A larger than expected supply of cocoa beans from West Africa will add to high buffer stocks and push cocoa prices down by 4%, according to financial service provider Rabobank.
Moves to impose position limits on non-commercial hedgers in commodity markets mark an important step in the right direction to tackle volatility in wheat futures, says the American Bakers Association (ABA).
EU sugar supplies are at their most critical levels since the 2005 sugar reform and are causing ‘extreme volatility, instability and disruption’ to the European food and drink industry.
Upward pressure on cereal prices looks set to continue, following yesterday’s announcement that the US Department of Agriculture has downgraded its yield projections for maize. The 2011 crop is now forecast at 12.5bn bushels, which is 50m larger than...
There is no major concern over UK bread wheat quality with over 65 per cent of the UK’s wheat harvested, claims the HGCA in its latest report; however analysts remain anxious about the final stages of Germany’s wheat harvest.
Sugar stocks should rise significantly from their current low levels, with analysts forecasting a global sugar surplus of around 9.5m tonnes in the 2011/12 (October-September) crop year, on the back of increased production in Europe and Asia.
There will be no dramatic drop in cocoa prices in the coming months as forecast by numerous speculators hoping to cash in on a downward trend, reports a cocoa market specialist.
Elevated agricultural commodity prices will remain this season as unfavourable weather impacts production, offering little chance to replenish stocks, according to Rabobank.
Global sugar prices have reacted strongly to the news of lower Brazilian output but the upward movement does not trigger the need for any additional EU intervention on the commodity 'just yet', claims Rabobank.
France’s driest spring in 50 years is likely to have a heavy impact on its wheat harvest and could drive up global wheat prices, according to French agriculture minister Bruno Le Maire.
Prolonged drought in northern Europe has already capped yields of cereals and sugar beet and, without significant rainfall over the next two months, could significantly boost prices, warn analysts.
Mark Fairweather, chief executive of Allied Bakeries, has called on retailers to accept inevitable bread price rises due to rising input costs, and specifically pressure arising from global speculation on wheat.
Rising commodity costs are the main reason behind Solae’s decision to lift its global soy prices by between six to 10 per cent from April 1, 2011, according Reinhart Schmitt, vice president, Solae Europe.
When Tunisian street vegetable vendor Mohamed Bouazizi chose to end his life in fiery suicide, no one could have foreseen the firestorm his death would unleash across the Arab world. But, two months later, as the Arab Revolt shows no sign of fading, the...
Current uncertainty suggests further price gains are likely in wheat over the coming months with EU prices expected to set record highs prior to the new crop harvest, predicts agri commodity specialists Rabobank, who foresee a downward movement on sugar...
US wheat futures experienced volatility this week with traders concerned that floods in Australia would hamper transportation of wheat and export commitments would not be met.
Bakers may have to get used to higher wheat prices following the spike in mid-2010 as signs are that world production may not rebound as fast as it did after the 2007/08 peak.
The CIUS is calling for the European Commission to act now to keep sugar supplies within the EU market rather than export the sweetener, with it claiming that EU based confectioners and other food and drink manufacturers are facing sugar supply difficulties.
The leading traders of physical raw sugar claim that the commodity is likely to surge to a 30-year high in the coming months, with all eyes on the pending Indian sugar crop output which is hoped will ease supply pressures.
Concern around stock levels of commodities such as sugar, wheat and corn, is claimed by ingredients group Jungbunzlauer as the rationale behind its 10 per cent hike in the price of its xanthan gum, erythritol and citric acid products.
European food manufacturers will experience commodity inflation in the second half of 2010 but it will be more manageable than it has been in the past, predicts an analyst.
The FAO has revised downward its forecast for 2010 world wheat production levels and reports that wheat market dynamics drove international food prices up in August by 5 per cent - the biggest month-on-month increase since November 2009.
There’s nothing like a shortage of wheat to send some news media searching for superlatives. Talk of “soaring” wheat prices and “rocketing” bread prices were common, in the British press, after Russia decided to temporarily ban grain exports earlier this...
Monsanto has announced a new wheat breeding program with Australian wheat breeding firm InterGrain, which could lead to drought-resistant wheat and improved end-use qualities, the companies said.
German flour improvers specialist Muhlenchemie has many years' experience in the fast-growing bakery markets of Africa and the Middle East - but each country and bread-eating culture requires a slightly different approach.
A leading economist says that industry sources and analysts predicting the Russian wheat export ban will have little impact on EU food prices are “naïve”, and overlook the fact that major futures contracts for Russian wheat are now worthless.
Rabobank has predicted that wheat prices are likely to ease but warned that the bakery industry may struggle to pass on higher costs to consumers if prices remain high.
US Department of Agriculture (USDA) Secretary Tom Vilsack said on Tuesday that world wheat supplies are robust, despite fires that have devastated Russian wheat crops and flooding in Canada.
Co-ordinated EU-wide action is needed urgently to end food price volatility induced by market speculation, warns the European Flour Milling Association after wheat prices reached a 23-month high yesterday.
It’s too early to predict the impact of huge rises in wheat prices on European flour products such as bread and biscuits, according to the National Association of British & Irish Millers.
The FAO is cautiously optimistic about the prospects of food commodities in the wake of economic upheaval in the past two years, but average prices for wheat and grains, vegetable oils and dairy are likely to be higher over the next decade.
Many American consumers would be receptive to foods containing genetically modified wheat if it is produced sustainably, suggests a new survey examining attitudes to food technologies from the International Food Information Council (IFIC).
Wheat production on a global scale for the 2010-11 global crop has been revised upwards by two million tonnes to 660 million tonnes, according to the May report from the International Grains Council (IGC), which was less upbeat abou the EU harvest.
Cocoa prices have proved resilient in the economic downturn, even as other commodity prices have slumped, and confectionery manufacturers are concerned that tight supply will keep prices high for some time yet.
Bakers will welcome fresh figures from Austrian sugar, starch and fruit preparation supplier Agrana that reports a lift in autumn harvest figures for commodity-derived ingredients, an encouraging sign that supplies for formulators may ease into 2009.
Premier Foods, the maker of Hovis bread, reports 'good progress' in
recovering commodity inflation as price increases passed onto
retailers offset high ingredient costs.
UK-based Premier Foods today confirmed it will cut its annual
shareholder payout in half, as the rising price of wheat and other
commodities continue to dog the bakery firm.
The independent research organisation Chatham House has launched a
project to examine how the UK can best secure its food supply in
the face of global food production shortages.
UK-based Northern Foods yesterday reported a Q3 3.5 per cent
revenue increase, avoiding the current commodity squeeze by passing
costs on to customers.
US wheat stocks will fall to their lowest level in 60 years, which
will contribute to a sharp rise in prices, according to US
Department of Agriculture projections.
Global food manufacturer Northern Foods this week warned that it
faces price rises of up to ten per cent because of steep commodity
price increases in the UK.
Food processors can expect no relief in the near future from the
sharp surge in commodity prices, pushed upward by supply shortfalls
and higher global demand.
Bakers are again warning that the soaring price of flour is set to
drive up bread prices as costs are pushed further down the supply
chain to consumers.
There are signs that rising commodity costs are pinching the length
of the food chain with US cereal product maker General Mills
warning that, despite strong fourth quarter figures, the soaring
costs will have an impact in the near...
