Marquis Energy to Cut Ethanol Production at Necedah Plant
Wisconsin Ag Connection - 08/22/2019
Marquis Energy announced it will cut ethanol production rates at its 100 million gallons-per-year plant in Necedah. CEO Mark Marquis told Reuters that his company is the latest to announce output cuts amid weaker margins.
The facility will continue to run its 400 million gallons-per-year Hennepin, Illinois, plant at full production.
The move comes after the Trump administration decided to grant exemptions from the nation's biofuel laws to 31 refineries. The decision infuriated ethanol producers who blamed the president for bailing out the oil industry while U.S. farmers are suffering due to trade tariffs and low prices.
"When we heard they issued 31 Small Refinery Exemptions... it just devastated the industry," Marquis told Reuters.
Earlier this week, POET, which is the nation's largest ethanol producer, announced it was cutting production at its plants because of the waivers.
The EPA said in a statement on Tuesday there was no evidence that the refinery waivers have hurt demand for ethanol, which biofuels producers dispute.