Gulf activity picks up; DCO, ethanol production decreases on week

Gulf activity picks up; DCO, ethanol production decreases on week

The US animal fats and oils markets remained stable to higher on Wednesday February 12 as activity in the Gulf Coast region picked up again.

Used cooking oil (UCO) delivered into the Gulf edged slightly higher to 51-52 cents per lb, while tallow increased by 0.5 cents per lb to 52.5 cents per lb, with offers heard as high as 54 cents per lb throughout the day.

Outside the Gulf, choice white grease (CWG) prices continued to trend upward, with moderate truck volumes trading at 44 cents per lb FOB Missouri River late Tuesday, moving the day’s assessment higher to 42-44 cents per lb.

On the fundamentals side, feed fat prices remain elevated, making them more justifiable for sustainable aviation fuel (SAF) and renewable diesel (RD) production under Low Carbon Fuel Standard (LCFS) programs, according to sources.

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