Seemed like a no brainer that with fewer cattle expected to come to market in 2024, fat trim values were likely to follow the same trajectory as they did in 2023. Buyers that sought to stay ahead of the market have learned a difficult lesson - each year has its own dynamic and fighting last year's battles invariably results in disappointment. We cover much of what's been driving the lower prices for fat trim, not just in beef but pork and poultry as well, in today's issue of the Daily Livestock Report (hint: weights are a big part of this).
Joshua Kehoe
4mo
Brett Gibbs puts out a short weekly on renewable fuels and a longer monthly that has a lot of good data, including about the various animal fat markets as they relate to domestic biofuel production. June dropped yesterday. Hopefully I can screenshot in below showing how you can sign up to receive.
Michael Irgang
4mo
Well said, Altin!
Independent Commodity Analyst/Consultant
4moYou might find interest in this comment I picked up off of "X" Jordan Fife @JordanFife1 · Jun 17 Brazil is undercutting US farmers by flooding the market w/ a commodity used to make renewable fuels. US purchases of Brazilian cattle tallow are soaring. Tallow used in a variety of products from abundant in Brazil which slaughters more cows than any country outside China There is import data on tallow at USDA/FAS. Like UCO, it has risen significantly, I suspect because of the Renewable Diesel industry. But it could be playing a part in keeping out prices suppressed.