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September 25, 2009 | Jim Lane | Comments 0

Bunge, Louis Dreyfus and Aceitera may increase capacity as B5 Argentine biodiesel mandate looms

In Argentina, Bunge, Louis Dreyfus and Aceitera General Deheza are in talks with the national government on opportunities to increase biodiesel production to meet demand expected from the imposition of a B5 biodiesel mandate next year. Initially, the national government hoped that small producers would be able to cover additional demand, but large suppliers are now expected to make up at least some of the additional demand.

Argentine biodiesel producers have about 2 million tonnes in annual capacity, and the local mandate is expected to add up to 800,000 additional tonnes of demand.

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