Milling & Baking News - September 21, 2010 - 50

Ingredient Week 

Bakery Flour
Bookings of bakery flour expanded
last week with bakers eying both
declining prices and the calendar
while deciding to fill remaining gaps
in October-December coverage. Prices
dropped with spring standard patent
seeing the widest declines as the cash
spring wheat market slumped even as
futures prices advanced and millfeed
prices soared.
Bakers and millers assembled flour
contracts for the fourth quarter by
covering whatever components were
left outstanding. This translated into
covering mostly basis or futures as
it seemed most bakers involved in
last week's business earlier covered
millfeed positions when that market
began its climb. The millfeed market
continued to advance even after this
coverage was taken.
It was estimated bakers have covered
75% to 80% of their prospective flour
requirements for October-December.
Flour coverage for the first quarter of 2011
was estimated at around 25% to 30%.
Some major cookie-cracker and
specialty bakers earlier covered needs
though March 2011, but most soft flour
users didn't have much more extensive
flour coverage than the bread bakers.
One miller pointed to some basis
booking and baker hedging in wheat
futures into the first and second quarters
of 2011. The basis booking was most
pronounced in the case of flour milled
from hard wheat.

Bakery flour

Mill grind last week was five to 5½
days in the Southwest, Northeast and
Southeast, and six to 6½ days in the
Upper Midwest, Central states and on
the West coast. MBN

Family Flour
Sales of national and regional brands
of family flour expanded seasonally.
Carlot list prices were unchanged.
Family flour volume during the
summer was said to be below that in 2009.
Manufacturers looked forward to the fall
baking season, and there were some early
promotions staged by national brands.
Gold Medal flour was offered at two 5-lb
bags for $3 at select outlets in the Southeast,
and in instances in the Upper Midwest, that
brand was offered at an even lower grocery
shelf price. It often is the case the national
brands offer promotions during the baking
season that private label finds hard to
match. Wheat purchased months ago at
lower pricing than currently available may
allow the promotions to give the brands
a greater market share during the 2010
baking season. At the same time, some
regional brand manufacturers indicated
they wouldn't promote as aggressively as
they initially intended because of the recent
rise in wheat prices. MBN

Semolina
Bookings of semolina, granulars and
durum flour expanded last week. Prices
advanced.
The price of choice milling hard
amber durum quoted as a delivered

Chicago/beyond value was $7.75 a bu,
up 75c from a week earlier. That price
equated to a Minneapolis durum price of
$7.45. For the past several weeks, the cash
durum market was ill-defined because
of a lack of trading with mill operations
sustained by durum being applied
against contracts concluded months
earlier. Last week, amid weather-related
harvest delays and mounting concerns
over new crop quality because of the foul
weather, a mill bought a spot train at the
higher level. The Canadian Wheat Board
offer on milling durum held in store in
Thunder Bay, Ont., advanced 25c, to the
equivalent of $8 per bu.
Pasta manufacturers' semolina needs
were solidly booked through October.
Coverage for November-December
was said to be about 75% completed.
Coverage beyond December was slim.
The durum harvest across the northern
Plains proceeded at a pace ahead of a year
ago but well behind the recent five-year
averages for the date. The North Dakota
harvest was 64% completed by Sept. 12
compared with 49% a week earlier, 38%
around the same date last year and 78%
as the average for the date. The Montana
harvest was 53% completed compared with
22% a week earlier, 42% around the same
date last year and 79% as the average. 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
Sept. 17 Sept. 10 Sept. 3 ago
Sept. 17 Sept. 10 Sept. 3 ago Choice milling 13% 7.45
+.75
+1.00 6.35
Kansas City
cents per bu
Bakers short patent
17.45
-0.65
-0.80 13.30 Amber discount
10
-
-
10
Bakers standard patent 17.35
-0.65
-0.80 13.20 Durum discount
10@40
-
- 10@40
Second clear
12.50
-
- 12.50 Puffing premium
0
-
-
0
Third clear
5.80
-
-
5.80
Semolina
Minneapolis
Spring short patent
18.65
-0.70
-0.40 16.25 Bulk, f.o.b. Minneapolis, $ per cwt
- Change from - Year
Spring standard patent 18.55
-0.70
-0.40 16.15
Sept. 17 Sept. 10 Sept. 3
ago
High gluten
21.55
-0.70
-0.40 19.15
18.05
+1.40
+1.85
16.15
Whole wheat
18.55
-0.70
-0.35 16.15 Semolina
17.85
+1.40
+1.85
15.95
Specialty whole wheat 18.90
-0.70
-0.40 16.50 Granulars
17.75
+1.40
+1.85
15.85
Fancy spring clear
18.40
-0.70
-0.40 16.00 Flour
12.55
-
-
First spring clear
18.30
-0.70
-0.40 15.90 First clear
-
-
11.50
Rye, white
13.90
-0.80
-1.10 15.50 Second clear 10.50
Semolina - N.Y. 20.75
+1.40
+1.85
18.85
Chicago
Cracker
17.05
-0.50
-0.55 11.55
Nationally advertised family flour
Fancy cake
18.55
-0.50
-0.55 13.05
Dollars
New York
Sept. 17
Year ago
Winter/spring blend
19.85
-0.65
-0.80 15.70
Family patent, 2-25s papers 22.50
22.50
Spring standard patent 21.45
-0.50
-0.25 18.70
4-10s
18.25
18.25
High gluten
24.45
-0.50
-0.25 21.70
8-5s
18.40
18.40
Fancy cake
20.55
-0.50
-0.55 15.05
18-2s
21.76
21.76
Rye, white
16.40
-0.80
-1.10 18.00
Self-rising
+88c per bale +88c per bale
Los Angeles
Bakers standard patent 20.95
-0.15
0.25 17.45
Pastry
20.50
-0.20
-0.65 17.15
50 / September 21, 2010 Milling & Baking News

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 http://www.world-grain.com
Milling & Baking News - September 21, 2010

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