In the News

US Ag Net

January 12, 2018

By Iowa Ag Connection

Iowa Secretary of Agriculture Bill Northey announced that Kwik Trip, Inc. the Iowa 80 Truckstop in Walcott are the 2018 winners of the Secretary's Ethanol and Biodiesel Marketing Awards. The awards were created by the Iowa Department of Agriculture and Land Stewardship to recognize fuel marketers that have gone above and beyond in their efforts to promote and sell renewable fuels.

"Kwik Trip and the Iowa 80 Truckstop have both made marketing renewable fuels a central part of the business and it is great to recognize the commitment and investment they have made to do it successfully," Northey said.

The Secretary's Ethanol and Biodiesel Marketing Awards were designed to recognize businesses that market the renewable fuels they have available through creative efforts including, but not limited to: hosting special events highlighting their renewable fuels, development of creative signage, initiation of new advertisements or marketing efforts, and dramatically increase renewable fuel availability.

The winners were announced and recognized during the Petroleum Marketers & Convenience Stores of Iowa Annual Meeting in Des Moines. The Petroleum Marketers and Convenience Stores of Iowa (PMCI) is a non-profit state trade association serving the needs of independent petroleum marketers and convenience store owners throughout the state of Iowa.

"Fuel marketers allow customers to access ethanol and biodiesel blends produced right here in Iowa. Our state is a national leader in renewable fuels production, and we are very fortunate that many retailers are making significant investments to provide their customers with renewable fuels," Northey said.

Kwik Trip is winner of the 2018 Secretary's Ethanol Marketing Award. Kwik Trip, Inc. is headquartered in Lacrosse, Wisconsin and operates 86 stores in the state of Iowa, 69 of those locations sell fuel. Kwik Trip, Inc. currently has 25 locations in the state of Iowa selling E15 and 25 locations selling E85.

Kwik Trip began its commitment to marketing high ethanol blends in 2003 when they began marketing E85. In February of 2017, Kwik Trip, Inc. began marketing E15 at 4 of their locations. Since February of 2017, Kwik Trip has rapidly expanded its investment into E15, offering E15 at over 300 locations.

In less than one-year, Kwik Trip, Inc. has become the nation's leading offeror for E15.

Kwik Trip believes E15 is a standard fuel and needs a consistent name, so customers will repeatedly associate the name with the fuel. Kwik Trip, Inc. markets E15 under the grade name Unleaded 88. This new marketing has brought the highest adoption rate for sales of their Unleaded 88 product in Iowa surpassing the sales of similar offerings in Minnesota and Wisconsin. Along with their own successful marketing of E15, Kwik Trip believes that the state of Iowa's leadership on ethanol paired with educational outreach directed at consumers has contributed greatly to the success of E15 sales in the state of Iowa.

Kwik Trip's commitment to offer renewable fuels to Iowans is not limited to ethanol. In 2016, Kwik Trip began selling biodiesel in all their diesel gallons marketed in the state. Kwik Trip has also committed to future investments in renewable fuels. This spring Kwik Trip plans to open a blending facility in Waterloo, Iowa that will create all blends of ethanol and biodiesel, ultimately to be marketed at its Iowa locations.

Kwik Trip was nominated for the award by the Petroleum Marketers and Convenience Stores of Iowa.

Iowa 80 Truckstop in Walcott is the winner of the 2018 Secretary's Biodiesel Marketing Award.

Iowa 80 Truckstop has offered biodiesel since 2002, which makes this the 15th anniversary of their program. The company received an Iowa Renewable Fuels Infrastructure Program grant to install the necessary equipment to offer biodiesel, and the truck stop now offers between B11 and B20 blends throughout the year.

The company has long been a supporter of renewable fuels and the Renewable Fuel Standard. Most recently, company owner Delia Moon Meier published an op-ed in the Des Moines Register supporting biodiesel and the RFS. She said, "The Renewable Fuel Standard (RFS) is important to Iowa. This program enables fuel retailers, including my truck stop on Interstate 80, to incorporate cleaner burning fuels such as biodiesel and ethanol into our fuel supply, and lowers prices at the pump and helps create jobs here in Iowa."

