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Distillers Grains Technology Council
www.distillersgrains.org
THE NEW PARADIAM OF DISTILLERS
GRAINS WITH ITS MYTHS AND REALITIES
CHARLIE STAFF
EXECUTIVE DIRECTOR/CEO
DISTILLERS GRAINS TECHNOLOGY COUNCIL
Presentation: Fertilizer & Pesticide Conference
Oklahoma City, Oklahoma
June 22, 2010
Presentation Overview
•DGTC Association & Activities
•Ethanol & DDG Production
•DDG Composition & Definitions
•Handling, Transporting & Storage
•Uses & Benefits In Animal Feeds
•Currant Industry Challenges
Distillers Grains Technology Council
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Distillers Grains Technology Council
DISTIILLERS GRAINS TECHNOLOGY COUNCIL
ACTIVITIES
• PROMOTE DISTILLERS GRAINS
- NATIONAL ANIMAL SCIENCE MEETING
- WORLD DAIRY EXPO
- GRADUATE STUDENT SCHOLARSHIPS
• INFORMATION DISTRIBUTION
- DISTILLERS GRAINS BROCHURES
- ANNUAL SYMPOSIUM
- SPEAKER ON DISTILLERS GRAINS
• DISTILLERS GRAIN DATABASE
- 50+ YEARS FEEDING STUDIES
- WEB SITE: WWW.DISTILLERSGRAINS.ORG
• FULL MEMBER BOARD MEETINGS
ETHANOL INDUSTRY GRAIN UTILIZATION
•2010 Production Estimate Corn- 13.4 Bil Bu.
•Ethanol Usage Estimate- Corn- 4.6 Bil Bu (34%)
•2010 Production Estimate Sorghum- 383 Mil Bu.
•Ethanol Usage Sorghum- 140 Mil Bu (37%)
•Therefore 3% of Fuel Ethanol From Sorghum
•Over 98% of Ethanol Now From GrainUSDA May 13, 2010 Estimates
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STATUS GRAIN FUEL ETHANOL
PLANTS
OPERATIONAL NOT OPERATING ON HOLD CANCELED
179 23 37 17
http://dtnethanolcenter.com/index.cfm?show=478.mid=48
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PRODUCTS
DRY MILL DISTILLERY
CORN – 56LB BUSHEL
PRODUCTS APPROX. AMT.(LBS)
ETHANOL 18 (2.72gal)
CARB. DIOXIDE 16
DDGS 17
TERMINOLOGY CONFUSION WITH
1. CORN GLUTEN FEED
2. CORN GLUTEN MEAL
3. BREWERS GRAINS
4. CORN Flour
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Distillers Grains
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GRAIN DISTILLERY
PRODUCTS
27.4 - DISTILLERS DRIED SOLUBLES*
27.5 - DISTILLERS DRIED GRAINS*
27.6 - DISTILLERS DRIED GRAINS WITH SOLUBLES*
27.7 - CONDENSED DISTILLERS SOLUBLES*
27.8 - DISTILLERS WET GRAINS*
BARLEY RYE
CEREALS SORGHUM
MAIZE WHEAT*Predominate Feedstock
27.6 DISTILLERS DRIED GRAINS
WITH SOLUBLES is the product
obtained after the removal of ethyl
alcohol by distillation from the yeast
fermentation of a grain or a grain
mixture by condensing and drying at
least 3/4 of the solids of the resultant
whole stillage by methods employed in
the grain distilling industry. The
predominating grain shall be declared as
the first word in the name.
