ADM wants higher limits for ethanol blends
June 8, 2010

ADM is asking the EPA to consider increasing ethanol limits in gasoline from the current 10% blend to a 12% blend for all cars, and is supporting an ethanol-industry group request to allow 15% blends of ethanol to be sold. The EPA is apparently reluctant to allow a 15% blend to be used, since some parties (including ethanol retailers) are concerned the higher alcohol percentage could damage older cars. Falling corn prices are good for lowering costs at ethanol plants, but they are also fighting against a saturated market for ethanol, which puts pressure on their revenues. Higher percentages of ethanol in gasoline blends would raise the ceiling on demand and allow ethanol producers to expand their production capacity -- something that hasn't been done much for the last few years. Lots of smaller ethanol refineries have been hurt by lower ethanol prices and by tougher competition all around.

We supply lots of products used in ethanol production. Please feel free to contact us with your questions.

June 2010
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last revised June 2010