Feedstock Factor

The feedstock constitutes 70-95 % of the biodiesel’s production costs [16]. The price of biodiesel in the open market stands approximately at $1,300/ton. This means the lower the cost of feedstock which contains higher %FFAs, the bigger the margins and the more profit is made on biodiesel from lower value feedstock. When choos­ing feedstock, there are several important factors to consider such as quality, price, availability, and ability to meet product specifications “ASTM and EN specs” which can be achieved by choosing proper pretreatment and to some extent post-treatment methods [6]. Understandably, higher quality feedstocks which don’t need pretreat­ment typically are much more costly. Refined, bleached, and deodorized (RBD) vegetable oils are more expensive than crude vegetable oils, both vegetable oils are more expensive than tallow and waste-cooking oil (yellow grease), yellow grease is more expensive than fat trap (brown grease), and so on. However, soybean oil which is very abundant is also more expensive than palm oil simply because of its
process ability and inherent characteristics that impacts cloud point (CP) and cold filter plugging point (CFPP) of the biodiesel product [17, 18].

Crude corn oil which is available as byproduct of the ethanol industry typically contains 10-15 % FFAs and is reddish in color, requires pretreatment process. The purification needed is to minimize the sterol, glycosides, waxes, and FFAs to ASTM acceptable levels in the oil in order to make an acceptable transesterification feedstock [19]. The ability to convert FFAs into methyl esters instead of soap increases product yield and reduces feedstock cost per gallon of biodiesel. The high-FFAs crude corn oil is 20 cents cheaper than the soybean oil, and it has a -3 °C CP, nearly 5 °C better than soybean [20]. This is great to the biodiesel consumers, especially since there will be at least twice as much crude corn oil in the market in 2012 compared to 2011 which will also yield biodiesel suitable for cold winters [20].