Australian tallow exports during January-November 2024 reached the highest on record, surpassing the previous record for exports in the whole of 2023.
Australia exported 517,364t of tallow in the first 11 months of 2024, surpassing the 504,409t of tallow in 2023, according to the latest data from the Australian Bureau of Statistics (ABS) accessed through Global Trade Tracker (GTT) (see graph).
The record export number was the result of a larger cattle herd, high slaughter rates and favourable weather conditions, while growing demand from the biofuels sector has also helped boost exports.
Domestic cattle slaughter rates stood at 2.24mn head in July-September, the highest since the same period in 2015, because of processors' concerted effort to increase capacity. Australia's beef production hit a record high in July-September at 690,694t, according to ABS data.
Over 90pc of Australian tallow was exported to either Singapore or the US in the first 11 months of the year, with each country receiving 53.2pc and 37.6pc respectively, according to GTT data.
Market participants have indicated Australian tallow trade flows may swing towards the US this year because of the newly released guidance on the 45Z tax credit in the country. Prices for lower carbon intensity feedstocks like tallow increased following the new guidance, while imported used cooking oil will not qualify for the tax credit.
14012025042041.jpg)
