Rising feedstock costs reigned in margins last week, ending three weeks of margin improvement that had seen values push above break-even levels. Soybean oil prices scrambled three percent higher to 68 cents per pound, while ULSD futures declined four percent.
The bean oil/heating oil spread (BOHO), which measures the profitability of producing biodiesel from soybean oil, climbed 14 percent to $2.18 per gallon. The higher the spread, the more costly production becomes. RIN values generally increase to offset rising production cost.
Biodiesel RIN values increased seven percent last week, approximately half the increase seen in the BOHO spread, suggesting RINs could continue higher if the BOHO does not adjust lower. The value of the 2022 biodiesel RIN relative to the 2021 RIN improved last week. The 2021 RIN has been trading at a premium to the 2022…
02.04.2025
Chicago, Gulf animal fats and oils markets strengthen despite ongoing uncertainty
The US animal fats and oils markets were stable to higher on Tuesday February 4, as Chicago market activity saw a notable uptick throughout the day.
Six railcars...
02.04.2025
Light trade volume leaves most US animal protein prices flat
Light trade volume was reported in the US animal proteins markets for Tuesday February 4.
Ruminant meat and bonemeal, Missouri River, was reported as steady from Monday February...
02.04.2025
December US soybean crush, corn consumption up month on month
US soybean crush above monthly, yearly levels
Soybeans crushed for crude oil totaled 218 million bushels in December 2024, up by 7% from November and by 4% from...