sysco weekly market trends report 9/21/2012

WEEKLY MARKET

TRENDS REPORT

September 21, 2012

Individual Reports on:

Beef, Veal and Lamb

Oil and Grains

Dairy

Pork

Canned Tomato

Poultry

Seafood

Bean, Rice, Coffee and Sugar

Processed Fruits and Vegetables

Produce

Market Report provided by American Restaurant Association-

www.AmericanRestaurantAssociation.com- 888-423-4411

Beef, Veal and Lamb Report Beef, Veal & Lamb- Beef production last week was .8% larger than the previous year. Declining packer margins are slowing beef output and supporting beef prices. Still, various beef end cut markets are expected to peak soon. Last year choice chuck prices fell 14% in the fourth quarter. U.S. retail beef prices during August were up 5.8% versus '11 and the second highest on record. Record high retail beef prices are likely to persist this fall. Domestic retail gasoline prices are rising and are roughly 7% above the same week in '11. Inflated retail beef and gasoline prices could curb beef demand in the coming months.

Market Trend Supplies Price vs. Last Year

Live Cattle (Steer) Increasing Good Higher

Ground Beef 81/19 Increasing Good Higher

Ground Chuck Decreasing Good Higher

109 Export Rib (choice) Increasing Good Higher

109 Export Rib (prime) Decreasing Good Higher

112a Ribeye (choice) Increasing Good Higher

112a Ribeye (prime) Decreasing Good Higher

116 Chuck (choice) Increasing Good Higher

120 Brisket (choice) Increasing Good Higher

121c Outside Skirt (ch/sel.) Increasing Good Higher

167a Knckle, Trimmed (choice) Increasing Good Higher

168 Inside Round (choice) Decreasing Good Higher

174 Short Loin (choice 0x1) Decreasing Good Higher

174 Short Loin (prime 2x3) Increasing Good Higher

180 1x1 Strip (choice) Increasing Good Higher

180 1x1 Strip (prime) Decreasing Good Higher

180 0x1 Strip (choice) Decreasing Good Higher

184 Top Butt, boneless (choice) Decreasing Good Lower

184 Top Butt, boneless (prime) Decreasing Good Higher

185a Sirloin Flap (choice) Decreasing Good Higher

185c Loin, Tri-Tip (choice) Decreasing Good Lower

189a Tender (select, 5 lb & up) Decreasing Good Higher

189a Tender (choice, 5 lb &up) Decreasing Good Higher

189a Tender (prime, heavy) Increasing Good Higher

193 Flank Steak (choice) Decreasing Good Lower

50% Trimmings Increasing Good Lower

65% Trimmings Steady Good Lower

75% Trimmings Decreasing Good Higher





90% Imported Beef (frozen) Decreasing Good Higher

Veal Rack (Hotel 7 rib) Increasing Good Higher

Veal Top Round (cap off) Increasing Good Higher

Oil and Grains Report Oil & Grains- The grain harvest is progressing placing downward pressure on grain prices. Yet, grain stocks

remain historically tight. The grain markets should remain inflated this fall.


Soybeans Decreasing Good Higher

Crude Soybean Oil Decreasing Good Lower

Soymeal Decreasing Good Higher

Corn Decreasing Good Higher

Crude Corn Oil Steady Good Lower

Distillers Grain, Dry Decreasing Good Higher

Crude Palm Oil Decreasing Good Lower

Hard Red Winter Wheat Decreasing Good Higher

Dark Northern Spring Wheat Decreasing Good Higher

High Fructose Corn Syrup Decreasing Good Higher

Durum Wheat Increasing Good Lower



Dairy Report

Dairy- The cheese markets are firm. Fonterra's recent dairy auction resulted in modestly higher cheese prices. Still,

Fonterra's global cheese price average is at a $.25 discount to the existing U.S. cheese block market. This isn't a

healthy sign for U.S. cheese exports. Since '07, the average move for the cheese block market over the next six weeks

is 3.2% lower. The CME butter market is steady. The five year average move for the butter market from now through

the end of the year is 17% lower. Any fall butter and cheese market declines this year could be tempered.


