Analysis: Biodiesel has edge over Brazilian ethanol in RFS compliance

01/17/2013 | Farmdoc Daily (University of Illinois)

Under current market conditions, homegrown biodiesel holds an economic edge over Brazilian ethanol in meeting this year's advanced-biofuel requirement under the Renewable Fuel Standard, according to Scott Irwin and Darrel Good, economists at the University of Illinois, reversing a previous forecast. However, an increase of at least 40 cents per gallon in the price of biodiesel would tilt the economics of advanced-biofuel compliance in favor of Brazilian ethanol, Irwin and Good write.

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Farmdoc Daily (University of Illinois)

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