Hammersmith Trade Services
A division of Hammersmith Marketing Ltd.
Corporate Head Office: 1st Floor, Building A, Caves Corporate Center,
Blake Road and West Bay Street, Nassau, Bahamas.
Email: wbacon@hammersmith.biz
WWW: hammersmithltd.blogspot.com
Representative Office : Phone +33.6.8068.4564
3 Avenue Marie Gasquet, St Remy de Provence, 13210 France
WEEKLY USA GRAIN AND PROTEIN REPORT September 24, 2022
USA wheat prices were higher on the week while soybeans were lower and corn finished the week with no real change in prices.
Reading the trade reports at the end of the week the feeling seems to be that the drop in prices on Friday for most commodities was due more to economic worries than to any crop situation. The very strong US dollar has also made US grains/oilseeds more expensive in export markets which will help to push prices lower for competitive reasons.
The corn harvest in the US is moving along quite nicely and this should put some downward pressure on corn prices. Corn experts have said that pre-harvest corn prices in the US are at the highest levels seen in almost 10 years, but no one seems to be calling for a sudden drop in corn prices.
Harvest weather in the US looks to be good for the next week or so with not too much rain and some nice warm weather. This should help the harvest to race ahead.
Soybean prices are said to be reacting to the world economic situation and the possibility that world soybean imports and consumption will drop this year. China certainly is talking about lower soybean imports and reduced soymeal usage while lower feed demand in the EU could also lower imports of soybeans and soymeal.
While wheat price did dip on Friday, they were still higher on the week as major concerns over the Black Sea situation continue to grow. US winter wheat prices were up by about USD 6 m/t on the week while US spring wheat was up by 4 or 5 dollars m/t.
Estimated Bulk Grain Freight in USD per m/t, basis heavy grains.
| US Gulf to Europe: Panamax | $29/30.00 | Steady |
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| US Gulf to Spain: Panamax m/t | $29/30.00 | Steady |
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| US Gulf Israel: Panamax m/t | $58/59.00 | Down $1.00 |
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| US Gulf to Egypt: Panamax | $58/59.00 | Down $1.00 |
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| US Gulf Turkey: Panamax m/t | $59/60.00 | Down $1.00 |
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| US Gulf Morocco: Handi | $59/60.00 | Down $1.00 |
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| US Gulf Algeria/Tunisia: Handi | $60/61.00 | Down $1.00 |
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| US Gulf Nigeria: 30,000 m/t | $65/66.00 | Steady |
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| US Gulf other Med: Handi | $63/64.00 | Steady |
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| US Gulf South Africa: Handi | $60/61.00 | Steady |
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| US Gulf to India: Panamax | $67/68.00 | Steady |
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| US Gulf to Philippines: Panamax | $76/77.00 | Steady |
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| US Gulf Japan: Panamax | $61/62.00 | Down $1.00 |
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| US Gulf China: Panamax | $60/61.00 | Down $1.00 |
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| US PNW South Africa – 40,000 m/t | $65/66.00 | Steady |
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| US PNW Egypt: Panamax | $59/60.00 | Down $1.00 |
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| US PNW Philippines: Panamax | $48/49.00 | Steady |
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| US PNW Japan: Panamax | $36/37.00 | Down $1.00 |
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| US PNW China: Panamax | $35/36.00 | Down $1.00 |
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| US East Coast Nigeria: Handisize | $63/64.00 | Steady |
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| US Lakes – Europe – 30,000 m/t | $93/94.00 | Steady |
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| US Lakes – Morocco – 30,000 m/t | $92/93.00 | Steady |
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| France/Germany to Algeria: Handi | $27/28.00 | Steady |
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| France/Germany to Bangladesh | $76/77.00 | Up $4.00 |
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| France/Germany to China: Panamax | $86/87.00 | Up $4.00 |
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| France/Germany to Egypt: Panamax | $34/35.00 | Steady |
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| France/Germany to India: Panamax | $65/66.00 | Steady |
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| France/Germany to Iran: Panamax | $65/66.00 | Steady |
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| France/Germany to Jordan | $56/57.00 | Up $1.00 |
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| France/Germany to Morocco: Handi | $26/27.00 | Steady |
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| France/Germany to Saudi Arabia: Panamax | $100/101.00 | Up $1.00 |
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| France/Germany to South Africa: Handi | $45/46.00 | Steady |
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| France/Germany to Turkey: Handi | $38/39.00 | Steady |
