11.22.2024
Biodiesel margins rise, but window of opportunity limited
Biodiesel margins continued to rise during the week to Friday November 22. The bean oil/heating oil (BOHO) spread boosted margins by falling to its lowest level since August 27.
The hemp industry is in a perpetual state of normalizing various aspects of production, processing, transportation, and banking, to name just a few. Part of that process is external policy development that hemp operators must anticipate, or in some cases, adapt to. This is the case for flower production in states that have or are in the process of disallowing hemp flower production or sales. Hemp flower prices have been instrumental to small farmer’s solvency over the last year.
One aspect of the industries’ development is the emergence of vendors along a sparse value chain, one that has encouraged self-sufficiency and vertical integration. Contract cannabinoid extraction, or tolling, emerged early as an option, and allowed extraction operators to maximize revenues and minimize overhead. Some of these extractors offered full services like drying, akin to a grain elevator model. Some even offered lab analysis…