DDGS Weekly Market Report – November 7, 2019

Cash corn prices are 10 cents/bushel lower across the U.S. this week as cash sales accelerate with the advancing harvest. Prices for DDGS FOB ethanol plants are up $2.75/MT with Kansas City soymeal prices down $11/MT from last week. DDGS are priced at 105 percent of cash corn values, up from last week and slightly below the three-year average of 106 percent. The DDGS/soymeal price ratio is 0.47, up from last week and above the three-year average.

Following last week’s gains, the DDGS market is largely steady this week with Barge CIF NOLA and FOB Gulf offers slightly lower but other quoted routes, including U.S. rail rates, are unchanged. Merchandisers report that inquiries and bids from Southeast Asia are continuing to firm but the bid/ask spread remains wide. The average prices for 40-foot containers to Southeast Asia is up $1/MT to $240/MT after increases were noted for shipments to Malaysia and Vietnam.