Distiller’s Dried Grains with Solubles (DDGS)
DDGS Comments: U.S. DDGS prices are firmer this week, rising $9/MT after last week’s strong demand. Kansas City soymeal prices are up $13/MT this week following the soymeal futures market’s rally, pushing the DDGS/Kansas City soymeal ratio to 0.48, up slightly from last week. The DDGS/cash corn ratio is also higher this week at 0.79, up from 0.76 last week and the three-year average of 1.12.
Exporters and merchandisers report export DDGS markets have been quiet this week. Market participants were reportedly waiting for Thursday’s WASDE report before making substantial moves. Barge CIF NOLA prices are $4-8/MT higher for September/October positions while FOB Gulf offers are $3 higher for spot shipment and down $2 for October/November. Container market logistics are supporting prices for 40-foot containers to Southeast Asia and the average price is up $9/MT to $328 for spot shipment.
