Market Matters Blog

DTN Weekly DDG Average 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 Aug. 12 was $11 higher on average versus one week ago. (DTN file photo)

OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 33 locations reporting for the week ended Aug. 12 was $197 per ton, up $11 from one week ago.

Prices moved higher once again this week as demand has been firm and supplies are tight given lower production the past five weeks. Continued strength in protein feeds is also helping pump up values. Cash corn has been cheaper, except where plants needed to push basis to buy old crop. The DTN National Corn Index is down 3 cents versus one week ago, while the national average basis was also down 3 cents.

Wednesday's Energy Information Administration report showed domestic ethanol plant production fell a fifth consecutive week, dropping 27,000 barrels per day (bpd) or 2.7% to 986,000 bpd, the lowest level since the first week of May. The four-week average output was at 1.010 million bpd, down 14,000 bpd from the four-week average the prior week.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Aug. 5 was 97.28%. The value of DDG relative to soybean meal was 55.43%, and the cost per unit of protein for DDG was $7.30, compared to the cost per unit of protein for soybean meal at $7.48.

In its weekly DDGS export price update, the U.S. Grains Council said: "Exporters and merchandisers report export DDGS markets have been quiet this week. Market participants were reportedly waiting for Thursday's WASDE report before making substantial moves. Barge CIF NOLA prices are $4-$8 per metric ton (mt) higher for September/October positions, while FOB Gulf offers are $3 higher for spot shipment and down $2 for October/November. Container market logistics are supporting prices for 40-foot containers to Southeast Asia and the average price is up $9/mt to $328 for spot shipment."

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 8/12/2021 8/5/2021
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $215 $200 $15
Wet $108 $100 $8
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Dry $215 $200 $15
Wet $108 $95 $13
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $195 $190 $5
Indiana Dry $180 $170 $10
Iowa Dry $190 $182 $8
Michigan Dry $185 $175 $10
Minnesota Dry $190 $180 $10
North Dakota Dry $190 $200 -$10
New York Dry $220 $210 $10
South Dakota Dry $195 $185 $10
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $190 $180 $10
Iowa Dry $215 $195 $20
Michigan Dry $190 $180 $10
Minnesota Dry $210 $195 $15
Missouri Dry $215 $200 $15
Ohio Dry $185 $180 $5
South Dakota Dry $215 $195 $20
Nebraska Dry $219 $205 $14
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $200 $175 $25
Wet $80 $65 $15
Illinois Dry $197 $190 $7
Nebraska Dry $200 $170 $30
Wet $80 $65 $15
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $190 $175 $15
Indiana Dry $190 $180 $10
Iowa Dry $185 $175 $10
Michigan Dry $190 $182 $8
Minnesota Dry $185 $175 $10
Nebraska Dry $195 $195 $0
New York Dry $200 $215 -$15
North Dakota Dry $210 $200 $10
Ohio Dry $185 $189 -$4
South Dakota Dry $197 $190 $7
Wisconsin Dry $180 $170 $10
Western Milling, Goshen, California (559-302-1074)
California Dry $265 $265 $0
*Prices listed per ton. $197 $186 $11
Weekly Average
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 8/12/2021 $5.6700 $202.50
Soybean Meal 8/12/2021 $355.40
DDG Weekly Average Spot Price $197.00
DDG Value Relative to: 8/12 8/5
Corn 97.28% 93.71%
Soybean Meal 55.43% 52.11%
Cost Per Unit of Protein:
DDG $7.30 $6.89
Soybean Meal $7.48 $7.51
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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