Milling & Baking News - May 13, 2014 - 44

Ingredient Week 

Sweeteners
The cash sugar market was in wait-andsee mode last week ahead of the U.S. Department of Agriculture's May 9 World Agricultural Supply and Demand Estimates,
which included initial 2014-15 projections
for the United States and Mexico. Perhaps
more anticipated was Friday's U.S. International Trade Commission's preliminary determination of injury to U.S. sugar producers in the antidumping and countervailing
duty case against Mexico, which will allow
the case to proceed. Sugar trading was
nearly nonexistent, but cash sugar and domestic raw futures values firmed after the
I.T.C. and WASDE news.
Bulk refined beet sugar prices were firm
in a range of 31@33c a lb f.o.b. Midwest for
2014. Bagged cane sugar was offered in the
South as high as 40c a lb, and in the West,
delivered beet sugar was offered at 35@38c
a lb. The only activity appeared to be some
buyers seeking to replace previously contracted sugar that likely will not be delivered because of a force majeure recently
declared on shipments from Mexico by a
U.S. company. Many buyers still resisted
recently higher domestic sugar prices.
Sugar beet planting edged forward in
the key Red River Valley but posted better progress in other regions with the four
key states at 23% planted as of May 4,
even with last year but well behind 56%
as the 2009-13 average, the U.S.D.A. said.
The U.S.D.A. projected the sugar carryover on Oct. 1, 2015, at 1,099,000 short

Beet and cane sugar
- Change from -
May 9
May 2 Apr. 25
Midwest beet 31.00 @ 33.00 +1.00 +1.00
Paciﬁc beet# 33.00 @ 36.00
-
+1.00
Cane*
33.00 @ 35.00
-
-

Year
ago
26.00
27.00
27.00

*Spot raw plus 6% plus 6.1c with 2% cash discount.

Raw cane
Delivered reﬁner, cents per lb
May 9
24.55
24.55
24.75
25.20
25.10
25.20

Year
ago
19.50
19.50
19.75
20.40
21.10
21.50

Decatur, Ill., bulk, cents per lb
60.00
55.00
50.00
45.00
40.00
35.00
30.00
A

N
Previous Year

Delivered basis, cents per lb
42% HFCS spot price1
Midwest
Northeast
Southeast
Southwest
West

May 9
16⅜@ 18⅜
17¾@ 19¾
17⅞@ 19⅞
17½@ 19½
18⅜@ 21⅜

Year ago
20⅜@ 23⅜
21¾@ 24¾
21⅞@ 24⅞
21½@ 24½
22⅜@ 25⅜

Prices reﬂect 2014 reﬁner oﬀers
HFCS list price2
Regular
corn
syrup3
Dextrose
42% HFCS wet 55% HFCS wet
25.250 East
21.250
25.250 net
30.00@33.00
27.500 Midwest 29.00@32.00
23.500
27.750 net
27.500 West
23.000
27.500 net
33.00@36.00
28.500
22.500
27.000 net
29.750
23.750
28.250 net

1-Variations in prices often tied to tank car versus truck deliveries. 2-Prices are the lowest available to the publication. 3-Regular 42 DE/43 Baume, f.o.b. tank cars, trucks

- Change from -
May 2 Apr. 25
-
-.15
-
-.15
+.15
-.10
+.50
-.20
+.10
-.35
+.55
+.10

Spot soybean oil

Edible Oils
Bookings of bakery edible fats and
oils were brisk at points last week. Price
changes were mixed.
Soybean oil prices declined. Soybean
oil futures prices edged lower, extending the recent slide. The cash basis on

