FTC reports on status of domestic ethanol industry

The Federal Trade Commission has published its annual report on the status of U.S. ethanol production, finding that the market for fuel ethanol continues to remain unconcentrated. The report estimates that 158 firms are either currently producing ethanol in the U.S., or are likely to begin producing within the next 12 to 18 months. 

According to the FTC, there has been a lack of market concentration in the industry since it first began publishing its annual ethanol report in 2005. When compared to the 2012 report, the updated 2013 analysis shows that the level of concentration in the industry has remained largely unchanged. 

The report also indicates that demand for ethanol increased from July 2012 through June 2013, with 12.8 billion gallons of ethanol blended. During the prior 12-month period, approximately 12.7 billion gallons of ethanol was blended in the U.S. While domestic ethanol production decreased between the 2012 and 2013 reports, production capacity increased slightly.