It would seem the real future growth for U.S. biofuels lies in the export market.New reports indicate that Navigant Research has released a study projecting that global biofuel use will grow from 32.4 billion gallons in 2013 to 51.1 billion by 2022, an increase of 18.7 billion gallons. This projection is surprisingly bearish when compared to the U.S. Renewable Fuel Standards (RFS). The RFS itself increases by more than 20 billion gallons between now and 2022, exceeding the total global expansion that Navigant projects.Per Navigant's study, ethanol's share of the biofuel market will drop from the current 78 percent to about 69 percent in 2022. That would imply 35.25 billion gallons of ethanol. In comparison, the RFS call for 15 billion gallo...
From WPI Consulting
Communicating importance of value-added products
Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.