Trucking Issues and Lack of Demand Contribute to Grease and Fat Pressure

Trucking Issues and Lack of Demand Contribute to Grease and Fat Pressure

Trading was lower on poultry fat and choice white grease today. Choice white grease is heavy in several markets and buyers and sellers continue to struggle to find enough transportation to move loads in a timely manner. The shipping issues are compounding the demand issue, threatening to push prices lower in the short term. There are already reports of diminished demand from the biodiesel sector due to cold soak concerns heading into the cooler months and while rail shipments are allowed back into parts of the Gulf market again, new cars have yet to be billed and there is plenty of supply on the rails and on the water that needs to be consumed before new demand surfaces. 

The lower choice white grease prices and increased availability have pushed poultry fat…

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04.25.2024

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