For the Quarter Ending September 2025
North America
• In the United States, the Rice-based DDGS Price Index fell quarter-over-quarter in Q3 2025, due to declining rice feedstock costs and weakening livestock production.
• Rice-based DDGS production costs saw downward pressure from falling rice feedstock costs in Q3 2025.
• Demand faced mixed signals; retail sales increased 5.42% in September 2025, but consumer confidence declined to 94.2.
• The demand outlook was tempered by contracting beef and weakening pork production during Q3 2025.
• U.S. rice ending stocks increased significantly in Q3 2025, reaching multi-decade highs, impacting feedstock availability.
• Inflationary pressures, with CPI rising 3.0% in September 2025, contributed to higher operational expenses.
• Producer Price Index increased 2.6% in August 2025, indicating rising input costs for Rice-based DDGS producers.
• The unemployment rate of 4.3% in September 2025 suggested a moderate labor market, impacting consumer spending.
Why did the price of Rice-based DDGS change in September 2025 in North America?
• Declining rice feedstock costs in Q3 2025 provided downward pressure on production expenses.
• Weakening pork and contracting beef production in Q3 2025 tempered overall demand for animal feed.
• Increased U.S. rice ending stocks in Q3 2025 contributed to greater feedstock availability.
APAC
• In China, the Rice-based DDGS Price Index fell quarter-over-quarter in Q3 2025, due to declining feedstock costs and weak consumer confidence.
• Rice-based DDGS production costs decreased in Q3 2025, with PPI falling 2.3% year-over-year in September 2025.
• Demand outlook was mixed; animal feed strengthened, but consumer confidence was 89.6 in September 2025.
• China's CPI decreased by 0.3% year-over-year in September 2025, signaling weak consumer demand.
• The unemployment rate was 5.2% in September 2025, indicating a stable, not booming, labor market.
• Despite a contracting Manufacturing Index in September 2025, industrial production increased by 6.5% year-over-year.
• Retail sales increased by 3.0% year-over-year in September 2025, supporting animal product consumption.
• Ample supply was indicated by recovering world rice stocks and increased early rice output in 2025.
• Increased ethanol production in China in 2025 suggests a corresponding rise in DDGS availability and imports.
Why did the price of Rice-based DDGS change in September 2025 in APAC?
• China's PPI decreased 2.3% year-over-year in September 2025, contributing to lower DDGS production costs.
• China's CPI decreased 0.3% year-over-year in September 2025, signaling weak consumer demand.
• Ample world rice stocks and increased early rice output ensured a robust feedstock supply.
Europe
• In Germany, the Rice-based DDGS Price Index fell quarter-over-quarter in Q3 2025, driven by weakening feedstock costs and ample supply.
• Production costs for Rice-based DDGS decreased due to a 1.7% decline in producer prices in September 2025.
• Global rice feedstock prices weakened in September 2025, contributing to lower input costs for DDGS production.
• The Manufacturing Index contracted in Q3 2025, indicating a slowdown in overall economic activity impacting demand.
• Industrial production declined by 1.0% in September 2025, suggesting reduced economic strength and consumer spending.
• Consumer Price Index rose 2.4% in September 2025, indicating rising input costs for animal feed production.
• Global rice production and ending stocks were projected to reach record highs for the 2025-2026 season.
• European natural gas prices declined in July and August 2025, stabilizing in September, easing energy costs.
• EU cereal import volumes are anticipated to decline for the 2025/26 season, reflecting increased domestic supply.
Why did the price of Rice-based DDGS change in September 2025 in Europe?
• Lower producer prices, down 1.7% in September 2025, reduced overall production costs.
• Weakening global rice feedstock prices in September 2025 directly lowered input expenses.
• Ample global rice supply and rising ending stocks exerted downward pressure on prices.
