The June ethanol futures contract hit a record high last week at $2.29/gallon but that may not have a lasting effect on exports. The market has been in recovery mode as transportation fuel demand recovers from COVID restrictions that had sent ethanol values last year to a 10-year record low of less than 80 cents/gallon. Ethanol exports also tanked last year as global demand sunk along with prices. While the demand for ethanol exports is not indifferent to price, there are other factors shaping the market. As an additive to gasoline, ethanol demand is impacted by the price of petrol, the market demand for gasoline, and regulatory requirements for its use. Marketers have been suggesting that ethanol could fill the short-term gap in gas...
From WPI Consulting
Infrastructure investment due diligence
On behalf of a Canadian oilseed processer WPI's team provided market analysis, econometric modeling and financial due diligence in support of a $24 million-dollar investment in a Ukrainian crush plant. Consistent with WPI's findings, local production to supply the plant and the facility's output have expanded exponentially since the investment. WPI has conducted parallel work on behalf of U.S., South American and European clients, both private and public, in the agri-food space.