Green Plains to Shut Two Iowa Ethanol Plants

Two Iowa ethanol plants owned by Green Plains will stop production, according to a report by Reuters.

Green Plains will reportedly close two Iowa ethanol facilities and throttle production at another.
Green Plains will reportedly close two Iowa ethanol facilities and throttle production at another.
(Green Plains)

Two Iowa ethanol plants owned by Green Plains will stop production, according to a report by Reuters.

Reuters quotes multiple industry sources who say the facilities in Superior and Lakota, Iowa will cease production while a third facility in Fairmont, Minnesota has throttled to half its operating capacity.

The move comes on the heels of an announcement Friday that Ergon will shutter its Vicksburg, Mississippi ethanol plant in December.

All of the closures are being blamed on thinning profit margins spurred by oversupply. The growing tariff battle with China has limited export opportunities for domestic ethanol, resulting in a nearly 30 cent drop in ethanol prices since the summer high.

AgWeb-Logo crop
Related Stories
Dave Chatterton with Strategic Farm Marketing says funds have sold and liquidated hard the last three weeks in the corn market and while they took their foot off the gas on Monday he doesn’t think the selling is done.
Uniform emergence laid the foundation, but corn is now determining key yield components. Missy Bauer explains why stress management and nitrogen status matter at this stage.
As corn starts moving into the rapid growth stages, Farm Journal Field Agronomist Missy Bauer says now is the time for disciplined N assessments and applications — not reactionary rate cuts.
Read Next
Applying a keen sense of business and creating non-farm assets, Tim Nuss unlocks a flywheel effect to propel the Nuss Farms forward.
Get News Daily
Get Market Alerts
Get News & Markets App