Market Matters Blog

OMAHA (DTN) -- Of the 40 locations DTN contacted with spot offers for domestic distillers dried grains (DDG) for the week ended July 23, prices were mixed again, but steady on average at $128 per ton versus the prior week. The DTN National Corn Index was only 2 cents lower versus one week ago and the DTN national average basis was unchanged, so DDG prices weren't pressured as much by lower corn prices as they had been the prior week.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended July 23 was 109.27%. The value of DDG relative to soybean meal was 44.08%. The cost per unit of protein for DDG was $4.74, compared to the cost per unit of protein for soybean meal at $6.11.

In their weekly export DDGS update, the U.S. Grains Council said, "Barge CIF NOLA values are steady to $4 metric ton (mt) higher and rates for DDGS delivered via railcar to U.S. locations range from $3 lower to $6 mt higher. FOB Gulf values are $4 mt higher for August shipment and up $3 for September/October. Finally, offers for 40-foot containers to Southeast Asia are down $1 to $2 mt, averaging $234 mt for spot shipment."

The Energy Information Administration said for the week ended July 17, ethanol plant production slid 23,000 barrels per day (bpd) to 908,000 bpd, down 131,000 bpd or 12.6% against a year ago. Four-week average output is down 145,000 bpd against a year ago at 913,000 bpd.

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

Mary Kennedy can be reached at mary.kennedy@dtn.com

Follow her on Twitter @MaryCKenn

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