Market Matters Blog
DTN Weekly DDG Average Price Higher as Supplies Tighten
MINNEAPOLIS (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 34 locations reporting for the week ended Sept. 22 was $258 per ton, up $4 on average versus one week ago. DDG prices are higher again on average as plant production fell again, making supplies tight, especially with buyers interested in the spot market right now.
The Energy Information Administration (EIA) said Wednesday domestic ethanol production slid to a near 19-month low through the week-ended Sept. 16. Total ethanol production in the United States dropped a second week, sinking 62,000 barrels per day (bpd) to 901,000 bpd through Sept. 16, the lowest level since end of February 2021 while down 2.7% against this time last year. Midwest ethanol production was also sharply lower for a second week, sinking 52,000 bpd to 850,000 bpd, the lowest output rate since the week ended Feb. 26, 2021.
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Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Sep. 5 was 1.05%. The value of DDG relative to soybean meal was 57.86%, and the cost per unit of protein for DDG was $9.56, compared to the cost per unit of protein for soybean meal at $9.39.
In its weekly DDGS export update, the U.S. Grains Council said: "On the export market, Barge CIF NOLA offers are $12-$16 per metric ton (mt) higher this week as logistics during the new crop harvest season are becoming tight. FOB NOLA offers are up $11-$14/mt, and U.S. rail delivered DDGS are generally $5-$10/mt higher. The ocean freight market's volatility this week has left the containerized DDGS market essentially flat, but offers for product into the Indonesia and Malaysia are down $5-$7/mt. The average offer for containerized DDGS to Southeast Asia is down $6/mt this week at $406 for October shipment."
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 | 9/22/2022 | 9/15/2022 | ||
| Bartlett and Company, Kansas City, MO (816 714 3413) | |||||
| Missouri | Dry | $285 | $275 | $10 | |
| Wet | $165 | $160 | $5 | ||
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
| Dry | $290 | $285 | $5 | ||
| Wet | $150 | $150 | $0 | ||
| CHS, Minneapolis, MN (800-769-1066) | |||||
| Illinois | Dry | $240 | $235 | $5 | |
| Indiana | Dry | $225 | $225 | $0 | |
| Iowa | Dry | $260 | $245 | $15 | |
| Michigan | Dry | $220 | $210 | $10 | |
| Minnesota | Dry | $245 | $245 | $0 | |
| New York | Dry | $240 | $205 | $35 | |
| South Dakota | Dry | $265 | $265 | $0 | |
| MGP Ingredients, Atchison, KS (800-255-0302) | |||||
| Dry | $315 | $285 | $30 | ||
| Wet | $105 | $101 | $4 | ||
| POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
| Indiana | Dry | $250 | $240 | $10 | |
| Iowa | Dry | $300 | $290 | $10 | |
| Michigan | Dry | $225 | $220 | $5 | |
| Minnesota | Dry | $300 | $275 | $25 | |
| Missouri | Dry | $285 | $285 | $0 | |
| Ohio | Dry | $245 | $240 | $5 | |
| South Dakota | Dry | $290 | $275 | $15 | |
| Nebraska SUBJECT | Dry | $320 | $320 | $0 | |
| United BioEnergy, Wichita, KS (316-616-3521) | |||||
| Kansas | Dry | $285 | $280 | $5 | |
| Call for Available | Wet* | $0 | $0 | $0 | |
| Illinois | Dry | $240 | $235 | $5 | |
| Nebraska | Dry | $285 | $280 | $5 | |
| Call for Available | Wet* | $0 | $0 | $0 | |
| U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
| Illinois | Dry | $235 | $235 | $0 | |
| Indiana | Dry | $230 | $230 | $0 | |
| Iowa | Dry | $240 | $250 | -$10 | |
| Michigan | Dry | $215 | $220 | -$5 | |
| Minnesota | Dry | $240 | $240 | $0 | |
| Nebraska | Dry | $295 | $295 | $0 | |
| New York | Dry | $260 | $265 | -$5 | |
| North Dakota | Dry | $240 | $245 | -$5 | |
| Ohio | Dry | $225 | $230 | -$5 | |
| South Dakota | Dry | $240 | $240 | $0 | |
| Wisconsin | Dry | $215 | $220 | -$5 | |
| Western Kansas | Dry | $290 | $290 | $0 | |
| Wet | $105 | $105 | $0 | ||
| Western Milling, Goshen, California (559-302-1074) | |||||
| California | Dry | $352 | $345 | $7 | |
| **Weekly Average: | $258 | $254 | $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 | 9/22/2022 | $6.8825 | $245.8036 |
| Soybean Meal | 9/22/2022 | $445.90 | |
| DDG Weekly Average Spot Price | $258.00 | ||
| DDG Value Relative to: | 9/22/2022 | 9/18/2002 | |
| Corn | 1.05% | 1.05% | |
| Soybean Meal | 57.86% | 58.46% | |
| Cost Per Unit of Protein: | |||
| DDG | $9.56 | $9.41 | |
| Soybean Meal | $9.39 | $9.15 | |
| 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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