Fats, Oils, & Fuels Webinar 10/20/20: Customer Q&A
Video shorts from the Fats, Oils, & Fuels Webinar Report Our team of Senior Analysts break down questions from the live Webinar audience during the call on Tuesday, October...
Distiller’s Corn Oil Manly, IA
Pricing is for spot market distiller’s corn oil (DCO) in trucks at a price negotiated delivered Manly, IA rail yard (or within 30 miles) value. Price discovery falls within our printed methodology. Minimum volumes and specifications have been determined by discussions of market participants and with guidance from the specifications within the market trade association
Price: US Cents per pound
Cargo Size: Minimum of 15 trucks.
Timing: Shipment date within 60 days of sale
Assessment: Monday – Friday until 3:00 pm CT. Any trades confirmed after 3 pm CT are reflected in the following day’s price guide. From the Friday after Memorial Day until the Friday before Labor Day, the Friday close of trade is 12 noon CT.
Specifications for DCO is as follows:
To ensure that The Jacobsen is capturing accurate values in what can be an illiquid market, The Jacobsen takes into account trades, bids and offers and netback values from the market as a whole on each given day. Trading takes priority in price reporting and in the case of multiple price points, The Jacobsen will print a price spread as long as the high and low are within 5 percent of each other. In the instance of a wider price spread, volumetric considerations are used to determine a price as well as the hierarchy of price exclusions. Price spreads of greater than 5 percent can be included in the price guide after a peer review process.
Trade values need to be repeatable across the market.
All buyers are eligible to bid a market higher or offer the market lower as all sellers are able to offer product lower and bid the market higher. The bids and offers must be made to the market as a whole and are subjected to scrutiny by the PRA assessors to determine if the value is an economic reality.
All transactions must be made at arm’s length.