Market Matters Blog
DTN Weekly DDG Average Price Slightly Lower
OMAHA (DTN) -- The domestic distillers dried grains (DDG) average spot price from the 40 locations DTN contacted was down $1 per ton, at $140 per ton for the week ended July 18. DDG prices remain flat overall. With an extreme heat wave covering the Midwest, feeders will not need as much feed as normal for animals because they become sluggish in the heat and eat less.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended July 18 was at 92.34%. The value of DDG relative to soybean meal was at 45.60%. The cost per unit of protein for DDG was $5.19, compared to the cost per unit of protein for soybean meal at $6.46.
The midweek Energy Information Administration report noted a 356,000 barrel (bbl) build in ethanol stocks in the U.S, pushing total supply to a 23.365 million bbl eight-week high during the week-ended July 12. The EIA noted that U.S. plant production moved off a five-week low and blending demand continued lower.
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In its weekly export DDGS update, the U.S. Grains Council stated, "Easing river navigation is allowing CIF Gulf barge values to decrease and with a softening of FOB Gulf values. FOB Gulf prices for August loading are down $5/metric ton (mt) this week while rail-delivered prices to the PNW are up $4/mt. Prices for 40-foot containers to southeast Asia are up $2/mt this week to average $245/mt as international inquiries and demand remains steady."
Tom Russell of Russel1 Marine Group told me at midweek, "In the New Orleans (NOLA) and Baton Rouge Harbors, flood stage protocols are in place until water levels drop below 16 feet in NOLA and Baton Rouge levels drop below 40 feet. Flood stage protocol requires all vessel traffic, north bound and south bound, between mile 88 and mile 234 be restricted to daylight only. Hope is that flood stage protocol will be lifted by July 23-24, barring any additional rain events to change forecasts."
ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE | ||
COMPANY | STATE | 7/18/2019 | 7/11/2019 | ||
Bartlett and Company, Kansas City, MO (816-753-6300) | |||||
Missouri | Dry | $160 | $155 | $5 | |
Wet | $80 | $80 | $0 | ||
Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
Missouri Subject | Dry | $145 | $150 | -$5 | |
Wet | $75 | $77 | -$2 | ||
CHS, Minneapolis, MN (800-769-1066) | |||||
Illinois | Dry | $145 | $147 | -$2 | |
Indiana | Dry | $140 | $142 | -$2 | |
Iowa | Dry | $130 | $132 | -$2 | |
Michigan | Dry | $150 | $142 | $8 | |
Minnesota | Dry | $132 | $132 | $0 | |
North Dakota | Dry | $132 | $132 | $0 | |
New York | Dry | $152 | $152 | $0 | |
South Dakota | Dry | $132 | $132 | $0 | |
MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) | |||||
Kansas | Dry | $140 | $140 | $0 | |
POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
Indiana | Dry | $160 | $165 | -$5 | |
Iowa | Dry | $130 | $135 | -$5 | |
Michigan | Dry | $130 | $140 | -$10 | |
Minnesota | Dry | $130 | $135 | -$5 | |
Missouri | Dry | $160 | $165 | -$5 | |
Ohio | Dry | $160 | $165 | -$5 | |
South Dakota | Dry | $145 | $150 | -$5 | |
United BioEnergy, Wichita, KS (316-616-3521) | |||||
Kansas | Dry | $145 | $145 | $0 | |
Wet | $40 | $40 | $0 | ||
Illinois | Dry | $145 | $145 | $0 | |
Nebraska | Dry | $145 | $145 | $0 | |
Wet | $45 | $45 | $0 | ||
U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
Illinois | Dry | $140 | $140 | $0 | |
Indiana | Dry | $140 | $140 | $0 | |
Iowa | Dry | $130 | $135 | -$5 | |
Michigan | Dry | $135 | $135 | $0 | |
Minnesota | Dry | $130 | $130 | $0 | |
Nebraska | Dry | $135 | $130 | $5 | |
New York | Dry | $150 | $150 | $0 | |
North Dakota | Dry | $135 | $140 | -$5 | |
Ohio | Dry | $150 | $150 | $0 | |
South Dakota | Dry | $130 | $130 | $0 | |
Wisconsin | Dry | $135 | $135 | $0 | |
Valero Energy Corp, San Antonio Texas | (210-345-3362) | (210-345-3362) | |||
Indiana | Dry | $140 | $140 | $0 | |
Iowa | Dry | $135 | $135 | $0 | |
Minnesota | Dry | $135 | $135 | $0 | |
Nebraska | Dry | $135 | $135 | $0 | |
Ohio | Dry | $150 | $150 | $0 | |
South Dakota | Dry | $130 | $130 | $0 | |
California | Dry | $195 | $195 | $0 | |
Western Milling, Goshen, California (559-302-1074) | |||||
SUBJECT | California | Dry | $205 | $205 | $0 |
*Prices listed per ton. | |||||
Weekly Average | $140 | $141 | -$1 | ||
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 | 7/18/2019 | $4.2450 | $151.61 |
Soybean Meal | 7/18/2019 | $307.00 | |
DDG Weekly Average Spot Price | $140.00 | ||
DDG Value Relative to: | 7/18 | 7/11 | |
Corn | 92.34% | 88.17% | |
Soybean Meal | 45.60% | 45.25% | |
Cost Per Unit of Protein: | |||
DDG | $5.19 | $5.22 | |
Soybean Meal | $6.46 | $6.56 | |
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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