Crude glycerin prices hold steady; recent price rise could be inflated: sources

Crude glycerin prices hold steady; recent price rise could be inflated: sources

Crude glycerin prices were reported in a wide range to start the week on Monday December 16 as biodiesel production reportedly ramps lower. But some traders suggested that talk of widespread shutdowns for January might be more hype than reality.

“I am hearing that many US plants are starting their process to begin shutting down this week and coal freeze [buyers are] still in the market looking for supply,” one glycerin buyer said.

This has led some producers to escalate price in a market where supply is expected to decline. One large biodiesel producer is offering Midwest crude glycerin in the range of $0.15-0.18 per lb FOB.

Not all producers agree that glycerin prices will be running sharply higher in the near term.

One producer suggested the expected mass idling of biodiesel production could be over-inflated.

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