Tightness in U.S. DDGS supplies, combined with steady demand, is keeping domestic prices firm. FOB ethanol plant DDGS are steady this week at $150.75/MT while Kansas City soymeal prices are up $1.25/MT. DDGS are priced at 112 percent of cash corn values, down from last week and above the five-year average ratio of 109 percent. The DDGS/soymeal price ratio is 0.42, down from the prior week and equal to the three-year average of 0.42.
Exporters report strong Q4 demand from international buyers. Barge CIF NOLA offers are $4-5/MT higher this week while FOB Gulf offers are up $6-8/MT at $225 for October shipment. U.S. rail rates are steady/higher, averaging a $2/MT gain from the prior week. Offers for 40-foot containers to Southeast Asia are up $7-8/MT as demand from that region enters a period of seasonal strength. Containers are offered at $252/MT for October shipment.