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| France/Germany to Yemen: Handi | $63/64.00 | Steady |
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| Argentina to Algeria: Handi | $84/85.00 | Up $1.00 |
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| Argentina to China: Panamax | $55/56.00 | Down $1.00 |
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| Argentina to Japan: Panamax | $56/57.00 | Down $1.00 |
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| Argentina to Egypt: Panamax | $87/88.00 | Up $1.00 |
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| Argentina to Europe: Panamax | $79/80.00 | Up $1.00 |
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| Argentina to Morocco: Handi | $83/84.00 | Up $1.00 |
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| Argentina to Libya: Handi | $85/86.00 | Up $1.00 |
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| Argentina to Jordan: Panamax | $60/61.00 | Steady |
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| Argentina to Saudi Arabia: Panamax | $109/110.00 | Up $1.00 |
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| Argentina to Iran: Panamax | $61/62.00 | Steady |
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| Argentina to India: Panamax | $62/63.00 | Steady |
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| Argentina to Bangladesh: Panamax | $66/67.00 | Steady |
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| Argentina to Indonesia: Panamax | $60/61.00 | Steady |
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| Argentina to South Africa: Panamax | $33/34.00 | Steady |
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| Argentina to Kenya: Handi | $66/67.00 | Up $1.00 |
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| Argentina to Spain: Panamax | $79/80.00 | Up $1.00 |
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| Argentina to Tunisia: Handi | $84/85.00 | Up $1.00 |
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| Brazil to Algeria/Tunisia: Handi | $87/88.00 | Up $1.00 |
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| Brazil to China: Panamax | $55/56.00 | Down $5.00 |
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| Brazil to Japan: Panamax | $54/55.00 | Down $5.00 |
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| Brazil to South Korea: Panamax | $67/68.00 | Steady |
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| Brazil to Europe: Panamax | $81/82.00 | Up $1.00 |
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| Brazil to Morocco: Handi | $86/87.00 | Up $1.00 |
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| Brazil to Iran: Panamax | $62/63.00 | Steady |
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| Brazil to Bangladesh: Panamax | $64/65.00 | Down $3.00 |
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| Brazil to Saudi Arabia 30/40,000 m/t | $109/110.00 | Up $1.00 |
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| Brazil to Spain: Panamax | $81/82.00 | Up $1.00 |
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| Brazil to Turkey/Egypt: Panamax | $94/95.00 | Up $1.00 |
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| Australia to Saudi: Panamax | $40/41.00 | Steady |
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| Australia to Europe: Panamax | $38/39.00 | Steady |
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| Black Sea freight – Romania and Russia
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| Black Sea to China: Panamax | $61/62.00 | Down $5.00 |
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| Black Sea to Indonesia: Panamax | $60/61.00 | Steady |
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| Black Sea to Egypt: 40/50,000 | $28/29.00 | Steady |
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| Black Sea to Egypt: 30,000 | $31/32.00 | Steady |
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| Black Sea to Iran: Panamax | $61/62.00 | Steady |
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| Black Sea to Europe: Panamax | $30/31.00 | Steady |
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| Black Sea to Morocco – Handi | $33/34.00 | Steady |
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| Black Sea to Tunisia/Algeria – Handi | $32/33.00 | Steady |
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| Black Sea to Jordan: Panamax | $39/40.00 | Down $1.00 |
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| Black Sea to Libya – Handi | $34/35.00 | Down $1.00 |
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| Black Sea to Saudi: Panamax | $60/61.00 | Down $1.00 |
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| Black Sea to Turkey – Handi | $27/28.00 | Steady |
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| Black Sea to South Africa – Handi | $57/58.00 | Steady |
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| Baltic Dry Index | 1816 | Up 263 |
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| Baltic Capesize Index | 2206 | Up 687 |
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| Baltic Panamax Index | 1995 | Up 5 |
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| Baltic Supramax Index | 1652 | Up 101 |
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| Baltic Handisize Index | 966 | Up 61 |
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| Global Container Index - Freightos | 4262 | Down 391 |
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All shipments in bulk grain vessels unless stated otherwise.
(NOLA is New Orleans, Louisiana, USA.)
