What is the current impact of biodiesel on the oil market?

As we all know, crude oil and coal are non-renewable energy. Due to resource consumption and environmental protection issues, countries have proposed various renewable energy policies, including the use of oils and fats to produce biodiesel as a renewable fuel. Due to the geographical location of the world and the advantages of their respective resources, the raw materials for the production of biodiesel are different. The United States is mainly soybean oil, Europe is mainly rapeseed oil, and Southeast Asia is rich in palm oil , and palm oil is used to make biological vegetable oil.

Due to its large population and large oil consumption in China, oil is mainly used in food and industry. Biodiesel mainly comes from waste oil and woody oil. It is understood that soybean oil used in biodiesel in the United States accounts for 27% of total production, palm oil production in Malaysia and Indonesia, and palm oil produced in Indonesia, accounts for about 10% of total production, about 5 million tons per year. Biodiesel has become a fat consumption. The important demand side is the link that cannot be ignored in the current oil supply and demand relationship. From the existing structure of human energy use, mainly coal and oil, biodiesel as a renewable energy accounted for a very low proportion, and wind, solar, hydropower, etc. are also renewable energy, biodiesel has a small share. The impact of energy consumption is low and belongs to the subordinate position. The price fluctuation of energy will affect the price of biodiesel. For example, the price of crude oil will affect the price and output of biodiesel, and vice versa.

There is also the advantage of oil and fat as biodiesel. First, consumption leads to rising agricultural product prices, affecting the country's food safety strategy, and agricultural products as raw materials for biofuels. It also occupies cultivated land, consumes large resources, and produces efficiency. Low, and still produce greenhouse gases such as carbon dioxide after burning. For example, Indonesia has cut down a large number of virgin forests for large-scale planting of palm oil. This is itself a persecution of the environment. Therefore, agricultural products are used to produce green energy. Big. It is understood that the world's major bio-energy production countries are major producers of agricultural products, such as the United States rich in soybeans, South American countries such as Brazil, which is rich in soybeans and sugar, and Indonesia, Malaysia, etc., the world's major palm oil producers. The inventory is converted into biodiesel, which plays a role in expanding demand, reducing inventory and supporting agricultural prices. As a large grain importing country with a large population, China is not only an important strategic material for ensuring economic development, but also the most basic means of subsistence for the people. It is limited to China's national conditions, and it is difficult for the government to introduce bio-energy stimulation policies based on grain.

There are two main factors affecting the demand for biodiesel. The first is the impact of crude oil price fluctuations. The rise in crude oil prices creates profit margins for biodiesel, which will stimulate demand and vice versa. Taking palm oil refining biodiesel as an example, the cost of palm oil accounts for more than 80% of the cost of biodiesel. Based on the recent spot price of palm oil of 5,700 yuan/ton, the cost of biodiesel produced is about 7125 yuan/ton, and 2017. On June 23, Guangdong No. 0 diesel was 5.96 yuan / liter, about 7009 yuan / ton, biodiesel is slightly exceeded, there is no cost advantage, and because domestic biodiesel is mainly derived from waste oil, so only the cost of oil in the country Less than a waste oil can really have a cost advantage, which stimulates demand. Due to the recent fluctuations in global crude oil in more than 40 US dollars, crude oil prices are low, and biodiesel demand is difficult to become a key factor affecting oil prices.

The second factor is policy factors, including bioenergy stimulus policies introduced by major producers and related policies of major consumer countries. For example, the Malaysian government announced the “B10 biodiesel mandatory blending plan” in 2008, and the use of biodiesel in Europe. Accounting for 80% of the world, the European Union accused Indonesia of dumping palm oil in 2013, resulting in a sharp drop in Indonesian biodiesel exports. The introduction of policies will psychologically affect investors in the market in the short term. In the long run, it will affect the relationship between supply and demand, and will eventually change the changes in inventory data, thus affecting the rise and fall of market prices.

Touchless Kitchen Faucets

Touchless Kitchen Faucets,Touchless Kitchen Faucets price,Touchless Kitchen Faucets products

Yuyao Zelin Sanitary Ware Co., Ltd , https://www.zlsanitaryware.com

This entry was posted in on