Market Matters Blog

MINNEAPOLIS (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 35 locations reporting for the week ended March 16 was $261 per ton, down $1 from one week ago. Prices were steady to mixed but slightly lower on average. While the cash corn price continues to move lower, DDG remains competitive with other feedstuffs. The DTN National Corn Index is down 25 cents versus one week ago.

The Energy Information Administration (EIA) at midweek showed overall ethanol production in the United States rose 4,000 barrels per day (bpd) to a three-week high 1.014 million bpd last week, 1.2% below the same week in 2022. Four-week average output at 1.014 million bpd -- 5,000 bpd less than the same four-week average production last year. In the Midwest PADD 2, ethanol production gained 2,000 bpd to 966,000 bpd, 0.5% below a year ago.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended March 16 was 1.15%. The value of DDG relative to soybean meal was 55.06%, and the cost per unit of protein for DDG was $9.67 compared to the cost per unit of protein for soybean meal at $9.98.

In its weekly DDGS export update, the U.S. Grains Council said: "Barge CIF NOLA offers are steady for spot positions and $2 to $3 metric ton (mt) higher for May and June due to another week of rising barge freight. FOB NOLA offers are also $2 higher for Q2 positions and average $346 mt for April. This week's offers for 40-foot containers to Southeast Asia are $3 higher amid firming ocean freight values and average $395 for Q2 shipment."

NOTE: All prices listed below can change at any time and are subject to confirmation from seller.

Mary Kennedy can be reached at mary.kennedy@dtn.com

Follow her on Twitter @MaryCKenn

(c) Copyright 2023 DTN, LLC. All rights reserved.