Representatives from USGC, Growth Energy, the Renewable Fuels Association and USDA/FAS discussed ethanol policy, usage and benefits with Canadian officials in April.
Following the mission, Growth Energy and the Renewable Fuels Association (RFA) joined the U.S. Grains Council (USGC) last week in submitting comments in response to Environment and Climate Change Canada’s (ECCC) Discussion Paper on a Federal Clean Fuel Standard (CFS).
The comments stressed that in addition to increasing the mandated blending rate to 10 percent ethanol (E10), an effective, transparent and accountable ethanol policy, the Clean Fuel Standard must be based on sound, peer-reviewed science and eliminate as many regulatory and legislative barriers as possible.
Canada has an existing national blending mandate of 5 percent in place and is already an important market for U.S. ethanol exports, thanks in part to the free trade preferences between the two nations under the North American Free Trade Agreement (NAFTA). One-third of all U.S. ethanol exports are destined for Canada, making it the top export market for U.S. ethanol for the past four marketing years. In the first six months of the 2016/2017 marketing year, U.S. ethanol exports to Canada have already increased 40 percent year-over-year, totaling 166.2 million gallons or 1.51 million metric tons (59.4 million bushels) in corn equivalent.