Business · Energy & Commodities · 5 hrs ago
Australian tallow could help produce fuel at home
Australia imports 90 per cent of its diesel, leaving transport, farming and mining reliant on fuel from overseas.
Disruption to global oil supplies linked to the Iran war has renewed concern about that dependence.
Tallow, a product made by processing animal fats and other materials, can be combined with used cooking oil and canola oil to make renewable fuels.
Australia exports most of its tallow, with strong demand from the United States helping push exports to a record $1.5 billion last year.
Industry leaders say using more of it at home could support a domestic renewable-fuel industry and improve fuel security.
GrainCorp, Ampol and IFM Investors are working on plans for a low-carbon liquid fuel refinery at Lytton in Brisbane, with GrainCorp supplying the raw materials.
The Australian government has committed to a Cleaner Fuels Program, and related policies are being written.
Australia imports 90 per cent of its diesel, and disruption to global oil supplies has highlighted the country’s dependence on fuel imports.
Industry representatives say Australian tallow, a by-product of meat processing, could help produce renewable fuel domestically.
Australia is the world’s biggest exporter of tallow and animal oils, with exports reaching a record $1.5 billion last year.
GrainCorp, Ampol and IFM Investors are working with the government on a proposed low-carbon liquid fuel refinery at Lytton in Brisbane.
- Who
- GrainCorp and its partners Ampol and IFM Investors are working on a proposed domestic fuel refinery. The Australian Renderers Association also supports building a domestic industry.
- What
- Australian tallow could be used to produce renewable fuel at home.
- When
- The article was published on November 6, 2026. Tallow exports reached a record value last year.
- Where
- Australia, with a proposed refinery at Lytton in Brisbane.
- Why
- Domestic renewable fuel production could support Australia’s fuel security and reduce dependence on imported diesel.
This story does not have two clearly opposing sides.
Parwan Protein and Tallow opened a rendering plant north-west of Melbourne at a cost of about $40 million.
Australian tallow exports reached a record $1.5 billion.
- Diesel imports
- Australia imports 90 per cent of its diesel
- Tallow exports
- Record $1.5 billion last year
- Raw materials
- About 3 million tonnes a year available to render
- Proposed refinery
- Lytton, Brisbane
- Plant investment
- Parwan Protein and Tallow opened in 2023 at a cost of about $40 million
What people are saying
What's happened in the Strait of Hormuz is fuel security has become really important
That would be a refinery here at Lytton in Brisbane and GrainCorp would be the feedstock supplier to that project
We're really hopeful that we can support a domestic industry and our fuel security