Milling & Baking News - August 8, 2023 - 34

MARKET trends
Bulk, f.o.b. car, per cwt
Bulk, f.o.b. car, per cwt
Bulk, f.o.b. car, per cwt
TUES | 08 08 2023
BAKERS STANDARD, KANSAS CITY
Bakery Flour
After several weeks of lackluster demand,
bookings of bakery flour expanded last
week as prices were lowered in response to a
remarkable wheat futures slide and a declining
cash basis.
Flat pricing or extensions of futures and
basis components was most common, millers
said. Millfeed remained a sticking point
for many buyers dissatisfied with summer
values. Some planned to add the feed component
later, hoping post-summer prices
strengthen closer to historical levels, but
were happy to book futures and basis at last
week's levels.
Buying was consistent across all sectors.
Among those extending coverage were
major bread bakers, large commercial bakers,
breading/batter makers, foodservice
suppliers, independent regional bakers,
manufacturers of consumer packaged
goods, freezer meals and appetizers and
distributors.
Along with continued volatility, millers
suggested buyers who use hard winterspring
wheat blends keep abreast of the
spread between Minneapolis and Kansas
City wheat futures. Ideas about a second
year of Central Plains drought cutting into
production and yields in hard red winter
wheat tamped down Minneapolis's historical
premium to Kansas City for much of
this year, and KC for a time was higher.
In recent weeks, the premium of the Minneapolis
September contract above Kansas
BAKERY FLOUR
- Change from - Year
Aug. 4 July 28 July 21 ago
Kansas City
Bakers short patent
Bakers standard patent
Second 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
Bulk, f.o.b. car, $ per cwt
34 MILLING & BAKING NEWS
18.75 -2.35
18.65 -2.35
8.85
-
19.85
19.75
20.65
19.75
20.10
19.60
19.50
24.75
13.10
14.60
21.15
22.45
23.35
16.60
27.25
-1.90
-1.90
-1.90
-1.90
-1.90
-1.90
-1.90
-
-1.75
-1.75
-2.35
-1.85
-1.85
-1.75
-
23.65 -2.35
23.80
-2.35
-3.25 21.75
-3.25 21.65
- 8.85
-1.55 22.40
-1.55 22.30
-1.55 23.20
-1.55 22.30
-1.55 22.65
-1.55 22.15
-1.55 22.05
-0.10 23.30
-2.15 18.00
-2.15 19.50
-3.25 24.15
-1.35 25.15
-1.35 26.05
-2.15 21.50
-0.10 25.80
-3.25 26.65
-3.25 26.75
City widened to about 70¢ a bu.
Plus, after a period of absence, there were
carrying charges in the market.
" Carries are here to stay because farmers
aren't selling, specifically not selling spring
wheat right now, and because of the cost to
hold wheat, " a miller said. " If the farmer has
to take a loan to buy his gas for the tractor
for the next six months, it's more expensive
than before. "
One miller said more than seven days'
grind equivalent was booked in the first
four days of the week. Another estimated
the range of total US flour coverage at 85%
to 90% for the current quarter, 35% for the
fourth quarter and 10% to 15% for the first
quarter of 2024.
By grade, current-quarter coverage was
estimated at 95% for hard wheat flour and
80% for soft flour. For the fourth quarter,
hard-wheat-milled flour was 50% to 55%
booked and soft flour about 20%. Firstquarter
2024 coverage was about 15% for
spring grade users, 10% for pan bread bakers
and 5% for cookie-cracker and specialty
bakers. MBN
Family Flour
Sales and shipments of national and
regional brands of family flour were slim,
and the pace of shipments was seasonably
slow. List prices were steady.
Some flour manufacturers continued to
build stocks ahead of the fall bake season,
while others had filled warehouses in prior
weeks. Flour manufacturers said a fall
sales bump might not materialize until midSeptember.
One said the delay was likely
part of a lengthy trend of less home baking
and that hot summer temperatures could be
an excuse for bakers to stock up later rather
than sooner this year.
Private label customers were active, pushing
coverage extensions out through January
in some cases, millers said. MBN
DURUM AND SEMOLINA
Aug. 4
Durum
Chicago
Minneapolis
14.00 +.50
13.80
+.50
- Change from - Year
July 28 July 21 ago
+1.75 14.00
+1.75 13.80
No. 1 Hard Amber Durum Choice Milling 13%, Track, $ per bu
Semolina
Aug. 4
Semolina
Granulars
Flour
First clear
Second clear
Semolina - NY
- Change from - Year
July 28 July 21 ago
33.50 +1.25 +4.30 32.90
33.30 +1.25 +4.30 32.70
33.20 +1.25 +4.30 32.60
15.00
7.50
-
-
Bulk, f.o.b. Minneapolis, $ per cwt
- 15.00
- 7.50
36.80 +1.25 +4.30 36.10
$16.00
$22.00
$28.00
$34.00
AN FM
Previous Year
Current Year
SPRING STANDARD, MINNEAPOLIS
$16.00
$20.00
$24.00
$28.00
$32.00
$36.00
AN FM
Previous Year
CRACKER FLOUR, CHICAGO
$11.30
$14.30
$17.30
$20.30
$23.30
$26.30
$29.30
AN FM
Previous Year
Semolina
Semolina, granulars and durum flour
activity was limited last week as buyers
browsed, hoping for prices last seen three
weeks earlier. Prices were raised alongside
higher quotes in an illiquid durum market.
Durum millers indicated buyers had plenty
of coverage they hoped to add, but were forced
to hit pause due to sticker shock as prices were
raised to reflect a $2.50 increase in hard amber
durum quotes since early July.
The price of choice milling hard amber
durum as quoted at the Chicago rail gateway
for delivery beyond was $14 a bu, up 50¢.
Farmers were not selling durum, so elevators
had limited supplies to market. " No
offer " signals and the lack of liquidity reinforced
a bullish tone and added a mild panic
to the market, a miller said. Algeria canceled
its tender after seeing offers.
Durum mill runtimes rose to 5½ days on
average. Unknown was whether the unexpected
August bump was temporary.
As of July 30, 55% of North Dakota durum
was in good-to-excellent condition, a decline
from a week earlier, the USDA said. Montana
durum was 27% good-to-excellent with about
3% of that state's durum already combined
by July 30. MBN
bakingbusiness.com
Current Year
Current Year
http://www.bakingbusiness.com
Milling & Baking News - August 8, 2023

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