CHS sees US ethanol exports rising 15% during 2016/17

In Iowa, CHS expects ethanol exports to increase another 15% during 2016/17 following a 26% increase during 2015/16, with increased demand likely coming from India whose domestic supplies are far short for its 5% blending mandate, or other countries such as the Philippines, Canada and Mexico. The United Arab Emirates, Canada and Mexico could increase their blending mandates, which the company says could lead to further demand for US exports. If exports don’t pick up, then production will have to slow in order to balance the market.