#5 | Taking Off
Sustainable aviation fuel production is taking off, literally, with 18.7 million gallons of renewable jet fuel RINs generated in the first quarter of 2024, up 250% year-on-year.
Better yet - production in the first three months of this year has nearly surpassed levels it took us nine months to reach last year.
#4 | Tip of the iceberg
While we are seeing tremendous growth in SAF production, we are just at the tip of the iceberg as the Biden administration’s ambitious climate goals will require 3 billion gallons of the green aviation fuel by the year 2030 - representing a 10% blend with petroleum jet fuel.
Keep in mind this is only through 2030 and a 10% blend… meaning we have the other 90% to conquer over the next two decades in order to meet our goal of net-zero by 2050.
#3 | Wheels up
Additionally, more Americans are flying than ever before as a record 2.95 million travelers passed through TSA checkpoints on Saturday, May 25.
This tops the highest-volume travel day of Memorial Day weekend last year by more than 200,000 people and a whopping 500,000 more than the highest over Memorial Day weekend 2022.
#2 | One in two (pounds)
It is nothing short of incredible to see the renewable diesel-era growth in soybean oil demand where nearly 50% of total demand now goes to biofuels, starving off exports and causing an uptick in imports of veg oils to meet existing food and feed demand.
#1 | The Afterthought
All we have done the past few years is talk about soybean oil’s new-found demand in biomass-based diesel production.
While the new demand and resulting expansion of US soybean crush capacity is nice… the additional soybean meal production seems to be an afterthought - or not thought of at all, for that matter.
Over the course of the next few years we will see the largest expansion in crush capacity in US history and an estimated 30% increase in soybean meal production as a result.
The numbers below are REALISTIC. There is hard math behind these calculations, taking each individual crush capacity new build or expansion into consideration and culling out those that likely will not come to fruition.
If you are a chicken, turkey, or hog feeder - this is good news - as we will see an additional 11 million tons of annual soybean meal production by the 2026/27 marketing year.
To put that into perspective - 11 million tons of additional meal will fill 105,000 railcars or nearly 7,000 barges.
Let that sink in for a bit…
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Thanks and have a fantastic Friday!
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