Sustainable Aviation Fuel: Another Driver for Future Crop Use
April 16, 2025 A few weeks ago, we presented a look at the future of renewable diesel and what this might mean for soybean demand. In addition, another alternative fuel that also promises to grow U.S.-grown crop demand as a feedstock source is sustainable aviation fuel (SAF).
By its basic definition, SAF is a biofuel used to power aircraft. It is made from non-petroleum feedstocks (derived from such crops as corn and soybeans) and is a “drop-in” fuel. This means SAF can be blended with regular jet fuel without requiring modifications to aircraft or infrastructure.
According to Michael Reginelli, Risk Management Consultant at Advance Trading, Inc., SAF could be “a very big deal” when it comes to ethanol demand.
Michael Reginelli, Advance Trading, Inc.,
“The aviation industry is definitely looking at this,” said Reginelli, speaking at the 2025 Ohio Agribusiness Association annual meeting in late January. “As environmental regulations change – not only in the U.S. but in other countries as well – aviation companies are going to increasingly look for alternatives.”
And given the facts, it’s easy to understand why SAF is an attractive alternative to traditional aviation fuel. According to the data, SAF can reduce greenhouse gas emissions by up to 80% compared to fossil-based jet fuel. As Reginelli summed up: “The carbon reduction with SAF is massive.”
Right now, reported Reginelli, the U.S. has a mandate in place to have the country’s aviation industry reduce its carbon emissions by 20% by the end of this decade. Some individual airline companies have set their own emission reduction numbers as well.
“Southwest Airlines wants to be a net carbon zero company by 2030,” he said.
Loading ...According to Reginelli, SAF production is projected to begin in earnest by 2027, with more investment being made in bringing new production capacity online. “And things for this market should really take off by 2030,” he concluded.
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