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Main factors when considering Biofuels
Christoph Berg - Executuve Director, Agribusiness, S&P on Biofules: There are three main factors that need to be taken into consideration for Biofuels - Policy, Feedstocks and Innovation. On Biofuels Policy, 2022 will see the Canadian Clean Fuel Standard come in to play and the Renewable Fuel Standard in the US revised. Feedstock markets are experiencing enormous price increases due to the Ukraine crisis which means reduced margins for some producers. The most important second generation biofuels will play a big role, of which used cooking oil will play an enormous role. However this is in limited supply in the form of feedstocks and experiencing rapidly rising demand from the shipping and aviation industries. On innovation there has been a growing integration of agricultural and energy operations, signaling increased investment.
Watch the video to see Christiph's evaluation and learn more at the Agribusiness Value Chain Forum June 7-10.
This article was published by S&P Global Commodity Insights and not by S&P Global Ratings, which is a separately managed division of S&P Global.
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