Market Matters Blog

DTN Weekly DDG Price Pushes Higher on Average

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 Sept. 15 was $9 higher on average versus one week ago. (DTN file photo)

MINNEAPOLIS (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended Sept. 15 was $254 per ton, up $9 versus one week ago. DDG demand from feeders has picked up as cash corn is not easy to buy or readily available, even with stronger basis values. On top of that, rail service slowed this past week as railroads prepared for a possible worker strike on Sept. 16, which was averted Thursday morning. https://www.dtnpf.com/…

The Energy Information Administration (EIA) said Wednesday domestic ethanol production tumbled 26,000 barrels per day (bpd) to 963,000 bpd, the lowest level since the week ended April 22, but about 3% higher than this time last year. Midwest ethanol production plunged 29,000 bpd or 3.1% to 902,000 bpd through Sept. 9, also a 20-week low but 2.4% above a year ago.

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Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Sep. 5 was 1.05%. The value of DDG relative to soybean meal was 58.46%, and the cost per unit of protein for DDG was $9.41, compared to the cost per unit of protein for soybean meal at $9.15.

In its weekly DDGS export update, the U.S. Grains Council said: "Barge markets are relaxing after their recent run-up and offers for DDGS Barge CIF NOLA are down $2 to $3 metric ton (mt) so far this week. FOB Gulf DDGS, however, are up $2 for spot positions and steady/down $1 for deferred positions. U.S. rail rates are sharply higher this week due to concerns about the strike, but those values should retreat soon. Offers for 40-foot containers are steady/up$4/M this week with the increase in ocean freight rates offering support. Offers for containerized DDGS to Southeast Asia averaged $408/mt through Thursday's trade."

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 9/15/2022 9/8/2022
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $275 $265 $10
Wet $160 $155 $5
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Dry $285 $270 $15
Wet $150 $140 $10
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $235 $235 $0
Indiana Dry $225 $225 $0
Iowa Dry $245 $245 $0
Michigan Dry $210 $210 $0
Minnesota Dry $245 $235 $10
New York Dry $205 $205 $0
South Dakota Dry $265 $260 $5
MGP Ingredients, Atchison, KS (800-255-0302)
Dry $285 $280 $5
Wet $101 $95 $6
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $240 $240 $0
Iowa Dry $290 $260 $30
Michigan Dry $220 $215 $5
Minnesota Dry $275 $255 $20
Missouri Dry $285 $275 $10
Ohio Dry $240 $245 -$5
South Dakota Dry $275 $260 $15
Nebraska Dry $320 $300 $20
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $280 $270 $10
Call for Available Wet* $0 $0 $0
Illinois Dry $235 $235 $0
Nebraska Dry $280 $270 $10
Call for Available Wet* $0 $0 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $235 $220 $15
Indiana Dry $230 $215 $15
Iowa Dry $250 $230 $20
Michigan Dry $220 $215 $5
Minnesota Dry $240 $220 $20
Nebraska Dry $295 $285 $10
New York Dry $265 $250 $15
North Dakota Dry $245 $230 $15
Ohio Dry $230 $225 $5
South Dakota Dry $240 $235 $5
Wisconsin Dry $220 $213 $7
Western Kansas Dry $290 $290 $0
Wet $105 $105 $0
Western Milling, Goshen, California (559-302-1074)
California Dry $345 $338 -$7
**Weekly Average: $254 $245 $9
(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 9/15/2022 $6.7750 $241.9643
Soybean Meal 9/15/2022 $434.50
DDG Weekly Average Spot Price $254.00
DDG Value Relative to: 9/15/2022 9/8/2022
Corn 1.05% 1.02%
Soybean Meal 58.46% 57.27%
Cost Per Unit of Protein:
DDG $9.41 $9.07
Soybean Meal $9.15 $9.01
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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LeeFarms
8/10/2021 | 9:40 PM CDT
Hope the CP is successful. And then that they bring on some new management!