Located on Interstate 80 about 10 miles west of Davenport, Iowa 80 Truckstop bills itself as "The World's Largest Truckstop," and is a prominent fueling location. Making biodiesel available at a prominent, well-known location boosts biodiesel's exposure and credibility, particularly with truckers, an important market where acceptance is needed as biodiesel grows.

Iowa 80 Truckstop was nominated for the award by the Iowa Renewable Fuels Association and the Iowa Biodiesel Board.

Iowa leads the nation in the production of ethanol and biodiesel. According to the Iowa Renewable Fuels Association, Iowa has 43 ethanol refineries capable of producing more than 4 billion gallons annually, including nearly 55 million gallons of annual cellulosic ethanol production capacity. In addition, Iowa has 12 biodiesel facilities with the capacity to produce nearly 350 million gallons annually.

The Iowa Renewable Fuels Infrastructure Program offers cost-share grants for the installation of E85 dispensers, blender pumps, biodiesel dispensers, and biodiesel storage facilities. The grant program is managed by Iowa Department of Agriculture and Land Stewardship and more information can be found on the Department's website at www.IowaAgriculture.gov

Read the original article: Renewable Fuels Marketing Awards to Kwik Trip, Iowa 80

Nebraska Corn Board

January 11, 2018

Press Release

Big Ten Network viewers, meet Mike. Mike is the animated star of a new advertising campaign initiated by the Nebraska Corn Board. He’s a smart guy who cares about his car and its engine performance. In these 15-second and 30-second television commercials, a narrator describes why Mike chooses clean-burning, high-performing E15, which is a fuel choice blended with 15 percent American Ethanol.

In order to maximize the frequency and reach of the commercials on the Big Ten Network, the Nebraska Corn Board partnered with the corn checkoff boards from Iowa, Illinois, Ohio and Kansas to amplify overall exposure. The collaboration also helps establish consistent ethanol messaging between major corn producing states.

“We’ve been working for a number of years to develop and implement a campaign on the Big Ten Network,” said Dave Merrell, farmer from St. Edward and chairman of the Nebraska Corn Board. “BTN has a loyal following across the nation. With this widespread coverage, we’re able to reach parts of the country that may have the infrastructure for higher ethanol blends, but don’t necessarily have the advertising budgets to educate consumers.”

“Consumers are seeing more choices at the pump, which is great, but it can also be confusing,” said Paul Jeschke, farmer from Mazon, Illinois, and chairman of the Illinois Corn Marketing Board. “With this campaign, we chose to focus on E15, which can be used to fuel most cars on the road today and can be found at more than 1,300 fuel stations across the country.”

A website was also created to complement the television spots. On this website, motorists can provide their location to identify E15 fueling stations near them. The website is available by visiting http://www.getbiofuel.com/BTN.

“As corn states, we all have the similar goal to enhance demand for our farmers,” said Duane Aistrope, farmer from Randolph, Iowa, and president of the Iowa Corn Promotion Board. “Ethanol has been a huge driver of corn demand, and there is still so much potential for more growth. There are also so many benefits for consumers to fill up with more homegrown fuel that’s safe for their engines and better for our environment. We hope this campaign will encourage consumers to fuel up with higher blends of ethanol.”

The E15 television commercials began airing in January 2018 during the men’s basketball season and will continue to air through the next seasons of football and volleyball. In addition to the airings on the college sports network, the spots will be added to local network and cable channels.

To view the 30-second commercial, click here.

Read the original release: Corn States Partner Together for E15 Television Campaign on Big Ten Network

Ethanol Producer Magazine

January 10, 2018

By Erin Voegele

The U.S. Energy Information Administration has released the January edition of its Short-Term Energy Outlook, predicting that ethanol production in 2018 and 2019 will be maintained at the 2017 level.

Ethanol production averaged 1.03 million barrels per day in 2017. The EIA currently predicts that production level will remain steady at 1.03 million barrels per day this year and next year. In its December STEO, the EIA predicted that ethanol production would increase to 1.04 million barrels per day in 2018.

Ethanol consumption, however, is expected to increase, from 940,000 barrels per day last year to 960,000 barrels per day in 2018 and 970,000 barrels per day in 2019. The EIA said this level of consumption results in the ethanol share of the total gasoline pool increasing from an average of 10.2 percent in 2017 to an average of 10.3 percent in 2018 and 2019. According to the EIA, the increase assumes that recent marginal growth in higher-level ethanol blends continue during the forecast period.

