Weekly National Molasses Report

SPRINGFIELD - Mar 1/04 - SNS -- The USDA released its latest weekly national report covering the sugarcane molasses market in that country. The report covers both cane blackstrap and feed grade merchandise

National Molasses Report

Sugarcane molasses prices remained unchanged. Demand was moderate for moderate
to heavy offerings of new crop molasses. Higher ocean freight rates and higher
fuel costs continued to pressure the movement of imported product. Higher
natural gas costs have slowed the production of feed grade urea and increased
prices for available supplies. An abundance of competitive feed ingredients
such as steepwater, condensed corn solubles and other fermentation byproducts
pressured the sugarcane molasses market in some areas. There was a slight
decrease in demand from beef producers in parts of the Southeast due to early
season grazing.


Feed Molasses (minimum 79.5 brix, 43% sugars, except where noted) offers only
(premiums amd discounts to apply) and tank car or truck, fob terminal, prompt
delivery, dollars/ton, 1/

Type and Market Area       As of Noon:      Last Week         Last Year
                           03/01/2004       02/23/2004        03/03/2003
Cane Blackstrap- *Offers only (premiums and discounts to apply)*

 New Orleans               52.50-55.00      52.50-55.00       60.00
                           mostly 52.50     mostly 52.50
 Houston                   60.00            60.00             65.00
 South Florida             62.50            62.50             67.50

1/ Per ton prices are based on 171 gallons for blackstrap molasses. To
compute cents per gallon prices on cane molasses divide dollars per ton by
171 gallons ($ per ton divided by 171 gallons = cents per gallon). Ton-
2,000 lbs; Gallon= U.S. gallon.

***Effective 9/15/03 there were some changes to National Molasses Market
Report. Due to market transparency issues, prices at several points have
been discontinued on a weekly basis. As of today the remaining pricing
points are New Orleans, Houston and South Florida. Other points will be
reported when there is market activity.***

Source:  USDA-IL Dept of Ag Market News Springfield, IL 217-782-4925

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STAT News Service

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