Over the last week, U.S. interior soybean oil basis levels on crude-degummed (CD) and refined, bleached, and deoderized soybean oil (RBD) eased further. Trading activity continues to be thin due to reduced demand from renewable diesel and biodiesel producers.
The market is trying to assess demand during the first and second quarters of 2024, particularly from the biofuels sector. Some expect U.S. biodiesel production to decline sharply moving into the first quarter of 2024. Poor margins are expected to slow domestic biodiesel production heading into the first quarter of 2024.
Biomass biodiesel mandates are secure for 2023 and renewable identification number (RIN) production has led to an oversupply of credits, even when factoring in carryover RINs for 2024. Others project the startup of new renewable diesel (RD) plants in the coming months will boost consumption and be supportive for prices.
12.27.2024
US RD, SAF supplies remain strong despite declining import volumes
US supplies of sustainable aviation fuel (SAF) fell sharply in November but reached the highest November volume on record, according to data released on Thursday December 26 by the...
12.27.2024
Animal fats and oils end week steady amid holiday-limited trades
The US animal fats and oils markets held steady on Friday December 27, with limited trades persisting due to the holiday season.
Weekly averages were unchanged from the prior week...
12.27.2024
Relative prices of US meat and bonemeal rise amid depressed soybean meal market: 2024 recap
US animal protein prices were steady to lower on Friday December 27. Some participants reported distressed loads in the market late in the afternoon of Thursday December 26 and...