USDA ERS Publishes Report on Ethanol, DDGS Export Opportunities

by Erin Voegele (Ethanol Producer Magazine) In October, the USDA Economic Research Service published a report on global ethanol mandates that outlines the opportunities for exports of U.S. ethanol and distillers dried grains with solubles (DDGS).

According to the report, more than two dozen countries currently have ethanol mandates in place, while many others have ethanol targets or encourage use of the fuel without setting official requirements. The ERS said that increased use of ethanol globally could provide strong and diverse export opportunities for U.S. ethanol and coproducts.

The 32-page report includes case studies on market potential in Argentina, Canada, China, Colombia, India, Japan, Philippines, Thailand and a group of other countries.

According to the report, the U.S. exported ethanol to more than 50 countries in 2015. Over the past five years, more than 100 countries have imported fuel ethanol from the U.S. The report states that if major economies start implementing their existing target blend rates, U.S. ethanol producers would have much larger foreign market opportunities.

South Korea and Vietnam in particular have recently increased imports of U.S. DDGS.