- DTN Headline News
DTN Distillers Grain Weekly Update
Friday, May 29, 2015 7:31AM CDT
By Cheryl Anderson
DTN Staff Reporter

Spot prices of dried distillers grains continued on their six-week downtrend this week on lackluster export demand.

The DTN weekly DDG spot price average fell another $5 per ton in the past week, from $169 per ton to $164 per ton. This is the sixth continuous week the spot price average has decreased, falling $21 per ton in that time, from $185 per ton in mid-April to $164 per ton this week.

Of the 36 Midwestern locations DTN collects spot prices from, 21 locations reported their spot prices had decreased between $2 per ton and $15 per ton since last week, though most decreases were in the $5-to-$10-per-ton range. Prices at 15 locations remained unchanged since last week, and no price increases were reported.

Merchandisers told DTN that declining export demand was a major factor in the DDG spot price decrease in the past week. China, the largest buyer of U.S. DDG, has been honoring existing contracts, but has not been buying additional product as it tries to sell off some surplus stocks of corn.

Domestic demand has waned as well, partially because of the avian influenza epidemic that continues to make its way across the Midwest. The influenza is predominantly spread by wild waterfowl that contaminate land and waterways lying in the Midwestern fly zone. The epidemic has resulted in the destruction of millions of chickens and turkeys, especially in Minnesota and northern Iowa, which is reducing demand for DDG for poultry feed.

Another contributing factor to the price decline is the transition into the new month and the fact that June is trading at a discount currently. Also, domestic demand is in its typical seasonal decline, with more cattle out on pasture requiring less purchased feedstuffs.

Also, many ethanol plants are coming out of scheduled seasonal maintenance shut-downs, so production is back up and running and DDG supplies are rebuilding. The continuing stormy weather, combined with rains and flooding, is contributing to an uncertain market as crops begin to emerge.

The value of DDG relative to corn this week fell slightly, from about 131% last week to about 130% this week. The value of DDG relative to soybean meal also fell slightly, from about 56% last week to about 54% this week.

The cost per unit of protein for DDG was at about $6.56 this week, compared to the cost per unit of protein for soybean meal at $6.42.

Cheryl Anderson can be reached at cheryl.anderson@dtn.com.



Trade Deal Could Aid Grain, DDG Exports

The Trans Pacific Partnership could expand U.S. trade in a number of export markets, including distillers grains, according to an article by WSIL-TV in Carterville, Illinois (http://bit.ly/…).

The trade deal could potentially expand trade between the U.S. and 12 key export markets that have been previously protected, including Japan, Mexico and Malaysia.

The TPP could be good news for a variety of industry, including grains and livestock, and could give the U.S. a presence in new market places.

Since dried distillers grains are widely used in the beef, dairy, swine and poultry industry, both in the U.S. and a growing number of countries that import DDG, the trade deal could indirectly benefit ethanol producers as well.

Although the TPP had a victory in the Senate, it has faced more opposition in the House, which could act on the bill when it returns from a break next week.

Cheryl Anderson can be reached at cheryl.anderson@dtn.com.



COMPANY STATE 5/29/2015 5/22/2015 CHANGE
Bartlett and Company, Kansas City, MO (816-753-6300)
Missouri Dry $190 $190 $0
Modified $90 $90 $0
CHS, Minneapolis, MN (800-769-1066)
Illinois Dry $175 $180 -$5
Indiana Dry $175 $175 $0
Iowa Dry $170 $170 $0
Michigan Dry $170 $170 $0
Minnesota Dry $160 $163 -$3
North Dakota Dry $160 $160 $0
New York Dry $165 $160 $5
South Dakota Dry $160 $160 $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 $165 $165 $0
Iowa Dry $158 $165 -$7
Michigan Dry $165 $165 $0
Minnesota Dry $165 $170 -$5
Missouri Dry $180 $190 -$10
Ohio Dry $160 $160 $0
South Dakota Dry $158 $160 -$2
United BioEnergy, Wichita, KS (316-616-3521)
Kansas Dry $170 $170 $0
Wet $40 $40 $0
Illinois Dry $185 $185 $0
Nebraska Dry $170 $170 $0
Wet $40 $40 $0
U.S. Commodities, Minneapolis, MN (888-293-1640)
Illinois Dry $170 $180 -$10
Indiana Dry $165 $180 -$15
Iowa Dry $160 $165 -$5
Michigan Dry $165 $175 -$10
Minnesota Dry $155 $165 -$10
Nebraska Dry $155 $160 -$5
New York Dry $160 $180 -$20
North Dakota Dry $155 $165 -$10
Ohio Dry $165 $175 -$10
South Dakota Dry $155 $165 -$10
Wisconsin Dry $160 $170 -$10
Valero Energy Corp., San Antonio, TX (402-727-5300)
Indiana Dry $160 $160 $0
Iowa Dry $150 $155 -$5
Minnesota Dry $155 $160 -$5
Nebraska Dry $165 $175 -$10
Ohio Dry $165 $175 -$10
South Dakota Dry $150 $155 -$5
Western Milling, Goshen, California (559-302-1074)
California Dry $230 $233 -$3
*Prices listed per ton.
Weekly Average $164 $169 -$5
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.

