Iowa Biodiesel Producers and Soybean Farmers Welcome Credit Extension Legislation

(ANKENY, IOWA) Today, Sens. Chuck Grassley (R-IA) and Amy Klobuchar (D-MN) introduced bipartisan legislation (S. 5583) to extend the Small Agri-Biodiesel Producer Credit through 2029. U.S. companies that produce up to 60 million gallons of biodiesel per year using domestic agricultural feedstocks can claim this income tax credit of $0.20 per gallon on the first 15 million gallons of production. The credit will expire on December 31 this year unless Congress adopts the extension introduced today.

Grant Kimberley, executive director of the Iowa Biodiesel Board, issued the following statement: 

"Iowa is home to many small and independent biodiesel producers, and for these plants, the Small Agri-Biodiesel Producer Credit has been a lifeline. It helps them weather tough markets, keep their doors open and keep people employed in rural communities across our state. We're grateful to Senator Grassley, who has been a tireless champion for biodiesel for as long as there's been an industry to champion.

"This credit's value reaches well beyond the plant gate. When Iowa's biodiesel producers are running strong, they're buying soybean oil and other farm-grown feedstocks, which adds value to every bushel Iowa soybean farmers grow. Extending this credit gives small producers the certainty they need to keep investing, keep producing and keep delivering cleaner, more affordable fuel made right here at home." 

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Jenna Rose, IBB