Argentina 2018 biodiesel exports to EU to reach 500,000 T -industry group analyst
Argentina will export at least 500,000 tonnes of biodiesel to the European Union (EU) in 2018, after the bloc in September slashed the duty on imports of the South American biofuel, an analyst with the Carbio industry chamber told Reuters.
In the weeks since the tariff was cut in late September Argentine producers have already shipped 300,000 tonnes of biodiesel to the EU, said Gustavo Idigoras, an analyst with Carbio who is also director of the Business Issue Management consultancy.
Re-entering the European market is crucial for Argentina’s biodiesel producers after the United States, previously the destination of almost all of their exports, slapped high tariffs on imports in August due to accusations of state subsidies.
The impact of that setback was mitigated somewhat when the EU cut the tariff on imports of Argentine biodiesel to between 4.5 and 8.1 percent, down from 22-25.7 percent previously, after the World Trade Organization ruled in favor of Argentina in a dispute over the tariffs.
The EU had been the largest destination for Argentine biodiesel until the tariffs were implemented in 2013.
After exports grew in the first half of 2017 compared with the same period last year, Argentina exported $739 million in biodiesel in the third quarter, down from $768 million in the same period last year, as exports to the United States fell by $121 million in September.
Source: Reuters (Reporting by Maximilian Heath; Writing by Luc Cohen; Editing by Chizu Nomiyama)