Study Shows 2024 was a Record Year for Biodiesel Economic Impact

A new study shows that the biodiesel industry helped contribute more than $42 billion to the U.S. economy in 2024.

Kate Shenk, Director of Regulatory Affairs with Clean Fuels Alliance America, says the organization’s report makes it clear that 2024 was a record-setting year. “These are real world results showing what we’re delivering for farmers, rural communities and the U.S. economy.”

The study, Economic Impact of Biodiesel on the U.S. Economy in 2024, says the industry generated $42.4 billion in economic activity, supported 107,400 jobs and paid $6 billion in annual wages.

Shenk says almost half of the economic impact came from soybean growers. “When we talk about oilseed production, that is economic value benefiting out soybean growing states. On that side, we saw $15.2 billion in economic value, $1.5 billion in wages and over 30,000 jobs.”   

She says that the industry has the capability to produce 7.4 billion gallons of diesel in the future, which could contribute more than $60 billion annually to our country’s overall economy.

EDITOR’S TAKE:

There was a time when we talked about agriculture in terms of animal feed, human foods and clothing. During the past few decades, that list expanded to include fuel. Be it in the form of ethanol or biodiesel, this category is a major use factor, especially for corn and soybeans. As the article points out, soybean producers have been the beneficiaries of a huge surge in biodiesel demand, and it is expected to grow even more in the future. This relatively new market now contributes in a very significant way to net farm incomes. That typically translates into greater truck sales. So, be sure you put your inventory on AgTruckTrader.com®. Also, remember that AGwagon is now under production – the truck designed by farmers and ranchers for farmers and ranchers. You’ll want to have some on your lot soon because demand is growing by the minute!