Market Matters Blog
DTN Weekly Average DDG Price Slides Lower
OMAHA (DTN) -- The average price for domestic distillers dried grains (DDG) from the 39 locations DTN contacted with spot offers for the week ended March 18 was $217 per ton, down $8 on average from one week ago. DDG prices continue to fall as plant production and logistics continue to rebound from the severe cold weather in February.
Wednesday's Energy Information Administration report showed overall ethanol plant production ramped up 33,000 barrels per day (bpd) the week ended March 12 to a 971,000-bpd 12-week high, 6.2% lower than the corresponding week in 2020. Four-week average output at 854,000 bpd was down 19% against a year ago.
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Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended March 18 was 111.18% versus the five-year average of 109%. The value of DDG relative to soybean meal was 54.50% versus the three-year average of 42%. The cost per unit of protein for DDG was $8.04, compared to the cost per unit of protein for soybean meal at $8.38.
Flood conditions exist in the Lower Mississippi River, and levels in St. Louis are expected to reach near major flood stage by the weekend. On the Upper Mississippi River, the first tow of the season will reach Lock and Dam 2 on March 18, signaling the start of the 2021 shipping season in St. Paul, Minnesota.
In their weekly export DDGS update, the U.S. Grains Council said that brokers note the UMR opening will likely allow ethanol plants in the Upper Midwest to add to the river supply. "Exporters note second-quarter export demand has been somewhat quiet in recent weeks and Barge CIF NOLA offers are down $9-$11 per metric ton (mt) for April/May, while FOB Gulf offers are down $10/mt for April at $281. Indications for the container market are again spotty but are generally lower this week. This week's offers for 40-foot containers to Southeast Asia are quoted at $338/mt for second-quarter positions."
NOTE: All prices listed below can change at any time and are subject to confirmation from seller.
| ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE | ||
| COMPANY | STATE | 3/18/2021 | 3/11/2021 | ||
| Bartlett and Company, Kansas City, MO (816 714 3413) | |||||
| Missouri | Dry | $245 | $260 | -$15 | |
| Wet | $123 | $130 | -$7 | ||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
| Dry | $230 | $250 | -$20 | ||
| Wet | $115 | $125 | -$10 | ||
| CHS, Minneapolis, MN (800-769-1066) | |||||
| Illinois | Dry | $220 | $220 | $0 | |
| Indiana | Dry | $220 | $220 | $0 | |
| Iowa | Dry | $215 | $220 | -$5 | |
| Michigan | Dry | $220 | $220 | $0 | |
| Minnesota | Dry | $210 | $215 | -$5 | |
| North Dakota | Dry | $210 | $210 | $0 | |
| New York | Dry | $230 | $240 | -$10 | |
| South Dakota | Dry | $210 | $215 | -$5 | |
| POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
| Indiana | Dry | $215 | $220 | -$5 | |
| Iowa | Dry | $215 | $225 | -$10 | |
| Michigan | Dry | $215 | $225 | -$10 | |
| Minnesota | Dry | $210 | $220 | -$10 | |
| Missouri | Dry | $240 | $245 | -$5 | |
| Ohio | Dry | $215 | $220 | -$5 | |
| South Dakota | Dry | $215 | $225 | -$10 | |
| United BioEnergy, Wichita, KS (316-616-3521) | |||||
| Kansas | Dry | $240 | $243 | -$3 | |
| Wet | $85 | $85 | $0 | ||
| Illinois | Dry | $230 | $235 | -$5 | |
| Nebraska | Dry | $240 | $243 | -$3 | |
| Wet | $85 | $85 | $0 | ||
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
| Illinois | Dry | $210 | $230 | -$20 | |
| Indiana | Dry | $210 | $225 | -$15 | |
| Iowa | Dry | $205 | $215 | -$10 | |
| Michigan | Dry | $210 | $220 | -$10 | |
| Minnesota | Dry | $210 | $215 | -$5 | |
| Nebraska | Dry | $225 | $225 | $0 | |
| New York | Dry | $250 | $265 | -$15 | |
| North Dakota | Dry | $210 | $220 | -$10 | |
| Ohio | Dry | $215 | $225 | -$10 | |
| South Dakota | Dry | $205 | $215 | -$10 | |
| Wisconsin | Dry | $210 | $220 | -$10 | |
| Valero Energy Corp, San Antonio, Texas | |||||
| Indiana | Dry | $200 | $210 | -$10 | |
| Iowa | Dry | $0 | $0 | $0 | |
| Minnesota | Dry | $0 | $0 | $0 | |
| Nebraska | Dry | $0 | $0 | $0 | |
| Ohio | Dry | $210 | $220 | -$10 | |
| South Dakota | Dry | $0 | $0 | $0 | |
| California | Dry | $0 | $0 | $0 | |
| Western Milling, Goshen, California (559-302-1074) | |||||
| California | Dry | $286 | $300 | -$14 | |
| *Prices listed per ton. | |||||
| Weekly Average | $217 | $225 | -$8 | ||
| 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 | 3/18/2021 | $5.4650 | $195.18 |
| Soybean Meal | 3/18/2021 | $398.20 | |
| DDG Weekly Average Spot Price | $217.00 | ||
| DDG Value Relative to: | 3/18 | 3/11 | |
| Corn | 111.18% | 113.51% | |
| Soybean Meal | 54.50% | 55.97% | |
| Cost Per Unit of Protein: | |||
| DDG | $8.04 | $8.33 | |
| Soybean Meal | $8.38 | $8.46 | |
| 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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