Midwest ethanol crushing margins hit five-week high

In the Midwest, crushing margins have improved 22% since last week, reaching a five-week high of 45.51 cents/gal thanks to lower feedstock prices and higher DDGS prices. Corn costs fell nearly 7% during the week to a five-week low while DDGS prices rose to a seven-week high of $148.49/st. Platts uses a model simulating the costs of ethanol production that includes feedstock costs, denaturant, natural gas and other costs found in a typical 50 million gallon per year facility and then puts those against ethanol and DDGS prices to determine margins.  

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