Archer Daniels Midland cuts biodiesel output as industry faces uncertainty

Major biofuels producer Archer Daniels Midland has slowed its North American biodiesel output, reports Reuters.

In a move that signals the industry's ongoing uncertainty over the US renewable fuels policy, production at ADM's Velva oilseed processing facility has been 'temporarily' shifted from biodiesel to other products. Production at its other North American facilities has also been cut, according to a statement from ADM spokeswoman Jackie Anderson.

The timing and size of the cutbacks has not been disclosed.

Reuters reports that, according to US Department of Energy data, diesel's discount to B99/B100 biodiesel was at its widest since 2011 late last year.

Biofuel blending requirements for last year, 2015, and 2016 have not been set by the Environmental Protection Agency.