Milling & Baking News - November 21, 2006 - 48

I N G R E D I E N T

W E E K

Bakery Flour

Bookings of bakery flour expanded.
Prices mostly were lower.
Most flour booking involved bakers
filling gaps in November-December coverage. Flat pricing of flour into JanuaryMarch was evident but light.
Millfeed credits at historically high
levels encouraged component buyers
to book millfeed-only through March or
even June. These buyers refrained from
completely booking the flour for the period in the hope futures prices and cash
wheat premiums would decline.
In isolated instances, bakers holding scant coverage in January-March
elected to book instead flour for AprilSeptember. Here, too, millfeed credits
at unusually high levels for the summer of 2007 played a role. So, too, did
wide inverses in wheat futures prices
and underlying concerns that an even
firmer corn market next year could
pull wheat prices up in its wake.
Flour grind was strong last week. Mills
ran six to seven days in the Southwest
and averaged six in the Upper Midwest
and Central states. Northeast mills ran
5½ to six days and Southeast mills about
six. California mills were at 6½ and Pacific Northwest mills at 6½ to seven days.
Mills were expected to run only about
three days during Thanksgiving week,
except California at closer to 5½. MBN

Family Flour

Sales of national and regional brands
of family flour were softer than in re-

Bakery flour

cent weeks. The pace of activity typically
slows after the build up for Thanksgiving
demand. Carlot list prices of the national
brands were unchanged, though a regional family flour manufacturer indicated it
would raise prices for January-forward.
Product promotions at the retail
level have been restrained this season,
with a notable exception. A chain grocer offered its store brand down to 48c
per 5-lb bag in outlets in portions of
the Central states. But again, this was
exceptional. Most discount pricing this
season was scattered, with prices below $1 a bag rare. In some stores, family flour was offered with no discounts
despite Thanksgiving being the high
point of the fall baking season.
One private label manufacturer noted
volume was 4% to 10% below a year
ago, reflecting the ongoing decline in the
category and lack of aggression in trade
activation initiatives because of the high
price of wheat.
Lead times required to fill orders were
less than 10 days, exceptionally short for
the time of year. Manufacturers' packaging lines were running about five days,
which was below expectations. Lines
were expected to operate three to four
days Thanksgiving week. MBN

Semolina

Bookings of semolina, granulars and
durum flour were limited last week.
Prices declined on upward adjustments
in milfeed credits.
Pasta makers filled gaps in December

coverage. New bookings into JanuaryMarch were scarce. Overall coverage of
prospective semolina needs in the first
quarter of 2007 was estimated at about
20%. It was expected pasta manufacturers will take a fresh look at extending
coverage into January-March after the
Thanksgiving holiday weekend.
Business completed for December last
week was based on a price of choice milling hard amber durum at Minneapolis
at $6 per bu, up 5c from a week earlier.
There was a carry in the cash durum
market, and hence, the semolina market
into the first quarter. But it was not wide,
and some millers suggested booking first
quarter needs at current levels. "There
is without doubt more upside risk than
downside potential in the durum market," commented one miller.
Semolina shipments were seasonally
brisk. Mill running times were heavy,
with six days the average grind. Because
of the Thanksgiving holiday, operations
were expected to be scaled back to about
four days this week.
Of note was a continued premium
asked for Canadian durum by the Canadian Wheat Board vis-à-vis domestic U.S.
supply. With U.S. stocks projected to be
tight this marketing year, Canadian supply will become increasingly important. MBN

Bakers standard, Kansas City
Bulk, f.o.b. car, $ per cwt

No. 1 hard amber durum

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

Track, Minneapolis
- Change from - Year
- Change from - Year $ per bu
Nov. 17 Nov. 10 Nov. 3 ago
Nov. 17 Nov. 10
Nov. 3 ago Choice milling 13% 6.00
+.05
+.05
4.70
Kansas City
cents per bu
Bakers short patent
13.45
-0.20
-0.45 11.80 Amber discount
10
-
-
10
Bakers standard patent 13.35
-0.20
-0.45 11.70 Durum discount
10@40
-
- 10@40
Second clear
6.20
-
-
6.50 Puffing premium
0
-
-
0
Third clear
5.00
-
-
5.50
Semolina
Minneapolis
Spring short patent
12.95
-0.30
-0.35 12.95 Bulk, f.o.b. Minneapolis, $ per cwt
- Change from - Year
Spring standard patent 12.85
-0.30
-0.35 12.85
Nov. 17 Nov. 10 Nov. 3
ago
High gluten
15.85
-0.30
-0.35 15.85
15.25
-.10
-.15
12.65
Whole wheat
12.85
-0.30
-0.35 12.85 Semolina
15.05
-.10
-.15
12.45
Specialty whole wheat 13.20
-0.30
-0.35 13.20 Granulars
14.95
-.10
-.15
12.35
Fancy spring clear
12.70
-0.30
-0.35 12.70 Flour
11.70
-.10
-.15
9.70
First spring clear
12.60
-0.30
-0.35 12.60 First clear
7.30
-
-
6.50
Rye, white
9.05
-0.40
-0.45 10.10 Second clear
Semolina - N.Y. 17.55
-.10
-.15
14.95
Chicago
Cracker
12.25
-0.10
-0.40 10.20
Nationally advertised family flour
Fancy cake
13.75
-0.10
-0.40 11.70
Dollars
New York
Nov. 17
Year ago
Winter/spring blend
15.85
-0.20
-0.45 14.20
Family patent, 2-25s papers 15.36
15.36
Spring standard patent 15.15
-0.30
-0.25 15.15
4-10s
13.00
13.00
High gluten
18.15
-0.30
-0.25 18.15
8-5s
13.36
13.36
Fancy cake
15.75
-0.10
-0.40 13.70
18-2s
15.66
15.66
Rye, white
11.55
-0.40
-0.45 12.60
Self-rising
+88c per bale +56c per bale
Los Angeles
Bakers standard patent 15.45
-0.20
-0.45 13.00
Pastry
14.50
-0.20
0.15 12.30

48 / Milling & Baking News, November 21, 2006

Spring standard, Minneapolis
Bulk, f.o.b. car, $ per cwt

Cracker flour, Chicago
Bulk, f.o.b. car, $ per cwt

bakingbusiness.com/world-grain.com

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

Milling & Baking News - November 21, 2006

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