DISTILLER’S DRIED GRAINS WITH SOLUBLES (DDGS)
DDGS Comments: DDGS prices are firmer this week as rising U.S. and international soybean meal values support the ethanol co-product. FOB ethanol plant DDGS are $2/MT lower this week while Kansas City soybean meal is $42/MT higher, making DDGS $1.76/protein-unit less expensive than soybean meal. The per-protein unit cost moved in favor of DDGS by 93 cents this week. Barge CIF NOLA prices are $8/MT higher this week while FOB Gulf DDGS values are up $9/MT.
Merchandisers are reporting Asian buyers are showing only light interest at current prices, waiting for prices to moderate somewhat. However, prices for 40-foot containers to Southeast Asia increased $6/MT this week with prices to Shanghai leading the way (up $9/MT). On average, DDGS destined for Southeast Asia increased $4/MT this week.