EIA: US ethanol still likely to lead world export market

Ethanol Producer Magazine
By Susanne Retka Schill
July 20, 2012

The U.S. ethanol industry is on track to be a net exporter of ethanol in 2012, although at lower levels that last year’s record. The U.S. Energy Information Administration (EIA) highlighted ethanol in its July 18 report, “This Week in Petroleum.”

The EIA pointed to a number of factors that will influence the U.S. ethanol trade balance. “Sluggish gasoline demand, combined with ethanol blending limits, is currently restraining domestic consumption levels,” the report says. “At the same time, increased renewable fuel standard (RFS) mandates call for higher volumes in the fuel supply. In addition, sugarcane ethanol exported from Brazil looks to rebound from a low year in 2011 and compete with U.S. corn ethanol in the world market.” Though there will be uncertainty, EIA is projecting U.S. export volumes will remain significant and lead world trade in 2012.

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