EPA approves Canadian canola for US biodiesel use
Published on October 11, 2011
October 11, 2011, Medicine Hat Alberta...The United States Environmental Protection Agency (EPA) recently approved a Canadian petition providing significant expansion opportunities for Canadian canola to be exported to the US for biodiesel production under the US Renewable Fuels Standard Program (RFS2). This announcement proves beneficial to the approximate 618 canola producers located in the Medicine Hat region who now have access to a market estimated to be worth up to $450 million a year.
Based on the petition as well as supporting information submitted by the Government of Canada (GoC), it was determined by the EPA that an aggregate compliance approach would provide reasonable assurance that planted crops and crop residue from Canada meets the US definition of renewable biomass.
Trade has been identified, in general, as an issue in US/Canadian relations.
At an exclusive event held on September 14, 2011 by the Economic Development Alliance of Southeast Alberta, Consul General Laura Lochman explained that Canada and the US have the broadest and best relationship between any two countries in the world. However, it is apparent that fundamental issues exist in areas such as trade, borders, the arctic, energy and environment.
According to Lochman, Canada is the top trade market for 36 of the 50 US States and in the top three for ten others. The Canadian- U.S border facilitates over one million dollars in trade every minute.
“Our goal is even stronger ties; we want to do even better than the half a trillion dollars a year in trade of goods and services,” said Lochman. “And how we do that, one of the ways is by providing greater efficiency. One example is standards; it’s the little differences in regulations and standards that complicate our lives on a daily basis on the trade front.”
Because of regulations, seen in programs such as the RFS2, it becomes difficult for producers to remain competitive.
“It’s encouraging to see that changes in the regulations are making it easier for industry, particularly with our agriculture sector. The US remains one of our largest Agri-food export markets and in 2010 Canola seed and crude canola oil were two of the top five product trades,” said Wendy Blackwell, Executive Director for the EDA. “This bilateral relationship has proven beneficial, and hopefully the right changes will be made to make sure that continues.”
US Consul General Laura Lochman’s presentation on the US/Canada relations has been made available through the EDA’s YouTube page, to learn more about what US Mission Canada has identified as issues click here.