Jan 20 2011
Research and Markets have released a new report titled, “Biofuels Market in the Americas to 2020 - Renewable Fuel Standards and Biofuel Mandates Will Stimulate Investment”, providing vital statistics and analysis on the Americas Biofuel market opportunities.
The report offers current data on production and consumption of biofuels along with a comprehensive assessment of the forces that influence the Americas’ biofuel market. Analysis of major countries such as Brazil, Canada and US were also given. This report has been constructed utilizing information from primary and secondary research, proprietary databases and analysis done by Research and Markets’ own internal team of industry specialists.
Oil prices and availability of feedstock are the two key factors that influence biofuel production. Analysis indicates that if feedstock is available in plenty then there would be a greater biofuel production in the Americas, in contrast to the high oil price scenario. A high feed stock situation means the feed stock availability for biofuel production is greater in quantity when feedstock is split for fuel and for future food purposes. High oil prices indicate the rise in oil prices along with the current rate.
The usage of biofuels in the American region would be increased because of long term governmental intervention. The government has introduced several different policy tools, which help to eliminate the uncertainty and risk factor for potential investors. This would also make sure that there is a commitment to respond to issues raised by the farmers with regard to output biofuel prices and energy input prices. The Americas also depend on tax credits, subsidies and preferential taxes to ensure that producers could overcome the high expenses involved in biofuel production. Promotion of new and emerging biofuels industry could also be aided by import restrictions. Many of the American countries have also made it mandatory to blend biofuel along with the traditional fuels thereby ensuring that there is a guaranteed market available for biofuels.
If gasoline consumption is to be replaced by ethanol then more land would be required for corn production. This is currently unavailable. If technological advancements are introduced then probably biofuel production could be increased; if not then the lack of land area might prove to be an insurmountable obstacle.