Tallow Fatty Acid Heats Up in August: Prices Spike on Biofuel Demand and Tight Supply

Tallow Fatty Acid Heats Up in August: Prices Spike on Biofuel Demand and Tight Supply

Nina Jiang 04-Sep-2025

In August 2025, international tallow fatty acid saw prices at multi-year highs as commodity analysts observed a real paradigm shift in the perception of tallow from a byproduct of the meat sector to an input in renewable energy story. The rally was driven by stronger industrial tallow fatty acids demand, poor livestock supply conditions, and odd trade flows with tallow positioned as an eligible feedstock in the global biofuels transition.

Key Highlights

  • Prices of Australia&#xx;s lean beef trim have reached many-year highs due to strong demand from the U.S. and trade shifts from tariffs.
  • Brazil&#xx;s biofuels sector increased tallow demand with Petrobras announcing a major renewable fuels operation, thus increasing tallow fatty acid demand.
  • Asian tallow fatty acid markets remained elevated, sustaining stable demand and securing volumes despite the increase in global competition.
  • Tallow Fatty Acid Heats Up in August: Prices Spike on Biofuel Demand and Tight Supply

In August xxxx, global prices for tallow fatty acids reached multi-year highs, as commodity analysts noted a significant paradigm shift in the role of tallow as an input in the renewable energy narrative, instead of a byproduct of the meat industry. The rally reflected stronger industrial demand for tallow fatty acids, limited livestock supply conditions, and disparate trade flows with tallow positioned...

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