‘Time to scream about biofuels’ as U.S. soy industry looks to boost domestic demand

January 22, 2026 | Aaron Putze, APR

If you read about U.S. soy, you’ll inevitably also learn about the industry’s reliance on China.

While farmers are acutely aware of the country’s history and influence on the fortunes of the U.S. soy industry, they might be overlooking another driver of the industry.

And that, says those gathered for Clean Fuels Alliance America’s annual conference held this week in Orlando, would be biofuels.

“We need to be screaming more about biofuels than China,” says Jeramie Weller, general manager and CEO of Minnesota Soybean Processors. The 2,200-member cooperative annually converts 38 million bushels of soybeans into 35 million gallons of biodiesel. The company, in a joint venture with CGB Enterprises, Inc., recently expanded its crush capacity with the opening last year of North Dakota Soybean Processors, LLC, a state-of-the-art soybean processing plant near Casselton, North Dakota. 

Weller, a mechanical engineering graduate with 16 years in oilseed and biofuels processing, says it’s long past time to ramp up the energy around the value of biofuels to Minnesota and U.S. soybean farmers.

"Farmers in our area got tired of seeing their soybeans shipped out of state and wanted to crush them locally," he said. "Biofuels give us the chance to hit a home run for farmers by bringing more value back to the farmer. And it’s local, where both the inputs and finished product create value and benefits for farmers."

The nearly 600 conference attendees represented all facets of the biofuels industry, from growing soybeans and buying and selling commodities to logistics and testing equipment to ensure it will accommodate higher blends of biofuels.

Rail, like many other industries needing horsepower to move freight, is all-in with biofuels.

"How we get to zero emissions by 2050 hasn’t been entirely determined, but drop-in biofuels are a big driver toward that goal," says Becky Hensley, senior manager of sustainability for CSX Transportation.

Founded more than 200 years ago, the Jacksonville, Florida-based company operates in 26 states running on nearly 2,600 miles of track.

"That’s a good bit of real estate," says Hensley, adding the locomotives responsible for moving freight are also best served by biofuels.

"With a life span of 50 years, we need to make those locomotives work as long and efficiently as possible," she says. "Biofuels help us get there."

Of course, the biofuels industry was built one farmer and one soybean seed at a time.

"It all begins with a seed that I’ll plant in a few months," says Dave Walton, a farmer from east-central Iowa who currently serves as vice president of the American Soybean Association.

Walton, who grows soybeans and corn and manages a cow-calf operation, says farmers are the foundation of the biofuels industry. They also have the most to gain from its continued growth.

"It's about moving soybeans at the highest value possible. The biofuels industry is a key component of that effort while also making us less reliant on trade."

Seeing the business of biofuels grow up early in his farming career helped Walton, a sought-after speaker and industry expert, understand how its many pieces and people fit – from the merchandisers and processors to transporters and end users.

"When you see that big picture and truly spend time better understanding it, you learn how all those pieces add value to what we as farmers are growing," he says.

Farmers, adds Walton, “helped boost this industry up at the very beginning. We put a lot of finances into it, including the farmer-owned plants in Iowa.

"We now must provide a voice at the local level and in D.C. so that large volumes of soybeans continue to find a home every year."

And just how large is the volume and demand?

U.S. biofuels production currently consumes nearly one billion pounds of soybean oil monthly (one bushel of soybeans produces roughly 11 pounds of oil). Last year, U.S. farmers grew 4.3 billion bushels of soybeans.

During his nine years of involvement in Clean Fuels Alliance America, Walton says the industry has gone from “begging for 2.3 billion gallons of biofuels production” to an announced renewable volume obligation of more than 5.6 billion.

"Without biofuels, we would need even more trade," says Walton. "It’s nice to have that baseline of demand that biofuels provides as we look to continue to grow the industry even further in the years to come."

Written by Aaron Putze.

---

Back