Material Insights · Understanding the Material World

Biodiesel (FAME): Feedstocks

Why used cooking oil is worth more than its fuel value

What this tab covers What it is made from and what it feeds: the raw materials and energy per tonne with their share of cost (linked to the commodity table), who is low-cost and why, and the chemicals made from it.

Oil or fat is about 80-85% of the cost of FAME, so producers sit beside palm refineries, soy crushers or rapeseed crushers, or collect waste oils. Methanol adds the methyl group. Credits for waste feedstocks in the EU and California make UCO and tallow worth more than their fuel value.

Inputs per tonne

InputQuantity per tonneRoleShare of costSource
PO Palm oilabout 1.0 t oil per t FAMEmain feedstock in Indonesia, Malaysia, Thailandabout 80-85% (indicative)palm_oil tile; indicative
Soy Soybeansabout 1.0 t per tmain feedstock in the US, Brazil, Argentinaabout 80-85% (indicative)soybeans tile
Rs Rapeseedabout 1.0 t per tEU's largest single feedstock (33% of FAME and HVO feedstock, 2025)about 80-85% (indicative)European Biodiesel Board Statistical Report 2025-2026 (Jun 2026)
Used cooking oil, tallow and other wastesabout 1.05-1.1 t per t (indicative)low-carbon feedstock; UCO 16.5% of EU feedstock (2025)about 75-85% (indicative)European Biodiesel Board Statistical Report 2025-2026 (Jun 2026)
Methanolabout 0.1 t per t (indicative)methyl group; biodiesel takes about 11% of North American methanol (methanol tile)about 3-5% (indicative)methanol tile

Who is low-cost, and why

Indonesian palm biodiesel is cheapest at the plant gate but is subsidised by the export levy fund; Argentine and Brazilian soy biodiesel is next. EU rapeseed FAME and US soy FAME are higher cost and rely on mandates and credits; UCOME costs more than palm but earns the most credit value.

Raw materials on the commodity table

PO Palm oilSoy SoybeansRs Rapeseed

What it is made into

ProductNote
Glyc Glycerineabout 0.1 t crude glycerine per t FAME, the largest source of world glycerine
FAl Fatty alcoholsmethyl esters are hydrogenated to fatty alcohols
Srf Surfactantsmethyl ester sulphonates (MES)