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The coronavirus pandemic has had opposing effects on the grains and ethanol markets, despite the strong interlinkages between them. While grains are one of the major feedstocks for ethanol production and prices are usually highly correlated, changing demand dynamics as a result of the virus saw the decoupling of this relationship. S&P Global Platts reporters Alex Bobylov and Karim El Afany discuss with Robert Beaman the reasons behind the price divergence in grains and ethanol and what to look out for in 2021.
By S&P Global Energy4.1
2828 ratings
The coronavirus pandemic has had opposing effects on the grains and ethanol markets, despite the strong interlinkages between them. While grains are one of the major feedstocks for ethanol production and prices are usually highly correlated, changing demand dynamics as a result of the virus saw the decoupling of this relationship. S&P Global Platts reporters Alex Bobylov and Karim El Afany discuss with Robert Beaman the reasons behind the price divergence in grains and ethanol and what to look out for in 2021.

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