local ethanol market growth

South Dakota’s ethanol industry is on fire. A game-changing partnership between SD Corn Utilization Council and Kwik Star has released Unleaded 88 at 11 Sioux Falls locations. Not just good for farmers – who sell 70% of their corn to ethanol plants – but for everyone’s wallet too. Consumers save 22 cents per gallon while the industry pumps $4.4 billion into the local economy. The revolution’s just getting started.

South Dakota’s ethanol industry flexed its muscles in 2024. With 16 ethanol plants churning out a staggering 1.2 billion gallons annually, the state ranks sixth nationally in production. Not too shabby for a state many Americans couldn’t find on a map.

These plants aren’t just converting corn into fuel—they’re pumping life into the local economy. Over 30,000 jobs depend on ethanol production. That’s $4.4 billion flowing through South Dakota’s veins and $2.4 billion landing in workers’ pockets. Each plant employs 40-60 workers, transforming rural communities one paycheck at a time.

Ethanol doesn’t just fuel cars—it fuels families, with 30,000 South Dakotans building lives one corn kernel at a time.

The latest buzz? A partnership between the South Dakota Corn Utilization Council and Kwik Star. They’re pushing ethanol-blended fuels, particularly Unleaded 88, at 11 locations across Sioux Falls. It’s about time South Dakotans started using what they’re producing. The industry consumes over half of all corn harvested in the state, showing just how vital ethanol is to South Dakota’s agricultural economy.

Public opinion? It’s a love fest. A whopping 88% of residents believe ethanol matters for their economy, and 74% think it’s environmentally friendly. Even in these politically divided times, 97% of Republicans back the industry. Bipartisan support for anything these days? Almost unheard of.

Speaking of environment, ethanol’s giving Mother Nature a break. Less greenhouse gas emissions. Reduced carbon monoxide. Decreased dependence on foreign oil. Oh, and consumers save 22 cents per gallon. Your wallet and the planet both win—talk about a two-for-one deal. The state’s focus on biofuels creates a sustainable cycle of growing, using, and regrowing resources.

The future looks bright, if a bit complicated. The industry could add 400 million gallons of new capacity. Sustainable aviation fuel presents fresh opportunities. Approximately 70% of corn grown in South Dakota is purchased by ethanol producers, creating a crucial market for local farmers.

But challenges loom: controversial carbon capture pipelines, price fluctuations, and those pesky electric vehicles threatening long-term demand.

Despite the hurdles, South Dakota’s ethanol revolution shows no signs of slowing. With strong public support and clear economic benefits, this corn-based fuel isn’t just surviving—it’s thriving. Rural South Dakota wouldn’t have it any other way.

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