Milling & Baking News - April 27, 2004 - 43

I N G R E D I E N T

ing in most regions. It was expected that
the promotions soon would expire.
Despite wheat costs sharply higher
than those a year ago, there remained no
indication that an advance in carlot list
pricing was being considered.
Packaging lines operated four to five
days last week. While orders have fallen
off from the pre-Easter pace, manufacturers were producing for warehousing
ahead of the key home baking season.
Warehousing was particularly evident in
2-lb bags. MBN

Bakery Shortening
Bookings of bakery shortening were
limited last week. Prices were steady to
stronger, with a few exceptions.
Soybean oil futures prices finished
higher on a rally on Friday. The recordlarge South American soybean harvest
was proceeding well, with new crop soybeans being delivered in huge volumes to
ports and refineries, which limited futures buying enthusiasm. In the U.S.,
corn planting was proceeding at a frenetic pace, and soybean seeding was well
under way in the Southeast. Soybean oil
exports were piddling in the week ended
April 15, at 1,000 tonnes.
Most soybean oil users already had
covered all of their needs through June,
and it was estimated that from 60% to
70% of prospective July-September coverage already was on the books. Most of
the major users were covered through
old crop, or through September. There
wasn't much fresh business last week.
Bookings of canola oil were fairly
brisk, with prices in that market advancing somewhat. But prices of most other
items were steady to lower.
Lard and tallow prices were steady
with trading very light.
Export quotes on degummed soybean
oil at the Gulf were not available. South
America controlled the market. MBN

shipments active across all product categories last week. Prices declined.
Demand for snack meal was seasonally strong. Corn flour sales continued to
increase, and some suppliers struggled to
fill orders. Sales of flaking grits to readyto-eat breakfast cereal makers, brewer's
grits and other products were steady.
Buyers added coverage through the
summer as futures prices declined early
last week. Millers said buyers still resisted corn prices over $3 a bu, which appeared to limit third-quarter bookings. MBN

Corn & Soy Futures
Additional wide declines were sustained in corn futures prices last week.
An outstanding start to the planting of
the 2004 crop and the ideas it engendered
that growers could seed even more corn
than currently forecast weighed. The U.S.
Department of Agriculture pegged planting progress by April 18 at 20% done,
compared with 9% as the recent five-year
average for the date. Progress was most
pronounced in the Corn Belt. Iowa planting was 19% completed compared with
3% as the average. Beneficial rain fell
across the belt last week. Providing underlying support, though, was continued
strong export demand.
Phenomenal volatility in soy complex
futures continued. Old crop prices at the
beginning of trading Friday had been
sharply down from the week before, but
by the close of the day's trading, prices
had bounced higher, with the May contract actually ending slightly higher for

Spot Soybean Oil

Corn Meal

the week. Rain across the Midwest was
favorable as farmers prepared to seed 2004
crop soybeans. While projections for the
South American crop recently have been
downgraded, production will be a record,
and harvest was expanding, with new
crop soybeans reaching ports and processing facilities. Export sales of U.S. old crop
soybeans were in line with trade expectations, at 126,200 tonnes, though there were
concerns that the stronger dollar could
shift more demand to South America. MBN

Oats
Bookings of food grade oat flakes were
steady last week. Prices were unchanged,
although futures prices followed corn
lower most of the week.
There were minimal new bookings,
millers said, as many buyers still thought
deferred prices were about 20c a bu too
high. Interest from cold cereal makers remained steady, while demand for hot cereal products diminished seasonally.
Most buyers were covered through the
old crop year.
In the first official indication of Canadian acreage, Statistics Canada put 2004
oat seeding intentions at 5,049,000 acres,
down 10.1% from 5,614,000 last year. In
the U.S., oat seeding as of April 18 was
45% completed. MBN

Sweeteners
Sweetener sectors again were inactive
last week, with prices mostly unchanged.
While sugar quotes in principal regions
held steady, raw sugar showed some lim-

Oats

Decatur, Ill., bulk cents per lb
April 23

Week's
change

Oat flakes, food grade, f.o.b.
Minneapolis, bagged, $ per cwt 20@20.25
Milling quality oats, No. 2 heavy,
delivered Minneapolis, $ per bu
1.811/2
Oat screening, clean out,
oats unground, $ per bu
.80@1.10
Oat hull, ground hulls only, $ per ton 10@15

Soy Flour
Bookings of soy flour remained strong
last week as prices declined. Shipments
were active.
Lower soybean and soybean meal futures prices gave buyers more opportunities to book soy flour at lower prices, as in
the previous week. May soybean meal
dropped below $300 a ton last week for
the first time since March 16. Medium
and smaller users that were not fully covered filled additional needs at the lower
price levels.
Plants ran full schedules last week, although one was down the entire week for
scheduled annual maintenance. MBN

W E E K

+11/2 c
-
-

Spot Shortening
Bulk, cents per lb

Chicago Soybean Oil Futures
Bulk in tank cars, cents per lb
April 23
Week's
Delivery
close
change
May
33.01
+0.74
July
32.68
+0.55
August
31.47
+0.20
September
30.00
-0.10
October
28.06
-0.06
December
27.32
-0.05

Year
ago
21.45
21.58
21.57
21.36
20.95
20.61

April 23
Soybean oil, Decatur
35.00
Loose lard, Chicago
22.50
Edible tallow, Chicago
23.00
Cottonseed oil, Miss. PBSY 37.00
Palm oil, ports
27.00
Palm kernel oil, ports
35.75
Coconut oil, West coast
35.50
Peanut oil, Southeast
62.00
Corn oil, Decatur
31.00
Sunflowerseed oil, Midwest
36.00
Canola oil, Midwest
37.50

Week's
change
+1.00
-
-
+1.00
-.75
+.25
+1.50
-
-
+.25
+1.75

Corn meal sales remained strong and
bakingbusiness.com / world-grain.com

Milling & Baking News, April 27, 2004 / 43

Year
ago
22.25
17.00
18.25
47.00
21.25
21.50
20.25
53.00
29.50
33.25
27.00

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

Milling & Baking News - April 27, 2004

Table of Contents for the Digital Edition of Milling & Baking News - April 27, 2004