Flour mills low on inventory ahead of winter wheat harvest


Flour mills low on inventory ahead of winter wheat harvest

High wheat prices have some flour mills scraping the bottom of their inventory ahead of winter wheat harvest.

Dave Devore is the grain buyer for Siemer Milling Company based in Teutoplis, Illinois.

“I think a lot of flour mills are probably going into harvest with not much inventory. The markets have kind of dictated and most elevators have sold everything they had. That is kind of unique where we aren’t going in with much of an inventory.”

But after scouting fields in their buying territory, he tells Brownfield he is confident a lot of wheat will move once harvest starts.

“I think acreage in Illinois is higher than the last few years, I think we are looking at a trend line yield if not better, so I think production is gong to be there. Quality is yet to be determined, it’s always better when the wheat is in the bin and we know what we’re going to get.”

He thinks there will be enough wheat in Illinois to satisfy demand from millers for this year. Weather permitting, he predicts harvest in their area will begin in 3-5 weeks, with most fields about 5 days behind average.

Siemer Milling also has locations in West Harrison, Indiana and Hopkinsville, Kentucky. The three locations process about 25 million bushels of soft red winter wheat each year into flour used for foods like cakes, cookies, biscuits, and pancakes.

Comments from an interview with Dave Devore