tallow oil Pricing Assessment

Markets Covered: 

inIndia
usUnited States
auAustralia

Tallow Oil Price Trend, Analysis and Forecast

In Q1 2024, tallow oil prices had averaged USD 1,120 per metric ton globally, while prices in the USA had reached USD 1,290 per metric ton. The increase had been driven by disruptions in production due to tight livestock supplies, logistical delays, and severe weather in key cattle-producing regions, which had led to a 500,000 metric ton production decrease. Strong demand from biodiesel, animal feed, and personal care sectors had further pushed prices higher, creating uncertainty in procurement strategies. 

In the first half of Q2 2024, the market remained under pressure due to ongoing livestock supply challenges and transportation bottlenecks. While biodiesel demand had stayed robust, production had shown signs of recovery by May, easing logistical issues. Prices had stabilized modestly, but the market had remained cautious due to potential supply disruptions. 

By August 2024, tallow oil prices have averaged USD 1,210 per metric ton, reflecting ongoing supply tightness. While production has improved, slow livestock recovery and rising demand from biodiesel and animal feed industries have kept supply constrained. Logistics challenges have persisted, with demand from cosmetics and industrial applications continuing to support higher prices. 

Looking ahead to Q4 2024, tallow oil production will have recovered gradually as livestock supplies stabilize and logistical issues ease. However, volatility will have persisted due to factors such as livestock production fluctuations, government regulations, and sustained biodiesel demand. Climate change impacts on agriculture and livestock will have remained a key risk, requiring companies to have adjusted procurement strategies accordingly. 

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is your trusted resource for tracking global tallow oil price trends. Our platform delivers real-time data and expert analysis, offering deep insights into the key factors driving price fluctuations in the tallow oil market. By monitoring critical events such as geopolitical tensions, supply chain disruptions, and economic shifts, keeps you fully informed of market dynamics.

In addition, provides detailed forecasts and updates on production capacities, enabling you to anticipate market changes and make well-informed decisions. With , you gain a competitive edge in understanding all the elements that influence tallow oil prices worldwide. Stay ahead of the curve with ’s reliable, accurate, and timely tallow oil market data.

Track 's tallow oil price assessment on a weekly basis since 2015 onwards, along with short-term forecasts, and get access to the detailed report in a downloadable format.

Historically, several events have caused significant fluctuations in tallow oil prices

  • Weather-Related Disruptions in Livestock Production:
    Severe weather in cattle-producing regions has reduced livestock availability, tightened tallow oil supply and raising prices. Demand from biodiesel, animal feed, and personal care industries increases as manufacturers secure supplies, pushing prices further up. 
  • Geopolitical Events and Trade Policies:
    Trade policies, such as tariffs on animal fats, can disrupt supply chains, leading to higher production costs and rising tallow oil prices. Demand may increase as industries compete for limited supply, especially biodiesel and feed sectors. 
  • Increased Demand from Biodiesel:
    Growing biodiesel production driven by renewable energy mandates has intensified competition for tallow oil, raising prices. Demand from the biodiesel sector increases, contributing to overall price hikes. 
  • Rising Demand in Personal Care and Industrial Sectors:
    Increased interest in natural and organic products has boosted demand for tallow oil in cosmetics, soaps, and industrial applications, putting upward pressure on prices. 
  • Environmental and Sustainability Considerations:
    Sustainability-driven shifts toward certified sustainable tallow oil can stabilize supply while increasing demand from eco-conscious consumers and businesses, leading to a more stable or higher price trend. 

Methodology and Specifications

tallow oil Pricing Assessment Research Methodology

Data Collection and Sources

  • Real-Time Market Data: PriceWatch aggregates real-time pricing data from a diverse range of sources, including global commodity exchanges, industry reports, and proprietary databases. This ensures that our assessments reflect the most current market conditions. 
  • On-the-Ground Intelligence: Our team gathers insights directly from key market participants, including producers, suppliers, traders, and end-users, across major tallow oil production hubs. This ground-level intelligence is crucial for understanding localized market dynamics. 
  • Supply Chain Monitoring: We track the entire tallow oil supply chain, from raw material availability (e.g., naphtha, ethane) to production and distribution channels. This includes monitoring feedstock prices, production capacities, and transportation logistics. 