*The spot prices gathered by DTN are only intended to reflect general market trends and may vary. Please contact individual plant or merchandiser for exact prices.

If you would be willing to take a weekly phone call and have your distiller grains spot prices listed in this feature, please contact Cheryl Anderson at (308) 224-1527 or (800) 369-7875, or e-mail cheryl.anderson@dtn.com.


Settlement Price: Quote Date Bushel Short Ton
Corn 5/28/2015 $3.5350 $126.25
Soybean Meal 5/28/2015 $304.80
DDG Weekly Average Spot Price $164.00
DDG Value Relative to: 5/29 5/22 5/15
Corn 129.90% 131.44% 133.86%
Soybean Meal 53.81% 55.56% 55.45%
Cost Per Unit of Protein:
DDG $6.56 $6.76 $6.76
Soybean Meal $6.42 $6.40 $6.42
Corn and soybean prices taken 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 25.




Dried Modified Wet
Iowa 155.00-175.00 67.00-85.00 48.00-52.00
Minnesota 160.00-175.00 75.00 48.00-60.00
Nebraska 160.00-181.00 71.00-89.00 49.00-55.00
South Dakota 155.00-172.50 75.00-82.50 52.00-54.00
Wisconsin 175.00-190.00 80.00-95.00 NQ
Eastern Corn Belt 165.00-198.00 67.00-77.00 NQ
Kansas 165.00-185.00 NQ 55.00-66.00
Northern Missouri 165.00-190.00 NQ 49.00-65.00
CIF NOLA 210.00-221.00
Pacific Northwest 217.00-233.00
California 213.00-235.00
Texas Border (metric ton) 230.00-255.00
Lethbridge AB 180.00
Chicago 180.00-195.00

Dried Distillers Grain: 10% Moisture

Modified Wet Distillers: 50-55% Moisture

Wet Distillers Grains: 65-70% Moisture


Distillers Dry Grains

  Rail to California Points          Jun 227.00       no comp
  FOB Truck to California Points     233.00-238.00    dn 2.00-up 1.00


Distillers Dried Grains: Offers for Distillers Dried Grains delivered in September by rail to feed mills in the Pacific Northwest were 5.00 lower from 213.00-215.00. Offers for distillers dried grains trans-loaded onto trucks and delivered to Willamette Valley dairies were 3.00 to 7.00 lower from 228.00-233.00.

*All prices quoted per ton unless otherwise noted.



Dry and Wet Mill, Co-products and Products Produced - United States

May 1, 2015


Dry mill co-product production of distillers dried grains with solubles (DDGS) was 1.81 million tons during March 2015, up 10 percent from February 2015 but down 3 percent from January 2015. Distillers wet grains (DWG) 65 percent or more moisture was 1.26 million tons in March 2015, up 10 percent from February 2015 but down 6 percent from January 2015.

Wet mill corn gluten feed production was 331.5 thousand tons during March 2015, up 17 percent from February 2015 and up 3 percent from January 2015. Wet corn gluten feed 40 to 60 percent moisture was 308.4 thousand tons in March 2015, up 12 percent from February 2015 but down 2 percent from January 2015.

Co-products and Products Jan 2015 Feb 2015 March 2015
Dry Mill
Condensed distillers solubles (CDS-syrup) 162,626 128,057 163,713
Corn oil 105,356 96,347 107,141
Distillers dried grains (DDG) 438,936 405,025 438,728
Distillers dried grains with solubles (DDGS) 1,862,550 1,649,534 1,810,473
Modified distillers wet grains (DWG) <65% moisture 1,341,938 1,144,177 1,264,104
Modified distillers wet grains (DWG) 40-64% moisture 480,134 421,666 498,977
Wet Mill
Corn germ meal 71,492 48,546 57,439
Corn gluten feed 321,768 283,990 331,547
Corn gluten meal 90,617 80,855 93,078
Corn oil 41,961 41,020 42,684
Wet corn gluten feed 40-60% moisture 313,400 274,763 308,444



CO-PRODUCT OUTPUTS (metric tons)
Week Ending Distillers Grains Corn Gluten Feed Corn Gluten Meal Total Feed Corn Oil (lbs.)
5/01/15 88252 9062 1678 98992 5218250
5/08/15 90739 9317 1725 101782 5365326
5/15/15 95316 9787 1812 106916 5635945
5/22/15 96411 9899 1833 108143 5700658

*Information from 2010 Weekly U.S. Fuel Ethanol/Livestock Feed Production report (http://www.ethanolrfa.org/…)




*Distillers Grains Technology Council


*National Corn Growers Association Corn Distillers Grains Brochure


*Iowa Corn


Nebraska Corn Board


*Renewable Fuels Association - Ethanol Co-Products


*American Coalition for Ethanol


*U.S. Grains Council


*South Dakota Corn Utilization Council


Government Sites

*Iowa Department of Agriculture and Land Stewardship/Office of Renewable Fuels & Coproducts


