Market Matters Blog
Weekly DTN Average DDG Price Marches Higher
OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended Feb. 10 was $234 per ton, up $6 per ton versus one week ago.
DDG prices continue to move higher thanks to strong export demand as well as good domestic demand with the continued rise in soybean meal prices. DDG prices are also strong due to the slowdown in plant production, which in turn has caused tight supplies in some states.
Wednesday's Energy Information Administration (EIA) report showed U.S. ethanol production up 6,000 barrels per day (bpd) in the week ended Jan. 28 to 1.041 million bpd, holding above 1 million bpd for a 17th straight week. Output for the week profiled was 11.2% more than the same time in 2021. PADD 2 output added 2,000 bpd last week to 918,000 bpd while 9.7% above the corresponding week a year ago.
P[L1] D[0x0] M[300x250] OOP[F] ADUNIT[] T[]
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Feb. 10 was 102.09%. The value of DDG relative to soybean meal was 51.54%, and the cost per unit of protein for DDG was $8.67, compared to the cost per unit of protein for soybean meal at $9.56.
In their weekly DDGS update, the U.S. Grains Council said, "U.S. barge freight rates continue to rally and Barge CIF NOLA DDGS are up $6 to $7 metric ton (mt) for March/April/May shipment. FOB NOLA offers are up $15/mt for March and demand is shifting into Q2 positions, sending April offers up $17/mt. Prices for rail delivered DDGS are up $15 to $17/mt this week. The market for containerized DDGS to Southeast Asia is mixed so far this week with exporters citing a wide bid/ask spread. On average, offers are down $4 to $6/mt for March and Q2 positions with the average price for 40-foot containers to Southeast Asia hitting $366/mt this week."
The U.S. Census Bureau said Tuesday that U.S. exports of DDGS totaled 933,882 mt in December, down from 1,019,430 mt in December, but up 8% from a year ago. Mexico was the top destination in December, taking 18% of U.S. exports and was followed by South Korea and Vietnam. In 2021, U.S. exports of DDGS were up 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 | CURRENT | CHANGE | ||
| COMPANY | STATE | 2/10/2022 | 2/3/2022 | ||
| Bartlett and Company, Kansas City, MO (816 714 3413) | |||||
| Missouri | Dry | $250 | $240 | $10 | |
| Wet | $140 | $130 | $10 | ||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
| Dry | $250 | $245 | $5 | ||
| Wet | $135 | $135 | $0 | ||
| CHS, Minneapolis, MN (800-769-1066) | |||||
| Illinois | Dry | $220 | $210 | $10 | |
| Indiana | Dry | $225 | $210 | $15 | |
| Iowa | Dry | $225 | $215 | $10 | |
| Michigan | Dry | $210 | $195 | $15 | |
| Minnesota | Dry | $230 | $210 | $20 | |
| New York | Dry | $245 | $235 | $10 | |
| South Dakota | Dry | $240 | $220 | $20 | |
| MGP Ingredients, Atchison, KS (800-255-0302) | |||||
| Dry | $245 | $235 | $10 | ||
| Wet | $85 | $80 | $5 | ||
| POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
| Indiana | Dry | $215 | $210 | $5 | |
| Iowa | Dry | $265 | $265 | $0 | |
| Michigan | Dry | $220 | $215 | $5 | |
| Minnesota | Dry | $255 | $255 | $0 | |
| Missouri | Dry | $265 | $265 | $0 | |
| Ohio | Dry | $215 | $210 | $5 | |
| South Dakota | Dry | $275 | $275 | $0 | |
| Nebraska | Dry | $255 | $255 | $0 | |
| United BioEnergy, Wichita, KS (316-616-3521) | |||||
| Kansas | Dry | $240 | $225 | $15 | |
| Wet | $95 | $85 | $10 | ||
| Illinois | Dry | $225 | $215 | $10 | |
| Nebraska | Dry | $240 | $225 | $15 | |
| Wet | $95 | $85 | $10 | ||
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
| Illinois | Dry | $215 | $215 | $0 | |
| Indiana | Dry | $210 | $210 | $0 | |
| Iowa | Dry | $225 | $225 | $0 | |
| Michigan | Dry | $215 | $215 | $0 | |
| Minnesota | Dry | $225 | $225 | $0 | |
| Nebraska | Dry | $250 | $250 | $0 | |
| New York | Dry | $240 | $240 | $0 | |
| North Dakota | Dry | $250 | $250 | $0 | |
| Ohio | Dry | $215 | $215 | $0 | |
| South Dakota | Dry | $235 | $235 | $0 | |
| Wisconsin | Dry | $210 | $210 | $0 | |
| Western Kansas | Dry | $285 | $275 | $10 | |
| Wet | $105 | $100 | 5 | ||
| Central Kansas | Dry | $255 | $240 | 15 | |
| Wet | $85 | $85 | 0 | ||
| Western Milling, Goshen, California (559-302-1074) | |||||
| California | Dry | $310 | $310 | $0 | |
| **Weekly Average: | $234 | $228 | $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 | 2/10/2022 | $6.4175 | $229.20 |
| Soybean Meal | 2/10/2022 | $454.00 | |
| DDG Weekly Average Spot Price | $234.00 | ||
| DDG Value Relative to: | 2/10 | 2/3 | |
| Corn | 102.09% | 103.51% | |
| Soybean Meal | 51.54% | 52.16% | |
| Cost Per Unit of Protein: | |||
| DDG | $8.67 | $8.44 | |
| Soybean Meal | $9.56 | $9.20 | |
| 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 | |||
Mary Kennedy can be reached at mary.kennedy@dtn.com
Follow her on Twitter @MaryCKenn
(c) Copyright 2022 DTN, LLC. All rights reserved.
Comments
To comment, please Log In or Join our Community .