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Biodiesel helps reduce America's dependence on foreign oil while creating local job opportunities.  According to a study conducted for the National Biodiesel Board, each new production facility (10m gallons per year) creates 635 new jobs in the economy. 

Despite this high volume, less than 3 percent of the nation's annual soybean harvest is used for U.S. biodiesel production, leaving ample supplies for other uses of soybeans.

When soybeans are processed:

  • 85 percent is crushed for meal, which is primarily used for livestock feed.
  • The remaining 15 percent is oil that can be used for many different products including biodiesel.  

Livestock Connection

Biodiesel is also an economic win for the livestock industry. As a result of the increased demand for soybean oil, soybean meal availability has increased.

A 2011 report titled "Soybean Oil and Meal Economics: How Livestock Producers Benefit from Biodiesel Production"details recent industry developments and examines what could happen to the market if biodiesel did not use the excess oil produced in the crushing process.  To learn more about Livestock in Indiana visit our Livestock program page.

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