DDG Weekly: Markets Still Quiet from Holiday Lull – DTN

3 Views

The domestic distillers dried grains (DDG) weekly spot price from the 40 locations DTN contacted was $1 per ton lower on average at $149 per ton for the week ended Jan. 9. Prices were mixed this week as the cash corn market remains flat. The weekly Energy Information Administration report showed plants reduced ethanol production, but DDG supplies versus current demand don’t appear to be affected.

Based on the average of prices collected by DTN, the value of DDG relative to corn for the week ended Jan. 9 was at 108.86%. The value of DDG relative to soybean meal was at 50.30%. The cost per unit of protein for DDG was $5.52, compared to the cost per unit of protein for soybean meal at $6.24.

In its weekly DDGS export update, the U.S. Grains Council noted, “DDGS markets are still quiet this week as traders emerge from the holiday lull. Merchandisers report active inquiries from Asian buyers, but sales are slow so far. Barge CIF NOLA values are $1 to $2 metric ton (mt) lower this week but forecasts for winter weather across much of the Midwest this weekend/early next week could tighten the market due to logistics issues.

“FOB Gulf values are $3/mt lower for spot shipment while deferred positions are mostly steady. Asking prices for 40-foot containers to Southeast Asia are steady for January shipment at $246/mt while February/March values are slightly lower.”

Barges moving south in the Lower Mississippi River from Cairo to the Gulf are currently subject to reduced tow sizes and safety protocols because of high water there.

American Commercial Barge Line noted in their daily river update “a significant rain event is expected to impact the river system beginning tonight, 1/9, and lasting through Saturday, 1/11. The pattern is currently predicted to drop 4-7 inches of rain in St. Louis and the Illinois River. This amount of rain could impact the Lower Miss and Gulf areas in the coming weeks.”

* CIF (cost, insurance and freight paid by seller) NOLA (New Orleans)

* FOB (free on board means buyer pays costs of ocean freight,

insurance, unloading, and transportation from originating port)

ALL PRICES SUBJECT TO CONFIRMATION CURRENT PREVIOUS CHANGE
COMPANY STATE 1/9/2020 1/2/2020
Bartlett and Company, Kansas City, MO (816-753-6300)
Missouri Dry $165 $165 $0
Wet $83 $83 $0
Show Me Ethanol LLC, Carrollton, MO (660-542-6493)
Missouri Dry $165 $165 $0
Wet $80 $80 $0
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $155 $155 $0
Indiana Dry $150 $150 $0
Iowa Dry $140 $140 $0
Michigan Dry $145 $145 $0
Minnesota Dry $140 $140 $0
North Dakota Dry $145 $145 $0
New York Dry $155 $155 $0
South Dakota Dry $140 $140 $0
MGP Ingredients, Atchison, KS (800-255-0302 Ext. 5253)
Kansas Dry $160 $160 $0
POET Nutrition, Sioux Falls, SD (888-327-8799)
Indiana Dry $155 $155 $0
Iowa Dry $137 $140 -$3
Michigan Dry $145 $145 $0
Minnesota Dry $135 $139 -$4
Missouri Dry $155 $158 -$3
Ohio Dry $155 $160 -$5
South Dakota Dry $158 $158 $0
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $165 $165 $0
Wet $65 $65 $0
Illinois FEB Dry $160 $160 $0
Nebraska Dry $160 $160 $0
Wet $65 $65 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $155 $155 $0
Indiana Dry $155 $155 $0
Iowa Dry $140 $145 -$5
Michigan Dry $150 $150 $0
Minnesota Dry $140 $140 $0
Nebraska Dry $145 $165 -$20
New York Dry $170 $170 $0
North Dakota Dry $150 $150 $0
Ohio Dry $160 $160 $0
South Dakota Dry $140 $140 $0
Wisconsin Dry $140 $140 $0
Valero Energy Corp, San Antonio Texas
Indiana Dry $150 $150 $0
Iowa Dry $140 $135 $5
Minnesota Dry $140 $135 $5
Nebraska Dry $145 $145 $0
Ohio Dry $160 $155 $5
South Dakota Dry $140 $140 $0
California Dry $202 $208 -$6
Western Milling, Goshen, California (559-302-1074)
California Dry $210 $216 -$6
*Prices listed per ton.
Weekly Average $149 $150 -$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 1/9/2020 $3.8325 $136.88
Soybean Meal 1/9/2020 $296.20
DDG Weekly Average Spot Price $149.00
DDG Value Relative to: 1/9 1/2
Corn 108.86% 107.28%
Soybean Meal 50.30% 49.90%
Cost Per Unit of Protein:
DDG $5.52 $5.56
Soybean Meal $6.24 $6.33
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

The Latest


Send press releases to Ernst@Agfax.com.

View All Events


Send press releases to Ernst@Agfax.com.

View All Events