Cheese Barrels- CME Increasing Good Higher

Cheese 40 lb Blocks- CME Increasing Good Higher American Cheese Increasing Good Lower Cheddar Cheese Increasing Good Lower Mozzarella Cheese Increasing Good Lower Provolone Cheese Increasing Good Higher Parmesan Cheese Increasing Good Higher Butter- One lb Solids Increasing Good Higher

Nonfat Dry Milk Increasing Good Higher

Whey, Dry Increasing Good Lower

Class I Milk Base Steady Good Lower

Class II Cream (Heavy Cream) Decreasing Good Lower

Class III Milk- CME Increasing Good Higher

Class IV Milk- CME Steady Good Higher



Pork Report

Pork- Pork production last week was 6% more than '11. Pork output is expected to remain seasonally strong which

should keep pork prices under downward pressure in the coming weeks. Still, the baby back rib and 72% pork trim

markets are presenting value. During the last ten years, the baby back rib market priced below $2 on only eight weekly

occurrences. The 72% pork trim market is 39% below its five year weekly average. U.S. retail pork prices in August

were .2% below '11 but the highest since November.


Live Hogs Increasing Good Lower

Belly (bacon) Increasing Good Higher

Spare Rib (4.25 & down) Increasing Good Lower

Ham (23-27 lb) Steady Good Lower

Loin (bone-in) Decreasing Good Lower

Baby Back Rib (1.75 & up) Decreasing Good Lower

Tenderloin (1.25 lb) Decreasing Good Lower

Boston Butt, untrimmed 4-8 lb. Decreasing Good Lower

Picnic, untrimmed Decreasing Good Lower SS Picnic, smoker trim boxed Steady Good Lower 42% Trimmings Decreasing Good Lower 72% Trimmings Steady Good Lower



Canned Tomato Report

Tomato Products, Canned- By the end of this week the CA tomato harvest is forecasted to be 9.5% larger than

last year. The canned tomato markets remain firm.


Whole Peeled Standard Steady Good Higher

Diced, Fancy Steady Good Higher

Ketchup, 33% Steady Good Higher

Tomato Paste- Ind. Steady Good Higher



Poultry Report

Poultry- Spot feed costs for chicken producers have modestly declined as of late but producer margins remain historically poor. Broiler output rates are anticipated to slow from current levels in the coming months. However, weekly broiler-type egg set data has yet to confirm any significant production cutbacks versus a year ago. The ARA daily chicken breast index has fallen 10.1% since August 30th. History points to the chicken breast markets declining even further, roughly 13% over the next seven weeks. The Northeast chicken wing market recently priced at its highest level since January. Record high chicken wing prices are likely to occur this fall. Retail chicken prices during August were 5.3% above a year ago.


Whole Chicken (2.5-3 lb-GA) Steady Good Higher

Whole Chicken (LA) Steady Good Higher

Chicken Wings, Whole Decreasing Good Higher

Chicken Wings, Jumbo Cut Decreasing Good Higher

Chicken Breast, Bone-In Decreasing Good Higher

Chicken Breast, Bnless Sknless Decreasing Good Higher

Chicken Tender (random) Decreasing Good Higher

Chicken Tender (sized) Decreasing Good Higher

Chicken Legs (whole) Decreasing Good Lower

Chicken Leg Quarters Increasing Good Higher

Chicken Thighs, bone in Decreasing Good Lower

Chicken Thighs, boneless Increasing Good Lower

Large Eggs Steady Good Higher

Medium Eggs Steady Good Higher

Whole Eggs- Liq Increasing Good Higher

Egg Whites- Liq Increasing Good Higher

Egg Yolks- Liq Increasing Good Higher

Whole Turkey (8-16 lb) Steady Good Higher

Turkey Breast- Bnls/Sknls Increasing Good Lower



Seafood Report

Seafood- In July total U.S. shrimp imports were 7.3% less than last year. Shell-on imports were up 4.8%. The shrimp markets are relatively steady. Shrimp imports may wane if the U.S. dollar valuation continues to decline which may translate to more expensive shrimp prices this fall. The U.S. imports roughly 90% of its shrimp needs. In August, fresh fish & seafood retail prices were down .4% versus '11 and were lowest since February.


Salmon, Whole (10-12 lb) Steady Good Lower

Catfish, Filets Steady Good Lower

Trout, Drn. (8-14 oz) Steady Good Higher

Shrimp (16-20 count) Increasing Good Lower

Shrimp (61-70 count) Increasing Good Lower

Shrimp, Tiger (26-30 count) Decreasing Good Lower

Snow Crab Legs (5-8 oz) Steady Good Lower

Snow Crab Legs (8 oz up) Steady Good Lower

Cod Tails, 3-7 oz. Frz. Decreasing Good Higher

Cod Loins, 3-12 oz. Frz. Steady Good Lower

Salmon Portions, 4-8 oz. Frz. Steady Good Lower



Bean, Rice, Coffee and Sugar Report


Pinto Beans Decreasing Good Lower

Black Beans Steady Good Lower

Rice, Long Grain Steady Good Lower

Coffee Beans Decreasing Good Lower

Sugar Decreasing Good Lower

Honey Increasing Good Higher

Paper Product Report

Wood Pulp (paper) Market Trend Supplies Price vs. Last Year

NBSK- Paper napkin Increasing Good Higher

42 lb. Linerboard-corrugated box Increasing Good Higher

Plastic Resins (plastic, foam)

