The Car and Truck Fleet and Leasing Management Magazine

Skyrocketing Soybean Oil Prices Slow Biodiesel Industry

March 31, 2008

DES MOINES, Iowa --- The skyrocketing price of soybean oil is taking a toll on the once-expanding biodiesel industry, making it difficult for refineries to turn a profit, the Associated Press reported.

In the U.S., about 20 of 170 biodiesel plants are not operating.

For example, construction on a new $63 million plant in Algona was completed in December. But the plant isn't operating today because of the current economics. Over the past two years, soybean oil prices have tripled.

Back in 2006 when the Algona plant was under consideration, soybean oil was trading between 18 and 21 cents per pound. Last week, soybean oil traded at about 58 cents a pound on the Chicago Board of Trade.

Twitter Facebook Google+

Comments

Please note that comments may be moderated. 
Leave this field empty:
 
 

Fleet Incentives

Determine the actual cost of owning and running a vehicle in your fleet. Compare vehicles by class and model.

FleetFAQ

Fleet Management And Leasing

Merchants Experts will answer your questions and challenges

View All
Sponsored by

Dick Prettyman was the senior fleet administrator for Cephalon, Inc. until he retired on March 27, 2009.

Read more

Alternative Fuel Locator

Use the Alternative Fuel Locator to find stations near you.

Launch Alternative Fuel Locator

Up Next

More From The World's Largest Fleet Publisher