University Sites

*University of Minnesota - Distillers Grains By-Products in Livestock

and Poultry Feed


*University of Illinois - Illinois Livestock Integrated Focus Team Distillers Grains site


*University of Nebraska - Beef Cattle Production By-Product Feeds site


*University of Nebraska Extension


*Iowa Beef Center - Iowa State University


*University of Missouri - Byproducts Resource Page


*South Dakota State University - Dairy Science Department - Dairy cattle research


(select "Distillers Grains" from the topic menu)

*Purdue University Renewable Energy Web Site


(select "Biofuels Co-Products from the menu)



*Distillers Grains Technology Council Inc.'s 19th Annual Distillers Grains Symposium

The Distillers Grains Technology Council will hold its 19th Annual Distillers Grains Symposium on May 13-14, 2015 at the Sheraton Crown Center at Kansas City, Missouri. For information, contact the DGTC office at (515) 294-4019 or (800) 759-3448, or check the DGTC website (http://www.distillersgrains.org).

(If you are sponsoring or know of any event, conference or workshop on distillers grains, and would like to list it in the DTN Weekly Distillers Grains Update, please contact Cheryl Anderson (see contact info below).


We welcome any comments/suggestions for this feature. Please let us know what information is valuable to you that we could include in the Distillers Grains Weekly Update. Please feel free to contact Cheryl Anderson at (402) 364-2183, or e-mail cheryl.anderson@dtn.com.


blog iconDTN Blogs & Forums
DTN Market Matters Blog
Katie Micik
Markets Editor
Monday, May 18, 2015 5:23PM CDT
Monday, May 11, 2015 3:56PM CDT
Monday, May 4, 2015 4:59PM CDT
Technically Speaking
Darin Newsom
DTN Senior Analyst
Tuesday, May 26, 2015 12:57PM CDT
Sunday, May 24, 2015 12:29PM CDT
Sunday, May 24, 2015 11:48AM CDT
Fundamentally Speaking
Joel Karlin
DTN Contributing Analyst
Tuesday, May 19, 2015 2:28PM CDT
Monday, May 18, 2015 4:01PM CDT
Thursday, May 14, 2015 1:49PM CDT
DTN Ag Policy Blog
Chris Clayton
DTN Ag Policy Editor
Wednesday, May 27, 2015 9:52PM CDT
Tuesday, May 26, 2015 2:06AM CDT
Saturday, May 23, 2015 1:11PM CDT
Minding Ag's Business
Marcia Taylor
DTN Executive Editor
Monday, May 18, 2015 6:44PM CDT
Friday, May 15, 2015 6:53PM CDT
Tuesday, May 5, 2015 9:25PM CDT
DTN Ag Weather Forum
Bryce Anderson
DTN Ag Meteorologist and DTN Analyst
Thursday, May 28, 2015 3:11PM CDT
Wednesday, May 27, 2015 3:38PM CDT
Tuesday, May 26, 2015 1:14PM CDT
Thursday, May 28, 2015 6:57PM CDT
Wednesday, May 27, 2015 10:16PM CDT
Wednesday, May 27, 2015 9:24PM CDT
DTN Production Blog
Pam Smith
Crops Technology Editor
Friday, May 22, 2015 7:23PM CDT
Friday, May 15, 2015 4:39PM CDT
Thursday, May 7, 2015 7:29PM CDT
Harrington's Sort & Cull
John Harrington
DTN Livestock Analyst
Friday, May 22, 2015 8:42PM CDT
Friday, May 15, 2015 8:47PM CDT
Thursday, May 7, 2015 8:53PM CDT
South America Calling
Alastair Stewart
South America Correspondent
Wednesday, May 27, 2015 7:11PM CDT
Tuesday, May 26, 2015 6:33PM CDT
Monday, May 25, 2015 10:24PM CDT
An Urban’s Rural View
Urban Lehner
Editor Emeritus
Monday, May 25, 2015 9:57PM CDT
Monday, May 18, 2015 11:18AM CDT
Monday, May 11, 2015 11:06AM CDT
Machinery Chatter
Jim Patrico
Progressive Farmer Senior Editor
Wednesday, May 20, 2015 3:53PM CDT
Friday, May 15, 2015 4:27PM CDT
Wednesday, May 6, 2015 9:14PM CDT
Canadian Markets
Cliff Jamieson
Canadian Grains Analyst
Thursday, May 28, 2015 9:55PM CDT
Wednesday, May 27, 2015 10:00PM CDT
Tuesday, May 26, 2015 9:37PM CDT
Editor’s Notebook
Greg D. Horstmeier
DTN Editor-in-Chief
Wednesday, May 27, 2015 5:48PM CDT
Saturday, May 23, 2015 2:09PM CDT
Tuesday, May 19, 2015 8:59PM CDT
Copyright DTN. All rights reserved. Disclaimer.
Powered By DTN