Milling & Baking News - January 26, 2021 - 40

Ingredient Week

Bakery Flour
New bookings of bakery flour were
limited during the holiday-shortened
week. Prices were lowered in consideration of retreating wheat futures.
Bullish news was lacking compared
with the previous week. But wheat futures' upside trend in January, coupled
with relatively high basis levels, still
made for a tough market dynamic most
of last week.
" Bakers who haven't covered are out
of their budgets, " a miller said. " They
are feeling stuck and asking, 'How do
I not completely destroy my budget?'
If the budget's blown and they are not
under pressure to get a position, they
might as well sit back and wait a bit. "
Wheat futures dropped last week under pressure from fund selling and plunging corn and soybean futures. But most
bakers held back to see if the downward
trend will continue into the next week.
Cash hard red winter premiums advanced last week. After trading at an inverse for 39 days with a premium for middle proteins, the protein scale reverted to
a conventional order. The spread between
quotes on 14%-protein and 11%-protein
wheat was 20¢ a bu. A year ago, a loweraverage-protein crop widened the topto-bottom spread to $1.30 a bu. The cash
hard red spring wheat basis was trading
at levels similar to a year ago.
Millers said bakers for some applications would continue to use flour blends
that substitute some level of spring
wheat for winter wheat, although spot

Bakery ﬂour
Jan. 22

40 / January 26, 2021

Family Flour
Sales and shipments of national and
regional brands of family flour were noticeably slow, even for January, as buyers relied on extra inventory procured in
December as a precaution against empty
shelves. Carlot list prices were unchanged.
Flour manufacturers nevertheless
were packing flour, albeit at a slower
pace of about 5½ days last week. Several
were taking the opportunity to build up
inventories, as potential sudden demand
increases were seen as a " new normal, "
one manufacturer said.
Private label customers with coverage

Track, Chicago
- Change from - Year $ per bu
Jan. 22
Jan. 15
Jan. 8 ago Choice milling 13% 8.55

16.65
16.55
8.85
...

-0.60
-0.60
-
...

0.25
0.25
-
...

15.15
15.05
8.85
...

15.65
15.55
16.55
15.55
15.90
15.40
15.30
18.45

-0.50
-0.50
-0.50
-0.50
-0.50
-0.50
-0.50
-0.05

-0.10
-0.10
-0.10
-0.10
-0.10
-0.10
-0.10
-0.15

15.10
15.00
16.00
15.00
15.35
14.85
14.75
19.30

15.60
17.10

-1.55
-1.55

-0.70
-0.70

15.55
17.05

19.05
17.95
18.95
19.10
20.95

-0.60
-0.50
-0.50
-1.55
-0.05

0.25
0.40
0.40
-0.70
-0.15

17.55
17.50
18.50
19.05
21.80

21.45
21.50

-0.60
-0.60

0.25
0.25

19.75
19.80

Milling & Baking News

- Change from - Year
Jan. 15 Jan. 8 ago
+.05
+.15 8.65

Track, Minneapolis
$ per bu
Choice milling 13% 8.25

through March lagged others with coverage through June. An estimated 40%
of buyers had coverage through the crop
year. Coverage beyond was nil.
There were no major promotions
in place at grocers or mass retailers. A
pre-Easter boost in sales would be welcomed, should it materialize, although
millers said that seasonal trend lessened
considerably over the past five years. MBN

Semolina
Bookings of semolina, granulars and
durum flour were limited last week.
Prices were narrowly higher.
The price of choice milling hard amber durum as quoted at the Chicago rail
gateway for delivery beyond was $8.55 a
bu, 5¢ higher. The Minneapolis price was
$8.25 a bu.
Light January interest in buying or selling durum eased even more last week.
The firmer tone was a product of recent
strength in other grain prices, a miller said.
" There's been a lot that's happened
in the durum industry, but it's all been
overshadowed by the increased demand
for pasta during COVID-19, " a miller
said, noting the sale of several pasta divisions in the previous six months.
Pasta makers were about 65% covered in
the second quarter and 25% in the third. MBN

Bakers standard, Kansas City
Bulk, f.o.b. car, per cwt
$17.50
$16.50
$15.50
$14.50

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

market offers of the former have declined considerably since December.
Mill bids on soft red winter wheat
were unchanged to lower.
Millfeed credits continued to be a
bright spot for buyers nearby, but less so
for forward periods. But even deferred
midds prices ticked higher as corn and
soybean meal futures remained elevated
for those positions after January rallies.
For the current quarter, spring grade
and pan-bread flour coverage was unchanged at an estimated 80% and 85%,
respectively, while soft flour coverage advanced to 70%. Soft flour buyers
were less active in the second quarter,
and coverage was steady at about 40%,
whereas spring grades ticked up to 55%
and pan-bread flour coverage advanced
to 50%. Only buyers of spring grades
contracted sales of consequence for the
third quarter, locking in at 35%. MBN

$13.50
$12.50
J

Previous Year

O
Current Year

Spring standard, Minneapolis
+.05

+.15

8.35

Semolina
Bulk, f.o.b. Minneapolis, $ per cwt
- Change from -
Jan. 22
Jan. 15 Jan. 8
Semolina
19.85
+.10
+.25
Granulars
19.65
+.10
+.25
Flour
19.55
+.10
+.25
First clear
14.00
-
-
Second clear
7.00
-
-
Semolina - NY 23.25
+.10
+.25

$19.00
$17.00

Year
ago
20.70
20.50
20.40
14.00
7.00
23.90

Nationally advertised family ﬂour
Dollars
Jan. 22
Family patent, 2-25s papers 24.12
4-10s
...
8-5s
18.52
18-2s
20.64
Self-rising
...

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

Year ago
24.12
...
18.52
20.64
...

$15.00
$13.00
$11.00
J

Previous Year

O
Current Year

Cracker ﬂour, Chicago
Bulk, f.o.b. car, per cwt
$18.30
$17.30
$16.30
$15.30
$14.30
$13.30
$12.30
$11.30
J

A
Previous Year

O
Current Year

bakingbusiness.com / world-grain.com

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

Milling & Baking News - January 26, 2021

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