EU ethanol production expected to grow

By Staff Report | August 08, 2017

A report filed with the USDA Foreign Agricultural Service’s Global Agricultural Information Network expects bioethanol production in the European Union to increase in 2017 and 2018, despite a decline in bioethanol consumption since 2011.

Sweden’s E85 consumption halved to 45 million liters (11.9 million gallons) in 2016 because of new government energy taxes that changed bioethanol blending mandates, according to the report. The U.K., Portugal and the Czech Republic also will see a decline in consumption because of reduced mandates.

Meanwhile, Germany, France, Poland, the Netherlands and Spain have increased blending and expect higher bioethanol consumption rates.

EU bioethanol production is expected to increase from 5.3 billion liters (1.4 billion gallons) in 2016 to more than 5.4 billion liters by the end of 2017, according to the report. EU member states imported 230 million liters in 2016, including 30 million liters from the U.S.

EU’s current cellulosic capacity is 60 million liters but could reach 200 million liters in 2021, according to the report. The EU’s total ethanol production capacity for food, fuel and industrial uses is estimated at 8.9 billion liters.