The United States Department of Agriculture (USDA) expects the Philippines’ fuel ethanol and biodiesel consumption to partially recover this year, citing economic growth.
In a report dated July 19, 2022, USDA said the Philippines will post a 13 percent growth in fuel ethanol consumption to 660 million liters this year from last year’s 584 million liters while biodiesel use will increase by over 31 percent to 250 million liters from 191 million liters due to the expected increase in the mandated local biofuels blend.
Petroleum oil products sold in the country are blended with 10 percent of ethanol and 2 percent of biodiesel.
But the USDA sees the Philippines’ production of fuel ethanol to be flat at 360 million liters this year from last year’s 350 million liters.
In contrast, biodiesel production is seen to grow 25 percent to 248 million liters from 198 million liters.
The report said limited feedstock continues to be a challenge and local producers are only able to supply half the requirements for gasoline blending.
Locally, ethanol is mainly derived from sugar cane while biodiesel is sourced from copra.
The USDA sees Philippine fuel ethanol imports for the year to grow by 33 percent to 300 million liters from 225 million liters, to fill the gap from short local production.
