Market Matters Blog
DTN Average DDG Price Up Ninth Week in a Row
OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended Feb. 17 was $238 per ton, up $4 per ton versus one week ago.
DDG prices are on a nine-week winning streak as nearby demand remains strong from feeders given the recent frigid weather. DDG supplies aren't flush right now and that is keeping prices high, along with the strength in soybean meal prices.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Feb. 17 was 102.52%. The value of DDG relative to soybean meal was 52.98%, and the cost per unit of protein for DDG was $8.81, compared to the cost per unit of protein for soybean meal at $9.46.
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Wednesday's Energy Information Administration (EIA) report showed U.S. ethanol production moved back above 1 million barrels per day (bpd) after slipping below the mark the previous week. EIA reported domestic ethanol production rose 15,000 bpd last week to 1.009 million bpd, with output now above 1 million bpd for 18 of the last 19 weeks. Four-week average output totaled 1.02 million bpd versus 929,000 bpd during the same four weeks in 2021.
In their weekly DDGS update, the U.S. Grains Council said, "Better weather in the U.S. has eased some logistics issues and allowed barge freight to stabilize this week. Consequently, offers for Barge CIF NOLA DDGS are steady for spot shipments this week and down $1 to $2 metric ton (mt) for Q2 shipment. FOB NOLA offers are up $2/mt for March this week at $323/mt while Q2 and further deferred positions are steady. U.S. rail rates have pulled back sharply this week, by an average of $9/mt for spot positions. The market for containerized DDGS to Southeast Asia remains quiet with both buyers and sellers remaining on the sidelines. Offers, however, are slightly higher at $371/mt for 40-foot containers to Southeast Asia, up $6/mt from last week."
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 | 2/17/2022 | 2/10/2022 | ||
| Bartlett and Company, Kansas City, MO (816 714 3413) | |||||
| Missouri | Dry | $250 | $250 | $0 | |
| Wet | $140 | $140 | $0 | ||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
| Dry | $255 | $250 | $5 | ||
| Wet | $135 | $135 | $0 | ||
| CHS, Minneapolis, MN (800-769-1066) | |||||
| Illinois | Dry | $225 | $220 | $5 | |
| Indiana | Dry | $225 | $225 | $0 | |
| Iowa | Dry | $230 | $225 | $5 | |
| Michigan | Dry | $220 | $210 | $10 | |
| Minnesota | Dry | $235 | $230 | $5 | |
| New York | Dry | $255 | $245 | $10 | |
| South Dakota | Dry | $245 | $240 | $5 | |
| MGP Ingredients, Atchison, KS (800-255-0302) | |||||
| Dry | $245 | $245 | $0 | ||
| Wet | $85 | $85 | $0 | ||
| POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
| Indiana | Dry | $220 | $215 | $5 | |
| Iowa | Dry | $255 | $265 | -$10 | |
| Michigan | Dry | $225 | $220 | $5 | |
| Minnesota | Dry | $255 | $255 | $0 | |
| Missouri | Dry | $265 | $265 | $0 | |
| Ohio | Dry | $220 | $215 | $5 | |
| South Dakota | Dry | $275 | $275 | $0 | |
| Nebraska | Dry | $255 | $255 | $0 | |
| United BioEnergy, Wichita, KS (316-616-3521) | |||||
| Kansas | Dry | $250 | $240 | $10 | |
| Wet | $95 | $95 | $0 | ||
| Illinois | Dry | $225 | $225 | $0 | |
| Nebraska | Dry | $250 | $240 | $10 | |
| Wet | $95 | $95 | $0 | ||
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
| Illinois | Dry | $220 | $215 | $5 | |
| Indiana | Dry | $215 | $210 | $5 | |
| Iowa | Dry | $230 | $225 | $5 | |
| Michigan | Dry | $220 | $215 | $5 | |
| Minnesota | Dry | $235 | $225 | $10 | |
| Nebraska | Dry | $250 | $250 | $0 | |
| New York | Dry | $240 | $240 | $0 | |
| North Dakota | Dry | $250 | $250 | $0 | |
| Ohio | Dry | $220 | $215 | $5 | |
| South Dakota | Dry | $245 | $235 | $10 | |
| Wisconsin | Dry | $215 | $210 | $5 | |
| Western Kansas | Dry | $285 | $285 | $0 | |
| Wet | $105 | $105 | 0 | ||
| Central Kansas | Dry | $255 | $255 | 0 | |
| Wet | $85 | $85 | 0 | ||
| Western Milling, Goshen, California (559-302-1074) | |||||
| California | Dry | $315 | $310 | $5 | |
| **Weekly Average: | $238 | $234 | $4 | ||
| (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 | 2/17/2022 | $6.5000 | $232.14 |
| Soybean Meal | 2/17/2022 | $449.20 | |
| DDG Weekly Average Spot Price | $238.00 | ||
| DDG Value Relative to: | 2/17 | 2/10 | |
| Corn | 102.52% | 102.09% | |
| Soybean Meal | 52.98% | 51.54% | |
| Cost Per Unit of Protein: | |||
| DDG | $8.81 | $8.67 | |
| Soybean Meal | $9.46 | $9.56 | |
| 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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