Brazilian biodiesel contract logistics differentials for November–December fell by more than R$30/m³ from the September–October period, leaving regional indexes negative. The steepest declines were in Mato Grosso: R$70/m³ in Sorriso–Nova Mutum and R$35/m³ in Cuiabá–Rondonópolis; Rio Grande do Sul fell R$9/m³.
High soybean-oil costs, accumulated inventories, and constrained diesel availability weighed on negotiations and demand.
Weak biodiesel buying and excess inventories pressure biodiesel differentials and reduce producers’ ability to pass high feedstock costs through to buyers. Softer biodiesel demand may also limit support for soybean-oil demand and prices.
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