# Feed industry looking to ingredient substitutions for byproducts | 2020-04-24  | World Grain

> US feed manufacturers are reformulating diets because shortages of distillers' grains and rendering byproducts have followed ethanol plant idling and meat processing closures tied to COVID-19. About half of US ethanol capacity is idle as fuel demand drops. The American Feed Industry Association says the shortages are localized and that substitutes such as corn are filling gaps.

- Date: 2020-04-24 · published 2020-04-24T12:00:00.000Z
- Category: logistics · region US · magnitude medium
- Page: https://feedsoft.ai/events/53765-feed-industry-looking-to-ingredient-substitutions-for-byproducts-2020-04-24
- Commodities: [DDGS](https://feedsoft.ai/c/DDGS.md), [Meat & Bone Meal](https://feedsoft.ai/c/MBM.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md), [Corn](https://feedsoft.ai/c/CORN.md)

## Why it matters

Losing DDGS and meat-and-bone meal supply pushes buyers toward soybean meal and corn, which lifts their prices while weakening corn demand from ethanol.

## Read by commodity

- MBM: bullish ▲
- SBM: bullish ▲
- CORN: bearish ▼
- DDGS: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBM | 2021-09-27 | [Soy crushing facilities in China halt operations  \| World Grain](https://feedsoft.ai/events/45138-soy-crushing-facilities-in-china-halt-operations-world-grain.md) | -2.7% | -2.3% |
| SBM | 2019-05-29 | [Strike halts grain exports in Argentina \| 2019-05-29  \| World Grain](https://feedsoft.ai/events/58924-strike-halts-grain-exports-in-argentina-2019-05-29-world-grain.md) | +2.6% | +0.9% |
| SBM | 2021-06-08 | [Customs strike to impact Argentina’s grain exports  \| World Grain](https://feedsoft.ai/events/46603-customs-strike-to-impact-argentina-s-grain-exports-world-grain.md) | -3.3% | -1.6% |
| SBM | 2018-07-27 | [Brazil still feeling the impact of truck driver strike \| World-grain.com \| July 27, 2018 12:18 \| World Grain](https://feedsoft.ai/events/64059-brazil-still-feeling-the-impact-of-truck-driver-strike-world-grain-com-july-27.md) | +0.1% | -5.7% |
| SBM | 2018-10-19 | [Pending strike could hurt grain shipments in Argentina \| 2018-10-19  \| World Grain](https://feedsoft.ai/events/62381-pending-strike-could-hurt-grain-shipments-in-argentina-2018-10-19-world-grain.md) | -3.8% | -3.4% |
| CORN | 2022-01-20 | [Barge Industry Reports Delays Due to Winter Weather \| Feed & Grain](https://feedsoft.ai/events/16734-barge-industry-reports-delays-due-to-winter-weather-feed-and-grain.md) | +1.6% | +6.7% |
| CORN | 2022-08-19 | [Possible Mid-September Labor Stoppage Adds Worry to Grain Industry - ProAg](https://feedsoft.ai/events/40071-possible-mid-september-labor-stoppage-adds-worry-to-grain-industry-proag.md) | -0.8% | +0.2% |
| CORN | 2025-03-14 | [US grain transportation costs to Mexico show mixed trends in Q4 2024 \| Feed & Grain](https://feedsoft.ai/events/16467-us-grain-transportation-costs-to-mexico-show-mixed-trends-in-q4-2024-feed-and.md) | +6.8% | +5.7% |

## Sources

- world-grain.com: https://www.world-grain.com/articles/13598-feed-industry-looking-to-ingredient-substitutions-for-byproducts

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.