Feeding Corn Co-products in Dairy Herds David Anderson, Texas A&M University C. Wilson Gray, University of Idaho

Overview Overview of DDGs Characteristics Types of corn co-products Challenges in Feeding corn co-products Economics of corn co-products Summary

For Starters… This Isn’t New Can’t Just Feed it Alone Brewers and Distillers Grain have been fed forever Can’t Just Feed it Alone There aren’t many feeds you can feed exclusively If Price is Right and We’ll Feed A Lot

Location, Location, Location… Where’s the Feed? Where are the Livestock?

This is a map from the National Corn Growers Association in June 2006 This is a map from the National Corn Growers Association in June 2006. The numbers are on the next page in larger font. Key message is that current production and expansion is in the corn growing areas, but proposed plants are beyond the corn belt. Where will they get the feedstock. The other factor is that this list is out of date.

Distiller’s Grain Basics

Key points on ethanol co-products What types of products are available? How much product can be used in the ration? How different are the nutritional properties of specific co-products (low oil, low protein, modified moisture, mixtures)? Which feed ration combinations work best? Can the variation in some nutrients be reduced? Source: Dan Loy, ISU

Types of DDG Processing Wet Mill Accounts for largest share & costly Multiple Products: high fructose sweetener, corn oil, ethanol corn gluten meal, corn gluten feed and other types Dry Grind Generally smaller and less costly Two Products: Ethanol Distillers Grain and Solubles

Wet Milling - Corn Gluten Feed STEEP CORN GRIND WASH WATER SEPARATION STARCH, SWEETNER, ALCOHOL GLUTEN MEAL CORN OIL These mills tend to be very large and very expensive to build. ADM, Cargill and others have these plants. This process also has more flexibility on what is produced. The final product is corn gluten feed (wet or Dry). Corn gluten meal is also produced in small quantities and it often used in poultry rations. STEEP CORN BRAN SEM, screenings, dist solubles WET CORN GLUTEN FEED DRY CORN GLUTEN FEED

Products of Wet Corn Milling One bushel of corn produces: Product Pounds Starch 31.5 Further processed into 33# of sweetener or 2.5 gallons of ethanol Gluten feed 13.5 Gluten meal 2.5 Corn meal 1.6

Corn Gluten Feed (CGF) Corn bran + steep Can be wet or dry Moderate crude protein, CP = 16-23% 80% of CP is DIP (ruminally degradable) Low fat, moderate fiber, TDN = 80 101-115% of energy value of dry-rolled corn Product variation is significant within and across plants due to amount of steep added back to the corn bran Oatmeal-type appearance This product is often marketed under a brand name by the company. For example, Sweet Brand.

Dry Milling - Distillers Grains+Solubles CORN GRIND, WET, COOK FERMENTATION YEAST, ENZYMES STILL ALCOHOL & CO2 Most of the recent plants built have been this technology. They are generally cheaper to build, but have less flexibility in ther product. They produce alcohol, CO2 and Distilers grains and solubles. STILLAGE DISTILLERS GRAINS WDG, DDG DISTILLERS SOLUBLES WDGS DDGS

Products of Dry Corn Milling One bushel of corn produces: Ethanol 2.7 gallons Distillers grains & solubles 17-18 pounds DGS are one third the weight of the corn and all but the starch is concentrated into this one-third Sulfur is concentrated and may have been used in the fermenting process Mycotoxins, if they existed in the corn are also concentrated 3:1

Distillers Grains + Solubles Distillers Grains (65%) & Solubles (35%) (DM basis) May be wet or dried Higher crude protein, CP = 30% 65% UIP (undegraded, “bypass”, protein) High fat (11%), TDN = 70-110 Concentrates nutrients 3-fold from corn 0.8% P, 0.35-1.0% Sulfur (variable) Mashed potatoes-type appearance Newer plants are more efficient and may produce up to 3 gallons per bushel of corn, but the amount of DDGS is still about 17-18 pounds. Sulfur can be a problem when inclusion rates are relatively high. The main mycotoxin concern is aflotoxin and vomitoxin.

Nutrient Composition of Selected Corn Milling Co-Products

Starch Removal Concentrates - Other Nutrients CGF - ???? Corn Gluten Feed DGS – ???? Dried Grain Solubles or DDGS Dried Distillers Grain Solubles Source: Dan Loy, ISU

Ruminant Energy Value of DDGS Good Quality DDGS contains: 7-11% more energy than “book values” 10-20% more energy than corn NEL = 1.00 Mcal/lb NEM = 1.06 Mcal/lb NEG = 0.73 Mcal/lb TDN = 94% DE = 1.84 Mcal/lb ME = 1.64 Mcal/lb

Protein in Distiller’s Grains 30% of DM and more than old “book values” Similar for DDG & DDGS Good source of Ruminally Undegradable Protein (approximately 55% RUP) RUP is slightly less for wet vs. dry DDG Protein quality Fairly good quality Lysine is first limiting amino acid

How Much Can be Fed to Dairy Cows? Max. of ~ 20% of ration DM - 10-13 lb/d of dried - 30-40 lb/d of wet Usually no palatability problem at 30% of DM: May decrease DMI, especially if Wet CDG May feed excess protein At > 30% of DM May negatively impact butterfat and protein in milk Calves Up to 20% DMI Replacement Heifers Up to 25% DMI Source: Shurson, U of MN

Challenges

Challenges of DDGS Storage and handling is more costly High levels of feeding management is required Bunk management and mixing Nutrient balances Nutrient (manure) management is more costly Some nutrients are concentrated (e.g., P) Source: Dan Loy, ISU

Challenges of DDGS Must be golden brown Flowability Pellet quality Dark brown is over heated and ties up lysine Flowability Pellet quality Requires another bin for storage Abrupt changes may put cows off-feed

Challenges of DDGS Wet vs. Dry Distiller’s Grains for Dairy Cows Nutrient content of DM is the same Wet Distiller’s Grains Considerations Usual storage period is 5-7 days May require preservatives (e.g. propionic acid) Limited hauling distance May make rations too wet Limits total DM intake especially when silages are used

Storing Wet DGS Storing Wet DGS product: Often delivered in truck load lots Can store wet DGS in bunker, silage bag or in pile covered with plastic to protect from air Should mix with tub-ground forage and sotred in bunker or bag Need to have the “mix: right….

Economics: A Little Supply and Demand

U.S. Distillers Grain Production

Potential DDG Usage Species Limit % Use b/lbs Fed Cattle 35 28.9 Cows/Stockers 4.0 Dairy 10 15.0 Hogs 9.0 Sows 15 3.0 Broilers 13.0 Turkeys 1.6 Total 74.5 Note: Use b/lbs is usage in billion pounds

Distillers Grain Production & Use Potential Use Realistic Use

Ratio of Corn to DDGS Prices Ratio of Dollars per Pound, Central Illinois DDGS and Texas Triangle Corn

Economic impact of including DGS Source: Garcia & Taylor, SDSU

Interactions – Economic Realities Higher Feed Costs Byproducts offer some price mitigation Markets Respond Through Price Feeder cattle and calf prices Reduced Production Lower milk production per cow, producers exit industry Livestock Industry Less Competitive World market, regionally in U.S. Higher Food Costs for Consumers Transitional Period is Critical Supply response, energy, technology, food and feed markets

Summary Use in Moderation There are limits DDGS can be superior to corn WDGS are better than DDGS Challenges are manageable Distiller’s grains are not as cheap as once was Price moves directly with corn prices Use can reduce ration costs