Market Matters Blog

MINNEAPOLIS (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 33 locations reporting for the week ended Sept. 7 was $194 per ton, down $1 on average from one week ago.

DDG prices were mixed, but slightly lower on average, as feed demand is flat right now, and as corn harvest progresses, DDG prices will likely come under pressure. The DTN National Corn Index is down 6 cents versus one week ago.

The Energy Information Administration (EIA) at midweek reported for the week ended Aug. 25, overall ethanol production in the United States averaged 1.012 million barrels per day (bpd), up 5,000 bpd week-on-week and 23,000 bpd, or 2.3%, higher than in the same week last year. Four-week average output at 1.034 million bpd was 52,000 bpd above the same four weeks in 2022. Midwest ethanol production averaged 951,000 bpd, down 1,000 bpd week-on-week and 20,000 bpd, or 2.1% higher than in the same week last year. The four-week average output at 977,000 bpd was 53,000 bpd above the same four weeks in 2022.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Sept. 7 was 1.15%. The value of DDG relative to soybean meal was 48.09, and the cost per unit of protein for DDG was $7.19 compared to the cost per unit of protein for soybean meal at $8.49. (Table is still based Sept futures.)

USDA midweek used U.S. Census Bureau export data to report U.S. exports of DDGS totaled 993,018 metric tons (mt) in July, up from 949,904 mt in June, but down 2% from a year ago. Mexico was the top destination in July, taking 19% of U.S. exports and was followed by Vietnam and Indonesia. In the first seven months of 2023, exports of DDGS were down 9% from a year ago.

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

**

Mary Kennedy can be reached at mary.kennedy@dtn.com

Follow her on X, formerly known as Twitter, @MaryCKenn

(c) Copyright 2023 DTN, LLC. All rights reserved.