Opportunity on the Horizon for US Ethanol

Fuel pumped into American gas tanks could soon have higher ethanol content. E15, or fuel comprised of 15% ethanol, is being sold across the country despite opposition by petroleum trade groups who want the standard to remain at 10% ethanol (E10). In coming years, consumers might overlook E15’s lower mileage per gallon and choose cheaper E15 fuel over E10. The US ethanol industry hopes the government will waive the Reid Vapor Pressure (RVP) ban restricting the domestic sale of E15 during the summer months. A waiver would create an even larger domestic market for corn ethanol and potentially increase annual ethanol demand to 72 billion liters. The US would need to become a net importer of ethanol or have to increase corn production to meet demand. Gro Intelligence provides subscribers with data and analytics to stay ahead of developments impacting the US ethanol industry.