Bioenergy

Biofuel Industry Scrutinized in Two Separate Studies

A study called Biodiesel 2020: A Market Survey, from Emerging Markets Online, found that from 2004 to 2005, the market for biodiesel in the U.S. grew from 25 million gallons per year to 75 million gallons.

Biodiesel production in the U.S. is expected to reach 300 million gallons by the end of 2006, and may reach approximately 750 million gallons per year in 2007. To meet this demand, more than 50 new plants are in construction and are expected to come online between late 2006 and 2008. The study found that new developers, farmers, feedstock providers, producers, and investors who can meet growing demands for supply are expected to benefit from this emerging market. The study provides 5 to 10 year forecasts for biodiesel demand, consumption and production. Brazil and Europe are illustrated as case studies for strong biodiesel growth with advanced biodiesel infrastructure, installed plant capacity, and mature market economics. Forecasts are included for the U.S. market as well as the “big emerging markets” of China and India. For more information, use first link below. In other news from Delhi, India, a separate report titled Biofuel Market Worldwide (2006) found that the demand for biofuels is likely to increase more than 34% for the period from 2006-2010. The market, the report claims, is dominated by major players in the European Union. German sales of biodiesel production exceeded one million tons in 2005, representing an increase of 66% in output. Biofuel production is expected to step up to 12 million tons by the end of 2010. This report also covers inferences on cost analysis of biofuel, regional variations in ethanol and biodiesel production, prospects in world production, government support programs and major biofuel projects. For more information, use second link below.