The refined, bleached and deodorized (RBD) soybean oil basis is falling this week as refiners are grappling with declining forward demand.

“It’s been super quiet leading up to [Thanksgiving] and even more so today. It feels like most of the end users are covered [in their buying] through March, which has some of the refiners nervous about extended supply based upon forward biofuel policy, etc…,” a vegetable oil trader said.

Biodiesel producers have slowed or stopped purchasing feedstock ahead of the shift from the blenders tax credit (BTC) to the 45Z Clean Fuel Production Credit (CFPC), Fastmarkets has heard.

…