It was an active trading day with higher prices showing up in a number of markets. Chicago packer bleachable fancy tallow (BFT) traded higher today, following yesterday’s action in the renderer market. Technical tallow was higher today as well into/through the Chicago market as was choice white grease (CWG). CWG FOB Mo. River trading was done at higher levels, topping out at 33 cent per pound FOB. As indicated yesterday, the corn market should allow room for a few more cents on the top side of the market and the wide spread to BFT is certain to be a bit motivation to sellers to move the market.

There remains additional risk in the market for higher BFT and tech tallow prices in the near term. Renewable demand continues to be very strong and sellers are seeing higher numbers outside of the Chicago market. The optionality for buyers is limited, both in terms of price and availability. Palm stearin continues to trade above $1000/MT FOB Malaysia. Palm stearin into the Gulf or…