Market Matters Blog
DTN Weekly Average DDG Price Climbs Higher Again
OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended Dec. 29 was $199 per ton, up $6 per ton on average versus one week ago.
The DTN average DDG price for December 2021 was $193 versus the December 2020 average of $203. What's interesting is that in my comments for the end of December 2020, I wrote "Merchandisers report the prices are firm due to tight supplies and the continued rise in soymeal prices." While supplies aren't necessarily tight given the increase each week in plant production, the comment about higher soymeal prices rings true today. With that price hike in soymeal continuing, feeders are turning to DDG, which have been a better value, but DDG prices have been on a steady climb this past month. Since the beginning of December, DTN average DDG price gained $11 per ton.
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Wednesday's Energy Information Administration (EIA) report showed overall ethanol plant production edged up 8,000 barrels per day (bpd) to 1.059 million bpd last week and averaged 1.072 million bpd over the most recent four weeks, up 108,000 bpd or 11.2% against the same four weeks in 2020. Ethanol production plants in the Midwest increased output 10,000 bpd to 1.001 million bpd. Midwest ethanol plant production averaged 1.012 million bpd during the four weeks ended Dec. 24, 94,000 bpd or 10.2% above the comparable year-ago period.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Dec. 29 was 92.02%. The value of DDG relative to soybean meal was 47.91% and the cost per unit of protein for DDG was $7.37, compared to the cost per unit of protein for soybean meal at $8.75.
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 | 12/29/2021 | 12/22/2021 | ||||||
| Bartlett and Company, Kansas City, MO (816 714 3413) | |||||||||
| Missouri | Dry | $220 | $216 | $4 | |||||
| Wet | $115 | $110 | $5 | ||||||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||||||
| Dry | $225 | $220 | $5 | ||||||
| Wet | $125 | $120 | $5 | ||||||
| CHS, Minneapolis, MN (800-769-1066) | |||||||||
| Illinois | Dry | $200 | $200 | $0 | |||||
| Indiana | Dry | $190 | $180 | $10 | |||||
| Iowa | Dry | $185 | $180 | $5 | |||||
| Michigan | Dry | $180 | $175 | $5 | |||||
| Minnesota | Dry | $180 | $180 | $0 | |||||
| New York | Dry | $195 | $195 | $0 | |||||
| South Dakota | Dry | $195 | $195 | $0 | |||||
| MGP Ingredients, Atchison, KS (800-255-0302) | |||||||||
| Dry | $218 | $215 | $3 | ||||||
| POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||||||
| Indiana | Dry | $190 | $185 | $5 | |||||
| Iowa | Dry | $195 | $180 | $15 | |||||
| Michigan | Dry | $195 | $190 | $5 | |||||
| Minnesota | Dry | $195 | $175 | $20 | |||||
| Missouri | Dry | $215 | $210 | $5 | |||||
| Ohio | Dry | $190 | $185 | $5 | |||||
| South Dakota | Dry | $205 | $195 | $10 | |||||
| Nebraska | Dry | $220 | $220 | $0 | |||||
| United BioEnergy, Wichita, KS (316-616-3521) | |||||||||
| Kansas | Dry | $225 | $220 | $5 | |||||
| Wet | $85 | $80 | $5 | ||||||
| Illinois | Dry | $205 | $200 | $5 | |||||
| Nebraska | Dry | $225 | $220 | $5 | |||||
| Wet | $85 | $80 | $5 | ||||||
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||||||
| Illinois | Dry | $195 | $185 | $10 | |||||
| Indiana | Dry | $190 | $180 | $10 | |||||
| Iowa | Dry | $180 | $170 | $10 | |||||
| Michigan | Dry | $180 | $170 | $10 | |||||
| Minnesota | Dry | $175 | $165 | $10 | |||||
| Nebraska | Dry | $220 | $205 | $15 | |||||
| New York | Dry | $210 | $200 | $10 | |||||
| North Dakota | Dry | $222 | $220 | $2 | |||||
| Ohio | Dry | $185 | $175 | $10 | |||||
| South Dakota | Dry | $195 | $190 | $5 | |||||
| Wisconsin | Dry | $187 | $178 | $9 | |||||
| Western Kansas | Dry | $255 | $255 | $0 | |||||
| Wet | $100 | $95 | 5 | ||||||
| Central Kansas | Dry | $255 | $255 | 0 | |||||
| Wet | $90 | $90 | 0 | ||||||
| Western Milling, Goshen, California (559-302-1074) | |||||||||
| California | Dry | $305 | $303 | $2 | |||||
| **Weekly Average: | $199 | $193 | $6 | ||||||
| (Prices listed per ton) | |||||||||
| **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 | 12/29/2021 | $6.0550 | $216.25 | ||||||
| Soybean Meal | 12/29/2021 | $415.40 | |||||||
| DDG Weekly Average Spot Price | $199.00 | ||||||||
| DDG Value Relative to: | 12/29 | 12/22 | |||||||
| Corn | 92.02% | 89.68% | |||||||
| Soybean Meal | 47.91% | 47.91% | |||||||
| Cost Per Unit of Protein: | |||||||||
| DDG | $7.37 | $7.15 | |||||||
| Soybean Meal | $8.75 | $8.48 | |||||||
| 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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