soybean oil remained firm, though, with
supplies remaining tight, especially in
view of refiner scheduled downtime.
Soybean imports were proceeding at a
record pace, which was providing some
relief from the tight supply scenario.
At the same time, the market watched
closely to discern when demand from
the biodiesel sector may increase.
The weakening in soybean oil futures
prices encouraged users to book what
was required to keep contract balances
extended about 60 days. Basis coverage
for July-September was estimated at 70%.
The U.S.D.A. forecast the carryover of
soybeans on Sept. 1, 2014, at 130 million
bus, down 5 million bus from the April
projection and down 11 bus from 141 million bus in 2013. The U.S.D.A. provided
its initial projection for the 2015 soybean
carryover, which was 330 million bus.
The U.S.D.A. forecast the carryover
of soybean oil on Oct. 1, 2014, at 1,550
million lbs, down 20 million lbs from
the April projection and down 9% from
2013. The initial projection for the 2015
carryover was 1,720 million lbs.
Corn oil bookings expanded. The increase was in addition to earlier transactions that resulted from a shift away
from cottonseed oil, offers of which remained scarce to nonexistent.
Refined canola oil remained priced at
a hefty premium to soybean oil futures
prices, but the premium narrowed to 3.5c
a lb for transactions in June forward. MBN

Sweeteners

f.o.b. plant, cents per lb

Contract
Nearby
May-June
July-September
October-December
January-March
April-June

tons, raw value, down 31% from 1,596,000
tons forecast for 2014. The 2014-15 ending
stocks-to-use ratio was projected at 9.1%,
down from 12.9% for 2013-14. In its first report for the new marketing year that begins
Oct. 1, 2014, the U.S.D.A. projected 201415 U.S. sugar production at 8,495,000 tons,
up slightly from 8,480,000 tons in 2013-14.
U.S. imports in 2014-15 were projected at
3,093,000 tons, down 7%. Tariff rate quota
imports were projected at 1,262,000 tons,
down 8% from 2013-14 and at the minimum
required under World Trade Organization
agreements. Imports of sugar from Mexico
in 2014-15 were projected at 1,421,000 tons,
down 23% from 1,845,000 tons in 2013-14.
Domestic sugar deliveries were projected at 11,835,000 tons in 2014-15,
down 2% from 12,051,000 tons in 201314, although deliveries for food were
projected at 11,700,000 tons, up 1%.
Sugar production in Mexico in 201415 was projected at 6.5 million tonnes,
actual weight, up 2% from 6.35 million
tonnes in 2013-14. Exports were projected at 2.036 million tonnes, down 15%,
and ending stocks were seen at 947 million tonnes, unchanged from 2013-14. MBN

F
Current Year

44 / May 13, 2014 Milling & Baking News

Chicago soybean oil futures
Bulk in tank cars, cents per lb
May 9
- Change from -
Delivery
close
May 2
Apr. 25
May
40.98
-.31
-1.94
July
41.18
-.33
-1.97
August
41.10
-.39
-1.90
September 40.94
-.32
-1.77
October
40.62
-.22
-1.59
December 40.75
-.15
-1.46

Edible oils
Bulk, cents per lb
Year
ago
49.17
49.23
49.00
48.74
48.33
48.05

Crude soybean oil
Bulk in tank cars, cents per lb
Delivery
Decatur, Ill.
May
41.73 @42.13
June
41.83 @42.23
July
42.18 @42.58
August
42.10 @42.50
September
41.94 @42.34
October
41.62 @42.02
November
41.69 @42.09

Western points
41.23 @41.48
41.33 @41.58
41.68 @41.93
41.60 @41.85
41.44 @41.69
41.12 @41.37
41.19 @41.44

May 9
Soybean oil,
Decatur
Loose lard, Chicago
Edible tallow,
Chicago
Cottonseed oil,
Miss. PBSY
Palm oil, ports
Palm kernel oil,
ports
Coconut oil
Peanut oil,
Southeast
Corn oil, Decatur
Sunﬂowerseed oil,
Midwest
Canola oil, Midwest

- Change from - Year
May 2 Apr. 25 ago

42.50
57.50

-.25
+4.50

-1.75 50.25
+3.50 43.50

47.00

+1.00

+1.00 42.75

82.00
42.50

+4.50
-1.00

+3.00 49.75
-1.00 41.25

48.00
65.75

-2.00
+.50

-1.00 44.50
+1.25 38.00

55.00
42.25

-4.00
-.50

-2.50
-.50

78.00
47.50

59.00
48.25

-
-.75

-
-1.25

64.00
60.75

bakingbusiness.com / world-grain.com

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

Milling & Baking News - May 13, 2014

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