Canada Offers Potential U.S. Ethanol Export Growth

With Canada seeking to reduce greenhouse gas emissions by 20 megatons by 2030, the U.S. ethanol industry is eager to help Canada reach the goal.  The U.S. Grains Council says the U.S. ethanol industry last month visited Canada to tout U.S. ethanol.  The industry also commented on the proposed Canadian Clean Fuel Standard. Canada has an existing national blending mandate of 5% in place and is already an important market for U.S. ethanol exports, thanks in part to NAFTA.

One-third of all U.S. ethanol exports are destined for Canada, making it the top export market for U.S. ethanol for the past four marketing years.  Doubling the national blending mandate to 10 percent, as the U.S. ethanol industry is suggesting, however, would provide additional opportunities for U.S. ethanol export sales.

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