Market Matters Blog

DTN Weekly DDG Price Lower on Average

Mary Kennedy
By  Mary Kennedy , DTN Basis Analyst
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DTN domestic distillers dried grains weekly spot prices of available offers were mixed for the week ended June 12. (DTN file photo)

OMAHA (DTN) -- Of the 40 locations DTN contacted that showed offers for domestic distillers dried grains (DDG) for the week ended June 12, posted offers were mixed and averaged $136 per ton, down $2 versus the prior week.

Wednesday's Energy Information Administration ethanol report noted another increase in production by U.S. ethanol plants for the week ended June 5. Output was up 9.4% last week, the sixth straight week with higher production, after falling to a 537,000-barrel-per-day more-than-decade low in late April. During the four weeks ended June 5, ethanol production is down 30% against the corresponding period in the year prior.

With ethanol production at about 80% of pre-COVID-19 levels, DDG supply is more readily available, and feeders are slowly returning DDG back into their rations, especially after prices moved lower. Soymeal prices have been climbing the past week, and the cash price of corn has improved versus one week ago, making DDG more competitive for feeders.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended June 12 was 115.48%. The value of DDG relative to soybean meal was 46.95%. The cost per unit of protein for DDG was $5.04, compared to the cost per unit of protein for soybean meal at $6.10.

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

ALL PRICES SUBJECT TO CONFIRMATIONCURRENTPREVIOUSCHANGE
COMPANYSTATE 6/11/20206/4/2020
Bartlett and Company, Kansas City, MO (816-753-6300)
MissouriDry$145$140$5
Wet$73$70$3
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Missouri Dry$145$140$5
Wet$75$75$0
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry$135$135$0
Indiana Dry$135$135$0
Iowa Dry$132$132$0
Michigan Dry$145$145$0
MinnesotaDry$125$125$0
North DakotaDry$130$130$0
New YorkDry$170$170$0
South DakotaDry$120$120$0
MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253)
Kansas APRILDry$130$130$0
POET Nutrition, Sioux Falls, SD (888-327-8799)
IndianaDry$145$145$0
Iowa Dry$137$137$0
MichiganDry$150$150$0
MinnesotaDry$140$140$0
Missouri Dry$155$155$0
Ohio Dry$145$145$0
South DakotaDry$145$145$0
United BioEnergy, Wichita, KS (316-616-3521)
KansasDry$130$130$0
Wet$40$40$0
Illinois MARCH Dry$145$145$0
NebraskaDry$130$130$0
Wet$40$40$0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry$140$145-$5
Indiana Dry$145$150-$5
Iowa Dry$125$130-$5
Michigan Dry$140$145-$5
MinnesotaDry$125$130-$5
Nebraska Dry$110$115-$5
New York Dry$160$165-$5
North DakotaDry$115$120-$5
Ohio Dry$145$150-$5
South DakotaDry$105$110-$5
WisconsinDry$135$140-$5
Valero Energy Corp, San Antonio Texas
IndianaDry$160$165-$5
Iowa Dry$0$0$0
Minnesota Dry$0$0$0
Nebraska Dry$0$0$0
Ohio Dry$148$145$3
South Dakota Dry$0$0$0
CaliforniaDry$0$0$0
Western Milling, Goshen, California (559-302-1074)
CaliforniaDry$212$212$0
*Prices listed per ton.
Weekly Average $136$138-$2
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 DateBushelShort Ton
Corn6/11/2020$3.2975$117.77
Soybean Meal6/11/2020 $289.70
DDG Weekly Average Spot Price $136.00
DDG Value Relative to:6/116/4
Corn115.48%117.45%
Soybean Meal46.95%47.62%
Cost Per Unit of Protein:
DDG$5.04$5.11
Soybean Meal$6.10$6.10
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

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