HOW MUCH DDGS WAS
PRODUCEDYEAR ETHANOL
(GAL)
DRY MILL
(%)
DDGS
(TONS)
2006 4,900,000,000 79 12,194,000
2007 6,500,000,000 84 16,845,000
2008 9,200,000,000 89 26,574,000
2009 10,600,000,000 90 30,051,000
INCREASE 3,477,000
Equivalent if dried13.1%
DDGS EXPORTS
2008 2009 %
CHANGE
MEXICO 993,714 1,195,145 20.3
CANADA 670,554 603,280 -10.0
CHINA 5,583 347,593 6125.9
TOTAL ALL
COUNTRIES
3,886,727 4,560,653 17.3
% OF TOTAL DDGS
PRODUCED
18.7 15.1
COMPONENT, DRY
BASIS
CORN GRAIN (a) CORN DDGS CORN CDS (d) CORN
HP-DDGS (c)
DRY MATTER 89.0 87.0 31.0 94.1
CRUDE PROTEIN 8.5 28.5 20.3 53.4
CRUDE FAT 3.8 10.5 10.5 3.5
CRUDE FIBER 2.2 9.1 1.7 7.3
PHOSPHORUS, TOTAL
0.28 0.77 1.5 0.32
SODIUM 0.02 0.20 0.31 0.02
LYSINE, TOTAL
DIGESTIBILITY %
0.26
81%
0.75
70%
0.91
-
-
73%
METHIONINE
DIGESTIBILITY %
0.18
91%
0.51
87%
0.60
-
-
85%
ME (KCAL/KG) 3350(b) 2770 (b) 2836 2605(a) Data from N?RC (1994)(b) Data Bregendahl (2009) (8)(c) Applegate (2009) (9)(d) Dairyone (2008) (10)
CORN TYPICAL COMPOSIYION DISTILLERS GRAINS
Industry Recommended
Analytical Methods
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Moisture/Loss on Drying
NFTA 2.2.2.5 Lab Dry Matter (105 ºC / 3 hr)
Crude Protein aAOAC 990.03 Protein (Crude) in Animal Feed - Combustion
aAOAC 2001.11 Protein (Crude) in Animal Feed and Pet Food
(Copper Catalyst)
Crude Fat
AOAC 945.16 Oil in Cereal Adjuncts (Petroleum Ether)
Crude Fiber
AOAC 978.10 Fiber (Crude) in Animal Feed and Pet Food (F.G.
Crucible) aMethods are statistically similar and either is acceptable for use on
DDGS
DDGS RECOMMENDED ANALYTICAL
METHODS
DISTILLERS GRAINS & ETHANOL
ARE CO-PRODUCTS
• 100% FROM DRY MILL DISTILLERIES
• DDGS: 77% CORN 13% SORGHUM
• DDGS: RETURN 21% BACK TO FARM
• DISPLACES ADDITIONAL CORN & SOYMEAL
- CATTLE/DAIRY: SOYHULLS, CORN
STOCKS, GRASS, ETC.
• DDGS: 70 – 90% CORN VALUE
• CORN DISPLACEMENT VALUE $600,000,000
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DISTILLERS GRAINS INDUSTRYContinued Growth Greater Utilization
• Global Economic Recovery And Higher Oil Prices
• Ethanol Industry At or Above Profit Margins
• Most Bankrupt Plants Restarted, Mega Large Plants
• Back-end DDG Corn Oil Removal Growing
• Greater DDG Utilization; Domestic and Export
• Challenges From Localized Corn Mycotoxins
Distillers Grains
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DAIRY/BEEF ADVANTAGES
• HIGH PROTEIN & HIGH ENERGY
• DISPLACES CORN & SOYMEAL
• HIGH BYPASS PROTEIN
• LOWER ACIDOSIS POTENTIAL
• 20-25% YEAST PROTEIN
• HIGH DIGESTIBLE FIBER
Distillers Grains
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DAIRY/BEEF RATION LEVELS
MAXIMUM %
DAIRY CATTLE 20
BEEF CATTLE 35-45
COW/CALF (PASTURE) 10-15
CALVES 20
*High Forage-Lower Phosphorus-Max. Fat 6%
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SWINE
RECOMMEDED LEVELS
MAXIMUM %
GROWER/FINISHER 20-30
GESTATION 40
LACTATION 30
NURSERY 5*Add Lysine-Remove Tricalcium Phosphate
DISTILLERS GRAINS
• LONG HISTORY OF SUCCESSFUL ANIMAL FEEDING
STUDIES
• THE FASTEST GROWING FEED INGREDIENT
• ALL NATURAL FERMENTED FEED INGREDIENT
• THE ONY FEED INGREDIENT CONTAINING YEAST
CELLS
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COMPOSITION CORN &
SORGHUM DDGS
COMPOSITION, % CORN DDGS SORGHUM DDGS
DRY MATTER 92.2 91.4
CRUDE PROTEIN, db 29.2 31.4
STARCH, db 5.1 7.4
LIPID, db 11.4 11.8
NDF, db 51.3 51.1
ASH, db 2 1.8
ADF(a) 25.5 28.4
NDF (a) 42.3 41.3
Lodge, S.L. et al, J. of Am. Sc. P 41 (1997)
(a) NEB Dairy Report MP 74-A (1999-2000)
ISSUES
• Antibotics- Why A “Hot Button”
• Product Consistancy
• Product Flowability
• Sulfur Content
• Mycotoxins
• E. Coli 0157:H7
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“As a licensed feed manufacturing plant of
distillers grains, we routinely test for toxins,
whether, don, aflatoxin, or zerelanone. Our
obligation and responsibility in providing a
product suitable for consumption is sampling,
testing and informing our customers the quality of
our product. 2009 certainly has helped redefine
this responsibility from the inbound corn to the
distillers grains.”
