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Biofuel Market Forecast: Ethanol Margins, Corn Prices




FAPRI provides forecast on the dynamics of the biofuel market. Corn prices are key to ethanol producer economics. Margins may be depressed if corn prices edge up as volume production eases Ethanol fuel prices may ease as production comes on-streamethanol market pricing. ...
... "The current outlook depends on the price of corn not becoming too high, removing profits from the ethanol plants. Baseline projections show ethanol production remains profitable; but increasing production and falling petroleum prices result in lower ethanol prices. Lower ethanol prices and higher corn prices squeeze projected margins for ethanol plants, eventually slowing growth in plant capacity. " ...

Via FAPRI-Missouri, Food and Agricultural Policy Research Institute: 10-year outlook

 

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Posted by Green Tech on March 6, 2007 09:42 PM | |





Category: EthanolE85



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