An increase in taxes on biodiesel in Germany is expected to decrease that country’s production of the green fuel. But since Germans’ appetites for biodiesel are unlikely to be lessened, an American company sees the tax hike as a chance to move into the large European market.
This press release from Global Earth Energy, Inc. says there’s opportunities in the feedstock and actual biodiesel sales:
Global Earth Energy, Inc. anticipates the opportunity to export the biodiesel produced at their chemical plant in Leland, NC. Due to the increase in taxes on biodiesel in Germany, there has been a decrease in the production of the alternative energy fuel. With the decline of sales and production overseas, there is an excess amount of feedstock, the raw material used to produce biodiesel. Feedstock is the largest cost in manufacturing the fuel source but Global now has the option to buy the feedstock at a discounted price from German sources. The slowdown could also expand Global’s growing market of alternative green energy to Europe.
Now if Global Earth Energy sees opportunity in this, wouldn’t that mean there’s opportunity for other American biodiesel makers? I would think so. We’ll keep our eye on this to see what happens. Stay tuned!