Cash corn prices are higher across the U.S. this week with firm CBOT values supporting cash bids. Basis is slightly stronger, narrowing to 22 cents under September futures (-22U) as farm sales have slowed after their aggressive pace when December futures first neared $3.50/bushel. Prices for DDGS FOB ethanol plants are down $1.50/MT this week while Kansas City soymeal prices are down $4/MT as soymeal futures retreat from recent highs. DDGS are priced at 106 percent of cash corn values, equal with the prior week and below the five-year average ratio of 109 percent. The DDGS/soymeal price ratio is 0.42, steady with the prior week and equal to the three-year average.
DDGS prices in the Gulf are steady as constant and below year-ago production levels coincide with buyers having filled near-term and early fall needs. Barge CIF NOLA offers are down $10-15/MT this week, while FOB NOLA offers are steady/up $1 for August and September shipment. Steadiness in ocean freight values has left offers for 40-foot containers destined for Southeast Asia unchanged this week. The average offers for containerized DDGS to Southeast Asia reached $248/MT this week.