Packer BFT prices jumped 4.25 cents, or 19 percent, over the last traded level this week. The market had been very quiet since settling at 22 cents in early July. High temperatures and humidity levels across much of the country have left many producers short with on-spec material. Bids for packer material at 24 and 25 cents earlier in the week came up empty with a number of producers commenting, “I won’t have anything below a 6 or 7 acid for a few weeks.” There is a bid in the market today for renderer and packer  at 25 cents for the 30 day position, but thus far no trading has been reported. 

Through the first part of the month, prices for packer BFT have averaged 22.27 cents per pound, the lowest July average since July of 2006. Increased demand for soybean oil from the renewable sector and long positions for RBD have driven spot prices of soybean oil sharply higher over the last month. The tight nearby market for low acid feedstocks make it likely that buyers…