Milling & Baking News - September 21, 2021 - 48

MARKET trends
TUES | 09 21 202 1
BAKERS STANDARD, KANSAS CITY
Bakery Flour
Bookings of bakery flour slowed slightly
last week, settling into routine business.
Prices shot higher.
A flurry of bookings during the second
week of September saw even the most
reserved short buyers layering in coverage
to finish off the current quarter. A decline in
wheat futures that week coincided with many
food manufacturers' internal coverage deadlines,
leading to a spurt of fourth-quarter business
and " one of the biggest booking days I've
seen in years, " an Upper Midwest miller said.
On the heels of that expansion in bookings,
wheat futures turned higher last week.
In the absence of any extraordinary moves
in basis values or millfeed credits, advancing
futures played an outsized role in the
market and tamped down considerations of
further forays into first-half 2022 coverage.
But traders and merchandisers stayed busy
attempting to get a handle on a " brutal supply
chain, " one miller noted.
Distributors and consumer packaged
goods manufacturers were the most active in
one miller's view. CPG buyers included makers
of frozen dough, entrees and baked appetizers
for retail. Bakers serving foodservice
channels such as quick-service restaurants
were quiet, as were large national bakeries,
the latter having completed coverage
through December some time ago.
Coverage for the current quarter was,
for all intents and purposes, completed. The
estimated 3% remaining would come from
BAKERY FLOUR
- Change from - Year
Sept. 17 Sept. 10 Sept. 3 ago
Kansas City
Bakers short patent
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
48 MILLING & BAKING NEWS
20.15 0.90
Bakers standard patent 20.05 0.90
Second clear
8.85
22.15
22.05
23.05
22.05
22.40
21.90
21.80
16.65
14.45
15.95
-
1.40
1.40
1.40
1.40
1.40
1.40
1.40
0.25
- 15.20
- 15.10
- 8.85
0.40 15.55
0.40 15.45
0.40 16.45
0.40 15.45
0.40 15.80
0.40 15.30
0.40 15.20
0.10 19.35
0.70 -0.30 14.70
0.70 -0.30 16.20
22.55 0.90
24.95
25.95
17.95
19.15
- 17.60
1.15
1.15
24.25 0.90
24.30 0.90
0.30 18.10
0.30 19.10
0.70 -0.30 18.20
0.25
- 20.00
- 20.05
0.10 21.85
Semolina
Granulars
Flour
First clear
Second clear
Semolina - NY
distributors and other week-to-week buyers,
millers said. For the fourth quarter, coverage
estimates were steady from a week earlier
at 70% for users of spring grades and 65%
for pan-bread flour, although major bakers
had locked in flour for the full period. Soft
flour buyers were about 55% covered.
For the first quarter, spring grades and
pan-bread flour were neck and neck at 35%
with soft flour trailing at 25%. MBN
Family Flour
Sales and shipments of national and
regional brands of family flour expanded
last week. Carlot list prices were unchanged.
Orders for 2-lb and 5-lb bags for retail
continued to increase, keeping packing lines
running two 10-hour shifts over six days in
some places and around the clock elsewhere.
Foodservice channel demand for larger
bags was typical for the date, millers said.
For one miller, business was " back to
steady " after a recent sales surge as buyers
sought supply ahead of a planned price hike.
Private label buyers were essentially
covered through December. Many had yet to
bite on offers for 2022, perhaps " distracted
and not paying attention to the category, " a
miller said. MBN
Semolina
Bookings of semolina, granulars and
durum flour remained limited last week.
Steady offtake kept durum mills grinding
about five days. Prices declined along with
the price of durum wheat. But the value of
semolina remained more than $24 per cwt
higher than a year ago and more than $23
higher than the 2016-20 average for the date.
The price of choice milling hard amber
durum as quoted at the Chicago rail gateway
for delivery beyond was $18 a bu, down 50¢.
Elevators lowered their bids to producers but
expanded offers, helping to define the market.
Buyers, still shell-shocked by values $10 a bu
DURUM AND SEMOLINA
- Change from - Year
Sept. 17 Sept. 10 Sept. 3 ago
Durum
Chicago
Minneapolis
18.00
17.80
-.50
-.50
-1.50
No. 1 Hard Amber Durum Choice Milling 13%, Track, $ per bu
Semolina
Sept. 17
- Change from - Year
Sept. 10 Sept. 3 ago
43.35 -1.05
43.15
-1.05
43.05 -1.05
15.00
7.50
-
-
46.55 -1.05
Bulk, f.o.b. Minneapolis, $ per cwt
-4.15 19.25
-4.15 19.05
-4.15 18.95
- 14.00
- 7.00
-4.15 22.45
8.10
-1.50 7.80
higher than a year earlier, remained reluctant
to commit in light of well-stocked pipelines
through December. Tight supplies were likely
to turn prices back higher, an Upper Midwest
miller said, pointing to Statistics Canada
lowering its projection for durum production
39% from 2020, and indications of a revived
influence from the global market after a recent
20,000-tonne export shipment of US durum
amid tight North American supplies.
" Canadians sure are somewhat reluctant
sellers, " he said. " At $18, they were paying
more than that to the grower two weeks ago
when North Dakota elevators were paying
$17.50. It's turned around, but pressure is on
the front end more than anything else. "
The US Department of Agriculture said
North Dakota durum was 96% harvested by
Sept. 12, ahead of 84% last year and 78% as the
recent five-year average. Montana durum
also was 96% harvested compared with 79%
in 2020 and 76% as the average.
Pasta manufacturers earlier locked in
nearly all needs through December and were
working internally on quotes and plans for
2022 but were not interested in extending
further the estimated 10% to 15% coverage on
the books for the first quarter. MBN
bakingbusiness.com
$12.50
$14.50
$16.50
$18.50
$20.50
$22.50
SD MJ
Previous Year
Bulk, f.o.b. car, per cwt
SPRING STANDARD, MINNEAPOLIS
$12.00
$14.00
$16.00
$18.00
$20.00
$22.00
$24.00
SD MJ
Previous Year
Bulk, f.o.b. car, per cwt
CRACKER FLOUR, CHICAGO
$11.30
$14.30
$17.30
$20.30
SD MJ
Previous Year
Bulk, f.o.b. car, per cwt
Current Year
Current Year
Current Year
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Milling & Baking News - September 21, 2021

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