DDG Weekly Update
30 Jul 2019
By Mary Kennedy
DTN Cash Grains Analyst
OMAHA (DTN) -- The domestic distillers dried grains (DDG) average spot price from the 40 locations DTN contacted was unchanged at $140 per ton for the week ended July 25. DDG spot prices were mixed this week and feel lackluster overall, especially with the recent heat wave slowing nearby demand.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended July 25 was at 93.67%. The value of DDG relative to soybean meal was at 46.07%. The cost per unit of protein for DDG was $5.19, compared to the cost per unit of protein for soybean meal at $6.40.
The midweek Energy Information Administration report noted that ethanol supply in the United States increased for the fourth consecutive week through July 19, up 300,000 barrels (bbl) to a 3-1/2 month high at 23.7 million bbl, while domestic plant output fell to a 2-1/2 month low.
In its weekly export DDGS update, the U.S. Grains Council stated, "Prices for DDGS CIF NOLA barge and FOB U.S. Gulf are lower this week as traders keep the ethanol co-product competitive with lower corn and soymeal values. Merchandisers are reporting a significant increase in international buying interest as corn futures have stabilized in recent days. Exporters note Taiwan, Korea, the Philippines, Indonesia, Vietnam, and Bangladesh have been active markets for both inquiries and sales. Prices for 40-foot containers to Southeast Asia are averaging $244/MT, steady with last week's values."
| ALL PRICES SUBJECT TO CONFIRMATION | CURRENT | PREVIOUS | CHANGE |
| COMPANY | STATE | 7/25/2019 | 7/18/2019 |
| Bartlett and Company, Kansas City, MO (816-753-6300) |
| Missouri | Dry | $155 | $160 | -$5 |
| Wet | $78 | $80 | -$2 |
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) |
| Missouri Subject | Dry | $150 | $145 | $5 |
| Wet | $78 | $75 | $3 |
| CHS, Minneapolis, MN (800-769-1066) |
| Illinois | Dry | $145 | $145 | $0 |
| Indiana | Dry | $140 | $140 | $0 |
| Iowa | Dry | $130 | $130 | $0 |
| Michigan | Dry | $150 | $150 | $0 |
| Minnesota | Dry | $125 | $132 | -$7 |
| North Dakota | Dry | $130 | $132 | -$2 |
| New York | Dry | $150 | $152 | -$2 |
| South Dakota | Dry | $125 | $132 | -$7 |
| MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) |
| Kansas | Dry | $140 | $140 | $0 |
| POET Nutrition, Sioux Falls, SD (888-327-8799) |
| Indiana | Dry | $155 | $160 | -$5 |
| Iowa | Dry | $130 | $130 | $0 |
| Michigan | Dry | $130 | $130 | $0 |
| Minnesota | Dry | $135 | $130 | $5 |
| Missouri | Dry | $155 | $160 | -$5 |
| Ohio | Dry | $165 | $160 | $5 |
| South Dakota | Dry | $145 | $145 | $0 |
| United BioEnergy, Wichita, KS (316-616-3521) |
| Kansas | Dry | $145 | $145 | $0 |
| Wet | $40 | $40 | $0 |
| Illinois | Dry | $145 | $145 | $0 |
| Nebraska | Dry | $145 | $145 | $0 |
| Wet | $45 | $45 | $0 |
| U.S. Commodities, Minneapolis, MN (888-293-1640) |
| Illinois | Dry | $140 | $140 | $0 |
| Indiana | Dry | $142 | $140 | $2 |
| Iowa | Dry | $130 | $130 | $0 |
| Michigan | Dry | $140 | $135 | $5 |
| Minnesota | Dry | $130 | $130 | $0 |
| Nebraska | Dry | $135 | $135 | $0 |
| New York | Dry | $150 | $150 | $0 |
| North Dakota | Dry | $135 | $135 | $0 |
| Ohio | Dry | $150 | $150 | $0 |
| South Dakota | Dry | $130 | $130 | $0 |
| Wisconsin | Dry | $135 | $135 | $0 |
| Valero Energy Corp, San Antonio Texas | (210-345-3362) | (210-345-3362) |
| Indiana | Dry | $140 | $140 | $0 |
| Iowa | Dry | $135 | $135 | $0 |
| Minnesota | Dry | $135 | $135 | $0 |
| Nebraska | Dry | $135 | $135 | $0 |
| Ohio | Dry | $150 | $150 | $0 |
| South Dakota | Dry | $130 | $130 | $0 |
| California | Dry | $195 | $195 | $0 |
| Western Milling, Goshen, California (559-302-1074) |
| California | Dry | $203 | $205 | -$2 |
| *Prices listed per ton. |
| Weekly Average | $140 | $140 | $0 |
| 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 | 7/25/2019 | $4.1850 | $149.46 |
| Soybean Meal | 7/25/2019 | $303.90 |
| DDG Weekly Average Spot Price | $140.00 |
| DDG Value Relative to: | 7/25 | 7/18 |
| Corn | 93.67% | 92.34% |
| Soybean Meal | 46.07% | 45.60% |
| Cost Per Unit of Protein: |
| DDG | $5.19 | $5.19 |
| Soybean Meal | $6.40 | $6.46 |
| 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
(CZ)
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