Market Matters Blog

Weekly DTN Average DDG Price Steady

Mary Kennedy
By  Mary Kennedy , DTN Basis Analyst
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DTN's weekly spot price for domestic distillers dried grains for the week ended March 17 was unchanged on average versus one week ago. (DTN file photo)

OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended March 17 was $282 per ton, unchanged versus one week ago. Prices remained firm overall as plants enter spring maintenance, which could slow supplies of available DDG, according to one merchandiser, while soybean meal and cash corn prices have moved lower versus one week ago.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Thursday, March 17, was 104.65%. The value of DDG relative to soybean meal was 59.48%, and the cost per unit of protein for DDG was $10.44, compared to the cost per unit of protein for soybean meal at $9.98.

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The Energy Information Administration reported Wednesday that total ethanol production dipped 2,000 barrels per day (bpd) to 1.026 million bpd, about 6% more than a year ago, while four-week average output totaled 1.019 million bpd, up 4,000 bpd from the prior four-week period.

In its weekly DDGS update, the U.S. Grains Council said, "Exporters note that most of the Mississippi River system will be open in the next few weeks after the mid-Mississippi River region was officially opened earlier this week. That is putting pressure on barge values, which are down $11 per metric ton (mt) for April and down $18-$25/mt for May/June positions. FOB Gulf offers are reflecting the reduced transportation costs and are down $5/mt for spot positions this week and posted a $14/mt decline for May. U.S. rail rates, however, are higher this week as fuel surcharges continue to support values. Containerized DDGS exports to southeast Asia are up $5/mt this week amid the general strength in DDGS values and ocean freight rates. Offers average $456/mt for second-quarter shipment."

NOTE: All prices listed below can change at any time and are subject to confirmation from seller.

ALL PRICES SUBJECT TO CONFIRMATION CURRENT PREVIOUS CHANGE
COMPANY STATE 3/17/2022 3/10/2022
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $300 $300 $0
Wet $160 $160 $0
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Dry $300 $300 $0
Wet $170 $170 $0
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $285 $290 -$5
Indiana Dry $280 $280 $0
Iowa Dry $270 $270 $0
Michigan Dry $260 $260 $0
Minnesota Dry $270 $275 -$5
New York Dry $305 $305 $0
South Dakota Dry $285 $290 -$5
MGP Ingredients, Atchison, KS (800-255-0302)
Dry $295 $290 $5
Wet $98 $95 $3
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $290 $285 $5
Iowa Dry $290 $290 $0
Michigan Dry $270 $270 $0
Minnesota Dry $285 $285 $0
Missouri Dry $300 $300 $0
Ohio Dry $290 $285 $5
South Dakota Dry $300 $300 $0
Nebraska Dry $310 $310 $0
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $285 $285 $0
Wet $105 $105 $0
Illinois Dry $280 $280 $0
Nebraska Dry $285 $285 $0
Wet $105 $105 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $275 $275 $0
Indiana Dry $265 $265 $0
Iowa Dry $265 $265 $0
Michigan Dry $260 $260 $0
Minnesota Dry $270 $270 $0
Nebraska Dry $305 $305 $0
New York Dry $305 $305 $0
North Dakota Dry $285 $285 $0
Ohio Dry $275 $275 $0
South Dakota Dry $280 $280 $0
Wisconsin Dry $260 $260 $0
Western Kansas Dry $320 $310 $10
Wet $118 $118 $0
Central Kansas Dry $300 $300 $0
Wet $110 $110 $0
Western Milling, Goshen, California (559-302-1074)
California Dry $376 $358 $18
**Weekly Average: $282 $282 $0
(Prices listed per ton)
**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 3/17/2022 $7.5450 $269.46
Soybean Meal 3/17/2022 $474.10
DDG Weekly Average Spot Price $282.00
DDG Value Relative to: 3/17 3/10
Corn 104.65% 104.20%
Soybean Meal 59.48% 55.64%
Cost Per Unit of Protein:
DDG $10.44 $10.44
Soybean Meal $9.98 $10.67
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

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