Argentina Biofuel Production on Track for Record High in 2026

Argentina's biofuel production is set to reach new heights in 2026, according to a report from the US Department of Agriculture. The country's total fuel ethanol production is forecast to hit a record 1.35 billion liters (356.6 million US gallons) due to increased domestic consumption and additional corn-based production capacity.

The government's biofuels policies are under review, with a recent regulation allowing fuel distributors to blend up to 15% ethanol voluntarily above the mandatory 12% rate. Corn-based ethanol is expected to account for approximately 60% of output, while sugar will make up the remaining portion.

Argentina's corn bioethanol industry is benefiting from a record corn crop in marketing year 2025-26, alongside capacity expansions. The country is projected to be the world's third-largest corn exporter, with domestic consumption accounting for about 30% of total production.