Prices of dried distillers grains that were reported to DTN this week were a mixed bag, with some prices up over the past two weeks, some prices down and some remaining the same. However, there were enough increases to push the DTN weekly DDG spot price average up slightly, from $226 per ton two weeks ago, to $227 this week.
That slight increase was the first time the average saw an increase in nine weeks, having fallen every week since mid-November when the average was at $265 per ton.
Of the 29 Midwestern locations DTN collects prices from, 15 locations reported their prices had increased over the past two weeks, while six reported price decreases during the same time period. Prices at seven locations remained the same as two weeks ago, while one location's prices were not available.
Merchandisers told DTN this week that export demand was up this week for June and July after being depressed for a long time. International buyers seemed to be looking to secure summer needs, strengthening the market. Domestic demand followed suit, finally pulled up a little on Thursday with a bit of renewed interest, with after weeks of lackluster purchasing.
The value of DDG relative to corn rose after spiking from about 91% on May 10 to almost 99% by May 17. The value dropped slightly this week to 96%. The value of DDG relative to soybean meal was at about 51% on May 10, rose to 54% on May 17, then fell back to about 52% on May 24.
The cost per unit of protein for DDG this week was at $9.08, compared to the cost per unit of protein for soybean meal at $9.20.
Cheryl Anderson can be reached at Cheryl.email@example.com.
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