Flour shortage?

It began last week when our order from Sysco came in and the 50# bag of flour we ordered was listed as Out of Stock.

"Out of Stock, Sysco is out of freakin flour?"  I tossed across the office to A as I was entering the costs in my database.

"What is up with that?"

Today A went to Restaurant Depot and reported back that there was a sign indicating that customers were not allowed to buy more than 5-50# bags flour.

Is it Ethanol?  Are all the farmers switching to corn?  What is going on here?
Anyone in the business noticed A.P. flour becoming an issue to get?
Did I miss some front page story?

UPDATES:
A few updates from last night.  A co-worker B sent this along from King Arthur Flour in Vermont:

 

To our valued flour customers:

 

You’ve undoubtedly heard the news about rising foods costs; perhaps you’ve already felt the impact on your pocketbook. Global wheat prices are at an all-time high, well over triple the cost per bushel since spring of last year. The combination of poor wheat harvests in parts of the world, low carryover stocks from last year, and high energy and input costs have created a very grim situation for wheat prices, which leads of course to higher flour prices.

Although all King Arthur Flour is milled from wheat grown here in North America, where the harvest was plentiful last year, global demand on our domestic supply has forced the price of wheat sky-high. We’re doing all we can to keep the cost of flour down by making our business as efficient as possible, but there’s simply no way for us to absorb entirely the impact of current record-breaking wheat prices.

Despite recent increases in prices for our products, you can be assured that King Arthur Flour is not compromising on product quality. We’re still providing the best-performing flour you’ll find. While the unstable market may convince other suppliers to use lower-quality wheat, King Arthur Flour will continue to maintain the highest and most consistent standards for protein content and product performance. Our flour will continue to be the best-quality flour in America, as it’s been since 1790.

We appreciate your understanding of raised flour and mix prices during these difficult market conditions.

Michael T. Bittel
Senior Vice President/General Manager
King Arthur Flour Company

I also thought I would move out the articles mentioned by Sam in the comments box.

Flour prices have skyrocketed in the past few months.  Check out this and this.

The second article is a Reuters piece about wheat traders and the new futures limits that started on February 11, combine that with the shortages, the highest in 60 years, and the effects are starting to ripple out.  Adam, this could mean a serious French Toast alert.

       

Comments

[Sam]

Flour prices have skyrocketed in the past few months. Check out this and this.

[KT]

How timely that we (unfortunately) had to go gluten free.

[adamg]

Hmm, can you make French toast with rye bread?

[breadchick]

1/2 of my most recent KA order is back ordered or "unavailable". Having a few friends in the Upper midwest and the central part of Canada who live in the wheat belts, I sent inquiries. Here is what one of them said 'weather conditions last year hurt (drought) mid summer wheat crops and price of fuel hurt fall (didn't plant as much acreage), combined with encouragement by local farm associations to switch some acreage to corn/soybeans for ethanol'. Basically, my friend whose family farms wheat said, "this is going to be a problem for a while".

[adamg]

ABC kneaded to fill some time last night, so they reported on how much more dough baking now takes:

http://abcnews.go.com/WN/story?id=4318523

[shuna fish lydon]

Yes! You know I saw the article in the NY Times but only because it was in the business section on Wed., the food section day. (Yes, the only day I buy the papers...) Much of the shortage has to do with overseas's demand. Time to order from other states and increase your stock... ?