US biodiesel imports to double in 2016: report
In Houston, Argus projects that imported biodiesel volumes will double in 2016, stating that “as suppliers in Argentina and elsewhere boost volumes after the US government issued clearer rules for blending tax credits and volumes.” Argus pointed to the official 40% devaluation of the Argentine peso as another trigger — biodiesel had been traded only at the official 9.75 pesos to the dollar rate, as opposed to a flourishing black market at 14:1.
The US Energy Information Administration projects that “imports expected to increase by 68pc from 28,000 b/d to 47,000 b/d in 2016, according to the Energy Information Administration (EIA). US production is forecast to increase by 23pc from 87,000 b/d to 107,000 b/d in the same period.” Overall, with 2016 biodiesel volumes mandated under the Renewable Fuel Standard expected to grow to 1.9 billion gallons, imports are expected to reach the 38% level next year. For the first three quarters of 2015, biodiesel imports more than doubled from 2,5M to 5.3M barrels, with Argentine biodiesel accounting for 50 percent of the total.
Category: Fuels
