American Coalition for Ethanol CEO Brian Jennings says the U.S. ethanol industry had a doozy of a year. “Production and use are off on an annualized basis by about two billion gallons. Instead of producing 16 to 17 billion gallons this year, we’ll be producing 14.5 billion gallons tops. Use will also be down significantly,” says Jennings. “Producers are preparing for this to continue, especially as we see the virus continue to spread and states threatening to impose additional lockdowns. Thankfully, we do see some discipline in the marketplace where we see some producers curtailing production or shutting down facilities.” This may restore some demand, but Jennings says the tough marketplace is expected going into 2021. This includes the Northern Plains. “Even though we don’t see some of those lockdowns in the Northern Plains, it does negatively impact production. We’ll be looking at export opportunities in the next few months.”
News Categories
Latest RRFN Podcasts
Subscribe to RRFN
Get a weekly digest from RRFN to stay up-to-date on all the latest news in agriculture.