Jeff Goetz, Abengoa Bioenergy at May 12, 2010, Distillers
Grains Symposium, Indianapolis, In
SULFUR CONTENT
• Sulfur Content Limits Cattle Ration Amount
• >0.4-0.5% Causes Animal Health Problems
• Dr. Zhang’s Presentation Indicates Plant Issue
• Need Better pH Control And Cleaning Method
• Reducing or Eliminating Sulfur Compounds
• Nutritionists Can Partially Reduce Problem
PRODUCT FLOWABILITY
• A Major Issue That’s Less Of A Problem
Now
• Most Plants Are Aware To Cool And Hold
• Railcars Built To Improve Flowability
• Major Customers Special Unloading
Equipment
• Recent Research Information Helpful
PRODUCT CONSISTENCY
• Every Animal Requires Certain Feed Requirements
• Formulating Requires Education And Experience
• Distillers With Different Nutrients A Problem
• Varying Solubles And Particle Size A Problem
• Over And Under Formulating Costly For Feeder
Antibiotics A Media Issue
• Antibiotics Used Over 15 Years In
Fermentation
• Virginiamycin FDA/CVM No Objection Letter
Less then 0.5 ppm in DDGS
• Current Legislative Efforts To Remove All
Antibiotics From Animal Feed- WHY
• FDA/CVM Presentations This Morning
• Magazines And Blogs “DDGS Antibiotics
Problem”
DOES DDG CAUSE E. COLI 0157:H7
• MANY FEEDIN STUDIES: KSU, UN, USDA
• ALL CATTLE SOME LEVEL; MANURE & HIDE
• DDG + STEAM FLAKED CORN - INCREASED
• TESTING RESULTS VARY & INCONCLUSIVE
• RESEARCH CONTINUING; VACCINE AVAILABLE
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NEED RENEWABE ENERGY
SOURCES
• FARMERS PRODUCED EXCESS GRAIN
• ETHANOL FROM GRAIN
• CO-PRODUCT – DISTILLERS GRAINS
• USA PRODUCED (PROFITS RETAINED,
SECURITY, ETC.)
• NEED ENERGY FROM NON-FOOD BIOMASS
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DISTILLERS GRAINS –
PART OF SOLUTION
• 16-20MM TONS FOR ANIMAL FEED
• PROTEIN CONCENTRATE THAT REDUCES
RATION COSTS
• GROWING DEMAND FROM FARMERS
• DISTILLERY INCOME REDUCES COSTS
• FARMER - DISTILLERY- FARMER
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DISTILLERS GRAINS –
UNTOLD STORY• ETHANOL CO-PRODUCT THAT
REPLACES GRAIN
• CO-PRODUCT THAT REDUCES FEED
COSTS
• THEREFORE – MAINTAINS LOWER
FOOD COSTS
• CO-PRODUCT – THAT COULD
BECOME FOOD INGREDIENT
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DISTILLERS GRAINS INDUSTRYGrowing Despite Adversity
• Global Economic Recession And Depressed Oil Prices
• Ethanol Industry At or Below Profit Margins
• Some Ethanol Plants Slowed, Delayed Start-Up or Bankrupt
• Causing Distillers Grains Availability Disruptions
• Disgruntled And Unfair Media And Economic Reports
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