Event Tracking and Impact Analysis

  • Geopolitical and Trade Policy Changes:
    Changes in global trade policies, tariffs, or political instability can disrupt supply chains and affect tallow oil prices. By tracking these events, companies can anticipate price fluctuations and plan sourcing strategies to maintain supply stability, especially from key exporting countries. 
  • Economic Conditions and Industry Demand:
    Tracking shifts in consumer preferences and industry demand, particularly in personal care and industrial sectors, provides insights into tallow oil price trends. A surge in demand for natural products can lead to price increases, so understanding these trends helps in managing procurement strategies. 
  • Sustainability Trends:
    The increasing focus on sustainable sourcing practices affects both supply and demand. Tracking the adoption of certified sustainable tallow oil helps assess potential price stability and anticipate market shifts, ensuring companies align with eco-conscious consumer preferences. 

 

Production Capacity and Supply Analysis

  • Current Production Monitoring: We maintain a comprehensive database of global tallow oil production facilities, tracking their operational status, maintenance schedules, and output levels. This allows us to assess current supply availability accurately. 
  • Future Capacity Projections: Our research includes detailed forecasts of upcoming tallow oil production capacities, factoring in new plant constructions, expansions, and technological advancements. This helps in predicting future supply trends and potential price stabilization.

Demand Forecasting

  • Sectoral Demand Analysis: PriceWatch provides in-depth analysis of demand trends across key sectors, including packaging, automotive, and construction. We track year-on-year demand growth and project future consumption patterns based on economic indicators and industry developments. 
  • Global Demand Dynamics: Our methodology considers regional demand variations and how they influence global tallow oil pricing. This includes understanding the impact of shifts in manufacturing bases, trade policies, and environmental regulations.

Pricing Model Development

  • Dynamic Pricing Models: PriceWatch utilizes advanced econometric models to forecast tallow oil prices, incorporating real-time data, historical trends, and projected market conditions. Our models are continuously refined to enhance accuracy and predictive power. 
  • Scenario Analysis: We conduct scenario-based assessments to evaluate potential future market conditions. This includes best-case, worst-case, and most likely scenarios, helping our clients prepare for a range of market outcomes. 

Reporting and Client Support

  • Comprehensive Reports: Our clients receive detailed reports that include current price assessments, future price forecasts, and in-depth analysis of market drivers. These reports are designed to be actionable, providing clear insights and recommendations. 
  • Ongoing Support: PriceWatch offers continuous updates and personalized support to our clients, ensuring they have the most up-to-date information to make informed decisions. Our experts are available to discuss specific market developments and provide tailored advice. 

This research methodology ensures that PriceWatch delivers the most accurate, timely, and actionable tallow oil pricing assessments, helping our clients stay ahead of market trends and make informed business decisions. 

 

Specifications

Molecular Weight[g/mol]

860.9 g/mol

CAS No

61789-97-7

HS Code

150210

Molecular Formula

CH (CH2) 7COOH

tallow oil

Tallow oil is a versatile animal fat derived from cows or sheep, rich in triglycerides and a balanced mix of saturated and unsaturated fatty acids. Solid at room temperature, it ranges from white to yellowish in color and is known for its high smoke point, making it ideal for high-temperature cooking like frying. Tallow oil is also a key ingredient in skincare products, nourishing and moisturizing the skin with vital nutrients. Additionally, it's used in hair care, industrial applications, and even as a sustainable feedstock for biodiesel, offering numerous practical benefits.

Packaging Type

50Kg Drum

Grades Covered

Edible Tallow, Tallow oil industrial, Nonedible Tallow.

