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May Ethanol Exports Drop to 9-Month Low; Distillers Grains Exports Surge to 19-Month High

July 11, 2012

           

U.S. exports of ethanol (denatured and undenatured, non-beverage) totaled 58.6 million gallons (mg) in May, down 21% from April and the lowest level since August 2011. Year-to-date exports stood at 367.4 mg, implying annualized exports of 882 mg. Canada was the top destination, followed by the United Kingdom, and Finland. Notably, Brazil did not import any U.S. ethanol in May. Exports of denatured ethanol for fuel use accounted for most of the May shipments, totaling 46.7 mg. Canada was the leading recipient of denatured ethanol for fuel use, bringing in 21.3 mg. The United Kingdom imported 16.1 mg, while Finland took in 4.1 mg. Jamaica (2.7 mg) and Netherlands (1.5 mg) rounded out the top five. Exports of undenatured ethanol for fuel use in May totaled 11.3 mg. Finland was the top destination at 3.9 mg, followed by Nigeria (2.8 mg) and Mexico (1.9 mg). Meanwhile, exports of denatured and undenatured ethanol for non-fuel use totaled less than 700,000 gallons. May U.S. distillers grains exports jumped 25% from April, reaching the highest level since November 2010. Exports totaled 761,470 metric tons (mt) in May, with China accounting for 253,437 mt. Notably, in May, Chinese ethanol producers withdrew their complaint alleging dumping of U.S. DDGS and the Chinese government abandoned its anti-dumping investigation in June. Mexico was the second-leading importer, bringing in 147,383 mt, followed by Canada (55,389 mt), South Korea (39,759 mt), and Turkey (33,923 mt). Distillers grains exports are on pace to total 7.75 million mt in 2012, just slightly ahead of 2011 exports.