U.S. ethanol exports have reached a record high of 1.10 billion gallons so far this year through July, running 38% ahead of last year’s pace, according to the latest trade monitor report from the Renewable Fuels Association.

While ethanol exports dropped seven percent in July compared to June, at 136 million gallons that was still significantly higher than a year ago. A mixed market in July saw Canada continued to be the top destination for the 40th consecutive month, accounting for an impressive 46% of all exports. Exports to Colombia increased by 16%, reaching a five-month high while in contrast, India reduced its imports by 23%. Exports to South Korea surged 11-fold, while the European Union dropped to an eight-month low. Additionally, Mexico, Peru, Singapore, and the Philippines experienced significant declines, and Brazil remained absent from the market.

RFA president and CEO Geoff Cooper says the ethanol industry is having a very good year in the international market. “We’re on track to have a record year for ethanol exports somewhere between 1.8 and 2 billion gallons, we think,” said Cooper during an interview at last week’s Farm Progress Show. “That would be the highest share and the largest volume that we’ve ever exported.”

At the same time, U.S. exports of the ethanol co-product dried distillers grains (DDGS) are up 15% compared to last year, at 6.97 million mt as of July, when they jump 16% from the previous month driven by Mexico as the top market, boosting its imports by 23% to a five-month high of 247,903 mt. Shipments hit three year high with significant gains in markets such as South Korea (6%) and the European Union (56%), driven by a 161% rise in sales to Ireland. Cooper says DDGS exports will be highlighted at the upcoming Export Exchange, October 7-9 in Fort Worth, Texas.

“About one out of every three tons of distillers grains we’re producing is exported and we need to continue growing demand internationally for distillers grains,” said Cooper.”