Biodiesel Tail Spin

The Biodiesel Industry is in an accelerated tailspin around the world.
High Feedstock costs. Low Diesel Prices. Rick Kment, a biofuels analyst with market researcher DTN, said U.S. biodiesel production is down to between 25 percent and 30 percent of capacity. The soy plants that have not shut down appear to be crushing the oil and then selling the soy oil into the food markets. Large US biodiesel producers still operating have been selling into the higher margin European markets. This likely stopped Friday when the EU put two large punitive duties on the US imports for four months. This was in reaction to the US $1/gallon blenders credit. The blenders credit goes to the blender and most may not even get to the producers. Those that survive this biodiesel "depression" will enjoy an expanding market driven by mandates and an increasing price of crude. When Greenshift releases their plan "B" after the recent termination of the GE deal, a key will be if they are able to convince investors that they will be one of the survivors. Securing financing & confirming production numbers have always been important to the SkunK. In these tough times investors need to see enough of both to be assured of GreenShift's Survival.

Good Luck to Investors
SkunK
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AMERICA
March 6th, 2009
Biodiesel Takes Another Body Blow
So, how bad off is the industry? Banking-sector, or government-bailout bad? Maybe. As the economy slumped last year, demand for diesel dropped with it. That sent the price of petroleum diesel and biodiesel down so low that manufacturers now can barely cover production costs, let alone capital costs. And profits? Forget it
http://earth2tech.com/2009/03/06/biodiesel-takes-another-body-blow/
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European Union
March 12, 2009
EU Imposes Duties On Biodiesel Imported From US
BRUSSELS -(Dow Jones)- The European Union Thursday announced steep duties on biodiesel imported from the U.S., saying a subsidy the U.S. government gives to its biodiesel companies is bringing financial ruin to producers in the E.U. Starting Friday, the 27-member bloc will impose two types of duties, one to counter the government subsidy and one for dumping the product at unfairly low prices onto the E.U. market, according to announcements in the Official Journal of the E.U.The duties will last four months while the European Commission, the E.U.'s executive arm, determines if multiyear duties are necessary, the Commission said.
http://money.cnn.com/news/newsfeeds/articles/djf500/200903121213DOWJONESDJONLINE000858_FORTUNE5.htm
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ASIA
March 3, 2009 09:14 AM
Asia's biofuel dreams shelved as crude oil tumbles
Hopes of a biofuel bonanza for Southeast Asia, raised when sky-high oil prices made the search for alternative fuels a priority, have been shelved as global fortunes and crude prices nose-dive.Back when movie stars won plaudits for driving hybrid cars, and grains and oils were going cheap, regional governments grew excited over producing biofuel to lower energy costs and soak up agricultural stockpiles.Malaysia and Indonesia, which produce most of the world's palm oil, heavily promoted their version of biofuel -- a mixture of diesel with five percent processed palm oil.But the excitement evaporated as crude oil, which peaked at 147 dollars in July 2008, fell to current levels below 37 dollars.
http://www.enn.com/energy/article/39406