While 2009 is a year that most of the biodiesel market would most likely want to forget, at least one consultant is saying this year is the one for builders to build and buyers to buy biodiesel.
Wayne Lee, the CEO of the biodiesel consulting group, Lee Enterprises, says his advice is build or buy now:
“Because oil is a limited commodity and it is my feeling that big oil sees the ‘handwriting on the wall’” says Lee. “They know that alternative fuels are here to stay” adds Mike Shook, partner in Agri Process Innovations. Shook adds that “just as government inaction made the smaller producers nervous, I look back at 2009 and note the massive investments that big oil has made in this industry”. Both Lee and Shook agree that the biodiesel industry is headed up in a big way. “This industry will continue to adjust to problems, and it will continue to grow” says Lee, “and just like many industries before it, the inefficient players will shake out and the efficient players will make money”.
Lee, who also owns altenative fuels brokerage company, National Business Brokerage, does not think the events are all by chance. “It seems just a bit odd to me that while the industry had several obstacles in 2009, big oil appears to have taken the downturn as an opportunity to enter a depressed industry very cost effectively”, said Lee. “It almost makes one wonder if there was some design to the way things happened.”
You can read more about Lee Enterprises here.