DDG Weekly Update

DTN Weekly Average DDG Price Slightly Lower

Mary Kennedy
By  Mary Kennedy , DTN Basis Analyst
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The DTN domestic distillers dried grains weekly average spot price was down $1, to $140 per ton, for the week ended Oct. 24. (DTN file photo)

OMAHA (DTN) -- The domestic distillers dried grains (DDG) weekly average spot price from the 40 locations DTN contacted was down $1, to $140 per ton for the week ended Oct. 24.

Prices were mixed from various sellers, with the DDG price this week slightly weaker in some states. The cash corn price has been under pressure from ongoing harvest activity, but the corn basis remains strong in some areas where farmer selling has been slow and plants need to push basis levels to procure corn.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Oct. 24 was at 101.36%. The value of DDG relative to soybean meal was at 45.81%. The cost per unit of protein for DDG was $5.19, compared to the cost per unit of protein for soybean meal at $6.43.

In its weekly export DDGS update, the U.S. Grains Council noted that CIF NOLA (New Orleans, Louisiana) prices are $7 per metric ton (mt) higher this week, while FOB Gulf offers are up $2-$3/mt for November/December shipment.

"Rates for DDGS delivered via rail to the PNW are $3/mt higher this week," the U.S. Grains Council noted. "Merchandisers report active inquiries from Southeast Asia, with aggressive purchases from Indonesia and some sales to Thailand. Vietnamese inquiries have been active, but bids are lower than exporters' firm asking prices. The average price for 40-foot containers to Southeast Asia is down $1/mt to $236/mt for November shipment."

ALL PRICES SUBJECT TO CONFIRMATION CURRENT PREVIOUS CHANGE
COMPANY STATE 10/24/2019 10/16/2019
Bartlett and Company, Kansas City, MO (816-753-6300)
Missouri Dry $150 $150 $0
Wet $75 $75 $0
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Missouri Subject Dry $147 $147 $0
Wet $55 $75 -$20
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $135 $140 -$5
Indiana Dry $140 $140 $0
Iowa Dry $135 $135 $0
Michigan Dry $150 $150 $0
Minnesota Dry $135 $135 $0
North Dakota Dry $135 $130 $5
New York Dry $150 $150 $0
South Dakota Dry $125 $125 $0
MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253)
Kansas Dry $145 $145 $0
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $140 $140 $0
Iowa Dry $140 $140 $0
Michigan Dry $135 $135 $0
Minnesota Dry $137 $138 -$1
Missouri Dry $143 $143 $0
Ohio Dry $145 $145 $0
South Dakota Dry $150 $150 $0
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $142 $145 -$3
Wet $55 $55 $0
Illinois Dry $147 $147 $0
Nebraska Dry $135 $135 $0
Wet $45 $45 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $145 $145 $0
Indiana Dry $145 $155 -$10
Iowa Dry $140 $140 $0
Michigan Dry $145 $150 -$5
Minnesota Dry $135 $135 $0
Nebraska Dry $140 $140 $0
New York Dry $170 $165 $5
North Dakota Dry $140 $140 $0
Ohio Dry $150 $155 -$5
South Dakota Dry $135 $135 $0
Wisconsin Dry $135 $135 $0
Valero Energy Corp, San Antonio Texas (210-345-3362)
Indiana Dry $136 $136 $0
Iowa Dry $145 $145 $0
Minnesota Dry $140 $140 $0
Nebraska Dry $135 $135 $0
Ohio Dry $145 $145 $0
South Dakota Dry $135 $135 $0
California Dry $205 $205 $0
Western Milling, Goshen, California (559-302-1074)
California Dry $211 $203 $8
*Prices listed per ton.
Weekly Average $140 $141 -$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 10/24/2019 $3.8675 $138.13
Soybean Meal 10/24/2019 $305.60
DDG Weekly Average Spot Price $140.00
DDG Value Relative to: 10/24 10/16
Corn 101.36% 100.78%
Soybean Meal 45.81% 46.26%
Cost Per Unit of Protein:
DDG $5.19 $5.22
Soybean Meal $6.43 $6.42
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

(BAS/SK )

Mary Kennedy

Mary Kennedy
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