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Economic Parameters for Corn Ethanol and Biodiesel Production

  • Eidman, Vernon R.

This article presents current investment and operating costs of ethanol and biodiesel plants for alternative prices of feedstock. The price of these two fuels is estimated for alternative prices of crude oil with the existing renewable fuels policy. The excise tax credit, currently $0.51 per gallon of ethanol and $1.00 per gallon of biodiesel, is a major contributor to the fuel price and profitability of these industries. The analysis demonstrates how the crude oil price, feedstock price, and excise tax credits interact to impact profitability of these industries

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File URL: http://purl.umn.edu/34879
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Paper provided by Southern Agricultural Economics Association in its series 2007 Annual Meeting, February 4-7, 2007, Mobile, Alabama with number 34879.

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Date of creation: 2007
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Handle: RePEc:ags:saeasm:34879
Contact details of provider: Web page: http://www.saea.org/

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  1. Tiffany, Douglas G. & Eidman, Vernon R., 2003. "Factors Associated With Success Of Fuel Ethanol Producers," Staff Papers 14155, University of Minnesota, Department of Applied Economics.
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