The U.S. is currently experiencing an ethanol boom of sorts and one expert from Minnesota believes Canada needs to drastically increase its ethanol productions, as well as that of other canola-based biodiesel. According to Jon Bjornstad, Canada should be staking a claim in the market, not only because of the significant growth its experienced, but also because canola-based biodiesel is better suited to a cold environment than alternative fuel made from soybeans.

"You guys really have to step it up," Bjornstad told his Saskatchewan audience. "I see tremendous opportunities for your canola. You guys have the best biodiesel that's available in the world. I can see the day coming when we're going to have to do canola-soy blends in the States if we're going to be able to use biodiesel in the northern tier states."

Bjornstad believes that surplus biofuels in Canada could easily be sold to the U.S. which is predicting a demand of 30 billion gallons of ethanol during the next few years.

"Today, we have capacity to make seven billion gallons and we're growing fast," he said. "You also have demand that's emerging in Canada that you need to service. Unfortunately, your friends in the States are servicing a high percentage of your demand right now in Eastern Canada."

"I know you folks are working on a province-by-province basis to create a bunch of demand for your processing facilities up here," he said. "But for a relief valve, we're willing, ready and able to take your product and we're going to see a tremendous growth in the use of renewable fuels in the States."

Bjornstad also contends the idea that the production of ethanol is wreaking havoc on the global food supply, saying there will be "billions and billions of bushels left over after this (U.S. corn) crop is harvested and we get into next year's crop year."

» Canada.com