Tallow Price Trend and Forecast

Tallow Regional Price Overview

Get the latest insights on price movement and trend analysis of Tallow in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

Price Trend for Tallow in Q1 2025

Asia

In the first quarter of 2025, tallow prices in Asia remained elevated, driven largely by strong demand from the biofuel sector, particularly in countries like China and South Korea. These regions continued to rely heavily on imported tallow for biodiesel production, and with global supply constrained, prices stayed high.
 

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While there was also demand from the food sector, it was the biofuel industry that remained the key driver, pushing up the cost of tallow in the Asian market.

Europe

Similar to Asia, tallow prices in Europe stayed elevated in Q1’25. The European market had increasingly shifted towards using tallow for biofuel production, particularly in countries with aggressive renewable energy policies. As demand for biofuels grew, so too did the competition for tallow, keeping prices above historical averages. Although there was some level of local tallow production, Europe remained reliant on imports, adding further upward pressure on prices during the quarter.

North America

In North America, the first quarter of 2025 saw tallow prices remaining high, primarily due to the ongoing demand for biofuels in both the U.S. and Canada. The use of tallow in biofuel production had been increasing, with industries in both countries working to meet renewable energy goals. Given the global competition for tallow, especially from biofuel sectors in the U.S., prices stayed strong. Domestic production struggled to keep up with demand, which further elevated the cost of tallow in the North American market.

Analyst Insight

According to Procurement Resource, the future outlook for Tallow prices remains bullish, with strong demand from the biofuel industry likely to continue driving prices higher, while limited supply may keep the market tight through 2025.
 

Tallow Price Trend for the Year 2024

Asia

In 2024, tallow prices in Asia remained elevated, driven by strong demand from biofuel industries, particularly in countries like China and South Korea. Although these countries' demand made up a smaller portion of Australia’s exports, their contribution to the overall price trend was still notable.

The biofuel sector in Asia continued to grow, with tallow being a key ingredient for the production of biodiesel. As a result, importers in the region were paying higher prices throughout the year, as global tallow supply remained tight. While the food sector's demand for tallow was relatively stable, the biofuels boom kept prices above historical averages, resulting in a higher cost of tallow for Asian manufacturers.

Europe

Europe saw a similar upward trend in tallow prices in 2024, with the biofuel market also driving demand. The growing interest in sustainable energy sources pushed the demand for animal by-products like tallow, which is used in the production of biofuels. European countries, particularly those with advanced renewable energy policies, became major players in the market. Prices in Europe reflected the global scarcity and strong international competition for tallow. As demand surged, especially in biofuel production, the price of tallow rose significantly compared to previous years, impacting the cost structure for industries reliant on this product.

North America

In North America, tallow prices also surged in 2024, largely due to the increasing demand from the biofuels sector. The U.S. and Canada were key importers of Australian tallow, with biofuel production in both countries expanding rapidly. The U.S., in particular, showed a growing interest in converting tallow into various biofuels such as diesel and jet fuel, contributing to a steady rise in prices. This growth in demand led to a competitive market for tallow, which pushed prices to levels significantly above historical norms. The high price environment was especially evident in the latter half of the year, as domestic supply struggled to meet the soaring demand.

Analyst Insight

According to Procurement Resource, Tallow prices are expected to remain high, supported by strong biofuel demand globally. As countries continue to shift towards sustainable energy solutions, tallow will likely maintain its value as a key biofuel ingredient, keeping prices above historical averages for the foreseeable future.
 

Tallow Price Trend for the Second Half of 2023

Asia

The Asian tallow market started on a lower note as the demands were feeble in the summer months. However, steadily, the market started picking up. Since the queries from the international markets also increased, the pricing outlook for the domestic Asian markets inclined. The price trend was able to maintain this trajectory in the fourth quarter as well; India was the biggest tallow exporter to the USA.

Europe

The tallow market trends in the European region were relatively weaker than the global markets. In July the consumption was at record low levels. The inventories were already running high because of subdued downstream movement. However, soon after that, the rush in the global tallow markets started impacting the trade in the European region as well. As the fourth quarter arrived, the demands started surging, and because of limited supply, the upstream costs also picked up. Overall, a fluctuating price trend was observed.

North America

The tallow price trend was mostly mixed with a majorly positively inclined price graph during the said period of H2’23. Since the tallow is extracted from beef, the beef prices largely influence the prices for tallow. During the third quarter, the prices began on a high note despite a fall in inflation in the region, primarily because of supply constraints.

The inventories were repeatedly running out, and because of this high demand, the suppliers were making money. This inclining trajectory continued well into the fourth quarter as well; the market continued to grow. However, it was only in the latter months of the final quarter that the prices finally dipped after the supply and demand disparity started to reduce. The holiday season is also attributed to the decline in demand.

Analyst Insight

According to Procurement Resource, the market projections for Tallow look positive for the coming months since the supply chains are curtailed globally, the prices are expected to surge further.
 

Tallow Price Trend for the First Half of 2023

Stay updated with the latest Tallow prices, historical data, and tailored regional analysis
 

Asia

Asian Tallow fat market observed mixed price trend throughout the said period, as the market demands from downstream pharma, cosmetics, and aviation industries were high. The existing stocks were running low, so as the demand exceeded supply, prices rose steadily throughout the first quarter. But the second quarter observed reverse market behaviour as the tallow prices declined. The producers paced up the production, churning products at much faster rates leading to stockpiling of products in the market as the demand turned bearish.

Europe

Following the Asian market trend, Tallow prices in the European region rose steadily till the middle of the second quarter (April). Tallow prices averaged around 1740 USD/MT (CIF) in January in the German domestic market and rose to about 1824 USD/MT (CIF) in April 2023 with an inclination of about 4%. But as the market started getting saturated with excess supplies, prices were set on a declining trajectory from April onwards and regularly plummeted in the last two months of the second quarter.

North America

Tallow prices constantly fluctuated in the American market throughout the said time period. Prices rose regularly in the first quarter because of high demands and then declined during the initial months of Q2 owing to a momentary decline in demands. But the mid-Q2 again witnessed a surge in queries in the American market. As the market is primarily import-dependent for the product, supplies were delayed causing the prices to incline till the end of Q2.

Analyst Insight

According to the Procurement Resource, the prices are expected to continue similar fluctuating patterns given the erratic supply-demand dynamics.

Procurement Resource provides latest prices of Tallow. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.