DDG Weekly Update
DDG Prices Lower
The DTN average DDG spot price was $1 per ton lower for the week ended Nov. 3 at $107 with price declines ranging from $1 to $15 per ton. Of the 37 locations from which DTN collects spot prices, 13 were lower, three were higher than the prior week, and the balance of the prices were unchanged. Merchandisers noted it has been a quiet week so far and prices in some areas drifted lower after last week's rally. Informa Economics said toxin levels in Eastern Corn Belt supplies "continues to be an issue, keeping prices two-tiered with higher toxin material being discounted."
CIF NOLA (New Orleans, Louisiana) prices were lower for the week ended Nov. 3 with November prices down 7 cents to down 4 cents vs. one week ago and are at 145 to 151. There is less buying interest in the Gulf and prices have edged lower, reported Informa. "The lighter buying interest suggests that there could be a modest setback in prices over the next several days. Steady demand from poultry and swine buyers has prevented supplies from being overly burdensome."
There is still no word on any changes to Vietnam's decision to ban U.S. DDG imports in the middle of December after live beetles were found in a shipment. The U.S. Grains Council has said they are currently in talks with Vietnam to establish protocols to deal with the beetles going forward and find a resolution favorable to continue U.S. DDG imports into the country. A merchandiser told DTN there has been plenty of product loaded and shipped to Vietnam ahead of the possible ban, so the impact may not be as bad for the market the rest of this year should the ban become a reality.
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The value of DDG relative to corn for the week ended Nov. 3 was higher at 86.09% vs. 84.59% the prior week and the value of DDG relative to soybean meal was higher at 34.92% vs.32.97% the prior week. The cost per unit of protein for DDG was lower at $4.28 vs. $4.32 the prior week, compared to the cost per unit of protein for soybean meal which was higher at $6.45 vs. $6.90 the prior week.
CURRENT | PREVIOUS | ||||
COMPANY | STATE | 11/3/2016 | 10/27/2016 | CHANGE | |
Bartlett and Company, Kansas City, MO (816-753-6300) | |||||
Missouri | Dry | $120 | $120 | $0 | |
Modified | $62 | $63 | -$1 | ||
CHS, Minneapolis, MN (800-769-1066) | |||||
Illinois | Dry | $105 | $115 | -$10 | |
Indiana | Dry | $105 | $110 | -$5 | |
Iowa | Dry | $105 | $107 | -$2 | |
Michigan | Dry | $115 | $120 | -$5 | |
Minnesota | Dry | $98 | $98 | $0 | |
North Dakota | Dry | $105 | $100 | $5 | |
New York | Dry | $115 | $130 | -$15 | |
South Dakota | Dry | $100 | $95 | $5 | |
MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) | |||||
Kansas | Dry | $105 | $110 | -$5 | |
POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
Indiana | Dry | $112 | $110 | $2 | |
Iowa | Dry | $100 | $100 | $0 | |
Michigan | Dry | $112 | $112 | $0 | |
Minnesota | Dry | $95 | $95 | $0 | |
Missouri | Dry | $120 | $115 | $5 | |
Ohio | Dry | $115 | $115 | $0 | |
South Dakota | Dry | $95 | $95 | $0 | |
United BioEnergy, Wichita, KS (316-616-3521) | |||||
Kansas | Dry | $118 | $118 | $0 | |
Wet | $40 | $40 | $0 | ||
Illinois | Dry | $125 | $125 | $0 | |
Nebraska | Dry | $118 | $118 | $0 | |
Wet | $40 | $40 | $0 | ||
U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
Illinois | Dry | $115 | $115 | $0 | |
Indiana | Dry | $112 | $112 | $0 | |
Iowa | Dry | $105 | $105 | $0 | |
Michigan | Dry | $118 | $118 | $0 | |
Minnesota | Dry | $95 | $95 | $0 | |
Nebraska | Dry | $100 | $100 | $0 | |
New York | Dry | $130 | $130 | $0 | |
North Dakota | Dry | $105 | $105 | $0 | |
Ohio | Dry | $110 | $110 | $0 | |
South Dakota | Dry | $95 | $95 | $0 | |
Wisconsin | Dry | $102 | $102 | $0 | |
Valero Energy Corp., San Antonio, TX (402-727-5300) | |||||
Indiana | Dry | $100 | $105 | -$5 | |
Iowa | Dry | $95 | $100 | -$5 | |
Minnesota | Dry | $95 | $98 | -$3 | |
Nebraska | Dry | $105 | $105 | $0 | |
Ohio | Dry | $120 | $125 | -$5 | |
South Dakota | Dry | $90 | $95 | -$5 | |
California | $162 | $165 | -$3 | ||
Western Milling, Goshen, California (559-302-1074) | |||||
California | Dry | $175 | $175 | $0 | |
*Prices listed per ton. | |||||
Weekly Average | $107 | $108 | -$1 | ||
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 | 11/3/2016 | $3.4800 | $124.29 |
Soybean Meal | 11/3/2016 | $306.40 | |
DDG Weekly Average Spot Price | $107.00 | ||
DDG Value Relative to: | 11/3 | 10/27 | |
Corn | 86.09% | 84.59% | |
Soybean Meal | 34.92% | 32.97% | |
Cost Per Unit of Protein: | |||
DDG | $4.28 | $4.32 | |
Soybean Meal | $6.45 | $6.90 | |
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 25. |
Mary Kennedy can be reached at Mary.Kennedy@dtn.com
Follow her on Twitter @MaryCKenn
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