Chad Smith, NAFB News Service

The U.S. Grains Council says a boom in demand for hand sanitizer in South Korea since COVID-19 began is likely not a surprise. However, the related jump in U.S. ethanol imports into the country to meet that need might be more of a surprise. The rising demand is opening doors for the U.S. Grains Council to build new partnerships to expand demand potential for ethanol across Asia, both for industrial uses and fuel. The USGC Director in South Korea says COVID-19 has altered ethanol markets around the world. The demand for U.S. ethanol in South Korea for industrial use has increased significantly due to the high demand for sanitizers in South Korea and throughout the region. Despite the short-term impact, fuel ethanol demand remains viable for expansion in the future, and USGC says the council is working to increase market access in individual countries across the Asian region. South Korea imported 58.9 million gallons of U.S. ethanol for industrial use during the first six months of 2020, equivalent to 20.9 million bushels of corn. That’s up 53 percent year-on-year. The total constitutes 55 percent market share. USGC recently met with KC&A, the largest ethanol importer and distributor in Asia to discuss the obstacles and opportunities for ethanol expansion in the region.