Milling & Baking News - November 3, 2020 - 35

Ingredient Week

Soy Products
Bookings of soy flour were limited last
week. Prices dropped with a retreat in
soybean meal futures a factor.
Before last week's reversal, soybean
meal futures had been on an upward
tear, advancing $100 a ton since mid-August. The rally shellshocked buyers, including bakers, who earlier had covered
their needs through December at much
lower levels, who to date have balked at
making significant contract extensions.
With futures trending lower, though,
buyers inquired about pricing a full year.
It was difficult to find offers that far forward, so some inquiries narrowed to the
first half or even first quarter of 2021.
While pricing was foremost in buyers'
minds, uncertainty about demand into
the new year given the rise in coronavirus cases and its possible effects on the
struggling foodservice sector also was a
consideration.
The US Department of Agriculture said
the soybean crop was 83% harvested by
Oct. 25 compared with 75% a week earlier
and 73% as the recent five-year average.
The USDA said net export sales of soybean meal during the week ended Oct.
22 for delivery in 2020-21 totaled 199,300
tonnes with Mexico the largest buyer. Net
export sales of soybeans for delivery in
2020-21 in the same week were 1,620,700
tonnes, down 27% from a week earlier and
down 35% from the prior four-week average. China bought 1,073,900 tonnes. MBN

Corn Products
Sales and shipments of corn products
were seasonally strong. Prices tumbled
with lower corn futures a factor.
Corn futures reversed gears and declined marking at least a pause in what

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

-20¾
-17
-15¼
-13
-11¼
-6¾

-3½
-3¾
-2½
-1½
-7¾
-8½

3.89¼
3.98½
4.04½
4.10
4.02½
4.05¾

-27¼
-24¾
-19½
-16¾
-16½
-16½

+6½
+6
+10¼
+11½
+8
+6

9.24¼
9.36¾
9.49¼
9.60¾
9.70¾
9.73¾

-7.80 +11.10
-8.00 +9.50
-6.80 +5.90
-6.00 +3.30
-3.80 +2.80
-3.00 +2.40

303.90
306.30
309.90
313.70
317.50
318.70

bakingbusiness.com / world-grain.com

Oats
Bookings and shipments of foodgrade oat flakes were steady. Prices
steadied after firming during the previous week.
Individual buyers added to their firstquarter 2021 coverage, which was estimated to be above 75% completed. Shipments were seasonally brisk.
Oat millers expected business to be
seasonally strong through the winter.
Agriculture and Agri-Food Canada

on Oct. 22 made only minor adjustments
to its 2020-21 supply-and-demand forecasts for oats. AAFC left the 2020 production estimate unchanged at 4,503,000
tonnes and its 2020-21 ending stocks
forecast unchanged at 700,000 tonnes,
up from 426,000 tonnes in 2019-20. Canadian oat exports in 2020-21 were forecast
unchanged from September at 2,650,000
tonnes, up 35,000 tonnes from 2019-20. MBN

Rice
Business in milled and industrial rice
as well as in extruded rice products and
rice flour was steady last week. Most
buyers were comfortable with coverage
extending through December. Market
pricing was declining slowly.
While some buyers earlier extended
ownership into January-March, most of
those who hadn't done so continued to
hold back in the hope of lower prices in
the weeks ahead now that the harvest
was nearly completed.
The USDA said the nation's rice crop
was 94% harvested by Oct. 25 compared
with 91% a week earlier and 97% as the
recent five-year average for the date. The
Arkansas crop was 93% harvested versus 98% as the average.
The USDA said net export sales of rice
during the week ended Oct. 22 and for delivery in 2020-21 totaled 121,500 tonnes,
up 99% from the previous week and up
7% from the prior four-week average.
Rice mills awaited indications that
Iraq was going to buy US rice. Financing
for such purchases have been arranged.
In the meantime, USA Rice said the firstever shipment of US rice to China has
been unloaded in that country. USA Rice
noted China is the world's second-largest rice importer after the Philippines. MBN

Rice

Soy products

- Change from - Year
Oct. 30 Oct. 23 Oct. 16
ago
3.98½
4.03¼
4.06
4.07¼
3.87¼
3.87¼
$ per bu
10.56½
10.56¼
10.48
10.44¾
10.43¼
10.32½
$ per ton
378.60
371.60
360.20
351.70
349.80
344.90

has been a dramatic rally that began in
mid-August. Last week's trading in futures saw a slight widening in carrying
charges in the corn market.
The drop in corn futures encouraged
individual buyers to extend contract balances a month or two.
Orders were seasonally strong. Demand for some products such as muffin
mix, corn grits consumed as breakfast or
dinner side dishes and corn flour was
particularly brisk. At the same time,
brewer's grits and snack meal demand
ebbed from peak summer levels.
Demand for flaking grits from breakfast cereal manufacturers was steady.
The USDA said the corn crop was 72%
harvested by Oct. 25 compared with 60%
a week earlier and 56% as the recent fiveyear average progress for the date.
The USDA said net export sales of corn
during the week ended Oct. 22 for delivery in 2020-21 totaled 2,243,700 tonnes, up
23% from a week earlier and up 56% from
the prior four-week average. "Unknown
destinations" accounted for 763,700 tonnes
with Mexico the largest confirmed buyer
at 496,800 tonnes. It's often the case that
much of the total assigned to "unknown
destinations" may be shifted to China. MBN

Defatted, f.o.b. Midwest plant, $ per cwt
- Change from -
Oct. 30
Oct. 23
Oct. 16
Soy ﬂour
Bulk
36.35 @ 37.35 -.40@ -.40 +.55 @+.55
Sacked
38.35 @ 39.35 -.40@ -.40 +.55 @+.55

Corn meal
$ per cwt
Oct. 30
Chicago, bulk
15.36@ 15.61
Chicago, sacked 17.13@ 17.38
New York, bulk 17.03@ 17.28
New York, sacked 19.45@ 19.70

- Change from -
Oct. 23
Oct. 16
-.42@-.42 -.08@-.08
-.42@-.42 -.08@-.08
-.42@-.42 -.08@-.08
-.42@-.42 -.08@-.08

Oats
- Change from -
Midwest
Oct. 30
Oct. 23 Oct. 16
Food grade ﬂakes, f.o.b.,
bagged, $ per cwt
28.00@28.50
-
+.50
Milling quality oats, No. 2 heavy,
$ per bu
3.47¼
-6¼c
+2¾c
Oat hulls, $ per ton
25@35
-
-

Oﬀers f.o.b. mills, $ per cwt, bagged
- Change from - Year
Cash
Oct. 30
Oct. 23 Oct. 16 ago
Long grain
27.50@29.25
-
-1.00 25.00
Medium grain 32.00@32.50
-
- 30.50
Parboiled
29.50@30.50 -1.00
- 27.75
Second
heads, bulk 19.00@22.50
-
- 18.00
Brewers
17.00@20.50
- +1.50 15.50
f.o.b. mills, $ per ton
Rice millfeed
40.00
-
- 40.00
Rice bran
90.00@120.00
- +30.00 85.00
Rice hulls
5.00
-
- 10.00
USDA world price milled - $ per cwt
Long grain
16.98
-
- 14.51
Medium/short
grain
16.67
-
- 14.17
Broken
10.77
-
-
8.75
CBOT rough rice futures - $ per cwt
November
12.52½
+0.18 +0.15 11.72½
January
12.36½
-0.14
-0.21 11.98½
March
12.53
-0.13 -0.25½ 12.21
May
12.63½
-0.12½ -0.18½ 12.32½
Milling & Baking News

November 3, 2020 / 35

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

Milling & Baking News - November 3, 2020

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