Agriculture and Agri-Food Canada
Bi-weekly Bulletin October 27, 2006 Volume 19 Number 15

BIODIESEL

World production and usage of biodiesel is increasing sharply because of growing environmental concerns, uncertainty over the security of crude oil supplies, a global surplus of oilseeds and various subsidies and favourable government policies resulting from the rising price of mineral based fuels. Biodiesel consumption in the European Union (EU)-25 and the United States (US) has increased significantly and is expected to grow in Canada. However, further growth of the world biodiesel sector is expected to be constrained by a shortage of high oil bearing oilseeds and by a surplus of protein meal and glycerin. To meet the expected growth in demand for biodiesel, and to maintain its current markets, Canada will have to expand its production of canola and soybeans and raise the oil content of canola. This expansion of production can be achieved through higher yields and by a tightening of the crop rotation. This issue of the Bi-weekly Bulletin examines some of the issues surrounding the expansion of the biodiesel market.

Full report in PDF format: http://www.seedquest.com/News/releases/2006/pdf/17435.pdf