# Biofuel Refining Drives Edible Oil Prices | Food Processing

> Trade groups warn that demand for biofuels, especially renewable diesel, is cutting into feedstock supplies for edible oils. Refiners are buying animal fat, used cooking oil and soybean oil, with soybean oil use for fuel expected to reach 11.5 billion pounds this year. USDA forecasts average soybean oil prices of 65 cents a pound, more than double two years ago.

- Date: 2021-09-13 · published 2021-09-13T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/45150-biofuel-refining-drives-edible-oil-prices-food-processing
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md), [Soybeans](https://feedsoft.ai/c/SOY.md), [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Diverting soybean oil into fuel tightens edible oil supply and supports high vegetable oil prices, squeezing food makers and supporting soybean oil values.

## Read by commodity

- SBO: bullish ▲
- SOY: bullish ▲
- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2022-07-06 | [Biofuels Are Driving up Already High Vegetable Oil Prices](https://feedsoft.ai/events/15381-biofuels-are-driving-up-already-high-vegetable-oil-prices.md) | -0.8% | +0.5% |
| SBO | 2026-06-01 | [US oil refiners finally profit from biofuels due to mandates, high fuel prices](https://feedsoft.ai/events/19351-us-oil-refiners-finally-profit-from-biofuels-due-to-mandates-high-fuel-prices.md) | -2.0% | -6.1% |
| SBO | 2017-02-26 | [Edible oil prices to rebound \| News on Markets - Business Standard](https://feedsoft.ai/events/7063-edible-oil-prices-to-rebound-news-on-markets-business-standard.md) | +5.4% | -0.5% |
| SBO | 2021-06-03 | [Govt considering edible oil import tax cut to lower prices, says report \| Commodity - Food & Edible Oils - Business Standard](https://feedsoft.ai/events/6355-govt-considering-edible-oil-import-tax-cut-to-lower-prices-says-report.md) | +2.9% | -8.3% |
| SBO | 2022-09-16 | [EXCLUSIVE: Exclusive: Delta Air Lines readies refinery to process biofuels \| Reuters](https://feedsoft.ai/events/15373-exclusive-exclusive-delta-air-lines-readies-refinery-to-process-biofuels-reuters.md) | -2.9% | -4.3% |
| SOY | 2026-06-01 | [US oil refiners finally profit from biofuels due to mandates, high fuel prices](https://feedsoft.ai/events/19351-us-oil-refiners-finally-profit-from-biofuels-due-to-mandates-high-fuel-prices.md) | -5.5% | -6.6% |
| SOY | 2026-07-14 | [Processing Journal \| EPA Renewable Fuel Targets Put Pressure on…](https://feedsoft.ai/events/15009-processing-journal-epa-renewable-fuel-targets-put-pressure-on.md) | +2.0% | -3.7% |
| SOY | 2026-08-01 | [U.S. Biofuel Boom: What’s Driving Record Soybean Crush, and Will It Fuel Higher Prices?](https://feedsoft.ai/events/18452-u-s-biofuel-boom-what-s-driving-record-soybean-crush-and-will-it-fuel-higher.md) | -1.3% | +8.9% |

## Sources

- foodprocessing.com: https://www.foodprocessing.com/ingredients/fats-oils-omegas/news/11293795/biofuel-refining-drives-edible-oil-prices

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.