# DTN's Hypothetical Ethanol Plant Continues to See Major Losses

> A hypothetical 50 million gallon South Dakota ethanol plant modeled by DTN continues to lose money, with a 34.4 cent per gallon loss including debt service. Corn costs fell 5 cents to $3.73 per bushel while ethanol held at $1.37 per gallon, and industry contacts expect no quick recovery.

- Date: 2018-11-07 · published 2018-11-07T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/62047-dtn-s-hypothetical-ethanol-plant-continues-to-see-major-losses
- Commodities: [DDGS](https://feedsoft.ai/c/DDGS.md), [Corn](https://feedsoft.ai/c/CORN.md)

## Why it matters

Persistent negative margins signal that ethanol plants are under pressure to cut production, which would reduce corn demand. The effect on corn prices is modest because this is a model result rather than a market event.

## Sources

- dtnpf.com: https://www.dtnpf.com/agriculture/web/AG/blogs/ethanol-blog/blog-post/2018/11/07/dtns-hypothetical-ethanol-plant-see

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