The global market is expected to record a CAGR of 7.8% from 2009 to 2014.

Increasing environmental concerns and the need for energy independence have led to the biodiesel market. Despite the economic recession, global biodiesel production totaled 5.1 billion gallons in 2009, representing a 17.9pc increase over 2008 levels.

The biodiesel market is expected to grow from $8.6 billion in 2009 to $12.6 billion in 2014. Market growth is primarily dependent on the availability, quality, and yield of feedstock, as it accounts for 65pc to 70pc of the cost of biodiesel production.

Biodiesel derived from rapeseed oil forms the largest segment of the overall market. Germany is the single largest producer of biodiesel with 2.8 million tonnes produced in 2008.

The biodiesel market also offers immense opportunities to countries such as the UK, India, and China, as these regions have high diesel fuel prices and a large number of diesel-fuelled vehicles.

While growth may be affected by feedstock availability issues and the food versus fuel debate, the market is expected to witness a paradigm shift with the increasing conversion efficiency of existing feedstock, and the development of newer feedstock sources such as algae, the report notes.

Transportation forms the main application market for biodiesel, with automotives accounting for 70% of the global biodiesel production.

As the use of conventional fuel for transport purposes is increasing greenhouse gas emissions at an alarming rate, governments across the globe have begun providing incentives for green energy.

Europe is currently the world’s largest biodiesel market; and is expected to be worth $7.0 billion by 2014 with a CAGR of 8.4% from 2009 to 2014. The growth of the European biodiesel market is driven mainly by governmental initiatives.

Source:  farmonline

Growing imports of cheap Argentine biodiesel into Europe are replacing U.S. imports hit by European Union anti-dumping duties in March, Swiss-German biodiesel producer Biopetrol said on Thursday.

“Increasing amounts of indirectly-subsidized biodiesel have been coming to Europe from Argentina since the second quarter,” Biopetrol said in a statement in a statement on its first half 2009 results.

“The EU and the German government are once again called upon to act quickly to give European biodiesel producers the same protection against subsidized imports as in the case of B99 (biodiesel) from the U.S.”

In March, the EU said it would impose punitive duties on imports of biodiesel from the U.S. while an investigation is held into allegations the U.S. green fuel is sold cheaply in Europe with the help of subsidies.

“Biodiesel prices continued to be under heavy pressure, because large inventories of highly subsidized American B99 that had been established in Europe were still being sold on the market,” Biopetrol said.

The company, which in April underwent major financial restructuring, on Thursday posted a dramatic fall in first half 2009 turnover of about 50 percent to 69.7 million euros from 139.8 million euros in the first half of 2008.

Losses before interest and tax (Ebit) rose to 13.7 million euros from a loss of 3.1 million euros in the same time in 2008.

Increased taxes on biodiesel imposed by the German government had brought a “collapse” in petrol station sales of the green fuel in the first half, Biopetrol said.

This could not even be remotely compensated for by Germany increasing maximum-permitted blending of biodiesel in conventional diesel from five percent biofuel content to seven percent, it said.

Germany’s biofuels industry association said on Monday the country’s biodiesel industry is only working at 20 percent of capacity largely because of high taxes.

But Biopetrol said it was “well positioned for the future” after its financial restructuring in April.

(Reporting by Michael Hogan; Editing by Peter Blackburn)

Source: Reuters

In this year the FOB prices of the biodiesel registered an increase of almost 39%. In April of 2008 argentinean exportations of biodiesel were declared for 85.943 tons to an average pondered value of 1227,4 u$s/ton, with a minimum of 1044 u$s/ton and a maximum of 1335 u$s/ton. The 93,6% was destinated to USA and 6,4% to Holland.

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In March of 2008 argentinean exportations of biodiesel had been declared before the SIM/AFIP for 122.454 tons to a average pondered value of 1176,4 u$s/ton, with a minimum of 814 u$s/ton and a maximum of 1400 u$s/ton. The data corresponds to the tariff position 3824.90.29.100P.

Most of the declarations done in March were registered before the day 13th of that month, since from that day on started an increment of the aliquot of the export right applied to the biodiesel. Until then, the external sale of the biofuel was burdened by a retention of 5,0% and enjoyed a refund of 2,5% (that is to say had a net right of 2,5%). Starting from March 13th -according to what resolution 126/08 of the Ministry of Economy established- it went to have a nominal retention of 20,0% (17,5 % net).Â

Meanwhile, the value half pondered in December of 2007Â was of 883,4 u$s/ton. This implies that in the first four months of the year the average value of exportation of the biodiesel grew 38,9%.Â

In Argentina operate two big elaborating companies of biodiesel that, at the moment, are the ones that carry out most of the shipments. It is Renova, located in San Lorenzo (Santa Fe) and property of Glencore and Vicentín. The other one is Ecofuel, located in Puerto San Martin, Santa Fe, and controlled by Aceitera General Deheza and Bunge.Â

Source: Infocampo

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