U.S. DDGS values are up $1/MT this week amid continued reduction in ethanol/DDGS production and support from rallies in corn, soymeal, and other feedstuff markets. The DDGS/soymeal ratio currently sits at 0.45, down from the prior week but above the three-year average of 0.42. The DDGS/cash corn ratio is near 119% this week, down from the prior week and above the three-year average of 109 percent.
Brokers say DDGS markets have been very quiet between the Christmas and New Year’s holidays, but some trade was done Wednesday and Thursday. Prices for most markets/destinations are generally firmer, but FOB NOLA offers are steady/slightly lower. U.S. rail rates are up $7-8/MT this week while 40-foot containers for Southeast Asia destinations are up $8/MT at $328 for January shipment.