At The Very Edge

On a monthly basis, Fletcher Oils reviews its standard Rebate. We do this by analysing the movement in the price of UCOME [Biodiesel], which is the key driver of UCO price.

Fletcher Oils began trading in late June 2022 and set our first Rebate on July 1st, this initial Rebate was locked to the UCOME price at that time; we have added this point on the graph below.

At the end of each month, if the UCOME price has moved up or down by 25% or more from the July 1st 2022 level, we will adjust our Rebate similarly.

No other UCO collector in the UK are this open and honest about their Rebate strategy.

At the end of March, the UCOME price has dropped by 24.84%, therefore Fletcher Oils will leave our Rebate unchanged as the 25% movement was not reached; we have added this point on the graph below.

However, at the time of writing this, prices have fell some more and if we were running the numbers today, our rebate calculation would require us to inform our clients that their rebate will unfortunately need to drop.

There are a lot of positive comments about Soy Bean and Rapeseed futures rising in Q3/Q4, which 'should' correct this ridiculous drop in oil prices.

But we really are hanging onto the cliff edge with our fingernails at the moment...