Each month we review the latest announcements and news from across the global crops, wood and wastes industries that supply bio-based markets. This service is exclusively for our business members

1. NNFCC Market Review
Feedstocks Issue One, April 2012
E
ach month we review the latest projected to grow to 2.62 million tonnes
announcements and news from in 2011/2012. This value is 80,000 tonnes
across the global crops, wood higher than previous estimates because
and wastes industries that supply bio- of lower forecasted domestic use. The
based markets. This service is exclusively surplus is due in part to the shutdown of
for our business members. the Ensus ethanol plant, which was
meant to consume some 100,000
Foreword tonnes of wheat a month, and whose
loss had not been "fully offset" by
Welcome to the launch issue of our
higher-than-expected use of the grain
new market review. Last month we
by drinks distillers. Ensus is not expected
heard that the UK‟s biggest biofuels
to reopen until at least June.
facility, Vivergo Fuels near Hull, will
finally open for business in the next “few
Read on to find out more about the UK
months” according to BP Biofuels Chief
market for wheat, as well as other major
Executive Phil New. Suppliers Frontier
crops, wood and waste news.
this month delivered the first wheat to
the site and full production is likely to be
Highlights
reached in 2013.
Page 2 Markets News Round-up
The plant – which is owned by BP and
US chemical giants DuPont – will Page 3 Resource Availability News
eventually turn more than a million Round-up
tonnes of locally grown feed wheat into
Page 5 Innovations News Round-up
420 million litres of bioethanol and
500,000 tonnes of animal feed per year. Page 6 Feedstock Prices
The announcement is welcome news as Page 7 Events
the UK‟s exportable wheat surplus is
NNFCC Market Review, April 2012, Page 1 of 7

2. Markets forecast consumption levels. Distilling is one of
the main growth areas this season, with this
sector using more barley, wheat and maize.
Wheat continues to be favoured over barley
for use in animal feed rations but the mild
winter is expected to have influenced total
feed demand. Wheat surplus available for
export and/or free stock is 2.62 million tonnes
(mt). In the last three years, the estimated
end-June free stock figure for wheat has
ranged between 0.18 and 1.42mt. Barley
surplus available for export and/or free stock
is 0.79mt. In the last three years, the estimated
end-June free stock figure for barley has
US corn overtakes Brazilian sugarcane ranged between 0.17 and 0.75mt.
as largest source of bioethanol in UK
Click here for more information.
The UK Government have released verified
statistics for year three of the Renewable
PAS111 waste wood standard
Transport Fuel Obligation, 2010/2011. launched
Statistics reveal that the largest proportion of Developed jointly between WRAP and the
biofuel came from used cooking oil (459m Wood Recyclers Association, PAS 111:2012
litres, 30 per cent of total biofuel supplied). “Specification for the requirements and test
The most widely reported feedstock for a methods for processing waste wood” is the
single country for biodiesel was soy from first specification of its kind for waste wood.
Argentina (196m litres, 22 per cent of Those wood recyclers that adopt PAS 111 will
biodiesel supplied). The most widely reported be able to advertise that their products are
feedstock for a single country for bioethanol „PAS 111 compliant‟, meaning that potential
was US corn (156m litres, 25 per cent of customers can be assured that they are
bioethanol). This overtook sugarcane from purchasing material of consistent and
Brazil (124m litres, 20 per cent of bioethanol verifiable quality.
supplied).
By increasing confidence amongst end users,
The majority of feedstock has been imported; WRAP believe this will drive growth in existing
22 per cent of the biofuel was reported as markets of recovered wood. There are
coming from UK feedstocks. 84 per cent of already strong markets for higher grade
the fuel reported as coming from UK recycled wood – in applications including
feedstocks met environmental sustainability panel board, landscaping and animal
standards. bedding – and PAS 111 will help to expand
these. In turn, this should help to divert more
Click here for more information. wood from landfill into recycled products or
energy recovery. In 2010, the UK generated
UK grain crops supply and demand 4.1mt of waste wood, of which 2.44mt was
recovered – but the remainder was sent to
finely balanced
landfill.
UK wheat and barley supply and demand
Click here for more information.
remain finely balanced despite slightly lower
NNFCC Market Review, April 2012, Page 2 of 7

