Market Matters Blog
DTN Weekly Average DDG Price Lower
OMAHA (DTN) -- The domestic distillers dried grains (DDG) weekly average spot price from the 40 locations DTN contacted was down $4, at $130 per ton, for the week ended Aug. 15. Prices moved lower after the limit-down close in corn Monday and the additional losses on Tuesday and Wednesday, as well as losses in the soymeal market pressuring feed prices.
The Energy Information Administration reported midweek that ethanol inventory in the U.S. was higher for the week ended Aug. 9, rising for the sixth time in seven weeks, while domestic plant production continued higher.
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Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Aug. 15 was at 100.90% versus the two-year average of 107.00%. The value of DDG relative to soybean meal was at 44.51%. The cost per unit of protein for DDG was $4.81, compared to the cost per unit of protein for soybean meal at $6.14.
In its weekly export DDGS update, the U.S. Grains Council stated, "Merchandisers note there is still some elevation for September shipments out of the Gulf, but expectations are that elevations will tighten like they have so far in August. Prices for DDGS CIF NOLA barge are near $169 per metric ton (MT) for September while FOB Gulf values are slightly lower at $187/MT for the same month. Prices for 40-foot containers to southeast Asia are slightly lower this week at $230/MT."
| ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE | ||
| COMPANY | STATE | 8/15/2019 | 8/8/2019 | ||
| Bartlett and Company, Kansas City, MO (816-753-6300) | |||||
| Missouri | Dry | $150 | $155 | -$5 | |
| Wet | $75 | $78 | -$3 | ||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
| Missouri Subject | Dry | $135 | $135 | $0 | |
| Wet | $70 | $70 | $0 | ||
| CHS, Minneapolis, MN (800-769-1066) | |||||
| Illinois | Dry | $135 | $140 | -$5 | |
| Indiana | Dry | $130 | $135 | -$5 | |
| Iowa | Dry | $115 | $120 | -$5 | |
| Michigan | Dry | $140 | $145 | -$5 | |
| Minnesota | Dry | $115 | $120 | -$5 | |
| North Dakota | Dry | $120 | $125 | -$5 | |
| New York | Dry | $135 | $140 | -$5 | |
| South Dakota | Dry | $115 | $120 | -$5 | |
| MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) | |||||
| Kansas | Dry | $130 | $135 | -$5 | |
| POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
| Indiana | Dry | $135 | $145 | -$10 | |
| Iowa | Dry | $130 | $125 | $5 | |
| Michigan | Dry | $120 | $125 | -$5 | |
| Minnesota | Dry | $125 | $125 | $0 | |
| Missouri | Dry | $140 | $150 | -$10 | |
| Ohio | Dry | $135 | $150 | -$15 | |
| South Dakota | Dry | $135 | $140 | -$5 | |
| United BioEnergy, Wichita, KS (316-616-3521) | |||||
| Kansas | Dry | $135 | $135 | $0 | |
| Wet | $40 | $40 | $0 | ||
| Illinois | Dry | $135 | $140 | -$5 | |
| Nebraska | Dry | $135 | $135 | $0 | |
| Wet | $40 | $40 | $0 | ||
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
| Illinois | Dry | $130 | $135 | -$5 | |
| Indiana | Dry | $135 | $137 | -$2 | |
| Iowa | Dry | $125 | $130 | -$5 | |
| Michigan | Dry | $130 | $135 | -$5 | |
| Minnesota | Dry | $120 | $125 | -$5 | |
| Nebraska | Dry | $122 | $130 | -$8 | |
| New York | Dry | $150 | $150 | $0 | |
| North Dakota | Dry | $130 | $130 | $0 | |
| Ohio | Dry | $150 | $150 | $0 | |
| South Dakota | Dry | $125 | $125 | $0 | |
| Wisconsin | Dry | $130 | $130 | $0 | |
| Valero Energy Corp, San Antonio Texas | (210-345-3362) | (210-345-3362) | |||
| Indiana | Dry | $130 | $130 | $0 | |
| Iowa | Dry | $125 | $125 | $0 | |
| Minnesota | Dry | $120 | $125 | -$5 | |
| Nebraska | Dry | $135 | $135 | $0 | |
| Ohio | Dry | $135 | $145 | -$10 | |
| South Dakota | Dry | $128 | $128 | $0 | |
| California | Dry | $178 | $185 | -$7 | |
| Western Milling, Goshen, California (559-302-1074) | |||||
| California | Dry | $188 | $195 | -$7 | |
| *Prices listed per ton. | |||||
| Weekly Average | $130 | $134 | -$4 | ||
| 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 | 8/15/2019 | $3.6075 | $128.84 |
| Soybean Meal | 8/15/2019 | $291.80 | |
| DDG Weekly Average Spot Price | $130.00 | ||
| DDG Value Relative to: | 8/15 | 8/8 | |
| Corn | 100.90% | 91.29% | |
| Soybean Meal | 44.51% | 45.45% | |
| Cost Per Unit of Protein: | |||
| DDG | $4.81 | $4.96 | |
| Soybean Meal | $6.14 | $6.21 | |
| 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
(BAS/CZ)
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