Market Matters Blog

DTN Weekly DDG Price Lower on Average

Mary Kennedy
By  Mary Kennedy , DTN Basis Analyst
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DTN's weekly average spot price for domestic distillers dried grains was down $2 on average versus one week ago.

OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 33 locations reporting for the week ended Oct. 21 was $188 per ton, down $2 on average from one week ago. DDG prices were steady to slightly lower as supplies are plentiful and the market is slow right now, according to one merchandiser.

Wednesday's Energy Information Administration (EIA) report showed domestic ethanol inventories increased in the week ended Oct. 15 as production at nationwide plants held higher, rising 6.2% on the week to the highest level in more than two years. Overall production was once again higher, up 64,000 barrels per day (bpd) to 1.096 million bpd, the highest level since the first week of June 2019 and 20% above the same week in 2020. Midwest PADD 2 plant production jumped 64,000 bpd or 6.6% to 1.041 million bpd, a record high.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Oct. 21 was 98.90%. The value of DDG relative to soybean meal was 58.02% and the cost per unit of protein for DDG was $6.96, compared to the cost per unit of protein for soybean meal at $6.82.

In its weekly DDGS export price update, the U.S. Grains Council said: "On the export market, barge CIF NOLA rates up $10 metric ton (mt) for Q4 shipment and up $8/mt for January 2022. FOB Gulf offers are down $3/mt this week with bids and offers both harder to obtain. Brokers say Asian demand remains quiet for containerized DDGS and prices are unchanged from last week at $351/mt for 40-foot containers to Southeast Asia."

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 10/21/2021 10/14/2021
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $205 $205 $0
Wet $103 $103 $0
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Dry $200 $205 -$5
Wet $100 $100 $0
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $170 $175 -$5
Indiana Dry $165 $170 -$5
Iowa Dry $165 $175 -$10
Michigan Dry $175 $175 $0
Minnesota Dry $180 $180 $0
North Dakota Dry $185 $185 $0
New York Dry $200 $195 $5
South Dakota Dry $185 $185 $0
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $175 $175 $0
Iowa Dry $180 $180 $0
Michigan Dry $185 $185 $0
Minnesota Dry $185 $185 $0
Missouri Dry $205 $205 $0
Ohio Dry $175 $175 $0
South Dakota Dry $195 $195 $0
Nebraska Dry $215 $215 $0
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $220 $220 $0
Wet $80 $80 $0
Illinois Dry $188 $180 $8
Nebraska Dry $220 $220 $0
Wet $80 $80 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $180 $185 -$5
Indiana Dry $180 $185 -$5
Iowa Dry $180 $180 $0
Michigan Dry $190 $190 $0
Minnesota Dry $185 $190 -$5
Nebraska Dry $200 $205 -$5
New York Dry $210 $210 $0
North Dakota Dry $200 $200 $0
Ohio Dry $185 $185 $0
South Dakota Dry $195 $200 -$5
Wisconsin Dry $175 $175 $0
Western Milling, Goshen, California (559-302-1074)
California Dry $275 $273 $2
*Prices listed per ton. $188 $190 -$2
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 10/21/2021 $5.3225 $190.09
Soybean Meal 10/21/2021 $324.00
DDG Weekly Average Spot Price $188.00
DDG Value Relative to: 10/14 10/14
Corn 98.90% 102.95%
Soybean Meal 58.02% 60.49%
Cost Per Unit of Protein:
DDG $6.96 $7.04
Soybean Meal $6.82 $6.61
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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