U.S. ETHANOL EXPORTS STILL A BRIGHT SPOT
U.S. ethanol exports totaled 162.3 million gallons (mg) in April, according to government data released this month and analyzed by the Renewable Fuels Association (RFA). This represents a 25% drop from the near-record export volume recorded in March, but still tallied as the fourth-largest monthly export volume in six years.
Brazil was the leading destination for U.S. ethanol exports for the sixth straight month, receiving 61.0 mg (38% of total exports), although shipments to the country scaled back by 36% from March.
Canada received 27.6 mg of U.S. ethanol in April, up 13% from March and a six-month high (17% market share). U.S. ethanol exports also flourished in several previously tepid markets in April, including Oman (12.6 mg, up 254% from March) and the Netherlands (11.4 mg, up 583%). The U.S. also continued modest export growth in India with a 4% gain over March with 12.3 mg.
As predicted, China stepped completely out of the market for the first time in six months, as the implementation of the additional 15% import duty shut out U.S. product. Year-to-date exports stood at 684.3 mg through April—44% stronger than the first four months of 2017—implying a record annualized export volume of 2.05 billion gallons.
You can read the rest of this report from the Renewable Fuels Association here.
IL Corn continues to prioritize promoting ethanol markets with its work at the U.S. Grains Council. Together, we are equipping experts with the knowledge and the means to address other countries where they are in their renewable fuel policies and help them understand how corn-based ethanol can contribute to their overall goals.
This strategy has seen success in both Mexico and Japan, and we continue to take the lessons we’re learning to other countries that could benefit from more corn-based ethanol in their fuel supplies.
Ethanol exports are certainly the bright spot in ethanol markets and represent the most significant growth market for corn farmers and ethanol producers.