Market Matters Blog

DTN Weekly Average DDG Price Pushes Higher

Mary Kennedy
By  Mary Kennedy , DTN Basis Analyst
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DTN's weekly spot price for domestic distillers dried grains during the week ended May 6 was $9 higher on average versus one week ago. (DTN file photo)

OMAHA (DTN) -- The average price for domestic distillers dried grains (DDG) from the 39 locations DTN contacted with spot offers for the week ended May 6 was $246 per ton, up $9 from one week ago. Even as DDG prices jump higher again this week, demand has not slowed.

Wednesday's Energy Information Administration report showed Overall ethanol plant production held higher, up 7,000 barrels per day (bpd) to a four-week high 952,000 bpd while four-week average output was at 945,000 bpd.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended May 6 was 90.69% versus the five-year average of 109%. The value of DDG relative to soybean meal was 57.51% versus the three-year average of 42%. The cost per unit of protein for DDG was $9.11, compared to the cost per unit of protein for soybean meal at $9. (These figures are still versus May futures values on our table below.)

In their weekly DDGS export price update, U.S. Grains Council said, "On the export front, DDGS prices are mostly higher. Barge CIF NOLA offers are up $12 per metric ton (MT) for June positions while FOB NOLA offers are down $3-$6/MT this week at $322/MT for June shipment and $324/MT for July. U.S. rail rates are steady while 40-foot containers to Southeast Asia are up $30/MT at $379/MT."

The U.S. Census Bureau reported on May 4 that U.S. exports of DDGS totaled 882,553 mt in March, up from 779,324 mt in February, but down 2% from a year ago. Mexico was the top destination in February, taking 20% of U.S. exports and was followed by Vietnam and South Korea. In the first three months of 2021, U.S. exports of DDGS are down 6% from a year ago.

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 5/6/2021 4/29/2021
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $265 $248 $17
Wet $133 $124 $9
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Dry $260 $250 $10
Wet $130 $125 $5
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $255 $250 $5
Indiana Dry $240 $240 $0
Iowa Dry $240 $240 $0
Michigan Dry $235 $235 $0
Minnesota Dry $240 $235 $5
North Dakota Dry $235 $230 $5
New York Dry $275 $275 $0
South Dakota Dry $235 $235 $0
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $250 $240 $10
Iowa Dry $245 $235 $10
Michigan Dry $250 $230 $20
Minnesota Dry $245 $230 $15
Missouri Dry $260 $255 $5
Ohio Dry $245 $230 $15
South Dakota Dry $245 $233 $12
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $260 $240 $20
Wet $85 $85 $0
Illinois Dry $268 $250 $18
Nebraska Dry $260 $240 $20
Wet $85 $85 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $245 $245 $0
Indiana Dry $245 $235 $10
Iowa Dry $235 $225 $10
Michigan Dry $245 $230 $15
Minnesota Dry $235 $230 $5
Nebraska Dry $245 $235 $10
New York Dry $275 $265 $10
North Dakota Dry $245 $230 $15
Ohio Dry $245 $245 $0
South Dakota Dry $235 $220 $15
Wisconsin Dry $235 $225 $10
Valero Energy Corp, San Antonio, Texas
Indiana Dry $240 $240 $0
Iowa Dry $0 $0 $0
Minnesota Dry $0 $0 $0
Nebraska Dry $0 $0 $0
Ohio Dry $245 $245 $0
South Dakota Dry $0 $0 $0
California Dry $0 $0 $0
Western Milling, Goshen, California (559-302-1074)
California Dry $325 $330 -$5
*Prices listed per ton.
Weekly Average $246 $237 $9
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 5/6/2021 $7.5950 $271.25
Soybean Meal 5/6/2021 $427.70
DDG Weekly Average Spot Price $246.00
DDG Value Relative to: 5/6 4/29
Corn 90.69% 94.53%
Soybean Meal 57.51% 56.08%
Cost Per Unit of Protein:
DDG $9.11 $8.78
Soybean Meal $9.00 $8.90
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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