February U.S. Ethanol and DDGS Exports Adjust to Market Shifts
U.S. ethanol exports fell 30% in February to 138.7 million gallons, despite matching last year’s pace. Canada and the EU led demand, while exports to India and the UK slumped. Meanwhile, U.S. dried distillers grains (DDGS) exports rose 5% to 849,645 metric tons, with Colombia and South Korea showing strong growth despite declines in Mexico and Vietnam.
U.S. ethanol exports declined sharply in February, falling 30% to 138.7 million gallons (mg) amid significant fluctuations across key markets. Still, monthly volumes remained on par with year-ago levels. Half of all February shipments were directed to Canada and the European Union, with the remainder distributed among eight additional countries. Canada retained its position as the top destination for the 47th consecutive month, with exports easing 6% to 50.8 mg—representing 85% of all denatured fuel ethanol shipments. The European Union remained the largest market for undenatured fuel ethanol (36% share), though volumes fell 42% to a four-month low of 17.6 mg. Several other markets experienced notable shifts. Exports to the Philippines surged 33% to a nine-month high of 15.0 mg, while shipments to India dropped 62% to a five-month low of 13.3 mg. Mexico rebounded sharply, climbing 87% to 11.0 mg. In contrast, shipments to the United Kingdom declined 39% to a 15-month low of 8.6 mg, and exports to Colombia contracted 49% to a 14-month low of 6.8 mg. Other key destinations included South Korea (6.6 mg), Peru (6.1 mg), and Egypt (1.7 mg). Notably, Brazil and China were absent from the market in February. Year-to-date U.S. ethanol exports totaled 336.8 mg—17% ahead of the same period last year.
Fuel ethanol imports into the U.S. were negligible in February, following 1.7 mg recorded in January.
U.S. exports of dried distillers grains (DDGS), the animal feed co-product generated by dry-mill ethanol plants, increased 5% in February to 849,645 metric tons (mt), reflecting strong global demand despite declines in several major markets. Mexico clung to its position as the top destination with shipments falling 45% to 127,203 mt—the lowest monthly volume in nearly four years. South Korea boosted its purchases by 12% to 118,840 mt, while exports to Colombia surged more than sevenfold to 73,911 mt. On the downside, shipments to Vietnam fell 28% to an eight-month low of 67,106 mt, and exports to Canada declined 14% to 57,618 mt. Other major markets included Indonesia (56,398 mt), the European Union (53,205 mt), Turkey (41,835 mt), Japan (41,351 mt), and New Zealand (30,000 mt). The remaining fifth of exports were dispersed among 29 additional countries. Year-to-date DDGS exports reached 1.66 million mt, trailing the year-ago pace by 12%.
To read more about Ethanol Industry & Bio Energy News, continue reading Agriinsite.com
Source : RFA