PS-CHH-utensils, cups, to-go cont. Steady Good Higher

PP-HIGP-heavy grade utensils Steady Good Higher

PE-LLD-can liners, film, bags Steady Good Higher

Retail Price Change from Prior Month

Apr-11 Mar-11 Feb-11

Beef and Veal Increasing Increasing Increasing

Dairy Increasing Increasing Increasing

Pork Decreasing Increasing Increasing

Chicken Increasing Decreasing Increasing

Fresh Fish and Seafood Increasing Increasing Increasing

Fresh Fruits and Vegetables Decreasing Increasing Increasing



Processed Fruits and Vegetables Report

Processed Fruits and Vegetables- The USDA estimates the '12 green bean for processing harvest to be

slightly lower versus '11 and the smallest since 1995. The markets are firm.

Canned 6/10 Market Trend Supplies Price vs. Last Year

Corn, Fancy Whole Kernel Steady Good Higher Green Beans, Fancy 4 sv Steady Good Higher Green Peas, Fancy 4 sv/blend Steady Good Higher

Frozen

Corn, Cob 96 count Steady Good Higher Corn, Kernel 12/2.5 lb. Steady Good Higher Green Beans, Cut 12/2 lb. Steady Good Higher Green Peas, 12/2.5 lb. Steady Good Higher Potatoes, FF Fancy, 6/5 lb. Steady Good Higher



Produce Report Produce- The potato markets are weakening due to the building harvest. Potato prices remain historically depressed which could temper further market weakness this fall. The 70 ct. ID potato market has not traded appreciably below the existing level since March '01. The chief tomato crops will transition south soon. Once Florida production picks up it could influence tomato prices lower. The Hass avocado market is pricing 27% below its three year average. Avocado supplies may improve in the coming weeks with the Mexican harvest. Usually avocado prices fade 22% during the fall.


Limes (150 count) Steady Good Lower

Lemons (95 count) Steady Good Lower

Lemons (200 count) Decreasing Good Higher

Honeydew (6 ct.) Decreasing Good Higher

Cantaloupe (15 count) Increasing Good Higher

Blueberries (12 count) Increasing Good Higher

Strawberries (12 pints) Decreasing Good Higher

Avocados, Hass (48 count) Decreasing Good Lower

Bananas (40 lb)-Term. Increasing Good Higher

Pineapple (7 ct.)- Term. Decreasing Good Lower

Idaho Potato (60 count) Decreasing Good Lower


Idaho Potato (70 count)-Term. Decreasing Good Lower


Idaho Potato #2 (6 oz. min.) Decreasing Good Lower

Processing Potato (100 lb) Steady Good Lower

Yellow Onions (50 lb) Increasing Good Lower

Yellow Onions (50 lb)-Term. Decreasing Good Higher

Red Onions (25 lb)-Term. Increasing Good Higher

White Onions (50 lb)-Term. Increasing Good Higher

Tomatoes, (large- case) Increasing Good Same



Tomatoes, (5x6, 25 lb.)-Term. Decreasing Good Lower

Tomatoes, Vine Ripe, (4x5) Decreasing Good Lower

Roma Tomatoes (large- case) Increasing Good Higher

Roma Tomatoes (xlarge- case) Increasing Good Higher

Green Peppers (large- case) Decreasing Good Lower

Red Peppers (large- 15 lb. cs.) Decreasing Good Lower

Iceberg Lettuce (24 count) Increasing Good Higher

Iceberg Lettuce (24 cnt)-Term. Increasing Good Higher

Produce Report (continued)

Leaf Lettuce (24 count) Decreasing Good Higher

Romaine Lettuce (24 count) Decreasing Good Lower

Mesculin Mix (3 lb)-Term. Increasing Good Lower

Broccoli (14 cnt.) Increasing Good Higher

Squash (case) Increasing Good Lower

Zucchini (case) Increasing Good Lower

Green Beans (bushel) Increasing Good Lower

Spinach, Flat 24’s Decreasing Good Higher

Mushrooms (large), Term. Steady Good Higher

Cucumbers, Bushel Decreasing Good Lower

Pickles (200-300 ct.)-Term. Decreasing Good Lower

Asparagus (small) Increasing Good Lower

Freight (CA to City Avg.) Steady Good Lower

sysco weekly market trends report 9/21/2012

Documents

american restaurant

market report

snow crab

cheese block

baby back

green beans

184 top butt

idaho potato