American corn and soybean growers have fresh reason for optimism this fall as biofuel demand keeps climbing at home and abroad.
New figures from the Renewable Fuels Association show U.S. ethanol exports rose 6% in August to 211.8 million gallons — a five-month high. Canada remained the top customer, taking 84.8 million gallons, or nearly 40% of total shipments. Through August, ethanol exports reached 1.62 billion gallons, up 12% from last year's pace and representing roughly 560 million bushels of corn demand.
The feed side of the business is just as strong. Exports of dried distillers grains climbed 8.1% in August to 1.3 million metric tons, the largest monthly total since 2015. Mexico stayed the top buyer, while Indonesia and New Zealand hit record volumes, pushing year-to-date DDG exports to nearly 9 million metric tons.
Looking further out, an analysis from Transport and Environment suggests new biofuel mandates — tied to the US-Iran conflict and rising crude prices — could push U.S. cropland devoted to biofuel production to almost 70 million acres by 2030, more than 2.5 times 2023 levels.
Not every country is buying, though. Brazil, the world's second-largest biofuel producer, is ramping up its own corn ethanol industry as a growing competitor.
This synopsis was created with the use of AI.