Soybean prices on the Chicago Board of Trade (CBOT) increased by 11% over the prior two-week period ended Friday November 1, closing at 46.3 cents per lb, its highest since July 23.

Fuel demand for soybean oil has been rapidly declining due to the transition from the Blenders Tax Credit (BTC) to the Clean Fuel Production Tax Credit (CFPC). Guidance on how to price the CFPC remains unknown, leaving biodiesel and renewable diesel (RD) producers reluctant to commit to production.

Fuel producers would typically be active in the feedstock market by now, preparing for production in the first quarter of 2025, but that has not been happening, Fastmarkets understands.

One trader said, “We sold five railcars of degummed [soybean oil] to the Gulf for November-early December shipment to an RD producer that needed some extra product to balance out their feedstock mix.”

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