US DDG Price Surges Amid Growing Demand
The average price of distillers dried grains (DDG) in the US increased by $4 per short ton to $185 for the week ending September 17, according to DTN's weekly spot price. This is a significant jump from one week ago and indicates growing demand for DDG. The cash corn price decreased by 2 cents per bushel, while soybean meal prices rose by $14.30 per short ton.
The value of DDG relative to corn increased to 0.98%, and its value relative to soybean meal remained at 49.82%. The cost per unit of protein for DDG was $6.85 compared to $7.82 for soybean meal. U.S. Grains and Bioproducts Council reported that export prices for DDGS were up, with the CIF NOLA barge price increasing by $3 to $276 metric ton.
The Energy Information Administration announced that overall ethanol production in the US averaged 1.099 million barrels per day (bpd) in the week ending September 11, unchanged from last week and 44,000 bpd higher than in the same week last year. Midwest ethanol production increased by 2,000 bpd to 1.04 million bpd.