3. SITA UK win long-term contract to The fund, totalling £500,000 over the next 3
supply recovered wood to Fife years, is managed by WRAP on behalf of the
UK Department of Environment, Food and
biomass power plant
Rural Affairs. It will give the private sector,
local authorities and social enterprises the
RWE npower renewables has awarded
economic support for developing
leading recycling and resource management
demonstration projects to show good
company, SITA UK, a long- term deal to
practice and encourage the further
supply recovered wood to its £200 million
development of food waste collection
biomass combined heat and power (CHP)
services from businesses in England. It will
plant at Fife, Scotland.
support greater recycling of food waste by
anaerobic digestion and improved provision
The contract will provide more than 50 per
of recycling services to businesses, particularly
cent of the feedstock requirements to the
to SMEs.
49.9 MW biomass CHP facility which is
currently under construction. The plant is due
Collection schemes eligible for the fund are
to be commissioned later this year and be
those servicing commercial businesses such
fully operational by mid 2013.
as restaurants, hotels and catering firms, and
public sector organisations including council
Click here for more information.
offices and other public sector buildings.
Click here for more information.
Resource Availability US wood pellet exports on the rise
Pellet exports from North America into Europe
hit a new record in the fourth quarter of last
year.
Shipments rose to 0.6mt in the fourth quarter
of 2011, which is a sharp increase from the
0.13mt shipped in the first quarter of 2008.
Shipments have been on the rise steadily
every quarter since then.
Over all of last year, wood pellet shipments
reach just over 2mt, an almost 300 per cent
rise since 2008.
Food waste collection infrastructure to
get new half a million pound funding In terms of European imports, companies in
the Netherlands, the UK and Belgium are the
boost
biggest consumers with the UK leading the
way in regards to the biggest growth in
A fund of half a million pounds has been
imports.
launched to support demonstration projects
which encourage the collection of food
Click here for more information.
waste from businesses and public sector
buildings.
NNFCC Market Review, April 2012, Page 3 of 7

4. Farm woodland survey reveals size of the first few days of the month. Since early
woodfuel resource in the UK March, settled conditions prevailed with clear
warm days and clear cold, often frosty nights.
The settled weather enabled farmers to
'How much carbon and woodfuel do farm
complete cultivations, drilling, spraying and
woodlands contain' was the question behind
fertiliser applications with few weather
a recent Forest Research Survey.
induced delays.
The woodlands surveyed were variable but
Over 80 per cent of spring barley is now
the average woodland area per farm was 26
drilled, compared to typically 50 per cent at
hectares. The total woodland biomass per
this stage. However, the dry spell has also
farm averaged 3800 oven dry tonnes (odt) or
reminded farmers of the difficulties of the dry
90 odt per hectare. The biomass was mainly in
spring in 2011 when nitrogen uptake by crops
stemwood (61 per cent), followed by
was severely delayed so early applications
branchwood (23 per cent) and roundwood
are common. Similarly, the mild conditions
(16 per cent). The total woodland carbon per
have encouraged early incidence of yellow
farm averaged 1833 tonnes, with an average
rust in wheat and pollen beetle in oilseed
of 45 tonnes of carbon per hectare.
rape, which may require early treatment to
avoid damage. The dry weather is not
Most of the woodlands were mixed
affecting crop growth at this stage, but
broadleaves with occasional mixed conifer
regular rain will be required through the
areas. About two-thirds of the woodlands
season to maintain potential.
were unthinned and almost all were planted
rather than naturally regenerated.
Click here for more information.
Click here for more information.
US crop condition good and planting
World maize production could break progressing well
records in 2012/2013
USDA‟s first crop progress report for the
2012/13 season suggests that US planting is
According to the International Grains Council
progressing well and crop condition is good.
the world maize crop in 2012/13 is forecast at
a record 900mt, up from 864mt in 2011/12.
Maize planting has started earlier in some
World demand is also forecast to rise by 19mt
States with, 10 out of 18 States surveyed
in 2012/2013 up from 893mt in 2011/12.
started compared to four by this point last
year, and a five-year average of six States.
World wheat crop production is forecast at
681mt in 2012/13; down 15mt from 2011/12
Spring wheat planting is also further ahead
but demand is slightly higher in 2012/13 at
than last year and the five year average, with
683mt.
all States surveyed starting to plant the crop. 8
per cent of the total spring wheat area has
Click here for more information.
been planted compared to 1 per cent last
year and a 2 per cent five-year average. The
‘Exceptionally’ dry and warm weather
US winter wheat crop condition is good. 58
seen in March across UK not currently per cent of the crop is in good to excellent
affecting crop growth condition compared to 37 per cent at the
same time last year.
Average rainfall across England and Wales in
March was just over 20mm, mostly falling in Click here for more information.
NNFCC Market Review, April 2012, Page 4 of 7

