Fastmarkets launches price assessment for UCO Straits: pricing notice

This decision was first proposed in a methodology note published on April 24.

Used cooking oil (UCO) is a waste-based feedstock collected from food service operations and food processing facilities after cooking. It is widely used in the production of Hydrotreated Vegetable Oil (HVO) and Sustainable Aviation Fuel (SAF), making it one of the most actively traded biofuel feedstocks globally.

The Straits region is one of the world’s key origination hubs for UCO supply but it has lacked a transparent independent benchmark price. Fastmarkets is launching this assessment to provide greater price transparency at source as demand for waste-based feedstocks continues to grow across global HVO and SAF supply chains.

The introduction of the new price assessment will broaden the coverage of the biofuel feedstock coverage and enhance Fastmarkets’ robust biofuel coverage in Americas and Europe.

The specifications for the price assessment are as follows:

AG-UCO-0016 – Used cooking oil, fob Straits
Specifications: Free fatty acids (FFA) max 5%; moisture, impurities and unsaponifiable matter (MIU) max 2%; iodine value (IV) min 50 g iodine/hg; sulfur content max 50 ppm; ISCC certified
Quantity: 2,000-5,000 tonnes
Incoterm: FOB
Location: Straits – ports in Malaysia and Singapore
Unit & currency: USD/tonne
Delivery period: Shipment within 45 days following the date of sale
Data window: Up to Thursday, 6pm Singapore Time
Publication frequency: Weekly, Thursdays

This assessment will be part of the Fastmarkets fats, oils and biofuels package.

To provide feedback on these price assessments, or if you would like to provide price information by becoming a data submitter to these prices, please contact pricing@fastmarkets.com and biofuels@fastmarkets.com. Please indicate if comments are confidential. Fastmarkets will consider all comments received and will make comments not marked as confidential available upon request.

To see all Fastmarkets pricing methodology and specification documents, go to the Fastmarkets methodology page.