Renewable diesel and sustainable aviation fuel (SAF) are big and getting bigger in the agricultural economy according to AgResource economist Dan Basse who presented his outlook for the industry at the American Seed Trade Association (ASTA) CSS & Seed Expo 2022 this week in Chicago.
Basse says “green fuels” are very important to the current administration in the move toward electric vehicles, but some modes of transportation are unlikely to be electrified. “How many of you want to fly in a battery-powered airplane?” Basse asked. “Sustainable aviation fuel is going to be the future (and) will be a big deal for ethanol going forward.”
When it comes to renewable diesel, Basse says the industry is heavily investing in that future which demands lots of soybeans. “What is happening today is we’re building 23 new crush facilities, increasing soybean crush capacity 26% over the next four years. This is the biggest increase in crush capacity the United States has ever seen.”