Market Matters Blog
DTN Weekly DDG Average Price Turns Higher
OMAHA (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended July 14 $223 per ton, up $3 on average versus one week ago. Prices turned the corner finally, thanks to the ongoing rally in soybean meal and tighter DDG supplies as production levels have been dropping. Cash corn prices, thanks in part to stronger basis, have also rallied and are close to values seen one week ago.
EIA said Wednesday that production at domestic ethanol plants fell a fourth week, sliding 39,000 barrels per day (bpd) or 3.7% in the week ended July 8 to 1.005 million bpd, an eight-week low. Production for the week profiled was 36,000 bpd or 3.5% lower than the same week in 2021. Plant output averaged 1.039 million bpd during the four weeks ended July 8, down 14,000 bpd versus the same four weeks a year earlier.
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Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended July 14 was 103.21%. The value of DDG relative to soybean meal was 50.81%, and the cost per unit of protein for DDG was $8.26, compared to the cost per unit of protein for soybean meal at $9.24. (My table moved to September futures now since July went off the board.)
In its weekly DDGS export update, the U.S. Grains Council said: "On the export market, offers are firming amid barge tightness and the uptick in domestic vales. Brokers and exporters note that trade has been quiet this week but offers are creeping higher anyway. Barge CIF NOLA offers are up $20 metric ton (mt) for August-October positions while FOB Gulf offers are up $5 to $6/mt for the same months. The recent slide in ocean freight rates has pulled offers for 40-foot containers to Southeast Asia lower, with the average rate this week at $396/mt, down $10 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 | 7/14/2022 | 7/7/2022 | ||
| Bartlett and Company, Kansas City, MO (816 714 3413) | |||||
| Missouri | Dry | $240 | $235 | $5 | |
| Wet | $140 | $135 | $5 | ||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
| Dry | $250 | $230 | $20 | ||
| Wet | $125 | $115 | $10 | ||
| CHS, Minneapolis, MN (800-769-1066) | |||||
| Illinois | Dry | $220 | $215 | $5 | |
| Indiana | Dry | $220 | $220 | $0 | |
| Iowa | Dry | $218 | $218 | $0 | |
| Michigan | Dry | $240 | $235 | $5 | |
| Minnesota | Dry | $185 | $190 | -$5 | |
| New York | Dry | $200 | $220 | -$20 | |
| South Dakota | Dry | $210 | $210 | $0 | |
| MGP Ingredients, Atchison, KS (800-255-0302) | |||||
| Dry | $225 | $225 | $0 | ||
| Wet | $65 | $65 | $0 | ||
| POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
| Indiana | Dry | $246 | $240 | $6 | |
| Iowa | Dry | $225 | $220 | $5 | |
| Michigan | Dry | $235 | $235 | $0 | |
| Minnesota | Dry | $225 | $225 | $0 | |
| Missouri | Dry | $265 | $265 | $0 | |
| Ohio | Dry | $245 | $240 | $5 | |
| South Dakota | Dry | $230 | $245 | -$15 | |
| Nebraska | Dry | $230 | $225 | $5 | |
| United BioEnergy, Wichita, KS (316-616-3521) | |||||
| Kansas | Dry | $230 | $230 | $0 | |
| Wet | $90 | $90 | $0 | ||
| Illinois | Dry | $230 | $230 | $0 | |
| Nebraska | Dry | $220 | $220 | $0 | |
| Wet | $90 | $90 | $0 | ||
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
| Illinois | Dry | $215 | $215 | $0 | |
| Indiana | Dry | $215 | $215 | $0 | |
| Iowa | Dry | $190 | $190 | $0 | |
| Michigan | Dry | $220 | $220 | $0 | |
| Minnesota | Dry | $190 | $190 | $0 | |
| Nebraska | Dry | $220 | $195 | $25 | |
| New York | Dry | $230 | $225 | $5 | |
| North Dakota | Dry | $210 | $205 | $5 | |
| Ohio | Dry | $215 | $210 | $5 | |
| South Dakota | Dry | $210 | $200 | $10 | |
| Wisconsin | Dry | $210 | $205 | $5 | |
| Western Kansas | Dry | $265 | $265 | $0 | |
| Wet | $110 | $110 | $0 | ||
| Western Milling, Goshen, California (559-302-1074) | |||||
| California | Dry | $330 | $335 | -$5 | |
| **Weekly Average: | $223 | $220 | $3 | ||
| (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 | 7/14/2022 | $6.0500 | $216.07 |
| Soybean Meal | 7/14/2022 | $438.90 | |
| DDG Weekly Average Spot Price | $223.00 | ||
| DDG Value Relative to: | 7/14 | 7/7 | |
| Corn | 103.21% | 82.46% | |
| Soybean Meal | 50.81% | 46.81% | |
| Cost Per Unit of Protein: | |||
| DDG | $8.26 | $8.15 | |
| Soybean Meal | $9.24 | $9.89 |
Mary Kennedy can be reached at mary.kennedy@dtn.com
Follow her on Twitter @MaryCKenn
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