Milling & Baking News - November 20, 2018 - 40

Ingredient Week

Bakery Flour
Bookings of bakery flour expanded
last week. Price adjustments were mixed,
higher for pan bread flour and soft flour
but lower for spring standard patent.
Business in flour accelerated ahead of
the week's end as bakers took advantage
of weak wheat futures to tack on additional coverage into the first and second
quarters of 2019. The calendar provided
an additional incentive to bakers to book
what supply was required to ensure
their forward ownership was at comfortable levels as the fall and winter holidays
approached.
Last week, individual major bakers
booked flour for both the first and second quarters. These bakers found that
forward pricing fell within their budgets,
and, seeking to take risk off the table, decided to extend their contract balances.
Additional bakers extended their
ownership of at least the futures component of first-quarter and second-quarter
flour contracts. In some instances, this
activity allowed January-March contracts to be completed.
One miller indicated bakers earlier
completed covering their December flour
needs. First-quarter 2019 flour coverage
was estimated at 55% to 75% depending on the grade and individual buyer. It
was noted booking of spring grades has
slowed during the past couple of weeks.
Second-quarter coverage was estimated
at 30% to 50%, again based on grade and
the individual baker.
Mill grind ranged from 5½ to six days

Bakery ﬂour
Nov. 16

40 / November 20, 2018

Family Flour
Sales of national and regional brands
of family flour continued were brisk.
Carlot list prices were unchanged.
Orders and shipments were the strongest of the season with Thanksgiving just
days away. One regional manufacturer
said heavy demand required operating
packaging lines with additional shifts
even into the weekend. He commented
volume was disappointing in October,
but November shipments may make up
for the slow start of the baking season.
Baking season product promotions
were in full swing. National and regional
brands were offered on grocers' shelves
at two 5-lb bags for $2.50 and occasionally at $2. Private label was offered at
even lower prices with 5-lb bags at $1.75
at some grocery stores with isolated instances of 5-lb bags offered at $1.
Shipments should slow Thanksgiving
week, but the pace was expected to accelerate after Thanksgiving and remain
strong until the week before Christmas.
In the market for private label flour,
mass merchandisers, club stores and
grocery chains earlier covered all their
needs through December or even January. Inquiry has begun for FebruaryMarch coverage. MBN

Semolina

- Change from - Year
Nov. 9
Nov. 2 ago

Track, Chicago
$ per bu
Nov. 16
Choice milling 13% 7.40

15.55
15.45
8.85
...

0.10
0.10
-
...

-0.30
-0.30
-
...

15.90 Track, Minneapolis
15.80 $ per bu
8.85 Choice milling 13% 7.10
...

15.55
15.45
16.45
15.45
15.80
15.30
15.20
21.30

-0.55
-0.55
-0.55
-0.55
-0.55
-0.55
-0.55
-0.20

-0.75
-0.75
-0.75
-0.75
-0.75
-0.75
-0.75
-0.25

18.50
18.40
21.40
18.40
18.75
18.25
18.15
14.40

13.85
15.35

0.10
0.10

-0.10
-0.10

11.70
13.20

0.10
-0.55
-0.55
0.10
-0.20

-0.30
-0.90
-0.90
-0.10
-0.25

18.30
20.70
23.70
15.20
16.90

20.15
20.20

0.10
0.10

-0.30
-0.30

20.90
20.95

Milling & Baking News

Bakers standard, Kansas City
Bulk, f.o.b. car, $ per cwt
$19.00

$15.00
$13.00

- Change from - Year
Nov. 9 Nov. 2 ago
-.10
-.10
8.90

$11.00
N

Previous Year

A
Current Year

Spring standard, Minneapolis
-.10

-.10

8.60

Semolina

17.95
17.50
18.50
17.35
23.80

durum flour were limited last week.
Prices were lowered.
The price of choice milling hard amber durum as quoted at the Chicago
rail gateway for delivery beyond was a
nominal $7.40 a bu, down 10c. The cash
durum market remained inactive. For
several weeks, mills have sustained a
strong grind by drawing on their own
inventories and taking delivery of shipments for application against contracts.
The Minneapolis durum price was a
nominal $7.10 a bu.
With spring wheat pricing in the
country above that for durum at some
locations, there was discussion about
prospects for durum plantings, production and supply in the next year.
The primary constraint on new business was the well-covered status of nearly all pasta manufacturers. Their semolina coverage through December was
solid. First-quarter 2019 semolina coverage was estimated by one durum miller
as high as 80%, and April-June coverage
was estimated at about 55%. Low durum
prices and a relative narrow carry in the
market encouraged the deep coverage
into 2019.
Durum mill grind last week was 5½ to
six days. Mills will take some downtime
during Thanksgiving week. MBN

$17.00

Bookings of semolina, granulars and

No. 1 hard amber durum

Bulk, f.o.b. car, $ per cwt
Kansas City
Bakers short patent
Bakers standard patent
Second clear
Third clear
Minneapolis
Spring short patent
Spring standard patent
High gluten
Whole wheat
Specialty whole wheat
Fancy spring clear
First spring clear
Rye, white
Chicago
Cracker
Fancy cake
New York
Winter/spring blend
Spring standard patent
High gluten
Fancy cake
Rye, white
Los Angeles
Bakers standard patent
Pastry

across most of the country with mills
planning what downtime they will take
Thanksgiving week. MBN

Bulk, f.o.b. Minneapolis, $ per cwt
- Change from -
Nov. 16
Nov. 9 Nov. 2
Semolina
17.90
-.40
-.40
Granulars
17.70
-.40
-.40
Flour
17.60
-.40
-.40
First clear
13.50
-
-
Second clear
7.50
-
-
Semolina - N.Y. 21.10
-.40
-.40

$22.00
$20.00

Year
ago
21.80
21.60
21.50
15.50
8.50
25.00

Nationally advertised family ﬂour

$18.00
$16.00
$14.00
$12.00
N

Previous Year

A
Current Year

Cracker ﬂour, Chicago
Bulk, f.o.b. car, $ per cwt
$15.50

Dollars
Nov. 16
Family patent, 2-25s papers 24.12
4-10s
n.a.
8-5s
18.52
18-2s
20.64
Self-rising
n.a.

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

Year ago
24.12
n.a.
18.52
20.64
n.a.

$13.50
$11.50
$9.50
N

F
Previous Year

A
Current Year

bakingbusiness.com / world-grain.com

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

Milling & Baking News - November 20, 2018

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