Market Matters Blog

Weekly DTN Average DDG Price Slightly Higher

Mary Kennedy
By  Mary Kennedy , DTN Basis Analyst
Connect with Mary:
DTN's weekly spot price for domestic distillers dried grains for the week ended March 31 was $1 higher on average versus one week ago. (DTN file photo)

OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended March 31 was $293 per ton, up $1 on average versus one week ago.

Prices have taken a breather from the recent highs as supplies have become more stable with most plants finished with spring maintenance, along with weakness in the soybean meal futures and cash price.

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 Thursday, March 31, was 109.57%. The value of DDG relative to soybean meal was 62.67%, and the cost per unit of protein for DDG was $10.85, compared to the cost per unit of protein for soybean meal at $9.84.

The Energy Information Administration reported Wednesday that overall ethanol production retreated from a nine-week high, down 6,000 barrels per day (bpd) to 1.036 million bpd through March 25. Still, output was up 7.4% above a year ago, while four-week average output totaled 1.033 million bpd, up 84,000 bpd from the comparable four-week period in 2021. According to the data, domestic ethanol production has been above 1 million bpd in 23 of the past 25 weeks.

In its weekly DDGS update, the U.S. Grains Council said: "U.S. barge freight rates are heading lower after their recent spike, and this is pushing Barge CIF NOLA DDGS values lower. Prices for spot barge CIF NOLA are down $15-$16 per metric ton (mt) for April and May and down $10-$13/mt for May/June. FOB NOLA values are similarly lower with April/May offers down $18-$20/mt and averaging $420/mt for spot shipment. The market for containerized DDGS into southeast Asia is quiet this week after last week's activity. Brokers indicate offers are sparse but $5-$7/mt higher as ocean freight values remain firm."

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 3/31/2022 3/24/2022
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $310 $305 $5
Wet $170 $165 $5
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Dry $310 $300 $10
Wet $175 $170 $5
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $285 $285 $0
Indiana Dry $290 $285 $5
Iowa Dry $285 $285 $0
Michigan Dry $255 $260 -$5
Minnesota Dry $275 $275 $0
New York Dry $275 $300 -$25
South Dakota Dry $295 $295 $0
MGP Ingredients, Atchison, KS (800-255-0302)
Dry $296 $296 $0
Wet $95 $95 $0
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $310 $310 $0
Iowa Dry $290 $285 $5
Michigan Dry $280 $280 $0
Minnesota Dry $295 $285 $10
Missouri Dry $310 $310 $0
Ohio Dry $310 $310 $0
South Dakota Dry $305 $305 $0
Nebraska Dry $315 $315 $0
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $310 $310 $0
Wet $105 $105 $0
Illinois Dry $290 $290 $0
Nebraska Dry $310 $310 $0
Wet $105 $105 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $285 $285 $0
Indiana Dry $295 $295 $0
Iowa Dry $275 $275 $0
Michigan Dry $280 $280 $0
Minnesota Dry $280 $280 $0
Nebraska Dry $310 $310 $0
New York Dry $315 $315 $0
North Dakota Dry $300 $300 $0
Ohio Dry $285 $285 $0
South Dakota Dry $295 $295 $0
Wisconsin Dry $270 $270 $0
Western Kansas Dry $325 $325 $0
Wet $118 $118 $0
Western Milling, Goshen, California (559-302-1074)
California Dry $395 $395 $0
**Weekly Average: $293 $292 $1
(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 3/31/2022 $7.4875 $267.41
Soybean Meal 3/31/2022 $467.50
DDG Weekly Average Spot Price $293.00
DDG Value Relative to: 3/24 3/24
Corn 109.57% 109.26%
Soybean Meal 62.67% 60.09%
Cost Per Unit of Protein:
DDG $10.85 $10.81
Soybean Meal $9.84 $10.23
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

P[] D[728x170] M[320x75] OOP[F] ADUNIT[] T[]
P[L2] D[728x90] M[320x50] OOP[F] ADUNIT[] T[]

Comments

To comment, please Log In or Join our Community .