Strong Animal Fat Production Contributes to Lower Prices In June

Strong Animal Fat Production Contributes to Lower Prices In June

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Please note The Jacobsen will be closed on Friday, July 3rd in observance of the Independence Day holiday. Trading will close at 12 noon CT on Thursday, July 2nd with publication shortly after.

Poultry fat prices into the Carolinas market moved lower today. The increased animal fat production across all markets is adding negative price pressure, especially on the higher ffa fats. Comparing last week to the week ending May 2nd, cattle slaughter is up an average of 55 percent and hog slaughter up 71 percent. Broiler slaughter has increased 11 percent since the week ending May 30th. Examining the upswing in fat production using the same dates, there’s roughly 44 million additional pounds of tallow, 10 million pounds of white grease and 5 million pounds of poultry fat in the market last week relative to early May, and…

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