T2 ethanol at seven-week high despite Rotterdam storage overflowing with stock

In the Netherlands, European T2 ethanol prices have reached a seven-week high despite storage capacity being at maximum levels. Stock-building is due to increase demand resulting from summer driving season that will boost consumption during Q2 and Q3 but the fact prices are still going higher despite “flooded” conditions at Rotterdam indicates demand will be higher than expected. Crushing margins remain high for both wheat and corn ethanol producers, encouraging those online to continue producing and those offline to support their industry partners by remaining offline.