Ethanol Blog

Upturn in DDG Prices

By Cheryl Anderson , DTN Staff Reporter

Prices of dried distillers grains strengthened turned around last week following a five-week downward trend. The DTN weekly DDG price average rose $4 per ton this week, from $252 per ton to $256, after falling every week since mid-October.

After Thanksgiving, some upward movement in the market occurred in Chicago and California with increasing demand from local truck markets, according to Sean Broderick, senior merchandiser for CHW in Minneapolis.

The bump in demand may be partly due to the first burst of cold weather that usually prompts end users to buy, Broderick said.

Increased demand is coming primarily from the cattle sector, Broderick told DTN. Demand from beef producers is improved as producers move cattle off pastures into feedlots, and dairy demand is better since milk prices have risen slightly.

Recovery in export demand is due largely to an increase in containers markets and some excess supplies that needed to be sold off. Also, more inquires are coming in from the gulf, as buyers are more afraid of not getting supplies due to low river levels, Broderick said.

Cheryl Anderson can be reached at


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