Market Matters Blog

DTN Weekly DDG Price Lower on Average

Mary Kennedy
By  Mary Kennedy , DTN Basis Analyst
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DTN's weekly spot price for domestic distillers dried grains for the week ended May 11 was down $6 on average from one week ago. (DTN file photo)

MINNEAPOLIS (DTN) -- The DTN average price for domestic distillers dried grains (DDG) from 35 locations reporting for the week ended May 11 was $242 per ton, down $6 from one week ago. Prices were mixed but lower again on average due in part to the lower cash corn price and weakness overall in other feed products.

The Energy Information Administration (EIA) at midweek showed overall ethanol production in the United States averaged 965,000 barrels per day (bpd) through May 5, down 11,000 bpd week-on-week and 26,000 bpd, or 2.7%, lower than in the same week last year. Four-week average output at 983,000 bpd was 16,000 bpd above the same four weeks in 2022. Midwest ethanol production averaged 912,000 bpd, down 10,000 bpd week-on-week and 29,000 bpd, or 3.2% lower than in the same week last year. Four-week average output at 931,000 bpd was 19,000 bpd above the same four weeks in 2022.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended May 11 was 1.07%. The value of DDG relative to soybean meal was 56.73 and the cost per unit of protein for DDG was $8.96 compared to the cost per unit of protein for soybean meal at $8.98. (Futures used in the table are still based the May).

In its weekly DDGS export update, the U.S. Grains Council said: "Barge CIF NOLA values turned higher this week with offers for June rising $8 metric ton (mt) to $281 while FOB NOLA offers are up $5 for June at $293/MT. Offers for July and August positions are up $10-$12 mt in the FOB market. Offers for 40-foot containers to southeast Asia are up $5 mt at $371 with increases in values for product on the river system offsetting declines in freight rates."

Lock and Dam closures update on the Mississippi River as of May 11: Lock & Dam 16(RM 457) Illinois City, Illinois, closed due to high water; anticipated reopening 5/12). Lock & Dam 17 (RM 437) New Boston, Illinois, closed due to high water; anticipated reopening 5/12.

NWS flood map: https://www.weather.gov/…

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 5/11/2023 5/4/2023
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $245 $245 $0
Wet $150 $150 $0
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Dry $245 $247 -$2
Wet $135 $140 -$5
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $220 $225 -$5
Indiana Dry $230 $230 $0
Iowa Dry $230 $235 -$5
Michigan Dry $240 $240 $0
Minnesota Dry $220 $225 -$5
New York Dry $270 $270 $0
South Dakota Dry $235 $240 -$5
MGP Ingredients, Atchison, KS (800-255-0302)
Dry $238 $245 -$7
Wet $90 $92 -$2
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $255 $255 $0
Iowa Dry $255 $260 -$5
Michigan Dry $260 $260 $0
Minnesota Dry $250 $260 -$10
Missouri Dry $265 $280 -$15
Ohio Dry $250 $250 $0
South Dakota Dry $250 $265 -$15
Nebraska Dry $265 $265 $0
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $275 $275 $0
Wet* $115 $115 $0
Illinois JUNE Dry $242 $242 $0
Nebraska Dry $275 $275 $0
Wet* $115 $115 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $235 $245 -$10
Indiana Dry $230 $245 -$15
Iowa Dry $225 $235 -$10
Michigan Dry $235 $245 -$10
Minnesota Dry $230 $240 -$10
Nebraska Dry $250 $255 -$5
New York Dry $270 $275 -$5
North Dakota Dry $230 $240 -$10
Ohio Dry $240 $250 -$10
South Dakota Dry $230 $235 -$5
Wisconsin Dry $210 $240 -$30
Fox River Valley Ethanol, Oshkosh WI 715-709-0269
Dry $230 $235 -$5
Western Kansas Dry $265 $265 $0
Wet $100 $100 $0
**Weekly Average: $242 $248 -$6
(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 5/11/2023 $6.3250 $225.8929
Soybean Meal 5/11/2023 $426.60
DDG Weekly Average Spot Price 5/11/2023 $242.00
DDG Value Relative to: 5/11 5/4
Corn 1.07% 1.07%
Soybean Meal 56.73% 58.04%
Cost Per Unit of Protein:
DDG $8.96 $9.19
Soybean Meal $8.98 $9.00
Notes:
Corn and soybean prices taken 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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