5. Innovations Aberystwyth scientists make biofuel
breakthrough by mapping Miscanthus
genetics
Scientists in Wales and the United States have
joined forces to complete the first genetic
map of Miscanthus. It is hoped the
breakthrough will make it quicker to develop
the crop in future.
The collaboration was between the Institute
of Biological, Environmental and Rural
Sciences (IBERS) at Aberystwyth University and
the Californian-based energy crop company,
Source: Rothamsted Research Ceres. They hope their results provide a
significant breakthrough towards advancing
Genetically modified wheat that the production of bioenergy from Miscanthus.
repels aphids grown by British
Click here for more information.
scientists
Welsh BEACON biorefining centre to
Rothamsted Research have engineered a
crop of wheat to give off chemicals which help businesses turn locally grown
aphids naturally release to warn one another plant crops into commercial products
of imminent danger, with the aim of reducing
crop damage and preventing the spread of The BEACON biorefining centre at
disease. Aberystwyth University‟s Institute of Biological
Environmental and Rural Sciences (IBERS), has
It is believed to be the world's first GM crop unveiled new research facilities as part of a
which repels insects instead of killing them, £20 million initiative.
reducing the chances of the pests
developing immunity to it, say researchers at The new facilities are already enabling
Rothamsted. businesses to develop new ways of
converting crops such as rye grass, oats and
After successful lab tests the first batches of Miscanthus into products including platform
seeds were planted in fields at Rothamsted chemicals, fuels and cosmetics.
Research in Harpenden, near St Albans, in
March and will be allowed to grow Click here for more information.
throughout the summer.
US programme to make sugarcane
Although the crop is purely a proof of and sorghum into oil-producing crops
principle and not designed for commercial
use, if it proves effective the scientists running
New research aims to convert sugar-rich
the project hope to ultimately develop a new
crops like sorghum and sugarcane into oil-rich
aphid-resistant strain of wheat that could be
crops. Scientists will suppress flowering in
sold to farmers.
sorghum (except in crops used to produce
seeds for propagation) to divert more of its
Click here for more information.
energy into oil-production.
NNFCC Market Review, April 2012, Page 5 of 7

