Soybean oil is the most abundant feedstock in the U.S. at roughly 25 billion pounds per year produced, or 3.3 billion gallons. About a third of all soybean oil produced in the U.S. is used for biodiesel purposes. The remaining amount is used for Food, Feed and other industrial. Soybean oil comprises about 20 percent of the soybean, with 75% being meal for food and feed. Before the advent of biodiesel in the early 2000’s, soybean oil frequently traded at less than 20 cents per pound. It is now trading at over 50 cents per pound, or $3.75 per gallon. As you can see, soybean oil has rebounded above its pre-pandemic levels. As more renewable diesel facilities begin to operate, the demand for soybean oil, and all other fats and oils will grow exponentially.
FBA has decades of experience in feedstock production, processing, procurement and logistics. We understand the dynamics of the biomass-based fuel industry and the important role that feedstock procurement plays in plant profitability. From early planning, to execution and follow-up, we will identify the lowest cost, most sustainable feedstock strategy. Our decades of experience in soybean processing, oils, fats and biodiesel is unmatched in the industry!
For a detailed description of feedstock procurement services, please contact FBA.