Food Business News - January 4, 2022 - 30

INGREDIENT MARKETS
Sweeteners
The US sugar market was quiet last
week and begins the new year with the
same challenges as in 2021 - strong refined
sugar prices, uncertainty about demand
due to COVID-19, rising materials
and labor costs, and freight challenges.
Beet sugar prices for 2021-22 were
steady with offers ranging from 39¢ to
41¢ a lb f.o.b. Midwest, at 43¢ in Michigan
and at 42¢ a lb and above on the West
Coast. Refined cane sugar prices also
were unchanged. One processor offered
Beet and cane sugar
f.o.b. plant, cents per lb
2021-22
Dec. 31
Midwest beet
Pacific beet
Northeast cane*
cents per lb
March
May
July
September
November
January
Sweeteners
Delivered basis, cents per lb
42% HFCS spot price1
Midwest
Northeast
Southeast
25½ @ 26
Dec. 31 Year ago
25½ @ 26
27 @ 27½
27 @ 27½
27¼ @ 27¾ 27¼ @ 27¾
27½ @ 28¾ 27½ @ 28¾
Southwest 26¾ @ 27¼ 26¾ @ 27¼
West
Midwest
Northeast
Southeast
Southwest
West
55% HFCS spot price1
Dec. 31
Year ago
32¾ @ 33¾ 32¾ @ 33¾
34¼ @ 35¼ 34¼ @ 35¼
34¼ @ 35¼ 34¼ @ 35¼
34 @ 35
34 @ 35
34¾ @ 35¾ 34¾ @ 35¾
Regular
corn
syrup2
37.25
39.50
39.50
40.50
41.50
East
Midwest
West
South
1-Variations in prices often tied to tank car versus truck deliveries. Prices are the lowest available to the publication. 2-Regular 42 DE/43 Baume, f.o.b. tank cars, trucks
Dextrose
42.00@42.50
41.00@41.50
44.00@44.50
43.00@43.50
- Change from - Year
Dec. 23 Dec. 17 ago
39.00 @ 41.50 - - 36.50
42.00 @ 44.00 - - 37.00
NA
. . .
*Spot cane sugar was quoted " upon request " by refiner.
No. 16 futures
Dec. 31 Dec. 23 Dec. 17
36.85
37.05
37.48
37.48
36.30
33.30
+.65
+.56
+.81
+.82
+.56
+.56
+.45
+.16
+.41
+.42
+.16
+.16
- Change from - Year
ago
28.40
28.80
28.60
28.60
27.80
26.95
. . .
42.00
cane sugar at 49¢ a lb f.o.b. Northeast and
West Coast as of Jan. 1. Offers for 2021-22
ranged from 43¢ to 48¢ a lb f.o.b Southeast
and from 46¢ to 48¢ a lb f.o.b. Gulf.
Bulk sugar deliveries slowed in
December after strong activity in the
September-November period, which is
typical as the baking season ends.
Spot sugar prices in calendar 2021
were strong with the spread between beet
and refined cane moving to an historically
wide level of 10.06¢ a lb (average for
the year) compared with a more typical
spread averaging about 2.66¢ a lb in 2020.
For the year, beet sugar prices averaged
about 37.60¢ a lb f.o.b. Midwest,
down from 41¢ in calendar 2020. Northeast
refined cane sugar prices averaged
about 47.66¢ a lb f.o.b. Northeast in 2021,
up from about 43.66¢ a lb in calendar 2020.
Many attributed the strong refined
cane sugar prices (and high raw cane sugar
prices) to sales of refined cane above
levels of imported raw cane by refiners
who depend on imported raws (forcing
some to the high-tier import market).
The wide spread between beet and
cane sugar prices offered some opportunities
for users willing (or able) to switch
from cane to beet sugar, unless they
required cane sugar.
The US Department of Agriculture
took several steps during the year to
boost raw sugar supplies. Those actions
had little if any impact on cash sugar
prices, although they did seem to cap No.
16 raw sugar futures prices.
The focus in January will turn to the
beet slicing campaign and sales for 202223
with mostly fill-in sales needed for the
remainder of 2021-22 (ending Sept. 30).
Beet processors were running hard
with cold weather in the Upper Midwest
and Michigan good for outdoor beet piles.
The question will be how spring weather
affects piles with the slicing campaign
needing to run longer due to the large
2021 beet crop. Sugar content of beets in
Michigan was said to be unchanged in
recent weeks after untimely rains during
harvest lowered the sucrose content.
Early sales for 2023 recently were
from 37¢ and 38¢ a lb f.o.b. Midwest (bulk
basis) depending on volume. Many sellers
were not yet active for 2023.
Annual contracting of corn sweeteners
mostly was completed with values
up about $3 to $5.50 a cwt from 2021 contract
levels for most items. Increases for
dextrose far exceeded advances for other
products, with some estimates of values
up $15 a cwt from 2021. FBN
100% Pure & Natural Honey
Amber, Light Amber, Extra Light Amber & Organic
Sweetener Supply is proud to participate in SMETA and
is committed to ethical and responsible sourcing.
30
Food Business News
888-SUGAR-99
Sweetenersupply.com
January 4, 2022

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Food Business News - January 4, 2022

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