Biodiesel production averaged approximately 105,000 barrels per day last year and is expected to increase to 117,000 barrels per day this year and 128,000 barrels per day next year. The EIA attributes the forecast increase to recent duties imposed on foreign biodiesel imports from Argentina and Indonesia, which is expected to reduce net imports of biodiesel from an estimated 41,000 barrels per day in 2017 to 32,000 barrels per day in 2018 and 35,000 barrels per day in 2019.

The January STEO notes that U.S. regular gasoline retail prices averaged $2.48 per gallon in December, down almost 9 cents per gallon from the November average, but up 22 cents per gallon when compared to the prices during the same period of 2016. U.S. regular gasoline prices averaged $2.41 per gallon last year and are currently expected to increase to $2.57 per gallon this year and $2.58 per gallon next year.

The EIA’s most recent weekly ethanol production data shows production averaged 1.032 million barrels per day the week ending Dec. 29, down from 1.09 million barrels per day the previous week. The most recent monthly import data shows the U.S. imported 69,000 barrels of ethanol in October, all from Canada. During the same month, the U.S. exported 2.231 million barrels of ethanol, primarily to Canada, Spain and India. 

Read the original article: EIA Predicts Increased Ethanol Consumption in 2018, 2019

Ethanol Producer Magazine

January 09, 2017

By Erin Voegele

Japan’s Ministry of Economy, Trade and Industry has opened a public comment period on proposed changes to its ethanol policy that would allow for the import of U.S. corn ethanol for use in the production of bio-ETBE. A document filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network specifies that the comments can be submitted in Japanese on government’s website. The public comment period is open through Jan. 18.

The proposed changes to Japan’s ethanol policy set a default greenhouse gas (GHG) emissions value for U.S. corn ethanol at 43.15 grams of carbon dioxide equivalent per megajoule (gCO2eq/MJ). The proposed changes also increase the default GHG emission value of Brazilian sugarcane-based ethanol from 32.7 gCO2eq/MJ to 33.61 gCO2eq/MJ. In addition, the changes would revise the default GHG emission value for gasoline from 81.7 gCO2eq/MJ to 84.11 gCO2eq/MJ.

According to the document filed with the USDA FAS GAIN, the new policy would also raise the reduction target for gasoline GHG emissions to 55 percent, up from the current 50 percent.

Under the proposed policy, U.S. corn-based ethanol will be allowed for use in bio-ETBE production when combined with Brazilian sugarcane ethanol, starting in April. Based on the revised GHG emission values for gasoline, Brazilian ethanol and U.S. ethanol, the maximum share of U.S. ethanol by volume allowed in the Japanese market would be 53.73 percent.

Additional information is available on the USDA FAS GAIN website.

Read the original article: Japan Opens Comment Period on Proposal to Allow US Corn Ethanol

Ethanol Producer Magazine

January 8, 2017

By Syngenta

Syngenta has announced an agreement with CHS Inc. to use Enogen corn enzyme technology at its 130-million-gallon ethanol plant in Rochelle, Illinois. CHS is a premier ethanol producer, marketer and trader and one of the nation’s largest suppliers of ethanol-enhanced gasoline.

Enogen corn enzyme technology is an in-seed innovation available exclusively from Syngenta and features the first biotech corn output trait designed specifically to enhance ethanol production. Using modern biotechnology to deliver best-in-class alpha amylase enzyme directly in the grain, Enogen corn eliminates the need to add liquid alpha amylase and can help an ethanol plant significantly reduce the viscosity of its corn mash, improving plant performance. And, numerous trials have shown that Enogen hybrids perform equal to or better than other high-performing corn hybrids1.

Enogen corn will provide the CHS Rochelle facility with an industry-leading enzyme for enhanced ethanol production while also supporting local growers and the community. Several million dollars in premiums are expected to be paid annually to growers raising Enogen corn, locally, for the CHS plant in Rochelle.

“CHS is focused on helping its farmer-owners grow,” said Mike Van Houten, CHS Rochelle facility manager. “The Enogen program provides benefits for our plant, but is also a big win for our local community with the premium to be paid on every bushel of Enogen corn brought to us.”

