MARKETS >
T a l l o w a n d G r e a s e : The U, 5* Will Probably Supply t h e World with More . . . νΚ·:-''Tliis Y e a r -·' îi ~^é^M^M^SM^Md^-^Tiiiiun^WEit'^^^^ 1.53 Billion Pounds
^è^S^^'-^^SIH
ι
Net imports:byc]*-: importing nations ^1959: ; χ ^
Ρ Of which I L · ^ V may supply ;'^
*y-.v;· 41*&ώ ~^ Î;,'-* -
1
-,
: Net imports; by f importing nations in 1958 ^;
"^- -
Rise in Fats Exports Predicted D e m a n d on U. S. supplies of t a l l o w and grease likely to e x p a n d 6 0 million pounds in 1959 A .
PRIVATELY
CONDUCTED SUlvey of
world markets for animal fats indicates t h a t in 1959 this country will export a slightly increased total of tallow and grease—1.15 billion pounds—to foreign consuming nations. This is some 60 million pounds more than in 195S. Exporting nations outside of the U. S. m a y , in addition, have to send t h e consuming countries some 380 mil lion pounds, making the total foreign requirement 1.53 billion pounds. Rob ert D. Willemin brought these facts to light at the annual N e w York con vention of t h e Association of American Soap a n d Glycerine Producers. Tallow a n d grease comprise one raw material in fat splitting- T h e other three a r e soapstock. tall oil, and coconut oil. L e t t e r s from abroad, says Wille min, a commodity specialist for Merrill L y n c h . Pierce, Fenner and Smith, bring o u t these f a c t s : • ïn rnn^t of thf* world outside the 32
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FEB. 2,
1959
^oCyh^ - - suppli
U. S., final consumption of tallow and grease still takes place largely in the soap kettle. • Detergents production is still increasing outside of the U. S., and is getting started in countries which were strictly soap producers previously. However, in many areas it has not yet adversely affected soap production. • Effect on Soap. The lagging detergent effect on foreign soap production, Willemin says, is the result of an increasing standard of living which has stepped up d e m a n d for soap and detergents. I n this country, with the likelihood of sharply increased hog slaughter and heavier weights of. cattle, the production of tallow and grease in 1959 may be 150 million pounds greater than in 195S. At the same time, this year might see a decline of 30 million pounds in tallow and grease consumption for soan. reflecting; a continued de-
crease in soap production. But, on t h e other hand, it can be assumed that d e m a n d for tallow and grease for industrial products will increase 30 million pounds, says Willemin. This would result from the generally expected rise in industrial activity. Thus, of the 150 million pound production increase in 1959, 60 million pounds will b e exported, and the remaining 9 0 million pounds will b e available to the fat splitter and the feed manufacturer. Feed manufacturers, unlike other consumers, are influenced by prices in the amount of animal fats they use. They are extremely price conscious, and it is here that t h e cost of tallow is often established. But other things enter into the feed manufacturer's calculations when he is contemplating a change in formulas. Broiler rations, for example, may often require the addition of fat as well as a high protein ingredient, and both may replace corn. 1 here is a gam m feed efficiency, b u t whether it is an economical gain depends on the cost of the fat, protein, and corn. Willemin concludes t h a t on the basis of prices for protein, corn, and broilers, feed mixers will be less enthusiastic this
\
W E E K ' S PRICE CHANGES January 26, 1959 Advances CURRENT
PREVIOUS
A m m o n i u m tutrat»· l i m e •S 10.50 S 41.00 stone, t o n Coconut oil, crude, Coast. 0.18 lb. ο.ΐδ'Λ 211.50 JÔO.UU C o p r a . Coa.-t, i o n 0.90 3 , s Silver bullion. 02. o.9oy 8 Sodium nitrate, bulk, ton: 40.50 11.50 Domestic 40.50 il.50 Chilean Soybean meal. Decatur, 02.00 Ofî.OO ton T i n metal, lb. 0.98V4 0.99V» Tin Salts, lb.: 0.771 0.770 Potassium stannate 0.028 0.033 Sodium stannate S t a n n o u s chloride. 0.ΪΙΗΛ 0.989
Q0 FURFURYL ALCOHOL HC
CH
II
II
II
IIC - C H 2 O H
HC
Declines Benzyl acetate, lb. S Cîrease, yellow, l b . Iso>>htha)ic a c i d , i b . : ci. l.c.l. L e a d m e t a l , lb. L e a d o x i d e s , c.l., l b . : Red lead, dry, 9 5 % 97% 98% Lâiiiàr&v; O r a n g e mineral Naphthalene, crude, dom e s t i c , lb. N a p h t h a l e n e , réf.. l b . Phthalic anhydride. Ib.: T a n k cars c.l. l.c.l. P h t h a l a t e esters, t a n k s , i b . Dioctyl A^iioGOv t y 1
Dibutyl Dimethyl Diethyl S o y b e a n oil, Decatur, lb. Tallow, fancy, lb. T u n g oil, ib.: Imported, tanks D o m e s t i c , c.l. 2-Vinylpyridine, tanks. lb. * E f f e c t i v e F e b . 1.
