September 30, 2011

 

Tate & Lyle doubles profits on ethanol byproducts

 

 

UK sweeteners and starches group Tate & Lyle announced an "encouraging start" to its financial year, due to the "favourable market conditions" for byproducts of ethanol manufacture.

 

Tate & Lyle said that its profits from co-products, at about GBP10 million (US$15.56 million), had roughly doubled in the April-to-September period from income a year before.

 

"We have seen a continuation of favourable market conditions for co-products and in the US we have locked in sales further forward to take advantage of unusually strong demand," Tate & Lyle said.

 

The market for ethanol plant byproducts has firmed on high prices of traditional alternatives.

 

Taiwan last week committed to importing 500,000-750,000 tonnes of US co-products in 2012 and 2013, while imports of American distillers grains to the EU more than doubled, to 553,000 tonnes, in 2010-11.

 

The UK was among the biggest EU buyers, seeing a rise to 114,300 tonnes from 47,300 tonnes, despite the opening of fresh domestic wheat ethanol capacity boosting domestic output of byproducts, which are used in the main as livestock feed.

Video >

Follow Us

FacebookTwitterLinkedIn