May AEM Ag Flash Reports
The Association of Equipment Manufact-urers’ (AEM) monthly Ag Flash Reports compares data from the current and past year of the U.S. and Canadian unit retail sales of two- and four-wheel drive tractors and self-propelled combines. Highlights of the report are listed below. For more complete data, go to AEM.org.
U.S. Report:
| Under 40 HP: | 11,465 | +9.3% (from 2009) |
| 40 & Under 100 HP: | 5,012 | +2.7% |
| 100 HP & Over: | 2,006 | -1.7% |
| Total 2 Wheel Drive: | 18,483 | +6.2% |
| Total 4 Wheel Drive: | 346 | -12.6% |
| Total Tractors: | 18,829 | +5.7% |
| Combines (Self-Prop): | 604 | -17.9% |
Canadian Report:
| Under 40 HP: | 1,554 | +3.0% (from 2009) |
| 40 & Under 100 HP: | 757 | +31.2% |
| 100 HP & Over: | 435 | +4.3% |
| Total 2 Wheel Drive: | 2,746 | +9.7% |
| Total 4 Wheel Drive: | 115 | -1.7% |
| Total Tractors: | 2,861 | +9.2% |
| Combines (Self-Prop): | 306 | +88.9% |
U.S. Ethanol Exports Still at Record Pace
USAgNet reports that the Renewable Fuels Association reported April ethanol exports of 40.8 million gallons, down slightly when compared to 48.3 million gallons in March. However, year-to-date exports are 124.3 million gallons, meaning 2010 exports have already surpassed exports for the entire 2009 calendar year of 113.3 million gallons.
Denatured ethanol exports were virtually unchanged, but exports of undenatured non-beverage ethanol dropped by roughly 25%.
Exports to the EU, India, Jamaica, Australia, and Canada were up or stable. But exports to Brazil dropped to virtually zero, as Brazilian ethanol output rebounded from previous months. The Brazilian Innovation Agency (Research and Projects Financing), and Brazil’s National Development Bank recently entered into a new partnership to promote bioethanol development in Brazil, establishing a program which will provide up to $540 million in financing to the country’s biofuels sector.
“American ethanol producers continue to be forced to look for overseas markets for their product as domestic markets for ethanol remain saturated due to the regulatory cap on blending levels,” said RFA vice president of research Geoff Cooper. “The transition of the United States to a net ethanol exporter due to its status as the low cost producer today is a reflection of the industry’s commitment to improving efficiencies and displacing petroleum. However, it also underscores the domestic opportunities lost due to the arbitrary cap on ethanol blending. As a matter of national energy security, America should first seek to maximize its use of domestic renewable fuels before it turns to overseas markets.”
The ethanol industry is currently awaiting a decision by EPA on increasing ethanol blending allowances from 10% to 15%. The industry has also urged EPA to provide some immediate market relief through the approval of 12% blends while it finalizes work on E15.