Renewable fuels accounted for almost $4 billion in Iowa’s GDP in 2020, report shows

Iowa's renewable fuels industry accounted for almost $4 billion or about 2 percent of Iowa's gross domestic product in 2020, according to a report commissioned by the Iowa Renewable Fuels Association.

The report, written by Agriculture and BioFuels Consulting's John Urbanchuk, shows the industry also provided $1.8 million in household income and 37,000 jobs.

Biodiesel production increased in 2020, but ethanol production - which accounts for about 88 percent of the 37,000 jobs - faced myriad obstacles.

Decreased fuel consumption during coronavirus, the U.S. Environmental Protection Agency's use of small-refinery waivers and a drop in exports to Canada and Brazil all hampered the industry.

'Biofuels still provide a major boost to Iowa's economy, but quite frankly, the report is a wake-up call to redouble our efforts at the state level,” said Monte Shaw, IRFA's executive director, in a news release.

'Midwestern states like Iowa must be aggressive to drive local demand for biofuels in a meaningful way, thereby providing a sturdy market foundation, even as we supply the rest of the United States and markets around the world.”

Comments: (319) 398-8394; john.steppe@thegazette.com