Diesel consumers wanting to alleviate soaring fuel prices and high grocery bills should consider using biodiesel. The Missouri Soybean Association says biodiesel helps extend the nation’s limited fuel supply. Plus, it creates an abundance of livestock feed.
The states House Transportation Committee recently held a hearing on legislation that would require all diesel fuel sold in Missouri to be blended with 5 percent biodiesel fuel. Dave Drennan, executive director of the Missouri Dairy Association, testified in support of the biodiesel legislation.
As more soybeans are crushed to meet the demands of biodiesel producers, more soybean meal is made available to livestock producers in greater quantities… By increasing the supply of soybean meal, biodiesel helps dairy producers keep costs down, said Drennan.
High fuel prices have also impacted dairy prices. According to the Missouri Department of Transportation, 85 percent of all products that are produced and purchased in the state are shipped by diesel-powered trucks. Despite local dairy production, Missouri is a milk-deficit state and imports 1.7 billion pounds of milk from other states each year.
According to the Food and Agricultural Policy Research Institute at the University of Missouri, rising usage of soybean oil to produce biodiesel has strengthened soybean oil prices while weakening soybean meal prices. This means more livestock feed is available at lower prices. Soybean meal is created when soybeans are crushed to extract the oil needed for biodiesel. Soybean oil is the only part of the soybean needed to produce biodiesel. For every gallon of biodiesel that is produced, 4 gallons of livestock feed are created.