Argentina expects record ethanol production in 2026

August 30, 2026 |

In Ukraine, UkrAgroConsult reported that Argentina’s fuel ethanol production could reach a record 1.35 billion liters in 2026, driven by rising domestic consumption and expanded corn processing capacity, according to a forecast by USDA’s Foreign Agricultural Service (FAS).

Around 60% of ethanol output will be corn-based, with the remainder produced from sugar. The industry received an additional boost from a regulation introduced in March allowing fuel distributors to voluntarily increase ethanol blending to 15%, above the mandatory 12% rate, according to the report.

Biodiesel production is also forecast to increase by 8% to 1.2 billion liters. At the same time, exports could fall to their lowest level since 2007, declining by around 26% from 2025. Despite higher production, Argentina’s biodiesel plants are expected to operate at only about 27% of installed capacity, the report added.

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Category: Fuels

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