DDG Weekly Update
22 Jun 2020
OMAHA (DTN) -- Of the 40 locations DTN contacted that showed offers for domestic distillers dried grains (DDG) for the week ended June 18, posted offers were mixed and averaged $134 per ton, down $2 versus the prior week.
Wednesday's Energy Information Administration ethanol report noted that stocks were drawn down for an eighth straight week during the second week of June, falling to the lowest level since the final week of December 2019, as blending demand continues to increase. At 21.346 million barrels (bbl), domestic ethanol supply dropped 456,000 bbl in the week ended June 12, a 1.4% year-over-year supply deficit. Plant daily production increased only 4,000 barrels a day versus the prior week and lower than trader estimates of a 30,000- to 40,000-barrel-a-day uptick.
With ethanol production slowly on the rise, we are seeing more DDG available in the market, and feeders are beginning to return to add DDG to feed rations. Other corn byproduct prices have been fading, so DDG will need to continue to stay in line with those prices or risk being left out.
Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended June 18 was 113.35%. The value of DDG relative to soybean meal was 46.40%. The cost per unit of protein for DDG was $4.96, compared to the cost per unit of protein for soybean meal at $6.08.
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 | | 6/18/2020 | 6/11/2020 | |
| Bartlett and Company, Kansas City, MO (816-753-6300) | |
| | Missouri | Dry | $150 | $145 | $5 |
| | | Wet | $75 | $73 | $2 |
| | | | | | |
| Show Me Ethanol LLC, Carrollton, MO (660-542-6493) | | |
| | Missouri | Dry | $140 | $145 | -$5 |
| | | Wet | $75 | $75 | $0 |
| | | | | | |
| CHS, Minneapolis, MN (800-769-1066) | | | |
| | Illinois | Dry | $140 | $140 | $0 |
| | Indiana | Dry | $135 | $135 | $0 |
| | Iowa | Dry | $128 | $132 | -$4 |
| | Michigan | Dry | $145 | $145 | $0 |
| | Minnesota | Dry | $125 | $125 | $0 |
| | North Dakota | Dry | $125 | $130 | -$5 |
| | New York | Dry | $170 | $170 | $0 |
| | South Dakota | Dry | $115 | $120 | -$5 |
| | | | | | |
| MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253) | |
| | Kansas APRIL | Dry | $130 | $130 | $0 |
| | | | | | |
| POET Nutrition, Sioux Falls, SD (888-327-8799) | | |
| | Indiana | Dry | $140 | $145 | -$5 |
| | Iowa | Dry | $135 | $137 | -$2 |
| | Michigan | Dry | $145 | $150 | -$5 |
| | Minnesota | Dry | $135 | $140 | -$5 |
| | Missouri | Dry | $150 | $155 | -$5 |
| | Ohio | Dry | $140 | $145 | -$5 |
| | South Dakota | Dry | $140 | $145 | -$5 |
| | | | | | |
| United BioEnergy, Wichita, KS (316-616-3521) | | |
| | Kansas | Dry | $130 | $130 | $0 |
| | | Wet | $40 | $40 | $0 |
| | Illinois MARCH | Dry | $143 | $145 | -$2 |
| | Nebraska | Dry | $130 | $130 | $0 |
| | | Wet | $40 | $40 | $0 |
| | | | | | |
| | | | | | |
| U.S. Commodities, Minneapolis, MN (888-293-1640) | | |
| | Illinois | Dry | $140 | $140 | $0 |
| | Indiana | Dry | $145 | $145 | $0 |
| | Iowa | Dry | $125 | $125 | $0 |
| | Michigan | Dry | $140 | $140 | $0 |
| | Minnesota | Dry | $125 | $125 | $0 |
| | Nebraska | Dry | $110 | $110 | $0 |
| | New York | Dry | $160 | $160 | $0 |
| | North Dakota | Dry | $115 | $115 | $0 |
| | Ohio | Dry | $145 | $145 | $0 |
| | South Dakota | Dry | $105 | $105 | $0 |
| | Wisconsin | Dry | $135 | $135 | $0 |
| | | | | | |
| Valero Energy Corp, San Antonio Texas | | | |
| | Indiana | Dry | $150 | $160 | -$10 |
| | Iowa | Dry | $0 | $0 | $0 |
| | Minnesota | Dry | $0 | $0 | $0 |
| | Nebraska | Dry | $0 | $0 | $0 |
| | Ohio | Dry | $140 | $148 | -$8 |
| | South Dakota | Dry | $0 | $0 | $0 |
| | California | Dry | $0 | $0 | $0 |
| Western Milling, Goshen, California (559-302-1074) | | |
| | California | Dry | $209 | $212 | -$3 |
| | | | | | |
| *Prices listed per ton. | | | | |
| | | | | | |
| | Weekly Average | | $134 | $136 | -$2 |
| | | | | | |
| 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 | 6/18/2020 | $3.3100 | $118.21 |
| Soybean Meal | 6/18/2020 | | $288.80 |
| DDG Weekly Average Spot Price | | | $134.00 |
| | | | |
| DDG Value Relative to: | | 6/18 | 6/11 |
| Corn | | 113.35% | 115.48% |
| Soybean Meal | | 46.40% | 46.95% |
| | | | |
| Cost Per Unit of Protein: | | | |
| DDG | | $4.96 | $5.04 |
| Soybean Meal | | $6.08 | $6.10 |
| 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 [email protected]
Follow her on Twitter @MaryCKenn
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