Market Matters Blog
Domestic DDG Average Price Steady
OMAHA (DTN) -- The domestic distillers dried grains (DDG) average spot price from the 40 locations DTN contacted was unchanged at $142 per ton for the week ended March 28 versus the prior week. Spot DDG truck prices on average were mostly steady for the week, while rail market DDG prices were flat as logistics for both are still recovering from flooding in Nebraska, Iowa and Kansas.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended March 28 was at 106.31%. The value of DDG relative to soybean meal was at 46.33%. The cost per unit of protein for DDG was $5.26, compared to the cost per unit of protein for soybean meal at $6.45.
The U.S. Grains Council noted in its weekly update that export distillers dried grain with solubles (DDGS) prices were mostly flat to slightly down this week compared to last for all routes indicated in this report's DDGS price table. "After jumping up last week, U.S. rail markets fell back by $2/mt, on average, for April delivery. FOB vessel U.S. Gulf for April delivery was down $1/mt from last week to $220/mt; merchandisers report that logistics issues on the U.S. river system continue to complicate nearby delivery of product. Note that barge CIF NOLA prices fell the most among all indicated routes this week. Internationally, 40-foot containers to Southeast Asia (April delivery) were down $1/mt for April delivery, on average."
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The rise of the Mississippi River in St. Paul, Minnesota, is adding to the already high water conditions in the mid-Mississippi all the way down to the Gulf. There are now seven locks closed in the mid-Mississippi and until all the flooding from the north washes downriver, they will likely not open until mid-April. On top of that, New Orleans and Baton Rouge Harbor areas continue to experience extreme congestion and backlogs.
"Over the last couple of weeks fog and rains have subsided which has provided some relief. However, water levels at flood stage still greatly hamper operations," said Tom Russell, Russell Marine Group. "Conditions are dangerous for personnel and vessel/barge operations. Some terminals and loading locations remain closed due to high water levels."
ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE | ||
COMPANY | STATE | 3/28/2019 | 3/21/2019 | ||
Bartlett and Company, Kansas City, MO (816-753-6300) | |||||
Missouri | Dry | $150 | $160 | -$10 | |
Wet | $80 | $82 | -$2 | ||
Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
Missouri Subject | Dry | $155 | $155 | $0 | |
Wet | $85 | $85 | $0 | ||
CHS, Minneapolis, MN (800-769-1066) | |||||
Illinois | Dry | $145 | $150 | -$5 | |
Indiana | Dry | $142 | $145 | -$3 | |
Iowa | Dry | $135 | $135 | $0 | |
Michigan | Dry | $145 | $145 | $0 | |
Minnesota | Dry | $135 | $140 | -$5 | |
North Dakota | Dry | $140 | $145 | -$5 | |
New York | Dry | $150 | $160 | -$10 | |
South Dakota | Dry | $140 | $145 | -$5 | |
MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) | |||||
Kansas | Dry | $145 | $145 | $0 | |
POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
Indiana | Dry | $132 | $132 | $0 | |
Iowa | Dry | $130 | $130 | $0 | |
Michigan | Dry | $130 | $130 | $0 | |
Minnesota | Dry | $130 | $130 | $0 | |
Missouri | Dry | $150 | $150 | $0 | |
Ohio | Dry | $140 | $140 | $0 | |
South Dakota | Dry | $135 | $135 | $0 | |
United BioEnergy, Wichita, KS (316-616-3521) | |||||
Kansas | Dry | $140 | $140 | $0 | |
Wet | $60 | $60 | $0 | ||
Illinois | Dry | $150 | $150 | $0 | |
Nebraska | Dry | $140 | $140 | $0 | |
Wet | $60 | $60 | $0 | ||
U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
Illinois | Dry | $137 | $137 | $0 | |
Indiana | Dry | $140 | $140 | $0 | |
Iowa | Dry | $140 | $140 | $0 | |
Michigan | Dry | $135 | $135 | $0 | |
Minnesota | Dry | $135 | $135 | $0 | |
Nebraska | Dry | $155 | $155 | $0 | |
New York | Dry | $155 | $155 | $0 | |
North Dakota | Dry | $155 | $155 | $0 | |
Ohio | Dry | $145 | $145 | $0 | |
South Dakota | Dry | $145 | $145 | $0 | |
Wisconsin | Dry | $135 | $135 | $0 | |
Valero Energy Corp, San Antonio Texas | (210-345-3362) | (210-345-3362) | |||
subject | Indiana | Dry | $150 | $150 | $0 |
subject | Iowa | Dry | $135 | $135 | $0 |
subject | Minnesota | Dry | $135 | $135 | $0 |
subject | Nebraska | Dry | $150 | $150 | $0 |
subject | Ohio | Dry | $155 | $155 | $0 |
subject | South Dakota | Dry | $140 | $140 | $0 |
subject | California | Dry | $217 | $217 | $0 |
Western Milling, Goshen, California (559-302-1074) | |||||
California | Dry | $230 | $228 | $2 | |
*Prices listed per ton. | |||||
Weekly Average | $142 | $142 | $0 | ||
The weekly average prices above reflect only those companies DTN | |||||
collects spot prices from. States include: Missouri, Iowa, Nebraska, | |||||
Kansas, Illinois, Minnesota, North Dakota, South Dakota, Michigan, | |||||
Wisconsin and Indiana. Prices for Pennsylvania, New York and | |||||
California are not included in the averages. |
VALUE OF DDG VS. CORN & SOYBEAN MEAL | |||
Settlement Price: | Quote Date | Bushel | Short Ton |
Corn | 3/28/2019 | $3.7400 | $133.57 |
Soybean Meal | 3/28/2019 | $306.50 | |
DDG Weekly Average Spot Price | $142.00 | ||
DDG Value Relative to: | 3/28 | 3/21 | |
Corn | 106.31% | 105.67% | |
Soybean Meal | 46.33% | 45.03% | |
Cost Per Unit of Protein: | |||
DDG | $5.26 | $5.26 | |
Soybean Meal | $6.45 | $6.64 | |
Notes: | |||
Corn and soybean prices take from DTN Market Quotes. DDG price | |||
represents the average spot price from Midwest companies | |||
collected on Thursday afternoons. Soybean meal cost per unit | |||
of protein is cost per ton divided by 47.5. DDG cost per unit | |||
of protein is cost per ton divided by 27. |
Mary Kennedy can be reached at mary.kennedy@dtn.com
Follow her on Twitter @MaryCKenn
(CZ)
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