring standard patent
High gluten
Fancy cake
Rye, white
Los Angeles
Bakers standard patent
Pastry

or discouraging flour coverage. Mill bids
on soft red winter wheat remained stemmy, particularly in the East.
Mill grind was five to six days last
week with some mills working part of
the weekend to catch up after the break
for Labor Day. MBN

Track, Chicago
$ per bu
Sept. 7
Choice milling 13% 7.90

- Change from - Year
Aug. 31 Aug. 24 ago
-
-
9.50

$13.00
$11.00
S

Previous Year

15.05
14.95
8.85
...

-0.75
-0.75
-
...

-0.85
-0.85
-
...

15.25
15.15
8.85
...

Track, Minneapolis
$ per bu

14.65
14.55
17.55
14.55
14.90
14.40
14.30
13.50

-0.25
-0.25
-0.25
-0.25
-0.25
-0.25
-0.25
0.10

0.15
0.15
0.15
0.15
0.15
0.15
0.15
0.10

16.85
16.75
19.75
16.75
17.10
16.60
16.50
14.55

Bulk, f.o.b. Minneapolis, $ per cwt
- Change from -
Sept. 7 Aug. 31 Aug. 24
Semolina
18.75
+.10
+.10
Granulars
18.55
+.10
+.10
Flour
18.45
+.10
+.10
First clear
15.50
-
-
Second clear
8.50
-
-
Semolina - N.Y. 21.95
+.10
+.10

12.30
13.80

-0.70
-0.70

-0.35
-0.35

11.85
13.35

17.45
17.55
20.55
15.80
16.00

-0.70
-0.30
-0.30
-0.70
0.10

-0.85
0.05
0.05
-0.35
0.10

17.65
19.25
22.25
15.35
17.05

19.65
19.70

-0.75
-0.75

-0.85
-0.85

20.25
20.30

Milling & Baking News

Choice milling 13% 7.60

Current Year

Spring standard, Minneapolis
-

9.20

Bulk, f.o.b. car, $ per cwt
$22.00

Semolina

$20.00

Year
ago
23.40
23.20
23.10
17.00
10.00
26.60

Nationally advertised family ﬂour

$18.00
$16.00
$14.00
$12.00
S

M
Previous Year

J
Current Year

Cracker ﬂour, Chicago
Bulk, f.o.b. car, $ per cwt
$15.50

Dollars
Sept. 7
Family patent, 2-25s papers 24.12
4-10s
n.a.
8-5s
18.52
18-2s
20.64
Self-rising
n.a.

Year ago
24.12
n.a.
18.52
20.64
n.a.

$13.50
$11.50
$9.50
S

M
Previous Year

J
Current Year

bakingbusiness.com / world-grain.com

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

Milling & Baking News - September 11, 2018

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