Market Matters Blog

MINNEAPOLIS (DTN) -- The DTN price for domestic distillers dried grains (DDG) from 33 locations reporting for the week ended Feb. 1 was down $1 on average at $194 per ton versus one week ago. The corn market was slightly lower this week with the DTN National Corn Index down 3 cents versus one week ago. The California price pushed higher as intense rainfall has messed up logistics, with an even stronger storm heading there over the weekend.

The Energy Information Administration on Wednesday reported overall ethanol production during the week ended Jan. 26 in the United States averaged 991,000 barrels per day (bpd), up 173,000 bpd week-on-week, while 37,000 bpd, or 3.7% ,lower than in the same week last year. Four-week average output at 981,000 bpd was 17,000 bpd below the same four weeks in 2022. Midwest ethanol production averaged 938,000 bpd, up 172,000 bpd week-on-week and 44,000 bpd, or 4.7% lower than in the same week last year. Four-week average output at 928,000 bpd was 22,000 bpd below 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 Feb. 1 was 1.21%. The value of DDG relative to soybean meal was 53.64 and the cost per unit of protein for DDG was $7.19 compared to the cost per unit of protein for soybean meal at $7.61.

In its weekly DDGS report, U.S. Grains Council said, "Most February DDGS export prices increased week-over-week by $7 to $10 metric ton (mt). The largest change was in the Taiwan price quote of $10 mt. However, not all prices increased this much. FOB Lethbridge, Alberta; KC Rail Yard; Elwood, Illinois; and Japan prices were consistent week-over-week. Quotes for FOB Vessel Gulf, Barge CIF New Orleans, and Laredo, TX decreased between $2 to $5 mt week-over-week."

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Note: All prices subject to change/confirmation.

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

Follow her on X, formerly known as Twitter, @MaryCKenn

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