# Ethanol boom gives animal feed makers a cheaper alternative to soybean meal

> India's expanding ethanol programme is producing growing volumes of DDGS, a by-product of grain-based ethanol, which poultry, dairy and aquaculture feed makers are substituting for soybean meal. DDGS already replaces about 25% of soybean meal in organized feed mills, with an estimated 3.5-4.0 million tonnes of production displacing 1.2-1.5 million tonnes of meal.

- Date: 2026-11-13 · published 2026-11-13T15:06:41.009Z
- Category: market · region India · magnitude low
- Page: https://feedsoft.ai/events/97940-ethanol-boom-gives-animal-feed-makers-a-cheaper-alternative-to-soybean-meal
- Commodities: [DDGS](https://feedsoft.ai/c/DDGS.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md)

## Why it matters

Cheaper DDGS (maize-based at about Rs 12.5-15.5/kg versus soybean meal at Rs 55-59/kg) reduces domestic soybean meal demand in India, which is bearish for soybean meal prices there while supporting DDGS demand.

## Read by commodity

- SBM: bearish ▼
- DDGS: bullish ▲

## Sources

- livemint.com: https://www.livemint.com/industry/ethanol-boom-gives-animal-feed-makers-a-cheaper-alternative-to-soybean-meal-11794566301647.html

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