Cash corn prices are 5 cents/bushel higher across the U.S. this week with basis firmer amid harvest delays. Prices for DDGS FOB ethanol plants are up $1/MT with Kansas City soymeal prices down $1/MT from last week. DDGS are priced at 101 percent of cash corn values, below last week and the three-year average of 106 percent. The DDGS/soymeal price ratio is 0.45, up from last week and slightly above the three-year average.
Merchandisers report the DDGS market is firming across most markets. Higher NOLA prices have paved the way for gains in the Chicago market as well as East Coast export offers. FOB NOLA values are up $9/MT this week for November shipment, sparking a $3/MT rise in values for spot Barge CIF NOLA product. The winter storm across the Plains and Midwest is reported to be partly responsible for the $16/MT increase in DDGS rail-delivered to the PNW.
Internationally, exporters note Indonesia has been actively securing U.S. product and while Vietnamese purchases have been quiet, the bid/ask spread has narrowed considerably this week. Rates for 40-foot containers to Southeast Asia are up $2/MT from last week for November shipment.