DTN Weekly DDG Price Steady on Average

Source: By Mary Kennedy, DTN • Posted: Tuesday, October 12, 2021

Wednesday’s Energy Information Administration (EIA) report showed domestic ethanol inventories were drawn down during the week ended Oct. 1 even as production rose for the first time in three weeks, up 7% to an eight-week high, according to the latest Energy Information Administration report released Wednesday. Overall, production increased 64,000 barrels per day (bpd) to 978,000 bpd, the highest level since the first week of August and 6% more than a year earlier. Midwest PADD 2 plant production jumped 71,000 bpd or 8.2% to 937,000 bpd, the highest level since the final week of July.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Oct. 7 was 101.72%. The value of DDG relative to soybean meal was 60.85% and the cost per unit of protein for DDG was $7.19, compared to the cost per unit of protein for soybean meal at $6.71.

In its weekly DDGS export price update, the U.S. Grains Council said: “On the export market, DDGS values are mixed with barge CIF NOLA rates are down $6 per metric ton (mt) for the fourth quarter 2021 shipment and down $2 for first quarter of 2022. FOB NOLA offers are up $1 to $2/mt for November – January shipment while U.S. rail rates are up $9 to $10/mt this week. Brokers continue to report that the international market is seeing fewer offers for containerized DDGS due to high freight costs. Both buyers and sellers are eyeing the huge inverse in the freight market and proceeding somewhat cautiously. Some trade is still getting done, however, and prices for 40-foot containers to Southeast Asia are up $6/mt at $354/mt this week.”

The U.S. Census Bureau said Tuesday that U.S. exports of DDGS totaled 1,243,698 mt in August, up from 1,064,550 mt in July and up 21% from a year ago. Mexico was the top destination in August, taking 16% of U.S. exports and was followed by Vietnam and Turkey. In the first eight months of 2021, U.S. exports of DDGS are up 10% from a year ago.

NOTE: All prices listed below can change at any time and are subject to confirmation from seller.

ALL PRICES SUBJECT TO CONFIRMATION CURRENT PREVIOUS CHANGE
COMPANY STATE 10/7/2021 9/30/2021
Bartlett and Company, Kansas City, MO (816 714 3413)
Missouri Dry $205 $205 $0
Wet $103 $103 $0
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Dry $210 $210 $0
Wet $105 $105 $0
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $180 $180 $0
Indiana Dry $180 $180 $0
Iowa Dry $180 $175 $5
Michigan Dry $185 $185 $0
Minnesota Dry $185 $185 $0
North Dakota Dry $185 $195 -$10
New York Dry $215 $200 $15
South Dakota Dry $190 $195 -$5
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $180 $190 -$10
Iowa Dry $185 $195 -$10
Michigan Dry $190 $195 -$5
Minnesota Dry $185 $200 -$15
Missouri Dry $205 $210 -$5
Ohio Dry $180 $190 -$10
South Dakota Dry $200 $210 -$10
Nebraska Dry $215 $215 $0
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $225 $205 $20
Wet $80 $80 $0
Illinois Dry $190 $195 -$5
Nebraska Dry $225 $205 $20
Wet $80 $80 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $190 $190 $0
Indiana Dry $190 $190 $0
Iowa Dry $190 $190 $0
Michigan Dry $195 $195 $0
Minnesota Dry $193 $193 $0
Nebraska Dry $200 $195 $5
New York Dry $210 $210 $0
North Dakota Dry $200 $203 -$3
Ohio Dry $190 $190 $0
South Dakota Dry $200 $200 $0
Wisconsin Dry $180 $180 $0
Western Milling, Goshen, California (559-302-1074)
California SUBJECT Dry $268 $268 $0
*Prices listed per ton. $194 $195 -$1
Weekly Average:
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 10/7/2021 $5.3400 $190.71
Soybean Meal 10/7/2021 $318.80
DDG Weekly Average Spot Price $194.00
DDG Value Relative to: 10/7 9/30
Corn 101.72% 101.72%
Soybean Meal 60.85% 59.78%
Cost Per Unit of Protein:
DDG $7.19 $7.22
Soybean Meal $6.71 $6.87
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

|