Ethanol margins are under pressure. In the last year, NDSU Extension says there were at least 15 plants idle or shutdown. NDSU Extension Bioenergy Economist Dave Ripplinger says looking ahead, ethanol demand will need to grow and while E15 availability year-round is good news, it will take time to implement. Building new export markets could also help, but for right now, a major user of corn is under pressure. This will impact corn prices and demand for at least the next year. “Prices, in general, will be lower. We’ll see what happens with local prices. That’s the big question right now,” says Ripplinger. “There’s also some positive things going on with ethanol in North Dakota, like taking advantage of low-carbon ethanol markets. Corn farmers should stay on top of what’s going on and as always, take the time to market corn throughout the year.”
Subscribe to RRFN
Get a weekly digest from RRFN to stay up-to-date on all the latest news in agriculture.