CHS ethanol plants manufacture the alcohol-based renewable fuel via an advanced fermenting and distilling process that efficiently converts corn into simple sugars. The resulting ethanol product is primarily used as a fuel that is commonly blended with gasoline to increase octane and improve emissions quality. The Rochelle plant is an 81-acre, dry mill corn-based operation and was acquired by CHS in June 2014.

“The CHS Rochelle facility is a large, sophisticated ethanol biorefinery,” said Glen Edwards, Enogen account manager for Syngenta. “We are excited to be working with the CHS team in Rochelle to help the facility there operate even more smoothly and efficiently. We are proud to be partnering with CHS help keep enzyme dollars local and invest in the local community. Syngenta is committed to the success of the ethanol industry through helping plants operate more efficiently and growers serve as enzyme suppliers.”

Read the original article: CHS to Use Enogen Corn at Illinois Ethanol Plant

Renewable Fuels Association

January 5, 2018

By Ann Lewis

U.S. ethanol exports totaled 107.2 million gallons (mg) in November, up 14% from October shipments, according to government data released this morning and analyzed by the Renewable Fuels Association (RFA). Despite the imposition of a tariff rate quota and 20% tariff in September, Brazil was the leading destination for U.S. ethanol exports for the first time in six months, receiving 28.1 mg. November also saw a small volume of denatured ethanol exported to China, which has not imported any U.S. fuel ethanol in the prior 10 months. Canada scaled back its imports of U.S. product to 24.2 mg, a 29% reduction from October. Exports to India perked up at 15.5 mg, a 17% increase, while shipments to the Philippines more than doubled to 9.9 mg. These four countries accounted for nearly three-fourths of all U.S. ethanol shipments in November. Exports to all destinations for the first eleven months of 2017 stood at 1.19 billion gallons, indicating a record annualized export volume of 1.30 billion gallons.

November exports of undenatured fuel ethanol rebounded by 23% to 52.8 mg, a four-month high. Brazil increased purchases by 117% to 28.1 mg, taking over half of U.S. undenatured shipments, while the Philippines imported 6.5 mg, up 41%. Meanwhile India cut its imports in half with 6.4 mg of undenatured fuel ethanol entering the country. Switzerland (3.2 mg) and Jamaica (2.8 mg) rounded out the top five largest markets for undenatured fuel product.

U.S. exports of denatured fuel ethanol decreased by 10% from October levels to 42.0 mg. Canada again took the lead with 23.3 mg, accounting for 55% of denatured fuel ethanol exports. The remaining denatured shipments were distributed to India (5.0 mg), the Philippines (3.4 mg), Colombia (3.3 mg), South Korea (3.1 mg), China (2.4 mg), and Mexico (1.5 mg).

Overseas sales of undenatured ethanol for non-fuel, non-beverage purposes increased by 41% to 3.2 mg, with Saudi Arabia receiving 2.7 mg, or 86% of the exports. November exports of denatured ethanol for non-fuel, non-beverage purposes jumped a whopping 407% to a 68-month high (running back to March 2012). The U.S. shipped 4.1 mg of denatured non-fuel product to both Nigeria and India, accounting for the bulk of overseas sales.

For the seventh straight month this year, the United States recorded meaningful fuel ethanol import volumes. The 20.7 mg of undenatured ethanol shipped in from Brazil in November is the largest volume to enter the country in 26 months. Monthly imports have only breached 20 mg four times over the past 50 months. Year-to-date fuel ethanol imports totaled 76.5 mg, a 127% increase over the same period last year. Annualized import volumes are estimated at 83.5 mg—roughly the volume imported in 2014.

 Exports of dried distillers grains with solubles (DDGS)—the animal feed co-product generated by dry mill ethanol plants—contracted 15% in November to a six-month low of 875,302 metric tons (mt), shipped to 35 countries. Mexico cut its purchases from October, although it still remained the lead destination with 144,415 mt in DDGS exports (16% of market share). Export expansion in Vietnam showed signs of slowing with a 2% increase at 103,834 mt (12% of the DDGS exports for the month). Other leading destinations included South Korea (86,983 mt, or 10%), Indonesia (76,200 mt, or 9%), and Thailand (73,917 mt, or 8%). Turkey cut its imports by half to 59,397 mt—its lowest purchase of U.S. DDGS in thirteen months. Total year-to-date DDGS exports to all countries stood at 10.1 mmt through November, indicating an annualized total of 11.03 mmt.

