Market Matters Blog
DTN Weekly DDG Average Price Down $6 Per Ton
OMAHA (DTN) -- The domestic distillers dried grains (DDG) average spot price from the 40 locations DTN contacted took another hit this week, down $6 at $128 per ton for the week ended April 26, versus the prior week. In the past two weeks, the DTN average DDG price has dropped $11 per ton.
Spot DDG truck prices were lower with continued pressure coming from continued weakness in the corn market. In addition, plants have continued to show a rise in production, with the weekly EIA report showing ethanol production moved up to a 14-week high during the week ended April 19.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended April 26 was at 103.14%. The value of DDG relative to soybean meal was at 41.83%. The cost per unit of protein for DDG was $4.74, compared to the cost per unit of protein for soybean meal at $6.44.
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In its weekly DDGS price report, the U.S. Grains Council noted that indications are down this week compared to last, especially for international container rates.
"40-foot containers to Southeast Asian destinations are down $8 per metric ton (mt), on average, while 40-foot containers to Japan saw the sharpest drop from this week to last and stand at $228/mt for May delivery. Merchandisers have reported increased interested and buying from South Korean and Vietnamese buyers, among others."
CIF barge rates in New Orleans fell $7/mt and FOB vessel U.S. Gulf indications were down $5 per metric ton for nearby delivery, to $198 per metric ton. River conditions have not improved this week and actually worsened, as more lock closures occurred between Lock 11 (UM Mile 583) and Lock 22 (UM Mile 301), while ongoing flood conditions have reduced tow sizes between Cairo and the Gulf by one-two strings (10-15 barges). The max tow size has been reduced from 40 barges to 25 or less per tow, noted ACBL.
ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE | ||
COMPANY | STATE | 4/25/2019 | 4/18/2019 | ||
Bartlett and Company, Kansas City, MO (816-753-6300) | |||||
Missouri | Dry | $137 | $140 | -$3 | |
Wet | $72 | $75 | -$3 | ||
Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
Missouri Subject | Dry | $130 | $135 | -$5 | |
Wet | $70 | $75 | -$5 | ||
CHS, Minneapolis, MN (800-769-1066) | |||||
Illinois | Dry | $132 | $137 | -$5 | |
Indiana | Dry | $130 | $135 | -$5 | |
Iowa | Dry | $120 | $125 | -$5 | |
Michigan | Dry | $130 | $135 | -$5 | |
Minnesota | Dry | $120 | $125 | -$5 | |
North Dakota | Dry | $120 | $125 | -$5 | |
New York | Dry | $135 | $140 | -$5 | |
South Dakota | Dry | $120 | $125 | -$5 | |
MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) | |||||
Kansas | Dry | $130 | $130 | $0 | |
POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
Indiana | Dry | $135 | $140 | -$5 | |
Iowa | Dry | $125 | $130 | -$5 | |
Michigan | Dry | $125 | $130 | -$5 | |
Minnesota | Dry | $130 | $130 | $0 | |
Missouri | Dry | $145 | $150 | -$5 | |
Ohio | Dry | $140 | $140 | $0 | |
South Dakota | Dry | $140 | $140 | $0 | |
United BioEnergy, Wichita, KS (316-616-3521) | |||||
Kansas | Dry | $140 | $140 | $0 | |
Wet | $60 | $60 | $0 | ||
Illinois | Dry | $148 | $148 | $0 | |
Nebraska | Dry | $140 | $140 | $0 | |
Wet | $60 | $60 | $0 | ||
U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
Illinois | Dry | $125 | $130 | -$5 | |
Indiana | Dry | $120 | $125 | -$5 | |
Iowa | Dry | $115 | $125 | -$10 | |
Michigan | Dry | $120 | $125 | -$5 | |
Minnesota | Dry | $120 | $125 | -$5 | |
Nebraska | Dry | $115 | $125 | -$10 | |
New York | Dry | $140 | $150 | -$10 | |
North Dakota | Dry | $130 | $140 | -$10 | |
Ohio | Dry | $133 | $140 | -$7 | |
South Dakota | Dry | $125 | $130 | -$5 | |
Wisconsin | Dry | $120 | $130 | -$10 | |
Valero Energy Corp, San Antonio Texas | (210-345-3362) | (210-345-3362) | |||
Indiana | Dry | $120 | $140 | -$20 | |
Iowa | Dry | $130 | $135 | -$5 | |
Minnesota | Dry | $123 | $130 | -$7 | |
Nebraska | Dry | $105 | $135 | -$30 | |
Ohio | Dry | $135 | $145 | -$10 | |
South Dakota | Dry | $135 | $136 | -$1 | |
California | Dry | $180 | $190 | -$10 | |
Western Milling, Goshen, California (559-302-1074) | |||||
SUBJECT | California | Dry | $208 | $208 | $0 |
*Prices listed per ton. | |||||
Weekly Average | $128 | $134 | -$6 | ||
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 | 4/25/2019 | $3.4750 | $124.11 |
Soybean Meal | 4/25/2019 | $306.00 | |
DDG Weekly Average Spot Price | $128.00 | ||
DDG Value Relative to: | 4/25 | 4/18 | |
Corn | 103.14% | 104.66% | |
Soybean Meal | 41.83% | 44.19% | |
Cost Per Unit of Protein: | |||
DDG | $4.74 | $4.96 | |
Soybean Meal | $6.44 | $6.38 | |
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
(AG)
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