International Animal Fats Bulletin

International Animal Fats Bulletin

Animal Fats – International

Trading out of the Australian market was steady this week with no changes reported. Cattle slaughter was lower, down 7 percent compared to the week prior and 12 percent relative to last year. Cattle slaughter in New Zealand is expected to pick up as lockdown restrictions have eased. The anticipation of increased supply and slower demand from Singapore and China has pressured prices lower.

The domestic US market is splitting into two separate sectors, tallow and everything else. Strong demand from the chemical industry and soap producers is keeping the market well supported. Technical tallow last traded at $942.50 MT Chicago and BFT is trading at $772 MT Chicago. Feed fats, i.e. yellow grease, choice white and poultry fat, are seeing pressure from increasing production meeting lower demand. High prices and uncertainty about access to processing pushed livestock feeders to lower fat inclusion in their diets. Slaughter has increased this…

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