Milling & Baking News - October 11, 2016 - 1

THE NEWS WEEKLY OF GRAIN-BASED FOODS
OCTOBER 11, 2016

bakingbusiness.com / foodbusinessnews.net

WHOLE GRAINS CONFERENCE REVIEW

Transportation and Distribution

Costs to ship grain by rail volatile;
ocean freight rates below average

Grain bowls finding
permanent homes on
restaurant menus
Story on Page 24

LATE NEWS

Mills, bakeries in path
of Hurricane Matthew
JACKSONVILLE, FLA. - Major sugar cane refineries in Florida and Georgia, a flour mill and a rice mill in Florida and several bakeries were in the
areas forecast to receive some of the
most severe impact from Hurricane
Matthew as it moved up the southeast coast late last week. The Bay State
Milling Co. flour mill in Indiantown,
Fla., about 25 miles inland between
the coast and Lake Okeechobee, suspended operations the evening of Oct.
5 and was expected to resume production Oct. 8, a company spokesman
said, noting that it was hoped utility services would be up at that time.
The United Sugars Corp. refinery in
Continued on Page 8

KANSAS CITY - Costs to ship grain
by rail jumped in October as the progressing harvest of forecast record
large corn and soybean crops boosted
demand for rail freight, but dropped
off for November and December.
Ocean freight rates, meanwhile, remained below recent average rates.
In late September a grain merchandiser in Kansas City said rail car costs
in the secondary market jumped from
about $400 under tariff to as much as
$1,400 over tariff for October, adding
about 50c per bu to the cost of buying wheat in the Southwest during
the peak of the fall row crop harvest.
At the same time, rail freight rates for
November and especially December
had dropped off considerably, he said.
Trade sources also reported only
minor delays in delivery of empty rail
cars and in shipments of grain by rail
so far this season, although the corn

and soybean harvests still had a few
weeks to go. Corn was 24% harvested in the 18 major states as of Oct. 2,
while soybean harvest was 26% completed, both slightly behind the fiveyear average, the U.S. Department of
Agriculture said in its weekly Crop
Progress report. A slower harvest
pace helps to spread out demand for
grain transportation.
In its Sept. 29 Grain Transportation
Continued on Page 32

Experience, milling companies
unite under Panhandle Milling
DAWN, TEXAS - With the aim to
grow and broaden product offerings,
longtime milling executives Bryan Ledgerwood, John Mason and Peter Bisaccia, along with John Cure, announced
on Oct. 3 the merger of their respective companies into a single operating
group - Panhandle Milling.
The group will align Panhandle Milling, a flour mill in Dawn that Mr. Mason

purchased from Richardson Milling in
January; New Mexico Milling, a flour
mill in Farmington, N.M., that is restarting operations this year; Specialty Grains
in Dawn, which blends and packs a range
of grains; and Specialty Blends, a mixing/blend company, which operates in
Dawn and Farmington.
Dawn is located about 35 miles southwest of Amarillo in the southern portion
of the Texas panhandle. Farmington is
located along the Colorado border about
180 miles north of Albuquerque.
The organization brings together
milling executives with decades of experience at some of the industry's top
companies.
"We aligned these companies to
Continued on Page 12

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Milling & Baking News - October 11, 2016

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