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Potential shortage in vegetable oil
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From the article:

'The Environmental Protection Agency should exercise its authority to decrease proposed advanced biofuel quotas, according to the American Bakers Association. In testimony Jan. 4, the ABA said such cuts are needed to help assure the public will be able to find and afford basic food staples such as baked foods in the months ahead...The testimony followed the Dec. 7 issuance by the EPA of Renewable Fuel Standard renewable volume obligations (RVOs) for refiners for 2022, 2021 and 2020.  For 2022, the EPA proposed RVOs of 20.77 billion gallons, an all-time high, up more than 3.5 billion gallons from the volume of renewable fuels used in 2020. The proposed volume of advanced biofuel for 2022, which includes renewable diesel, was more than 1 billion gallons greater than the volume used in 2020. 

“Non-food use for biodiesel and renewable diesel has expanded greatly with the potential to double in the next two years,” said Ed Cinco, director of purchasing at Schwebel Baking Co., Youngstown, Ohio. “As a result, vegetable oil prices have tripled in the past 12 months and possibly face rationing and shortages for 2022. It is to the point where food companies cannot get quotes for future deliveries unless you are a current customer and even then, vendors are only willing to go through Q2 of 2022 at an escalated price. This means for some food companies, edible oil literally will not be available at any price due to diversion of edible oil from producing food.”'

Yikes.

https://www.foodbusinessnews.net/articles/20358-baking-group-seeks-epa-change-on-biofuel-mandate

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2 years ago