Market Matters Blog
Domestic DDG Prices Steady for Week
OMAHA (DTN) -- The domestic distillers dried grains (DDG) average spot price from the 40 locations DTN contacted was steady at $141 per ton for the week ended Feb. 21 versus the prior week.
Spot truck values collected by DTN are steady on average with merchandisers telling DTN demand from the hog and poultry sector has been flat. Truckers are also having trouble moving product in the areas of the Midwest faced with continued snow and ice on roads.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Feb. 21 was at 105.14%. The value of DDG relative to soybean meal was at 46.09%. The cost per unit of protein for DDG was $5.22, compared to the cost per unit of protein for soybean meal at $6.44.
In their weekly DDGS update, the U.S. Grains Council noted that DDGS indications were generally up this week from last. "At the U.S. Gulf, March delivery is becoming hard to find, and values have increased accordingly. FOB vessel U.S. Gulf for April delivery is at $221/mt. Barge logistics continue to be challenged by winter storms that have brought rain, ice and snow to the U.S. Midwest. U.S. rail rates were up $3/mt on average for nearby delivery. Forty-foot containers to Southeast Asia (March delivery) were up $5/mt for March delivery, on average."
New Orleans and Baton Rouge Harbors continue to fight operational slowdowns and stoppages due to high water and unrelenting fog and rain. "Safety protocols are in place which slows barge and ocean vessel traffic considerably. Since Jan. 1 to Feb. 21, operational production in the harbor has been reduced by an estimated 30% due to these factors," said Tom Russell, Russell Marine Group. "Port congestion remains a problem with limited anchorage available. The queue of ships waiting entry at the Southwest Pass as of Fe. 21 stands at 45."
| ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE | ||
| COMPANY | STATE | 2/21/2019 | 2/14/2019 | ||
| Bartlett and Company, Kansas City, MO (816-753-6300) | |||||
| Missouri | Dry | $150 | $150 | $0 | |
| Modified | $78 | $80 | -$2 | ||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
| Missouri Subject | Dry | $155 | $150 | $5 | |
| Wet | $80 | $80 | $0 | ||
| CHS, Minneapolis, MN (800-769-1066) | |||||
| Illinois | Dry | $150 | $145 | $5 | |
| Indiana | Dry | $145 | $140 | $5 | |
| Iowa | Dry | $135 | $130 | $5 | |
| Michigan | Dry | $145 | $145 | $0 | |
| Minnesota | Dry | $140 | $135 | $5 | |
| North Dakota | Dry | $145 | $140 | $5 | |
| New York | Dry | $160 | $155 | $5 | |
| South Dakota | Dry | $145 | $140 | $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 | $136 | $136 | $0 | |
| Iowa | Dry | $134 | $134 | $0 | |
| Michigan | Dry | $130 | $130 | $0 | |
| Minnesota | Dry | $134 | $134 | $0 | |
| Missouri | Dry | $149 | $149 | $0 | |
| Ohio | Dry | $145 | $145 | $0 | |
| South Dakota | Dry | $145 | $145 | $0 | |
| United BioEnergy, Wichita, KS (316-616-3521) | |||||
| Kansas | Dry | $140 | $140 | $0 | |
| Wet | $60 | $60 | $0 | ||
| Illinois | Dry | $150 | $145 | $5 | |
| Nebraska | Dry | $140 | $140 | $0 | |
| Wet | $60 | $60 | $0 | ||
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
| Illinois | Dry | $137 | $137 | $0 | |
| Indiana | Dry | $138 | $135 | $3 | |
| Iowa | Dry | $130 | $130 | $0 | |
| Michigan | Dry | $130 | $135 | -$5 | |
| Minnesota | Dry | $128 | $130 | -$2 | |
| Nebraska | Dry | $130 | $130 | $0 | |
| New York | Dry | $155 | $152 | $3 | |
| North Dakota | Dry | $155 | $165 | -$10 | |
| Ohio | Dry | $145 | $145 | $0 | |
| South Dakota | Dry | $140 | $140 | $0 | |
| Wisconsin | Dry | $135 | $140 | -$5 | |
| Valero Energy Corp, San Antonio Texas | (210-345-3362) | (210-345-3362) | |||
| Indiana | Dry | $150 | $150 | $0 | |
| Iowa | Dry | $135 | $135 | $0 | |
| Minnesota | Dry | $135 | $135 | $0 | |
| Nebraska | Dry | $135 | $135 | $0 | |
| Ohio | Dry | $160 | $160 | $0 | |
| South Dakota | Dry | $140 | $140 | $0 | |
| California | $197 | $197 | $0 | ||
| Western Milling, Goshen, California (559-302-1074) | |||||
| California | Dry | $208 | $210 | -$2 | |
| *Prices listed per ton. | |||||
| Weekly Average | $141 | $141 | $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 | 2/21/2019 | $3.7550 | $134.11 |
| Soybean Meal | 2/21/2019 | $305.90 | |
| DDG Weekly Average Spot Price | $141.00 | ||
| DDG Value Relative to: | 2/21 | 2/14 | |
| Corn | 105.14% | 105.35% | |
| Soybean Meal | 46.09% | 46.15% | |
| Cost Per Unit of Protein: | |||
| DDG | $5.22 | $5.22 | |
| Soybean Meal | $6.44 | $6.43 | |
| 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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