FOB port or location specified. Prices in US$, in metric tons:
ALL PRICES ARE FOR October 2022/December 2022
| Wheat, USA Soft Red Winter, US Gulf | USD 393 -- 387 January |
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| Wheat, USA Hard Red Winter 11 protein, US Gulf | USD 430 -- 418 January |
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| Wheat, Ukraine 11.5 pro, 30,000+ m/t | USD 295/300 |
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| Wheat, Russia 12.5 pro, 30,000+ m/t | USD 320/325 |
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| Wheat, Romania 12.5 pro | USD 330>>315 January |
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| Wheat, Superior, France, Rouen | USD 337/340 |
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| Wheat, milling, 12.0%, Argentina, Upriver | USD 380>>350 January |
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| Wheat, feed, Black Sea | USD 275/280 |
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| Barley, France, Rouen port | USD 305/308 |
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| Barley, feed, Argentina, upriver | USD 320/325 |
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| Barley, feed, Black Sea, 30,000+ | USD 285/290 |
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| Barley, feed, Australia | USD 280/285 |
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| Corn, 2YC FOB NOLA USA | USD 320>>315 January |
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| Corn, 3YC FOB USA Pacific northwest | USD 335/340 |
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| Corn, FOB Argentina port, upriver | USD 275/280 |
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| Corn, FOB Brazil port | USD 285/300 December |
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| Corn, FOB France – Atlantic | USD 340>>320 December |
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| Corn, FOB Romania | USD 305/310 |
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| Corn, FOB Russia | USD 345/350 |
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| Corn, FOB Ukraine, 30,000+ m/t | USD 295/300 |
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| Sorghum, FOB Argentina port | USD 275/285 |
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| Sorghum, FOB Texas | USD 390>>370 December |
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| Soymeal, 48% protein, FOB NOLA | USD 525>>510 December |
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| Soymeal, 48% protein, USA, Rotterdam | USD 560>>545 December |
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| Soymeal, Argentina, Rotterdam – spot | No prices |
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| Soymeal, 47% pro, FOB Argentina | USD 495>>485 January |
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| Soymeal, 48% protein, Brazil, Rotterdam – spot | USD 550/560 |
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| Soymeal, 48% protein, FOB Brazil | USD 495>>465 January |
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| Soybeans, FOB NOLA | USD 590>>575 January |
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| Soybeans, Argentina, FOB | USD 570>>550 January |
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| Soybeans, Brazil, FOB | USD 605>>575 January |
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| Soybeans, Black Sea | No prices |
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| Corn Gluten Meal, USA FOB NOLA | USD 825/830 m/t November |
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| Corn Gluten Feed, USA FOB NOLA | USD 325/330 m/t November |
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| DDGS corn, 35 profat, USA FOB NOLA | USD 335/340 m/t November |
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Lower ethanol production in the US has pushed DDGS prices higher on the week with export prices as much as USD 15 m/t higher. The high US export prices coupled with a drop in container prices mean that CNF prices to major markets did not increase as much as the FOB price.
Both corn gluten meal and corn gluten feed export prices were also higher on the week although there didn't seem to be any good reason for the increased price levels. Neither corn nor soymeal prices were up so it may just have been following the DDGS upswing .
SECTION 2 --- FISHMEAL COMMENTS AND PRICES: PERUVIAN
No fishing once again in the south of Peru, which leaves the catch at just over 64,000 m/t and the quota balance at 422,300 m/t --- fishmeal production is 15,300 m/t.
According to numbers published by MSI Ceres, the biomass for the past 7 years has varied from a low of 6.0 million m/t to a high of about 8.4 mm/t with the quota ranging from a low of 1.1 mm/t to a high of 2.78 mm/t. However, several years the catch did not reach the quota level. Although, in 4 of the 7 years over 98% was landed with 2 years – 2017 and 2019 – showing less than 45% landed.
There have been quite a few buyers in the market for next season and not just from China – Ecuador, Europe and Japan buyers have been seen. Total presales are estimated at about 150,000 m/t. Business should be quiet for a bit now with China about to go on holidays. The presales level is expected to move higher as we get closer to the new fishing season and, for now, prices look to be just about steady.
China's fishmeal imports to the end of August stand at 1.2 million m/t with just less than 600,000 m/t coming from Peru followed by Vietnam at 119,000 m/t, Russia at 80,000 m/t, Mauritania at 65,000 m/t and Thailand also at 65,000 m/t and Chile at 56,000 m/t.
PERU "INDICATION" FISHMEAL PRICES:
European fishmeal prices – FOB North German port.
| Type | Protein % | Price per m/t USD |
| Herring fishmeal | 72% protein | 2,135 |
| Danish fishmeal | 64% protein | 1,645 |
| Peru fishmeal | 64% protein | 1,760 |
| Chile fishmeal | 67% protein | 1,800 |
| Iceland fishmeal | 70% protein | 2,075 |
ALL PRICES SHOWN ARE IN CONTAINER, ON VESSEL, AT ORIGIN --- US DOLLARS
Minimum shipment of 200 m/t for fishmeal
| Specification | Price per m/t FOB vessel Peru port | Price per m/t Chile port |
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| 67% protein standard steam | 1460/1480 m/t |
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| 67% protein 150 TVN | 1510/1530 m/t |
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| 67% protein 120 TVN | 1560/1580 m/t | 1600/1620 |
| 67% protein 1000 hist, 120 TVN | 1610/1630 m/t | 1640/1660 |
| 68% protein 500 hist, 100 TVN | 1660/1680 m/t | 1660/1680 |
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| Fish oil, crude bulk | 4000/4100 | 3700/3800 |
| Fish oil, crude drums | No prices |
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| Fish oil, flexi tank | No prices |
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| Fish oil, Omega 3: 28%EPA/DHA | 4300/4400 |
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INFORMATION: gtee = guarantee, TVN = total volatile nitrogen, hist = histamine
Copyright © 2022 Wayne S. Bacon
