Ethanol uptick a good sign

Missouri’s six ethanol plants remain in operation – unlike several others in the nation that have been forced to shut down amid the demand issues caused by the pandemic. Bradley Schad is director of market development with Missouri Corn and tells Brownfield Ag News, “We have been running at about 50% capacity since early April. The good news is that markets are showing that we’re seeing a slight uptick in fuel demand since some of the states are opening up and getting closer to summer.”

Schad says the state’s ethanol plants are talking about increasing production above 50% and also working on making other products.

“We still have the demand from the hand sanitizer issue that a few of the plants are providing for so that’s good news and also the CO2 issue. We’ve got two plants that are taking advantage of that and one that’s going to be opening up pretty quickly.”

But, Schad says the production of the hand sanitizer ingredient has been frustrated by the FDA which has not clarified its updated guidance. Schad says some ethanol plants are sending the alcohol to Canada which does have its specifications in place.

^ Interview with Bradley Schad ^

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