Rising DDGS Supply Reduces Demand for Wheat Bran and Oilmeals

03-Jul-2025 09:39 AM

Rising DDGS Supply Reduces Demand for Wheat Bran and Oilmeals
★ Amid export restrictions and declining demand for wheat bran, the wheat processing industry has urged the government to immediately lift the export ban on wheat-based products.
★ The growing supply and popularity of Distillers Dried Grains with Solubles (DDGS) has not only impacted the soybean meal industry but has also severely affected wheat bran producers. The decline in demand has led to a sharp drop in bran prices.
★ With ethanol production from maize rising across the country, DDGS output has also surged. This is part of the government’s efforts to achieve the 20% ethanol blending target by 2025.
★ In the 2024–25 Ethanol Supply Year (November–October), around 6.50 billion litres of ethanol will be produced from grains, mainly maize, while only about 2.50 billion litres will come from sugarcane.
★ In the 2024–25 edible oil year (November–October), actual soybean meal consumption is estimated to have fallen to around 6.6 million tonnes, against the earlier projected demand of 7.3–7.4 million tonnes — a decline of 700,000–800,000 tonnes.
★ DDGS is gradually replacing other traditional feed ingredients in livestock feed.