Soybean Update

(Jamie) Welcome back to Farm Factor and the Kansas Soybean Update.
(Greg Akagi) This the Kansas Soybean Update. It’s brought to you by the Kansas Soybean Commission. The Soybean Checkoff, Progress Powered by Kansas Farmers. We’re joined now by Greg Anderson who is part of the governing board for the National Biodiesel Board. Greg, alot to talk about, but of the fact the use of biodiesel. (Greg Anderson) We’re really pleased Greg with the acceptance and usage of biodiesel across the country really from coast to coast literally and we like that 1.7, 1.8, 1.9, pretty soon you’ll have 2 billion gallons. It’s huge. Where we were just a few years ago to realize how fast it really has grown. One of the market drivers has been the renewable fuel standard and biodiesel is really the tip of the spear leading that effort. We’re America’s first advanced biofuel, but we’re also the only advanced biofuel that’s commercially available. And it’s having tremendous success in California where they really want to address the emissions problems and clean up the air, to the East coast where they’re blending it with oil heat and making bioheat, heating millions of homes and businesses. And so with that farmers in the Midwest can be proud the Soybean Checkoff virtually established a biodiesel industry in the United States and it’s using alot of soybean oil, really underpinning our market and helping it along. (Greg Akagi) We should see those renewable fuel standards revised numbers here by the end of the month. How much of a concern is there that that number is gonna come in lower for biodiesel? (Greg Anderson) When EPA came out with their initial numbers we thought that they were alright, but yet could have been more robust and increased it even more. And so, we’ve worked with EPA providing them data and credible information showing that we are poised to grow and here’s the research behind it, here’s the numbers behind it. We’re actually looking for two billion gallons for the number for 2016, and 2.3 billion gallons for 2017. We feel that with those numbers it allows our biodiesel manufacturers, our producers to have some confidence knowing that they can scale up, increase their production, do the additional hiring that they want to do, providing tens of thousands of good paying green jobs across the whole country. (Greg Akagi) Something that MBB has always fought is the extension of the biodiesel tax credit and that’s back on the agenda. (Greg Anderson) Four out of the last six years Congress has allowed it to expire, most recently in December of 2014, so we’ve gone through the whole year of 2015 without that tax credit. We’re confident though that it will be reinstated and perhaps even additional years, so that we can have some confidence in going forward for those businesses that can rely on that and need that. We feel that that’s a very fair equitable way. Biodiesel is still pretty young as a fuel. Big oil has been subsidized for decades. And so it shows that once we get this in place we can certainly grow our market even more. (Greg Akagi) That is Greg Anderson, as part of the governing board of the National Biodiesel Board. He’s been our guest on the Kansas Soybean Update. It’s brought to you by the Kansas Soybean Commission. The Soybean Checkoff, Progress Powered by Kansas Farmers. Learn more at kansassoybeans.org. For Kansas Soybeans I’m Greg Akagi.
(Jamie) Hope you enjoyed this week’s Kansas Soybean Update. Stay tuned as Duane visits with Mark Gold about soybeans.

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