India sees surge in exports of ethanol byproduct—DDGS

India has witnessed a surge in the export of Distiller’s Dried Grains with Solubles (DDGS), a byproduct of ethanol production, in recent years. However, despite this growth, the industry is facing concerns over the continuing price drop of DDGS exports. The surge in DDGS exports has made it a vital component in the animal husbandry sector, offering a protein and energy source for livestock and poultry.

According to data from the Grain Ethanol Manufacturers Association (GEMA), the export volume of Maize DDGS has experienced growth over the last three years. In 2022, exports of maize DDGS were just 30 metric tons (MT), but by 2023, this figure rose to 20,847 MT. In 2024, exports jumped significantly to 287,593 MT, marking an exponential rise. Rice DDGS exports also grew, rising from 12,064 MT in 2022 to 60,296 MT in 2024, though still trailing behind maize DDGS in volume.

The export prices of maize and rice DDGS have shown differences. Maize DDGS prices fell from $239 per metric ton in 2022 to $220 per metric ton in 2024. On the other hand, rice DDGS prices dropped significantly from $435 per metric ton in 2022 to $324 per metric ton in 2024.

Maize and rice DDGS are both byproducts of the ethanol distillation process and are used as animal feed. They differ in their fat, protein, and amino acid content. Usually rice DDGS prices are higher than maize DDGS because it has a higher protein content.

The low cost of DDGS has benefited farmers in the animal husbandry sector, providing a cost-effective feed supplement that enhances livestock health and performance. The affordability of maize DDGS has solidified its position as one of the top sources of protein nutrition for animals.

India’s increasing exports of maize and rice DDGS are positioning the country as a key player in the global animal nutrition market. In 2024, India exported nearly 287,593 MT of maize DDGS, strengthening its role in supplying cost-effective protein to global markets. India’s growth in maize DDGS production and export is benefiting both the global animal husbandry industry and the country’s position as an exporter.