DDG Weekly Update
8 Oct 2018
By Mary Kennedy
DTN Cash Grains Analyst
OMAHA (DTN) -- Distillers dried grains spot prices from the 40 locations DTN contacted were mixed, but on average $1 per ton lower at $133 per ton versus one week ago for the week ended Oct. 4.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Oct. 4 was at 101.33%. The value of DDG relative to soybean meal was at 43.13%. The cost per unit of protein for DDG was $4.93, compared to the cost per unit of protein for soybean meal at $6.49. Some maintenance shutdowns are keeping supplies in balance with demand so far, and prices remain range-bound. Wednesday's EIA report showed weekly ethanol production for the week ended Sept. 28 was down from the prior week.
In their weekly distillers dried grains with solubles (DDGS) price update, U.S. Grains Council noted, "DDGS prices are mixed this week. On average, prices for 40-foot containers to Southeast Asia were up $3/metric ton (MT) for October delivery, with containers to Vietnam seeing the largest increase (+$6/MT). Container rates to Japan were steady. DDGS at the Gulf fell $1/MT from last week to $185/MT while indications for rail-delivered Pacific Northwest fell $3/MT. This week, merchandisers reported a general pickup in demand from Asia, with sales reported to Southeast Asian markets Indonesia and Thailand."
The U.S. Census Bureau said Friday that U.S. exports of DDGS totaled 1,155,961 MT in August, up 52% from a year ago. Mexico, South Korea, and Vietnam were the top three destinations in August, accounting for 35% of the total. The first eight months of U.S. DDGS exports were up 9% in 2018 from a year ago.
| ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE |
| COMPANY | STATE | | 10/4/2018 | 9/27/2018 | |
| Bartlett and Company, Kansas City, MO (816-753-6300) | |
| Missouri | Dry | $145 | $145 | $0 |
| | Modified | $75 | $75 | $0 |
| | | | | |
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) |
| Missouri | Dry | $145 | $145 | $0 |
| | Wet | $75 | $75 | $0 |
| | | | | |
| CHS, Minneapolis, MN (800-769-1066) |
| Illinois | Dry | $140 | $140 | $0 |
| Indiana | Dry | $132 | $132 | $0 |
| Iowa | Dry | $130 | $130 | $0 |
| Michigan | Dry | $140 | $140 | $0 |
| Minnesota | Dry | $130 | $130 | $0 |
| North Dakota | Dry | $130 | $130 | $0 |
| New York | Dry | $155 | $155 | $0 |
| South Dakota | Dry | $130 | $130 | $0 |
| MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) |
| Kansas | Dry | $142 | $140 | $2 |
| POET Nutrition, Sioux Falls, SD (888-327-8799) |
| Indiana | Dry | $128 | $132 | -$4 |
| Iowa | Dry | $127 | $130 | -$3 |
| Michigan | Dry | $139 | $142 | -$3 |
| Minnesota | Dry | $130 | $132 | -$2 |
| Missouri | Dry | $143 | $147 | -$4 |
| Ohio | Dry | $135 | $138 | -$3 |
| South Dakota | Dry | $130 | $130 | $0 |
| United BioEnergy, Wichita, KS (316-616-3521) |
| Kansas | Dry | $135 | $135 | $0 |
| | Wet | $55 | $55 | $0 |
| Illinois | Dry | $148 | $148 | $0 |
| Nebraska | Dry | $135 | $135 | $0 |
| | Wet | $55 | $55 | $0 |
| U.S. Commodities, Minneapolis, MN (888-293-1640) |
| Illinois | Dry | $130 | $130 | $0 |
| Indiana | Dry | $130 | $130 | $0 |
| Iowa | Dry | $125 | $125 | $0 |
| Michigan | Dry | $135 | $130 | $5 |
| Minnesota | Dry | $125 | $120 | $5 |
| Nebraska | Dry | $135 | $135 | $0 |
| New York | Dry | $140 | $140 | $0 |
| North Dakota | Dry | $140 | $145 | -$5 |
| Ohio | Dry | $125 | $125 | $0 |
| South Dakota | Dry | $125 | $125 | $0 |
| Wisconsin | Dry | $130 | $125 | $5 |
| Valero Energy Corp, San Antonio Texas | (210-345-3362) | (210-345-3362) |
| Indiana | Dry | $135 | $135 | $0 |
| Iowa | Dry | $130 | $130 | $0 |
| Minnesota | Dry | $130 | $130 | $0 |
| Nebraska | Dry | $130 | $130 | $0 |
| Ohio | Dry | $135 | $135 | $0 |
| South Dakota | Dry | $125 | $125 | $0 |
| California | | $187 | $187 | $0 |
| Western Milling, Goshen, California (559-302-1074) |
| California | Dry | $195 | $197 | -$2 |
| *Prices listed per ton. |
| Weekly Average | | $133 | $134 | -$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 | 10/4/2018 | $3.6750 | $131.25 |
| Soybean Meal | 10/4/2018 | $308.40 |
| DDG Weekly Average Spot Price | $133.00 |
| DDG Value Relative to: | 10/4 | 9/27 |
| Corn | 101.33% | 102.86% |
| Soybean Meal | 43.13% | 43.48% |
| Cost Per Unit of Protein: |
| DDG | $4.93 | $4.96 |
| Soybean Meal | $6.49 | $6.49 |
| 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/CZ)
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