Demands for Crackdown on Biofuels Scam

Traders have a knack for finding loopholes in subsidies and other policies to gain more profits. The European Biodiesel Board has uncovered a trading scheme that exploits US agricultural subsides, designed to encourage biofuel products made from corn and soy beans, reports Terry Macalister for the Guardian. The schemers ship biodiesel from Europe to the US, add a dash of US fuel to their mixture and then collect US subsidies before returning the product and selling it at reduced prices in Europe. Macalister writes, “The trade is not illegal, but flouts the spirit of producing green fuel by transporting it needlessly across the Atlantic at a time when campaigners are voicing concern about emissions from global shipping.” Governments in Europe plan to require more information on fuel content and crack down on the scheme. – YaleGlobal