Market may soon open up for MO biodiesel producers

Missouri's biodiesel producers may soon get a guaranteed market for their product similar to the one ethanol producers got on Jan. 1 when a state mandate required all gasoline sold in the state to be 10 percent ethanol.

In his State of the State address Tuesday night, Gov. Matt Blunt lent his support to the creation of a 5 percent statewide biodiesel standard. A bill being heard by the Missouri Senate Agriculture, Conservation, Parks and Natural Resources Committee would require all diesel fuel terminals in the state to seel a 5 percent biodiesel blend by 2010.

The law would also tighten regulation of biodiesel by developing standards to improve the fuel's cold-weather performance and require state biodiesel producers to get national accreditation from the National Biodiesel Accreditation Program.

Biodiesel currently produced in the state already meets international standards for quality, said Ronald Hayes, manager of the fuel quality program for the Missouri Department of Agriculture. Those fuels are tested regularly through surprise inspections and self-submitted samples sent to the state for testing.

The Missouri Soybean Association spokesman Adam Buckalew said the implementation of a biodiesel standard will create a guaranteed market for 60 million gallons of biodiesel in the state. Biodiesel production in Missouri is expected to reach at least 125 million gallons by 2008, according to the association.