6. With the support of a $3.2 million grant from The initiative, led by researchers at the
the US Department of Energy, researchers will University of Illinois, will make use of recent
take the first steps toward engineering two advances in plant biotechnology and
new oil-rich crops. They aim to boost the computer modelling to produce high-
natural, oil-producing capabilities of yielding, cold-tolerant, photosynthetically
sugarcane and sorghum, increase the crops' efficient crops that can be used in the
photosynthetic power and – in the case of production of biodiesel and jet fuel.
sugarcane – enhance the plant's cold
tolerance so that it can grow in more Click here for more information.
northerly climes.
Feedstock Prices
LIFFE MATIF MATIF MATIF CBOT CBOT CBOT
Wheat Wheat Rapeseed Malting Wheat Maize Soybean
Barley
Date £/tonne €/tonne €/tonne €/tonne $/tonne $/tonne $/tonne
May 12 171.75 (-) 211.25 (-) 504.00 (-) 256.00 (-) 236.24 (-) 255.51 (-) 525.75 (-)
Jul 12 173.25 (-) - - - 238.44 (-) 252.46 (-) 527.13 (-)
Aug 12 - 216.75 (-) 486.75 (-) 249.00 (-) - - 523.91 (-)
Sep 12 - - - - 243.86 (-) 223.82 (-) 514.73 (-)
Nov 12 157.05 (-) 204.75 (-) 480.50 (-) 231.00 (-) - - 507.75 (-)
Dec 12 - - - - 251.49 (-) 216.63 (-) -
Jan 13 158.55 (-) 204.00 (-) 473.50 (-) 232.00 (-) - - 507.38 (-)
Mar 13 161.85 (-) 204.00 (-) 467.50 (-) 234.00 (-) 257.49 (-) 220.18 (-) 501.32 (-)
Nov 13 153.00 (-) - - - - - -
For details on futures prices see www.hgca.com
Arrows indicate rise (↑), unchanged (-) or fall (↓) from previous month.
ENDEX Wood Pellets
Date €/tonne
May 12 130.69 (↓)
Jun 12 130.65 (↓)
Jul 12 130.28 (-)
Q3 12 131.17 (↓)
Q4 12 133.53 (↓)
Q1 13 135.61 (↓)
For details on European wood pellet futures prices see www.apxendex.com
Arrows indicate rise (↑), unchanged (-) or fall (↓) from previous month.
Wood Pellets (Delivered, Ex-Farm Wheat Straw Ex-Farm Barley Straw
5% VAT), UK (D1000), UK (D1000), UK
Date £/tonne £/tonne £/tonne
Apr 12 205.00-249.00 (-) 55.00-75.00 (-) 45.00-70.00 (-)
For details on UK wood pellet spot prices contact enquiries@nnfcc.co.uk
For details on straw spot prices see www.fwi.co.uk
Arrows indicate rise (↑), unchanged (-) or fall (↓) from previous month.
Other biomass feedstock prices are available upon request, simply contact enquiries@nnfcc.co.uk.
NNFCC Market Review, April 2012, Page 6 of 7

7. Events markets. This provides an excellent
opportunity to network and interact with
leading industry experts.
Life Cycle Assessment Workshops, 16-
17 May 2012 in York, UK Sinal Exhibition, 24-25 April 2012 in
www.nnfcc.co.uk/events
Chalons-en-Champagne, France
www.sinal-exhibition.eu
Two workshops have been developed to
provide a basic understanding of LCA and
Supported by the "Industries and Agro-
how to set about doing one.
Resources" Cluster, SIÑAL EXHIBITION focuses
on the use of bio resources and crops in non-
The first workshop covers the principles of
food applications.
LCA, requirements, problems and issues. The
second provides a „hands on‟ opportunity to
learn to carry out an LCA. The workshops can Cereals, 13-14 June 2012 in
be taken together or separately. Lincolnshire, UK
www.cerealsevent.co.uk
Argus European Biomass Trading
Conference, 19-20 April 2012 in Cereals is the leading technical event for the
UK arable industry with over 64 hectares of
London, UK
stands and live demonstrations including
www.argusmedia.com/events/argus-
Crop Plots, Working Cultivations, Sprays and
european-biomass-trading-2012
Sprayers, Post-Harvest Technology, Business
Area, Potatoes and Renewables.
The conference is designed to provide
delegates with updates on opportunities and
threats that currently exist within the biomass
Credits and Disclaimer
NNFCC Market Review is edited by Dr Matthew Aylott for NNFCC members. Feedback is welcome.
The Review has been compiled in good faith and NNFCC does not accept responsibility for any
inaccuracies or the products or services shown.
NNFCC, Biocentre, Phone: +44 (0)1904 435182
York Science Park, Fax: +44 (0)1904 435345
Innovation Way, E: enquiries@nnfcc.co.uk
Heslington, York, Web: www.nnfcc.co.uk
YO10 5DG.
NNFCC Market Review, April 2012, Page 7 of 7