Corn Ethanol Margin 01/10/21

Ethanol processors are paying plus $1.36 for corn since harvest. The increased corn value has been derived from an increased $.27 from the value of ethanol, $.56 increased value of distillers dried grains (DDGS), and $.53 from reduced processor margin. DDGS values are correlated with soybean meal prices and the only variable likely to add further value to corn processors revenue. Thin corn processor margins could be a drag on corn prices unless the soybean meal bull market continues to support improved DDGS values.