Biofuels Industry on Quest for Low-Cost Feedstocks

Source: Western Farm Press (2/22/12)

"While first-generation biofuels derived from cornstarch, sugarcane, rapeseed and soy are projected to underpin growth over the next decade, the emergence of advanced conversion pathways and nonfood feedstocks will unlock considerable production potential throughout the world."

Western Farm Press

After healthy growth over the past decade, the global biofuels industry is entering a new era marked by feedstock flexibility, product neutrality and sustainability. As a near-term solution, biofuels are a proven alternative to petroleum-based fuels. Long term, biofuels could radically alter the fuel market’s geopolitical landscape by meeting an expanding portion of consumer demand in ground, aviation and maritime transportation fuel markets.

While first generation biofuels derived from cornstarch, sugarcane, rapeseed and soy are projected to underpin growth over the next decade, the emergence of advanced conversion pathways and nonfood feedstocks will unlock considerable production potential throughout the world. Despite huge demand for biofuels from transportation end-markets, however, access to inexpensive feedstocks and financing hurdles remain challenging obstacles for biofuels production trying to keep pace with emerging mandates. According to a recent report from Pike Research, widespread commercialization will ultimately depend on whether current trends lead to price parity with petroleum-based fuels over the next decade. . .View Full Article

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