Jatropha, a feedstock that is gaining popularity for the production of biodiesel, could reach parity with conventional disel in the next few years.
Biofuel costs about 80% for feedstock and 15% for refining, and as more farmers begin growing the plant, increased supply is expected to drop costs.
Jatropha is not a food crop and researchers say it can yield more fuel per acre than soy or corn. Continental Airlines (NYSE: CAL) tested jatropha-based jet fuel earlier this year and is one of many airlines searching for ways to reduce their carbon emissions and fuel costs.
Jatropha farming is catching on in India and Haiti, and more recently in Florida.
Read Associated Press coverage at the link below.
