Market Matters Blog
DDG Prices Slightly Higher
OMAHA (DTN) -- Distillers dried grains spot prices from the 40 locations DTN contacted were mixed, but on average, were $1 per ton higher versus one week ago at $133 per ton for the week ended Sept. 20.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Sept. 20 was at 105.64%. The value of DDG relative to soybean meal was at 42.71%. The cost per unit of protein for DDG was $4.93, compared to the cost per unit of protein for soybean meal at $6.56.
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DDG prices were under pressure earlier this week as corn prices continued last week's trend lower, but Thursday's near-7-cent recovery in the futures did take some of the pressure off DDG prices in some areas. DDG supplies remain plentiful as ethanol plant production increased last week. The EIA on Wednesday showed a higher-than-expected plant production increase last week, while market discussions pointed to thinning margins that have prompted some plants to consider reducing plant run rates.
In its weekly distillers dried grains with solubles (DDGS) price update, the U.S. Grains Council noted, "DDGS export prices were generally down across the board. A continued pickup in interest from international buyers is being reported as prices are nearing the market's bottom. On average, prices for 40-foot containers to Southeast Asia fell $4/metric tons (MT) for October; FOB Gulf indications and U.S. rail rates were down as well."
ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE | ||
COMPANY | STATE | 9/20/2018 | 9/13/2018 | ||
Bartlett and Company, Kansas City, MO (816-753-6300) | |||||
Missouri | Dry | $140 | $145 | -$5 | |
Modified | $73 | $75 | -$2 | ||
Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | |||||
Missouri | Dry | $130 | $140 | -$10 | |
Wet | $70 | $75 | -$5 | ||
CHS, Minneapolis, MN (800-769-1066) | |||||
Illinois | Dry | $140 | $142 | -$2 | |
Indiana | Dry | $132 | $135 | -$3 | |
Iowa | Dry | $130 | $135 | -$5 | |
Michigan | Dry | $140 | $142 | -$2 | |
Minnesota | Dry | $130 | $130 | $0 | |
North Dakota | Dry | $130 | $125 | $5 | |
New York | Dry | $155 | $162 | -$7 | |
South Dakota | Dry | $130 | $125 | $5 | |
MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) | |||||
Kansas | Dry | $140 | $140 | $0 | |
POET Nutrition, Sioux Falls, SD (888-327-8799) | |||||
Indiana | Dry | $135 | $136 | -$1 | |
Iowa | Dry | $130 | $135 | -$5 | |
Michigan | Dry | $142 | $142 | $0 | |
Minnesota | Dry | $130 | $132 | -$2 | |
Missouri | Dry | $150 | $151 | -$1 | |
Ohio | Dry | $140 | $144 | -$4 | |
South Dakota | Dry | $130 | $135 | -$5 | |
United BioEnergy, Wichita, KS (316-616-3521) | |||||
Kansas | Dry | $130 | $130 | $0 | |
Wet | $40 | $40 | $0 | ||
Illinois | Dry | $147 | $147 | $0 | |
Nebraska | Dry | $130 | $130 | $0 | |
Wet | $40 | $40 | $0 | ||
U.S. Commodities, Minneapolis, MN (888-293-1640) | |||||
Illinois | Dry | $130 | $130 | $0 | |
Indiana | Dry | $127 | $127 | $0 | |
Iowa | Dry | $125 | $125 | $0 | |
Michigan | Dry | $130 | $130 | $0 | |
Minnesota | Dry | $120 | $120 | $0 | |
Nebraska | Dry | $135 | $135 | $0 | |
New York | Dry | $140 | $140 | $0 | |
North Dakota | Dry | $145 | $130 | $15 | |
Ohio | Dry | $130 | $130 | $0 | |
South Dakota | Dry | $130 | $120 | $10 | |
Wisconsin | Dry | $130 | $130 | $0 | |
Valero Energy Corp, San Antonio Texas | (210-345-3362) | (210-345-3362) | |||
Indiana | Dry | $135 | $125 | $10 | |
Iowa | Dry | $125 | $115 | $10 | |
Minnesota | Dry | $120 | $120 | $0 | |
Nebraska | Dry | $130 | $135 | -$5 | |
Ohio | Dry | $140 | $135 | $5 | |
South Dakota | Dry | $125 | $120 | $5 | |
California | $185 | $185 | $0 | ||
Western Milling, Goshen, California (559-302-1074) | |||||
California | Dry | $192 | $200 | -$8 | |
*Prices listed per ton. | |||||
Weekly Average | $133 | $132 | $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 | 9/20/2018 | $3.5250 | $125.89 |
Soybean Meal | 9/20/2018 | $311.40 | |
DDG Weekly Average Spot Price | $133.00 | ||
DDG Value Relative to: | 9/20 | 9/13 | |
Corn | 105.64% | 109.91% | |
Soybean Meal | 42.71% | 42.40% | |
Cost Per Unit of Protein: | |||
DDG | $4.93 | $4.89 | |
Soybean Meal | $6.56 | $6.55 | |
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
(AG)
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