Tallow prices in the Australian market are unchanged from the previous report. Trading in the Australian domestic market is quiet with February tenders underway. There have been indications of bookings from the US for tallow, with volumes suggested in a  range from 10,000 to 20,000 tonnes. Export prices of US$800 for 4% ffa bleachable fancy tallow (BFT) would work well into the US coastal ports and the interior. Indications from US buyers have been $930 – 940 delivered for March arrival for domestic origin BFT.

Figure 1.

The spread between Chicago renderer grade BFT and Australian 4% BFT export are shown in US$ per tonne on a weekly basis from June 2020 to YTD 2021.

Cattle slaughter remains well below 2020 levels with just over 92,000 head reported by the MLA for last week. Plentiful rainfall and herd…