Market Matters Blog
DTN Weekly DDG Price Higher on Average
OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 33 locations reporting for the week ended Nov. 18 was $184 per ton, up $1 per ton on average from one week ago. DDG prices have found support from the surge in soybean meal which has been rallying due to heavy demand because of the shortage of the feed additive L-lysine. Talk is that spot cash prices (no prior contract) for soybean meal have at least doubled recently and possibly even higher.
Wednesday's Energy Information Administration (EIA) report showed overall ethanol production rose 21,000 barrels per day (bpd) to 1.060 million bpd as of Nov. 12, 10.2% above the same week in 2020. Midwest PADD 2 plant production also increased last week, up 26,000 bpd or 2.6% to 1.008 million bpd, 10% higher than output during the corresponding week last year.
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Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Nov. 18 was 89.91%. The value of DDG relative to soybean meal was 49.68% and the cost per unit of protein for DDG was $6.81, compared to the cost per unit of protein for soybean meal at $7.80.
In its weekly DDGS export price update, the U.S. Grains Council said: "Brokers and exporters report DDGS demand is picking up on the export market. Lower freight rates have helped boost international interest, but buyers also have to contend with this week's foreign exchange rate swings. Barge CIF NOLA offers are up $7 to $9 metric ton (mt) for December-February shipment while FOB Gulf offers are $2 to $3/mt higher for December and January and $7/mt higher for February. Trade to Southeast Asia is still slow and characterized by a wide bid/ask spread but offers are up $5 to $10/mt for Q1 2022 shipment, averaging $357/mt for 40-foot containers."
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 | 11/18/2021 | 11/11/2021 | ||
| Bartlett and Company, Kansas City, MO (816 714 3413) | |||||
| Missouri | Dry | $208 | $208 | $0 | |
| Wet | $104 | $104 | $0 | ||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
| Dry | $205 | $205 | $0 | ||
| Wet | $105 | $105 | $0 | ||
| CHS, Minneapolis, MN (800-769-1066) | |||||
| Illinois | Dry | $195 | $190 | $5 | |
| Indiana | Dry | $155 | $155 | $0 | |
| Iowa | Dry | $170 | $170 | $0 | |
| Michigan | Dry | $150 | $170 | -$20 | |
| Minnesota | Dry | $175 | $170 | $5 | |
| North Dakota | Dry | $180 | $175 | $5 | |
| New York | Dry | $185 | $205 | -$20 | |
| South Dakota | Dry | $180 | $180 | $0 | |
| MGP Ingredients, Atchison, KS (800-255-0302) | |||||
| Dry | |||||
| POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
| Indiana | Dry | $185 | $175 | $10 | |
| Iowa | Dry | $175 | $175 | $0 | |
| Michigan | Dry | $185 | $185 | $0 | |
| Minnesota | Dry | $180 | $180 | $0 | |
| Missouri | Dry | $205 | $205 | $0 | |
| Ohio | Dry | $185 | $175 | $10 | |
| South Dakota | Dry | $186 | $186 | $0 | |
| Nebraska | Dry | $190 | $190 | $0 | |
| United BioEnergy, Wichita, KS (316-616-3521) | |||||
| Kansas | Dry | $220 | $220 | $0 | |
| Wet | $80 | $80 | $0 | ||
| Illinois | Dry | $205 | $192 | $13 | |
| Nebraska | Dry | $220 | $220 | $0 | |
| Wet | $80 | $80 | $0 | ||
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
| Illinois | Dry | $175 | $175 | $0 | |
| Indiana | Dry | $170 | $170 | $0 | |
| Iowa | Dry | $170 | $175 | -$5 | |
| Michigan | Dry | $180 | $180 | $0 | |
| Minnesota | Dry | $165 | $165 | $0 | |
| Nebraska | Dry | $190 | $190 | $0 | |
| New York | Dry | $200 | $200 | $0 | |
| North Dakota | Dry | $198 | $195 | $3 | |
| Ohio | Dry | $165 | $165 | $0 | |
| South Dakota | Dry | $185 | $185 | $0 | |
| Wisconsin | Dry | $170 | $170 | $0 | |
| Western Kansas | Dry | $267 | $255 | $12 | |
| Wet | $100 | $95 | 5 | ||
| Central Kansas | Dry | $240 | $240 | 0 | |
| Wet | $85 | $85 | 0 | ||
| Western Milling, Goshen, California (559-302-1074) | |||||
| California | Dry | $292 | $288 | $4 | |
| *Prices listed per ton. | $184 | $183 | $1 | ||
| 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 | 11/18/2021 | $5.7300 | $204.64 |
| Soybean Meal | 11/18/2021 | $370.40 | |
| DDG Weekly Average Spot Price | $184.00 | ||
| DDG Value Relative to: | 11/18 | 11/11 | |
| Corn | 89.91% | 89.97% | |
| Soybean Meal | 49.68% | 53.12% | |
| Cost Per Unit of Protein: | |||
| DDG | $6.81 | $6.78 | |
| Soybean Meal | $7.80 | $7.25 | |
| 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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