European ethanol market seen stabilizing post-pandemic by early autumn

In the Netherlands, Platts reports European T2 ethanol are starting to stabilize as the post-pandemic reality starts to set in. Prices jumped more than 50% since the start of the year but prices aren’t expected to remain so high for much longer despite currently hovering around seven-month highs. But even so, short-term spot prices continue to see volatility due to uncertainty about supply availability as people start to return to normal lives post-lockdown. So while prices remain in contango for the next couple of months, they’re expected to revert to backwardation—the standard for 2019—by the end of the summer or early fall.