ACE leadership to share Mexico ethanol market outlook from work with retailers in the country at IRFA Summit
Posted on 01/28/2019
Sioux Falls, SD (January 28, 2019) –American Coalition for Ethanol (ACE) Senior Vice President and Market Development Director Ron Lamberty will share ethanol market opportunities and challenges from his travels to Mexico over the past year in a trade roundtable discussion at the 2019 Iowa Renewable Fuels Summit taking place tomorrow, January 29.
Lamberty traveled to Mexico six times last year to participate in ethanol technical workshops for Mexican petroleum equipment installers and retailers. The workshops were a joint effort of the U.S. Grains Council and the Mexican Association of Petroleum Equipment Suppliers (AMPES), to inform fuel marketers about opportunities in sourcing, blending, distributing, and retailing ethanol-blended gasoline, as Mexico’s transportation fuel sector continues to evolve.
“The workshops helped Mexican fuel marketers, equipment suppliers, and even some government officials understand offering gasoline with 10 percent ethanol is a safe and economically sensible way to have cleaner air and provide less expensive fuel for drivers in Mexico,” Lamberty said. “I appreciate IRFA for inviting me to join the panel and give an update on Mexico. E10 would open a new market for 1.2 billion gallons of ethanol. That’s not quite another California or Texas, but it’s more than Florida. And it’s 200 million more than nationwide E10 in Canada.”
“Current U.S. ethanol exports to Mexico are primarily for industrial uses like perfumes, solvents, and beverages, but we’re starting to see retailers in border cities buy pre-blended E10 at U.S. terminals for resale in their convenience stores or service stations,” Lamberty added. “While these volumes are tiny right now, just as we saw ethanol spread across the U.S., when retailers see other retailers successfully selling E10, they become more confident they could offer it too, and volumes increase.”
Lamberty’s 2018 travels to Mexico included visits to Mexico City in November, Xalapa in August, Chihuahua in July, and León in June. In the spring of last year, Lamberty spoke at two other workshops in Monterrey and Tijuana. ACE will continue to work with the USGC to provide information to retailers and others who want to sell more ethanol in 2019.
The IRFA trade panel includes Mike Dwyer of the U.S. Grains Council, Kelly Nieuwenhuis of the Iowa Corn Promotion Board, and Eamonn Byrne of Plymouth Energy as moderator. For more details on the program, visit https://iowarenewablefuelssummit.org/program/. Summit attendees can catch up with Lamberty about ACE’s market development work in Mexico and other timely ethanol topics with ACE staff at exhibit booth #26 at the IRFA Summit trade show.