11 March 2013 17:02 [Source: ICIS news]
MEDELLIN, Colombia (ICIS) --The Argentine biodiesel sector is poised to ramp up production, a large seller in the region said on Monday after the government published domestic biodiesel prices at the weekend.
The Argentine energy secretary issued updated pricing for December 2012 and for January and February this year.
Last week, small- and medium-sized producers threatened to halt all biodiesel production starting in March because prices were still uncertain for the internal market, as the government had not published official prices since December.
February pricing for large producers was set at Argentine pesos (AR) 4,660.13 ($919/tonne, €708/tonne), according to the agency.
Prices for medium and small producers were se at AR5,425.89 and AR5,484.28, respectively.
A large trader in the region said some producers have been running at 50% capacity.
Meanwhile, refiners are said to be short on product to blend and are not reaching the government-mandated blend rate of 7%, according to sellers in the region.
The spot bid/offer range for March was at $950-970/tonne FOB (free on board) at the Argentine port of Rosario.
The South American country is the world's biggest exporter of biodiesel.
($1 = €0.77, $1 = AR5.07)
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