0.55 S O.OtiVs
0.58
0.152 0.162 0.12
0.22 0.23 0.13
0.1 4 «Λ 0.1445 0.1400 0. î o v ' 4 0.1000
0.15 «Λ 0.1545 0.1500 0.î î */* 0.1700
0.05 0.09V*
0.07
0.10 «Λ 0.17 0.18
0.201 ' , 0.21 0.22
0.25 0.25 0.20 0.25 0.25 0.093/8 0.07 V«
0.28 0.28 0.30 0.29» ' · . 0.29»/·· Ο.Ο91/-» 0.07 y s
0.21 y 8 0.223/4
0.21 y 4 0.23
1.15*
1.25
o.ooy»
0.113/4
year about adding fats than they were last year. This could be changed by a more favorable price for animal fats. • Coconut Oil Supplies. Coconut oil in 1958 provided one of the most brilliant displays of price fireworks seen in the fats and oils market in some time. T h e cause: lower world production a n d reduced export supplies. Further, coconut oil consumption in the U. S. was less flexible; completely ignored was the fact that though there was less oil to go around, it remained at the same rate as t h e year before. As a result, inventories went down. This only invited a day of reckoning, and in the case of coconut oil it arrived with a bang, Willemin observes. But th ere seems tr» Κ eiiy general agree ment, h e says, that increased supplies will b e seen in the last half of 1959. And as far as the largest supplier—the Philippines—is concerned, there may be near-record nrnrhietion.
AH these uses: 1. Resinifies to form corrosion-resistant resins. 2. Dissolves as well as reacts with many resins. 3. Improves gap-filling and craze-resistant properties of urea adhesives. 4. Wets mineral surfaces. 5· Is a chemical intermediate. 6. Disperses many difficultly soluble substances.
Write today for Bulletin 205 which describes QO FurfuryS Alcohol, its chemistry, physical properties and uses. * IlllJWIlfliJJ
The Quaker Oafs (pmpany CHEMICALS
DIVISION
3 3 3 W The Merchandise Mart, Chicago 54, I l l i n o i s
Quaker Qafs (pmpany ""•£
Room 5 3 3 W , 1 20 Wall Street, New York 5, N e w York Room 433 W, 48 S.E. Hawthorne Elvd., Portland 1 4 , Oregon In ihe United Kingdom· '~>per:::! Chciv.icù! î.iJuai r les, Lia., London, England in Europe: Quaker Oats-Graanproducten N . V., Rotterdam, The Netherlands; Quaker Oats (France) S. Α . , 3 , Rue Pillet-Will, Paris IX, France; A / S " O t a , " Copenhagen, S . Denmark In Australia: Swift & Company, Ltd., Sydney In J a p a n : F. Kanematsu & Company, Ltd., Tokyo
FEB.
2,
1959
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33
