Choice white grease prices were higher today, boosted by a strong tallow market and the expectation for tighter supplies moving into March. Chicago BFT had been at a 4.5 cent premium to Chicago CWG, 2.4 cents per pound above the prior three year average for February.
Lower weekly head counts on the hog harvest and lighter hogs tied to the extreme cold are expected to act as a double-edged sword, cutting into the grease production. The current corn market suggests choice white grease is getting towards the top end of a nearby trading range. At today’s price of $5.5625 per bushel, feed fat has a value at 400 percent of the price of corn of 39.75 cents per pound. Offers above that threshold are likely to be met with stern resistance heading into March and the potential for…
11.22.2024
Biodiesel margins rise, but window of opportunity limited
Biodiesel margins continued to rise during the week to Friday November 22. The bean oil/heating oil (BOHO) spread boosted margins by falling to its lowest level since August 27.
11.22.2024
Gulf prices average higher despite weeklong declines in SBO
For the week ended Friday November 22, packer bleachable fancy tallow (BFT) remained unchanged from the previous week’s average, while Gulf Coast-delivered tallow rose 2.7%, primarily...
11.22.2024
Bloodmeal largest price mover week on week; November cattle on feed higher
US animal protein prices were mixed to mostly higher for the week to Friday November 22, with only meat and bonemeal showing a slight price reduction due to tighter...