Distillers grains

They're number one in that.

They're also number one in eggs, ethanol, and dry distiller, dry distillers grain solubles, DDGS, which serve as a premium source of protein for all livestock.

See, when you were, when you asked the question, I immediately thought of, like, some kind of grain or ...

I didn't think we were gonna talk about meat.

So this is a huge amount that could not only supply domestic consumption, but also increase exports, uh, in the US.

And the other point that I will make also is we are also increasing, uh, feed, feed products, right? More ethanol production results in more DDGs, more soybean oil going to biofuels.

Do we have more soybean meal? So that actually increases the supply from our baseline, right? And is an incentive for us to grow.

They will grow more feed as well.

Learn more at balchem.com/xl.

[Instrumental music] So what we're trying to work with was to, right, uh, replace the soy proteins with protein coming from the DDGS.

So we were just trying to, um, find effects of the protein source, right? So our hypothesis was that by replacing the soy proteins with the proteins coming from the DDGS, um, will not affect our cow performance and will reduce, uh, the methane emissions, right? That's mainly what it's about, the, the talk that I'm going to give to you.

And so tell me, why would, uh, replacing soybean with DDGS, uh, reduce methane emissions?

So basically, everything, it's based on the rumen fermentation, okay? So due to the unsaturated fatty acids that the DDGS has, the rumen mi- uh, the rumen microbes will work to saturate it into stearic acid.

So will be taking the free hydrogens from the rumen-

Okay

And what were some of your key findings?

Canada was the top destination again in July, taking in nearly 40% of the month's shipments, followed by the European Union and Vietnam.

Exports of distillers' dried grains with solubles were essentially unchanged on the month, primarily to Mexico, Indonesia, and South Korea, with 2026 DDGS exports also 13% ahead of 2025.

Ethanol exports are largely driven by rising global demand for low-carbon fuels, while DDGs exports reflect increasing livestock feed demand.

We'll have a quick timeout here on this holiday edition of Agriculture Today.

His theme for the year is feeding and fueling the world.

He says it's easy to focus on planting and harvest and miss the end users of U.S. corn, ethanol, DDGs, sorghum, and

barley.

Especially as farmers, we get in our tunnel vision.

Reiner says the goal is to open doors with international customers and government officials who are focused on energy, transportation, ethanol, distillers, grains, biochemicals, and bioplastics, not just traditional grain trade.

as the traders and government officials in foreign countries get older and retire there's a whole new group of gun stores coming up or brand new industries and it's like why are we talking to u.s grains council what do you have to do what we don't deal in grains you know because there's a whole gamut of things.

So Bioproducts Council came into play, not only the ethanol and DDGs, but also, you know, we got the future of biochemicals and bioplastics and all that.

So just, you know, hopefully we'll name change will last for the next 30, 40 years.

ethanol prices are not keeping up with corn prices the current uh rally in the corn market as i see it began in july and since the first of july cme corn futures are up 18 and a half percent plants ethanol futures up only 8.7 percent so corn prices acting much better than ethanol prices as a result of that we've seen ethanol production margins decline This chart is a very simplistic view of U.S. ethanol margins.

This is refinitive data, and the margins pictured here reflect spot prices of corn, natural gas, electricity, chemical and process cost, ethanol, DDGs, and CO2.

But you can see that things have turned... much worse and they look much worse and margins using spot prices of all those things are actually negative in real time for a lot of places.

Now, your ethanol plant locally or the one that you run or deliver to or whatever, they may have hedged their ethanol margins.

Consumption of the grain used for dry milling fuel production accounted for 93 percent of the total, while wet milling totaled roughly 7 percent.

Production of dried distillers grains with solubles was reported at 1.85 million tons in July.

Down 1% year over year, the government said.

Distillers' wet grains, with 65% or more in moisture, totaled 1.29 million tons of 9% on an annual basis.