USDA says 1.774 million tons of DDGS produced in May, down from 1.776 million a year ago

According to the U.S. Department of Agriculture (USDA), distillers' dried grains with solubles (DDGS) production totaled 1.774 million tons in May 2026, representing a slight decline from the 1.776 million tons produced during the same period in the previous year. The data reflects ongoing trends in the ethanol industry, where co-products like DDGS play a critical role in balancing production economics and market demand. DDGS, a byproduct of the ethanol production process, is widely used as a high-protein feed supplement in livestock operations. The marginal decrease in output may be attributed to seasonal variations, production adjustments, or shifts in ethanol demand. Investors and market analysts are closely monitoring these figures, as DDGS production levels can influence feed costs, ethanol margins, and export competitiveness. The U.S. remains a major global supplier of DDGS, with export performance often serving as a key indicator of international demand for agricultural co-products. As the ethanol sector continues to adapt to evolving market conditions, production data will remain a vital metric for assessing industry health and future outlook.