Incoterms Used

FOB Chicago, FOB JNPT, FOB Sydney.

Synonym

Quotation Terms:

25-28MT

Ex-Location: This incoterm refers to a shipping agreement where the seller makes the goods available at their premises, and the buyer is responsible for all transportation costs, including shipping, insurance, and any other fees.
CIF: CIF refers to the Cost, Insurance, and Freight (CIF) terms for goods. Under CIF terms, the seller is responsible for the cost of goods, insurance, and freight charges until the goods reach the port of destination.
FD: FD stands for Free Delivered where the seller takes full responsibility for delivering goods to the location/port. This ensures the buyer receives the goods at the designated port with all necessary costs, except import duties, covered.
FOB: FOB refers to the Free On-Board shipping term, where the seller is responsible for the cost and risk of delivering the goods to the port. Once the goods are on board the vessel, the responsibility shifts to the buyer for all costs, including shipping and insurance.

Properties  Specification 
Appearance:   Oily liquid. 
Color:   Green/ Yellow. 
Odor:   Characteristic. 
Boiling Point (°C):  354.3 
Melting Point (°C):  -16.29 – 15.59 
Flash Point (°C):   173 (+/- 1) 
Vapor Pressure (Pascal):   420 (@ 25 °C) 
Specific Gravity:  0.8881 (@ 20°C) 
Solubility (Water):   0.023 mg/l Practically insoluble. 
Partition Coefficient: (n-Octanol/water) Log Kow:   6.2 (@ 25 °C) 
Auto Ignition Temperature (°C):   261 (+/- 5) 
Viscosity:  6.2 mPa/s (@ 20°C) 
Explosive Properties:   Not explosive. 
Oxidizing Properties:    Not oxidizing.  

Applications

Tallow oil has a variety of applications due to its high content of fatty acids. It is commonly used in soap making, cosmetics, and skincare products for its moisturizing properties. It can also be converted into biodiesel, used as a lubricant or grease in industrial machinery, and as a conditioning agent in leather and textiles. Historically, tallow oil was used in cooking and candle making. Additionally, it is utilized in animal feed, pharmaceutical products (such as ointments and suppositories), and the production of surfactants for cleaning products.

Disclaimer

Tallow Oil price provided by is a base price and excludes VAT/Taxes, discounts, or offers. The information herein is accurate to the best of our knowledge as of the date indicated and is provided solely for the convenience of our customers as a reference for tallow oil. disclaims any warranties or representations regarding the accuracy of results derived from this information. It is the sole responsibility of the user to assess the suitability of the product for their specific application. This document does not constitute an endorsement to use the product in violation of any applicable patent rights.

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Frequently asked questions

What are the main drivers of Tallow oil pricing? +

Tallow oil pricing is mainly driven by factors such as the availability of animal fats (linked to meat production), demand for meat, and competition from other oils like palm and soybean oil. Energy prices influence its use in biodiesel production, while environmental regulations and policies promoting biofuels can increase demand. Global trade dynamics, export demand, and seasonal fluctuations in livestock slaughter also affect supply and pricing. Market speculation on agricultural commodities can further contribute to price volatility.

How can fluctuations in supply chains impact Tallow Oil prices? +

Fluctuations in supply chains can impact tallow oil prices by disrupting livestock availability, processing, and transportation. Any issues like disease outbreaks, logistical delays, or changes in raw material costs can reduce supply, driving prices up. Additionally, trade barriers, export/import challenges, or disruptions in competing oils can further cause price volatility in the tallow oil market.

What roles do sustainability and regulatory changes play in Tallow Oil pricing? +

Sustainability and regulatory changes impact tallow oil pricing by influencing supply and demand. Stricter environmental and animal welfare regulations can reduce livestock production, limiting tallow availability and raising prices. Policies promoting biofuels or sustainable products can boost demand, especially for biodiesel, leading to higher prices. Additionally, import/export regulations can affect global supply and cause price fluctuations.

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