Read the original story: U.S. Ethanol Exports Swell in November, as Brazil is Top Destination and China Returns to Market

World Grain

January 1, 2018

By Holly Demaree

Representatives from the U.S. Grains Council (USGC) recently traveled to Indonesia and Thailand to visit with ministry and industry officials and gain a better understanding of the opportunities for and challenges to expanded ethanol use in both markets.

“Indonesia is forecast to be the sixth largest gasoline market by 2022,” said Brian Healy, USGC manager of ethanol export market development. “Additionally, Indonesia has a goal for renewables to represent 23% of their energy mix by 2025 and to reduce greenhouse gas emissions (GHG) by 29% by 2030. Ethanol has a great opportunity to help Indonesia meet these ambitious goals.”

Indonesia instituted a national ethanol policy in 2006, but the mandate has largely gone unmet. The USGC engaged with Indonesia ministry officials in December to highlight the role of policy and trade in helping to develop a consistent supply chain for biofuels as well as capture the societal benefits of biofuels with regard to air quality and GHG emission reductions.

According to a life cycle analysis study released by the U.S. Department of Agriculture (USDA) in January 2017, GHG emissions associated with producing corn-based ethanol in the United States are 43%  lower than gasoline on an energy equivalent basis. Additionally, U.S. corn-based ethanol is expected to help reduce emissions by more than 50% domestically in the next five years.

The mission also highlighted the competitiveness of U.S. ethanol as an octane enhancer, compared to MTBE (methyl tertiary-butyl ether), aromatics or other sources.

Following meetings in Jakarta, the USGC traveled to Thailand to assess opportunities for biofuels in that market. Thailand has an effective national blend rate of 12%, utilizing domestically-sourced sugarcane and cassava-based ethanol. Domestic ethanol production is expected to total nearly 360 million gallons in 2017.

“Thailand has successfully differentiated ethanol products to consumers at the pump by using price incentives across grades of fuel and incentivizing the use of flexible fuel vehicles,” Healy said. “Thailand also produces flex fuel vehicles for its own domestic market and for export to regional markets. As a result, Thailand is a good collaborator to discuss engine technology and biofuels policy with regional partners.”

The partnership opportunities in Thailand and Indonesia are part of the USGC’s work to engage with government and industries around the world to assist in developing biofuels policies with a role for ethanol trade.

Read the original article: USGC Explores Potential for Ethanol Use in Indonesia, Thailand

Iowa Renewable Fuels Association

December 28, 2017

Press Release

JOHNSTON, IA – Iowa’s 43 ethanol plants had another record breaking year, producing 4.2 billion gallons in 2017. The slight uptick in production from 4.1 billion gallons in 2016 is largely due to several plant expansions and increased demand of exports and higher blends like E15.

“Iowa continues to lead the country and the world in ethanol production and efficiency,” said Iowa Renewable Fuels Association (IRFA) Executive Director Monte Shaw. “Several plant expansions just finished or will finish during the 1st quarter of 2018, so production could jump again next year. That makes expanding export markets abroad and breaking down unnecessary barriers to E15 here at home top priorities.”

IRFA’s top state policy priority for 2018 is securing funding for the Iowa Renewable Fuels Infrastructure Program (RFIP) to ensure more retailers have the equipment necessary to offer higher blends of ethanol now and in the future. However, coupled with RFIP funding, action at the federal level would create the best environment for retailers to move forward with E15.

“The EPA needs to provide the same regulatory treatment for E15 as all other ethanol blends,” added Shaw.  “That step alone would draw many more retailers into offering the option of E15 to their customers. Also, as the world’s cheapest source of fuel octane, we’ll be working to continue to build on the record exports of 2017.”

The Iowa Renewable Fuels Association represents the state’s liquid renewable fuels industry and works to foster its growth. Iowa is the nation’s leader in renewable fuels production with 43 ethanol refineries capable of producing 4 billion gallons annually – including nearly 55 million gallons of annual cellulosic ethanol production capacity – and 12 biodiesel facilities with the capacity to produce over 380 million gallons annually. For more information, visit the Iowa Renewable Fuels Association website at: www.IowaRFA.org.